Texas Gas Transmission, LLC

Third Revised Volume No. 1

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Effective Date: 09/15/2008, Docket: RP08-392-003, Status: Effective

Second Substitute Original Sheet No. 800 Second Substitute Original Sheet No. 800

 

RATE SCHEDULE

FSS

Firm Storage Service

 

 

1. Availability

 

This Rate Schedule is available for the purchase of storage service from the Pipeline for

any Customer subject to the following limitations:

 

(a) Pipeline has determined that it has sufficient available and uncommitted storage

capacity to perform service requested by Customer; and

 

(b) Pipeline and Customer have executed an Agreement under this Rate Schedule; and

 

(c) Pipeline and Customer have executed applicable transportation agreements to

enable the delivery of gas to Pipeline's storage facilities and the redelivery of

gas to Customer;

 

(d) Customer has met the credit requirements of Section 5 of the General Terms and

Conditions; and

 

(e) Customer has the option to provide its own gas for storage or may purchase such

gas from the Pipeline at the greater of a negotiated market price or Pipeline's

book cost of gas, unless the available storage capacity to be used to provide

service to Customer is filled, in whole or in part, with working gas owned by

Pipeline, in which case either the Customer or another buyer must agree to

purchase such working gas inventory from Pipeline at the greater of a negotiated

market price or Pipeline's book cost of such gas. Such purchase must be made

prior to the commencement of service under this rate schedule. The book cost of

such gas is defined as the unit cost of working gas as reflected in FERC Account

117.3 on the Pipeline's books. Pipeline will be required, however, to allow such

purchase of gas in place only if inventory levels are sufficient to, in

Pipeline's reasonable judgement, permit such purchase without adversely affecting

the storage deliverability required to perform any of Pipeline's other services

including no-notice service for NNS, NNL and SGT customers; Pipeline will sell

such gas unless such a sale would hamper its ability to provide no-notice service

or to balance Pipeline's system.

 

2. Applicability & Character of Service

 

The service provided hereunder provides for the firm receipt and injection of Customer's

gas into storage during the Summer Season and the subsequent firm withdrawal and delivery

of the gas during the Winter Season. The service is a contract storage service which

requires the Customer to schedule and nominate quantities to be injected into or

withdrawn from storage. Withdrawals during the Summer Season and injections during the

Winter Season will be permitted on an interruptible basis, subject to Pipeline's

discretion.

 

3. Rates and Charges

 

The applicable rates per MMBtu under this Rate Schedule for firm storage service are set

forth on currently effective Sheet No. 33 of this tariff and these rates are incorporated

herein by reference. The amounts which shall be paid by Customer to Pipeline for each

Month during the period of service hereunder shall include the sum of the amounts due

under the subsections of this Section 3 and charges under Section 4 that are applicable to

Customer for such Month.