Tennessee Gas Pipeline Company
FIFTH REVISED VOLUME NO. 1
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Effective Date: 03/13/2006, Docket: RP06-219-000, Status: Effective
First Revised Sheet No. 681 First Revised Sheet No. 681 : Effective
Superseding: Substitute Original Sheet No. 681
GAS TRANSPORTATION AGREEMENT (continued)
(For Use Under NET-284 Rate Schedule)
ARTICLE V
QUALITY SPECIFICATIONS AND STANDARDS FOR MEASUREMENT
For all gas received, transported and delivered hereunder the Parties agree to the
Quality Specifications and Standards for Measurement as specified in the General Terms
and Conditions of Transporter's FERC Gas Tariff Volume No. 1. To the extent that no new
measurement facilities are installed to provide service hereunder, measurement operations
will continue in the manner in which they have previously been handled. In the event
that such facilities are not operated by Transporter or a downstream pipeline, then
responsibility for operations shall be deemed to be Shipper's.
ARTICLE VI
RATES AND CHARGES FOR GAS TRANSPORTATION
6.1 TRANSPORTATION RATES - Commencing upon the effective date hereof, the rates,
charges, and surcharges to be paid by Shipper to Transporter for the
transportation service provided herein shall be in accordance with Transporter's
Rate Schedule NET-284 and the General Terms and Conditions of Transporter's FERC
Gas Tariff. Except as provided to the contrary in any written or electronic
agreement(s) between Transporter and Shipper in effect during the term of this
Agreement, Shipper shall pay Transporter the applicable maximum rate(s) and all
other applicable charges and surcharges specified in the Summary of Rates in
Transporter's FERC Gas Tariff and in this Rate Schedule. Transporter and
Shipper may agree that a specific discounted rate will apply only to certain
volumes under the agreement. Transporter and Shipper may agree that a specified
discounted rate will apply only to specified volumes (MDQ, TQ, commodity
volumes, Extended Receipt and Delivery Service volumes, or Authorized Overrun
volumes) under the Agreement; that a specified discounted rate will apply only
if specified volumes are achieved (with the maximum rates applicable to volumes
above the specified volumes or to all volumes if the specified volumes are never
achieved); that a specified discounted rate will apply only during specified
periods of the year or over a specifically defined period of time; and/or that a
specified discounted rate will apply only to specified points, zones, markets or
other defined geographical area. Transporter and Shipper may agree to a
specified discounted rate pursuant to the provisions of this Section 6.1
provided that the discounted rate is between the applicable maximum and minimum
rates for this service.
In addition, a discount agreement may include a provision that if one rate
component which was at or below the applicable Maximum Rate at the time the
discount agreement was executed subsequently exceeds the applicable Maximum Rate
due to a change in Transporter's Maximum Rates so that such rate component must be
adjusted downward to equal the new applicable Maximum Rate, then other rate
components may be adjusted upward to achieve the agreed overall rate, as long as
none of the resulting rate components exceed the Maximum Rate applicable to that
rate component. Such changes to rate components shall be applied prospectively,
commencing with the date a Commission Order accepts revised tariff sheet rates.
However, nothing contained herein shall be construed to alter a refund obligation
under applicable law for any period during which rates that had been charged under
a discount agreement exceeded rates which ultimately are found to be just and
reasonable.
6.2 INCIDENTAL CHARGES - Shipper agrees to reimburse Transporter for any filing or
similar fees, which have not been previously paid for by Shipper, which
Transporter incurs in rendering service hereunder.