Tennessee Gas Pipeline Company

FIFTH REVISED VOLUME NO. 1

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Effective Date: 10/01/2003, Docket: RP00-477-005, Status: Effective

Eighth Revised Sheet No. 207 Eighth Revised Sheet No. 207 : Effective

Superseding: Sixth Revised Sheet No. 207

 

 

Schedule LMS - MA

Load Management Service - Market Area (continued)

 

 

For imbalance trades on an Incremental Lateral as defined in Article

XVIII, Section 2 of the General Terms and Conditions, the

transportation charges as determined above will be based on the point

of interconnection between the Incremental Lateral and Transporter's

mainline to determine the zone for the lateral imbalance. In

addition, the transportation charges will be increased by the

applicable maximum commodity rate (including fuel and surcharges)

under Rate Schedule FT-IL.

 

(c) Monthly Imbalances

 

(i) A Balancing Party's monthly imbalance shall be the net cumulative

total of daily variances from all points covered by the Delivery

Point Balancing Agreement adjusted for make-up quantities and

imbalance trades.

 

(ii) Unless Transporter and Delivery Point Operator mutually agree to

correct the imbalance in kind on a nondiscriminatory basis, each

month Transporter and Delivery Point Operator shall "cash out" the

actual monthly imbalance. Transporter shall divide the lesser of

the monthly imbalance based on Operational Data or the actual

monthly imbalance by the total scheduled volumes for the month for

all applicable points, then multiply by 100, to determine the %

monthly imbalance.

 

(iii)If the monthly imbalance is due to an excess of scheduled quantities

relative to actual deliveries, then the monthly imbalance shall be

considered a "positive" imbalance and Balancing Party shall sell to

Transporter, and Transporter shall buy from the Balancing Party, in

accordance with the formula listed in Section 7(c)(vii) below. If

the monthly imbalance is due to an excess of actual deliveries

relative to scheduled quantities, then the monthly imbalance shall be

considered a "negative" imbalance and Transporter shall sell to the

Balancing Party, and Balancing Party shall buy from Transporter, in

accordance with the formula listed in Section 7(c)(vii) below. In

addition to the cash out of the monthly imbalance: (A) Balancing

Party shall pay to Transporter the "Transportation Component" if

total actual quantities delivered are greater than scheduled

quantities, or (B) Transporter shall pay to the Balancing Party the

"Transportation Component" if total actual quantities delivered are

less than scheduled quantities. The "Transportation Component" shall

be equal to the commodity rate (including fuel and surcharges) under

Rate Schedule FT-A, FT-G or FT-GS, as applicable, for transportation

from Zone 1 to the zone where the Delivery Point is located

multiplied by the monthly imbalance. For Balancing Parties on an

Incremental Lateral as defined in Article XVIII, Section 2 of the

General Terms and Conditions, the Transportation Component shall be

equal to the sum of (1) the FT-A commodity rate (including fuel and

surcharges) for transportation from Zone 1 to the point of

interconnection between the Incremental Lateral and Transporter's

mainline and (2) the applicable maximum commodity rate (including

fuel and surcharges) under Rate Schedule FT-IL.