Trunkline LNG Company, LLC
Second Revised Volume No. 1-A
Contents / Previous / Next / Main Tariff Index
Effective Date: 08/01/2003, Docket: RP03-535-000, Status: Effective
Original Sheet No. 73 Original Sheet No. 73 : Effective
GENERAL TERMS AND CONDITIONS
(Continued)
3. NOMINATION AND SCHEDULING OF SERVICES (Continued)
3.8 Predetermined Allocations
(A) For all Regasified LNG to be delivered to Shipper,
Shipper shall cause the operating party of facilities
immediately downstream of TLNG's Point of Delivery to
provide a predetermined allocation methodology to be
used in allocating said Gas through the Point of
Delivery. Parties may agree upon one of the
following allocation methodologies: ranked, pro
rata, percentage, swing and operator provided value.
In the event the parties cannot agree on an
allocation methodology, pro rata based on confirmed
nominations will be used as the default method. The
party responsible for custody transfer (the party
performing the measurement function) must provide the
allocation. TLNG will accept such allocation if
operationally and administratively feasible.
(B) The allocation methodology shall be provided to TLNG
in writing before the start of the Gas Day that Gas
is to be delivered and shall prescribe the
methodology for all Service Agreements for which
Quantities have been scheduled at the Point of
Delivery.
(C) In the event no methodology acceptable to TLNG is
provided, TLNG shall allocate the actual Quantities
delivered by TLNG among Shippers based on the ratio
of each scheduled Quantity to the total scheduled
Quantities of Gas at the Point of Delivery applied to
the total Quantity of Regasified LNG actually
delivered by TLNG.
(D) Changes to the daily allocation methodology must be
submitted in writing and confirmed in advance of the
effective date and shall be effective prospectively.
No retroactive reallocation of any transaction shall
be permitted.
(E) TLNG shall not have any liability to any Shipper as a
result of TLNG's reliance on any allocation
methodology described herein, and Shipper shall
indemnify TLNG from and against any and all losses,
damages, expenses, claims, suits, actions and
proceedings whatsoever threatened, incurred or
initiated as a result of TLNG's reliance on such
allocation methodology, except to the extent such
loss, damage, expense, claim, suit, action or
proceeding is the result of TLNG's negligence, bad
faith or willful misconduct.