Tennessee Gas Pipeline Company

FIFTH REVISED VOLUME NO. 1

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Effective Date: 10/01/2009, Docket: RP09-998-000, Status: Effective

Thirteenth Revised Sheet No. 317 Thirteenth Revised Sheet No. 317

Superseding: Twelfth Revised Sheet No. 317

 

GENERAL TERMS AND CONDITIONS (continued)

 

 

(h) Authorized Overrun quantities under firm storage services in excess of

Shipper's MDIQ, but below Shipper's MDWQ, according to the rates

applicable to the service point for which quantities are scheduled under

the applicable firm storage agreement(s), such that Shippers who pay

higher rates are curtailed after those who pay lower rates;

 

(i) Authorized Overrun quantities under firm storage and firm transportation

services in excess of Shipper's MDQ according to the rates applicable to

the route (or service point) for which quantities are scheduled under the

applicable firm storage or firm transportation agreement(s), such that

Shippers who pay higher rates are curtailed after those who pay lower

rates;

 

(j) Interruptible transportation and interruptible storage quantities

according to the rates applicable to the route (or service point) for

which quantities are scheduled under an interruptible transportation or

storage service agreement, such that Shippers who pay higher rates are

curtailed after those who pay lower rates;

 

(k) Service under Rate Schedule IT-X according to the rates applicable to the

route (or service point) for which service is scheduled under an IT-X

service agreement, such that Shippers who pay higher rates are curtailed

after those who pay lower rates; and

 

(l) Service under Rate Schedule PAL according to whether the Shipper elects

the Daily Rate or Term Rate PAL services, with the higher priority given

to the Term Rate PAL Agreements such that Term Rate PAL Agreements are

curtailed after all Daily Rate PAL Agreements have been curtailed. Term

Rate PAL services according to the applicable rates, such that Shippers

who pay higher rates are curtailed after those who pay lower rates. Daily

Rate PAL services according to the rates applicable to the Point of

Transaction for which quantities are scheduled under a Daily Rate PAL

Service Agreement, such that Shippers who pay higher rates are curtailed

after those who pay lower rates. PAL Agreements will be curtailed on a

pro rata basis among Shippers paying the same rates for PAL services.

 

PTR Transportation Agreements with suppliers which provide for the transportation

of PTR quantities shall be accorded the same priority for purposes of this

Section 5 as the Transportation Agreement which provides the transportation of

gas that is commingled with such PTR quantities.

 

For purposes of applying the above priorities, any shipper paying a rate above

the maximum applicable rate for the shipper's service shall be deemed to be

paying the maximum applicable rate.

 

6. Allocation of Limited Capacity: If, on any day, Transporter determines that the

capacity of its system, or any portion thereof, including the points at which gas

is tendered for transportation, is insufficient to serve all service requirements

which are otherwise scheduled to receive service on such day, then any capacity

which requires allocation shall be allocated in a manner which results in

curtailment of capacity, to zero if necessary, and then sequentially in reverse

order to the scheduling provided for in Section 5 of this Article III. If

capacity must be allocated within the services included in (a), (b), (c), (d),

and (f) of Section 5, Transporter's firm storage and firm transportation

customers will be curtailed on a pro rata basis based upon the quantities of gas

scheduled by such customers and/or in accordance with the supply/market rankings

provided pursuant to Shipper's Customer Nomination Form. If capacity must be

allocated