Texas Gas Transmission, LLC
Third Revised Volume No. 1
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Effective Date: 09/15/2008, Docket: RP08-392-003, Status: Effective
Substitute Original Sheet No. 607 Substitute Original Sheet No. 607
RATE SCHEDULE SNS (cont'd)
storage, so that Texas Gas can determine the extent to which it can make such
injections and adjust its operations accordingly.
13. Shoulder Month Limitations
Although Customer's Summer Month Contract Demand shall be available during any day of
a Shoulder Month, it shall only be available for a maximum of fifteen (15) gas days
during any shoulder month. In the event Texas Gas is unable to provide both Shoulder
Month service under Rate Schedule SNS and Shoulder Month service pursuant to the
Shoulder Month Flexibility provisions of either Section 12 of Rate Schedule NNS,
Section 12 of Rate Schedule NNL, or Section 12 of Rate Schedule SGT, or Section 12 of
Rate Schedule SGL, then service pursuant to the Shoulder Month Flexibility provisions
of Rate Schedules NNS, NNL, SGT, and SGL shall take priority over shoulder month
service under Rate Schedule SNS.
14. Storage Inventory Tests
Inventory verification tests of Texas Gas' storage fields will be conducted on a
semiannual basis. These tests require the temporary suspension of individual storage
field activities (injections and withdrawals) for a period of approximately two
weeks. If conditions will not permit the injection or withdrawal of the full
Unnominated Daily Quantity, Texas Gas may temporarily adjust the limit and allow
make-up quantities on succeeding days. Texas Gas will provide at least 45 days prior
notice in regard to the scheduling of these shut-in periods.
15. Supply Lateral Capacity
The provisions of Section 8.7 of the General Terms and Conditions of this tariff,
Supply Lateral Capacity, shall apply to SNS service.
16. Hourly Deliveries
Texas Gas shall not be obligated to deliver to Customer at the primary point of
delivery in any hour more than one-sixteenth of Customer's Contract Demand, subject
to Section 18.1(l) of the General Terms and Conditions of this tariff.
Notwithstanding the foregoing, hourly overruns may be authorized pursuant to Section
17. Penalty for Failure to Close Maximum Unnominated Quantity Account
In the event Customer fails to deliver in kind to Texas Gas any portion of its Maximum
Unnominated Quantity it has borrowed from Texas Gas prior to the end of the Summer Season
and/or termination of its contract for service under this Rate Schedule, if Customer has
not contracted for a full season of service, Customer shall, within 10 days of invoice
from Texas Gas, pay Texas Gas an amount equal to the greater of 200% of Texas Gas' book
value of its working gas in storage or 200% of the highest monthly average index price
calculated pursuant to Section 14 of the General Terms and Conditions during the past
twelve month period. Likewise, if Customer fails to remove from storage any portion of
its Maximum Unnominated Quantity it has injected into storage prior to the end of the
Summer Season and/or termination of its contract for service under this Rate Schedule,
Customer shall forfeit such remaining gas to Texas Gas.