Pine Prairie Energy Center, LLC

Original Volume No. 1

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Effective Date: 09/01/2007, Docket: RP07-563-000, Status: Effective

Original Sheet No. 151 Original Sheet No. 151 : Effective

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

Fuel Reimbursement charges are intended to compensate PPEC for

these categories of fuel usage and for lost and unaccounted for

Gas volumes to the extent required for the operation and

maintenance of PPEC's Gas storage facilities.

 

 

19.2 Fuel Reimbursement. Fuel Reimbursement shall be

calculated separately for storage services, wheeling, loaning and

parking under Rate Schedules FSS, FP, FL, ISS, IP, IW, IL and IB.

Each Fuel Reimbursement charge shall be negotiated by PPEC and

Customer such that reimbursement of fuel shall be paid in kind, as

set forth in Customer's Storage Service Agreement(s).

 

20. GAS TITLE TRANSFERS

 

20.1 Title Transfers of Gas in Storage:

 

(a) A Customer that has executed a Storage Service

Agreement under Rate Schedules FSS, FP, FL, ISS, IL, IP or IB and

a Hub Services Agreement may sell some or all of its Storage

Inventory or Loan Balance to any other Customer that has executed

a Storage Service Agreement under the same Rate Schedule to become

part of such other Customer's Storage Inventory or Loan Balance

under the same Rate Schedule if:

 

(1) Customer selling Storage Inventory or Loan Balance provides

notification to PPEC's Gas dispatcher prior to the nomination

deadline and provides PPEC with written verification of the

transfer within three (3) Business Days; and

 

(2) The purchase does not cause either Customer to exceed its

Maximum Storage Quantity, Maximum Loan Quantity, or Maximum Park

Quantity, as applicable and as specified in the Customer's Storage

Service Agreement or cause either Customer's balance to go below

zero.

 

PPEC may restrict transfers when such transfers would result in an

increase in the service obligations of PPEC or cause operational

difficulties and such increase or operational difficulties would,

in the reasonable judgment of PPEC, impair the ability of PPEC to

meet all of its other service obligations of equal or higher

priority.

 

(b) PPEC will recognize the transfer for purposes of

computing available Storage Inventory or Loan Balance on a

prospective basis within 24 hours after receiving the

notification. In the event the required written verification is

not received, the transfer will no longer be recognized and the

Storage Inventory for each Customer will be restated to reflect

the reversal of the transfer.