Transcontinental Gas Pipe Line Company, LLC

Fourth Revised Volume No. 1

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Effective Date: 10/22/2009, Docket: RP09-1055-000, Status: Effective

First Revised Sheet No. 477 First Revised Sheet No. 477

Superseding: Original Sheet No. 477

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

 

52. OPERATIONAL FLOW ORDERS (Continued)

 

52.3 OFO Notices, Contents and Procedures (Continued)

 

(h) Upon termination of an OFO, Seller will post on 1Line relevant information

specific to the individual situation regarding the issuance and lifting of that

particular OFO as soon as it is available.

 

52.4 Unauthorized OFO Imbalances

 

(a) Imbalance OFO

Any level of daily imbalance by a Buyer to which Seller has directed an Imbalance

OFO in excess of an allowable variation of 5% or 1,000 dth (whichever is greater)

shall constitute an unauthorized OFO Imbalance.

 

(b) Scheduling OFO

Any level of scheduling variation by a Buyer to which Seller has directed a

Scheduling OFO in excess of an allowable variation of 5% or 1,000 dth (whichever

is greater) shall constitute an unauthorized OFO Imbalance.

 

52.5 OFO Penalties and Reservation

 

In addition to any and all other charges due Seller, Buyer shall pay Seller for all

daily unauthorized OFO Imbalances a penalty equal to the higher of (i) $50 per dt or

(ii) three times the highest weekly Reference Spot Price for the current month (as set

forth in Section 37.1(a) of the General Terms and Conditions) applicable to the

zone(s) in which the OFO imbalance occurs. The payment of a penalty for an

unauthorized OFO Imbalance shall under no circumstances be considered as giving Buyer

the right to violate OFOs nor shall such payment be considered as a substitute for any

other remedy available to Seller or any other Buyer against the offending Buyer for

failure to comply with an OFO.

 

52.6 Disposition of OFO Penalties

 

All OFO penalties collected by Seller shall be distributed pursuant to Section 54 of

the General Terms and Conditions.

 

52.7 Specific FT Service Agreement OFO

 

In order to maintain the integrity of firm service on Seller's Leidy line system, it

may be necessary for Seller to issue an OFO to Consolidated Gas Transmission

Corporation (CNG) (and its successors or assigns) under its Rate Schedule FT service

agreement (formerly Rate Schedule X-56) to require CNG (and its successors or assigns)

to take maximum firm contract deliveries any day during the period November 1 through

March 31 at Seller's point of interconnection with CNG at Leidy, Pennsylvania.

 

53. NEGOTIATED RATES

 

53.1 Availability. Seller and Buyer may mutually agree to negotiate rates under any Part

284 Rate Schedule that expressly provides for a negotiated rate and specifically

references this Section 53.

 

53.2 Definition. Buyer and Seller may mutually agree to a negotiated rate, which rate

shall be less than, equal to, or greater than Seller's maximum and/or minimum rates,

may be based upon a rate design other than Straight Fixed Variable (SFV), and may

include a minimum volume.