Northwest Pipeline Corporation G P

Fourth Revised Volume No. 1

Effective Date: 02/20/2009, Docket: RP09-227-000, Status: Effective

First Revised Sheet No. 271A First Revised Sheet No. 271A

Superseding: Original Sheet No. 271A

GENERAL TERMS AND CONDITIONS

(Continued)

22.12 PERMANENT RELEASES OF CAPACITY.

(a) Parameters, Bidding Procedures and Exit Fee.

(i) To the extent that any Shipper desires to release all

or any part of its firm contract rights

(including the Right-of-First-Refusal specified in Section

25 and its residual rights to firm capacity encumbered with

temporary capacity releases), on a permanent basis as

included in any of Transporter's Part 284 firm Rate

Schedules, the bidding procedures specified in Section

22.3, above, will apply. If a Shipper wishes to

permanently release only a portion of its firm

transportation capacity, the provisions in Section

22.2(a)(3) also will apply. The procedures for

establishment of credit must be complied with before

Transporter effectuates any permanent releases of capacity

under this Section 22.5. In any event, Transporter may

refuse to allow a permanent release if it has a reasonable

basis to conclude that it will not be financially

indifferent to the release. Transporter will notify the

Shipper electronically in Northwest Passage if the

Shipper's request to permanently release capacity is

denied, and will include in the notification the reasons

for such denial.

(ii) A Shipper may permanently release firm capacity rights

acquired under a temporary capacity release in the event

such Shipper also holds and is concurrently permanently

releasing the corresponding rights under the associated

base Service Agreement.