Southern Natural Gas Company

Seventh Revised Volume No. 1

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

Third Revised Sheet No. 212I.06 Third Revised Sheet No. 212I.06

Superseding: Second Revised Sheet No. 212I.06

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

41. OPERATIONAL FLOW ORDERS (OFOs)

 

 

41.3 Daily Receipts/Deliveries Exceed Capacity Due To Imbalances

 

(a) If COMPANY is experiencing capacity constraints at certain

Receipt or Delivery Points or operational difficulties because

of the variance between SHIPPERS' scheduled nominations and

actual receipts and/or deliveries for SHIPPERS' accounts or

because the gas quality at the Receipt Point is not in

conformance with the terms of Section 3.1(g) of these General

Terms and Conditions, COMPANY will give SHIPPERS twenty-four

(24) hours' notice prior to the start of the gas day to which

the notice applies that it will assess the scheduling penalties

set forth below in Sections 41.3(b) and/or 41.3(c). In such

notice, COMPANY shall specify the direction in which the

variance is prohibited as a result of the operational

difficulty. It is provided, however that variances between

SHIPPER'S nominations and actual receipts and/or deliveries

which are attributable to no-notice service under Rate Schedule

FT-NN shall not be subject to penalty under this Section 41.3.

The notice shall list all Receipt and/or Delivery Points where

the scheduling penalties will be assessed and will remain in

effect until SHIPPERS are notified to the contrary.

 

(b) If during any day of the month SHIPPER'S total scheduled

quantities at a Receipt Point set forth in a notice given under

(a) above vary by more than four (4) percent of the actual daily

quantities received by COMPANY for SHIPPER'S account at the

Receipt Point on that day, and such variance is in the direction

prohibited in such notice, then a scheduling penalty shall be

assessed; provided, however, that said scheduling penalty shall

not be assessed if said variance occurs solely because of

COMPANY'S inability to accept gas delivered to COMPANY for

SHIPPER'S account and such inability to accept gas is not

because the quality of the gas at the Receipt Point fails to

meet the standards set forth in Section 3 of these General Terms

and Conditions.