Southern Natural Gas Company
Seventh Revised Volume No. 1
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Effective Date: 08/01/2008, Docket: RP01-205-017, Status: Effective
Tenth Revised Sheet No. 37 Tenth Revised Sheet No. 37
Superseding: Ninth Revised Sheet No. 37
RATE SCHEDULE FT
Firm Transportation Service
(Continued)
Section 2(c) (continued)
Exhibit B to the Service Agreements under this Rate Schedule and Rate Schedule FT-NN and deliveries
under other firm transportation services. Delivery of gas pursuant to a Service Agreement under
this Rate Schedule at Exhibit B-1 Delivery Points in the path of Exhibit B Delivery Points to the
Service Agreement shall have a priority over the delivery of gas at Exhibit B-1 Delivery Points
outside of the path of Exhibit B Delivery Points under a Service Agreement.
(d) Transportation service provided under this Rate Schedule shall be limited to SHIPPER'S
Transportation Demand specified in the Service Agreement, subject to the provisions of Section 22 of
the General Terms and Conditions applicable hereto. Subject to the segmentation provisions set
forth in Section 12.1(l)(3) of the General Terms and Conditions, it is provided that, if gas in
excess of the total of all of SHIPPER'S currently effective Transportation Demands within a rate
zone is allocated to SHIPPER'S Service Agreement for service under this Rate Schedule on any day
pursuant to the allocation procedures set out in Section 13 of the General Terms and Conditions,
such gas shall be deemed to be overrun gas under said Service Agreement and SHIPPER shall pay the
maximum rate set forth on the currently effective Sheet Nos. 18 or 30, applicable to the zone of
deliveries under SHIPPER'S Service Agreement, for each Dth of overrun gas.
3. RATES AND CHARGES
(a) Unless SHIPPER is eligible for the volumetric rate election set forth in Section 3(b) below, SHIPPER
shall pay COMPANY the sum of the following for transportation services rendered for SHIPPER each
month under this Rate Schedule:
(i) Reservation Charge: The applicable rate set forth on the currently effective Sheet Nos. 14-15
or 26-27 multiplied by the Transportation Demand (TD) multiplied by the systemwide Btu factor
set forth in Section 12.1 of the General Terms and Conditions.
(A) Reservation Charge Credit: (1) In the event COMPANY is unable to make deliveries of at
least 98% of the volume of gas to which SHIPPER has firm entitlements on any day at primary
Delivery Point(s) under this firm Rate Schedule, and SHIPPER is a consenting party under the
Stipulation and Agreement filed in Docket No. RP04-523, then the applicable Reservation
Charge shall be credited to SHIPPER for such day, except as provided in Section
3(a)(i)(A)(1), 3(a)(i)(A)(2), 3(a)(i)(B), and 3(a)(i)(C) below. Such credit shall be applied
to the lesser of (i) the applicable MDDQ; (ii) an average of the immediately previous 7 day's
daily quantities allocated to the primary firm service at the Delivery Point, but not to
include quantities outside of SHIPPER's entitlements or quantities in excess of SHIPPER's
MDDQ; or (iii) such quantity as SHIPPER has nominated but COMPANY was not able to either
schedule or deliver solely as a result of COMPANY's inability to make deliveries as provided
above; provided, however, in the event SHIPPER has no nomination in place, then the credit
shall be applied to the lesser of (i) or (ii). The applicable Reservation Charge shall not
be credited (w) to the extent that the SHIPPER uses a secondary (B-1) Delivery Point instead
of its primary (B) Delivery Point when COMPANY is unable to make deliveries at SHIPPER's
primary Delivery Point; (x) to the extent deliveries cannot be made to a Delivery Point on a
secondary (B-1) basis and deliveries can be made to SHIPPER's primary Delivery Point(s); (y)
to the extent the affected firm MDDQ has been released under Section 22 of the General Terms
and Conditions to Delivery Points other than the affected primary Delivery Point; and/or (z)
to the extent there are limitations at firm Receipt Points but COMPANY's ability to make
deliveries at Shipper's primary Delivery Point(s) as provided above has not been limited.
(2) In the event all of SHIPPER'S primary Delivery Point(s) are interstate pipeline
interconnection(s) or in the event SHIPPER's primary Receipt Point is the interconnection
with Southern LNG at its Elba Island LNG terminal, then SHIPPER may elect, at the time the
Service Agreement is executed, or, for existing contracts, at the time the Stipulation and
Agreement in Docket No. RP04-523 becomes effective, for the reservation charge credit to
apply at SHIPPER's primary Receipt Point(s) instead of its primary Delivery Point(s), in the
event COMPANY is unable to receive at such Receipt Point(s) at least 98% of the volume of gas
to which SHIPPER has firm entitlements on any day. Such credit shall be applied to the
lesser of (i) the applicable MDRQ; (ii) an average of the immediately previous 7 day's daily
quantities allocated to the primary firm service at the Receipt Point(s),