Panhandle Eastern Pipe Line Company, LP

THIRD REVISED VOLUME NO. 1

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Effective Date: 05/17/2009, Docket: RP09-517-000, Status: Effective

First Revised Sheet No. 230E First Revised Sheet No. 230E

Superseding: Original Sheet No. 230E

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

 

(iv) Shipper has used reasonable efforts to

release its capacity to Replacement Shippers,

by posting the capacity on the Messenger®

system for thirty (30) days at the rate

provided for under the relevant Service

Agreement(s).

 

(3) Level of Reduction

 

In the event of a permanent and material

reduction in the plant's output, Shipper may

only reduce its contract quantity by a

percentage equal to the percentage that the

production decrease represents to the total

plant output. In the event of a plant closing,

Shipper may reduce its aggregate contract

quantity under all of its Service Agreements

that serve the plant by an amount up to the

daily contract quantity delivered to the plant.

If Shipper's plant is served by other natural

gas pipelines in addition to Panhandle, Shipper

may only reduce its contract quantity on

Panhandle by an amount that is prorated based on

the respective levels of firm transportation

service used to serve the plant that Shipper

holds on Panhandle and such other natural gas

pipelines. If more than one Service Agreement

on Panhandle serves such plant, any contract

quantity reduction shall be applied first to the

Service Agreement with the lowest rate, unless

otherwise agreed. Any reduction in contract

quantity shall result in a pro rata reduction in

Shipper's quantities at primary Points of

Receipt and primary Points of Delivery, unless

otherwise agreed.

 

(4) Effective Date

 

The reduction shall take effect on the later of

the first calendar day of the month following

the sixtieth (60th) day after Shipper's written

notice or the effective date of the plant's

permanent and material output reduction or

closing.