Southern Natural Gas Company

Seventh Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 01/09/2009, Docket: RP09-147-000, Status: Effective

Tenth Revised Sheet No. 142 Tenth Revised Sheet No. 142

Superseding: Ninth Revised Sheet No. 142

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

Section 14.1(d) (continued)

 

 

 

In the event either of these publications or specific postings contained

therein is discontinued, COMPANY will revise this Section 14.1(d) to

substitute another price index generally accepted in the natural gas

industry. Until COMPANY receives approval from the Commission

to use such substitute index, COMPANY will continue to calculate the

Index Price each month based on the remaining index.

 

(e) After each month, COMPANY will net all of the actual imbalances

accrued during the month under each agreement subject to netting under

Section 14.1(a) above to determine a net system imbalance for the

month. If the net system imbalance does not exceed either 200,000

Dth of gas owed to COMPANY or 100,000 Dth of gas owed to SHIPPERS, the

price to be paid by COMPANY or SHIPPER hereunder for each SHIPPER'S

respective Net Monthly Imbalance shall be 100% of the Index Price in

effect for that month regardless of each SHIPPER'S Net Imbalance

Percentage or whether SHIPPER has incurred a Minority Imbalance or a

Majority Imbalance.

 

(f) (1) On or before the ninth business day following the end of a

month, COMPANY shall post on SoNet Premier the Net Monthly Imbalance

accrued by a SHIPPER hereunder during the previous month

provided that said SHIPPER notifies COMPANY'S Customer Services

Department via SoNet Premier or by facsimile machine no later than the

last day of the Trading Period set forth below that SHIPPER

wants to have its Net Monthly Imbalance posted. SHIPPER may

also request within the same time period as provided above,

COMPANY to post only its imbalance position; i.e., that

SHIPPER is short or long during the month, to facilitate

trading. Notices to post imbalances received by COMPANY on or

before 11:45 a.m. shall be effective no later than 8:00 a.m.

CCT the next business day. COMPANY shall not be required to

post zero imbalances. SHIPPER may grant to COMPANY in writing

the right to post its Net Monthly Imbalance or imbalance

position on a standing basis; provided however, that if

SHIPPER decides it does not wish COMPANY to post its imbalance

or position for any month after it has issued a standing order

to COMPANY, then SHIPPER must advise COMPANY at least three

(3) days after the end of the month not to make the posting

and SHIPPER must reinstitute the standing order in writing

once it has revoked the standing order as provided above.

SHIPPERS shall have seventeen (17) business days after the end

of the month (Trading Period) within which to trade Net

Monthly Imbalances. Imbalance trades can only be withdrawn by

the SHIPPER initiating the trade prior to confirmation of the

trade by the confirming SHIPPER. Both SHIPPERS that agree to

trade all or part of their Net Monthly Imbalances must notify

COMPANY'S Customer Services Department in writing, by e-mail

or electronically via SoNet Premier on the form provided by

COMPANY by 5:00 p.m. Central Time on the last day of the

Trading Period ("Imbalance Trade Confirmation"). Each

Imbalance Trade Confirmation shall include the name of