Tuscarora Gas Transmission Company

First Revised Volume No. 1

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Effective Date: 04/01/2009, Docket: RP09-08-000, Status: Effective

Original Sheet No. 163 Original Sheet No. 163

 

GENERAL TERMS AND CONDITIONS

 

27. PREGRANTED ABANDONMENT & THE RIGHT OF FIRST REFUSAL (Continued)

 

27.5 Right of First Refusal.

 

(a) Existing Shipper's Right of First Refusal. (continued)

 

Unless Tuscarora and Shipper expressly agree otherwise in Shipper's

service agreement, a Shipper who has entered into an interim service

agreement pursuant to Section 3.2(a) of these General Terms and

Conditions may not elect to extend such interim service agreement

pursuant to this Section 27.5.

 

A Shipper paying a discounted rate or a negotiated rate will not have

the Right of First Refusal, unless otherwise agreed to in writing by

Transporter. Transporter shall offer Right of First Refusal rights on

a not unduly discriminatory basis.

 

(b) Avoidance of Right of First Refusal. Shipper can extend the term of

its Service Agreement at any time and not be subject to the Right of

First Refusal process outlined above if prior to the Notice of Election

described in 27.5(c), Shipper and Transporter mutually agree to amend

the terms of the existing Service Agreement which shall include an

extension of the term beyond the termination date of the existing

Service Agreement. Tuscarora will mutually agree to a contract

extension term under this subsection on a not unduly discriminatory

basis.

 

(c) Existing Shipper's Notice of Election to Exercise its Right of First

Refusal. Any Existing Shipper that elects to exercise its Right of

First Refusal upon termination of a Transportation Service Agreement

shall provide Transporter with a Notice of Election in writing or via

Transporter's Internet website not later than 12 months prior to the

expiration of the term of the Transportation Service Agreement.

However, in the event that an expansion project is proposed that would

utilize capacity on Transporter's existing facilities, the sizing of

which project could be affected by Shipper's plans regarding the

continuation of service, Transporter will have the right to notify

Shipper that Shipper's election to terminate or not to terminate must

be provided up to, but no more than, thirty-six (36) months prior to

termination of Shipper's service agreement. Transporter shall not

require a response from Shipper in less than sixty (60) days from the

date of Transporter's notice. Such response shall be Shipper's

notification to Transporter of either 1) its intent to retain its

option to exercise its ROFR pursuant to this Section 27.5 or 2) its

binding commitment to terminate its Service Agreement.