Tennessee Gas Pipeline Company
FIFTH REVISED VOLUME NO. 1
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Effective Date: 03/05/2009, Docket: RP09-339-000, Status: Effective
Original Sheet No. 405F Original Sheet No. 405F
GENERAL TERMS AND CONDITIONS (continued)
5.11 Interim Capacity
If Transporter agrees to a later start date for firm service pursuant to Section
5.10 and Transporter enters into a firm service agreement pursuant to this
Section 5 for service one year or more in the future, then Transporter may sell
the capacity for the interim period prior to the commencement date of the future
service agreement ("interim capacity") without right of first refusal, subject
to the following conditions:
(a) The future capacity must have been sold through an open season bidding
process permitting bids for capacity for service to start immediately or
anytime in the future;
(b) The bids must have been evaluated on a net present value basis; and
(c) The future capacity must have been awarded to the Shipper providing the
highest net present value bid.
Any interim capacity as described in this Section 5.11 shall be made available
for transportation service pursuant to these General Terms and Conditions on a
limited-term basis up to the commencement date of the future service agreement.
For such limited-term service agreements, Transporter reserves the right to
limit any extension rights provided in the service agreement and pursuant to
Article III, Section 10.4 commensurate with the commencement date of the future
service agreement. Transporter will indicate in any open season posting of the
interim capacity any limitations on extension rights that will apply to such
limited-term transportation service.