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. 177 Original Sheet No. 177

 

GENERAL TERMS AND CONDITIONS

 

 

30. DISCOUNTS

 

30.1 In the event that Tuscarora agrees to discount its maximum rates

under Rate Schedules FT, LFS, IT or PL, Tuscarora and Shipper

may agree to the types of discounts specified herein without

such discounts constituting a material deviation from

Tuscarora's pro forma service agreement. Tuscarora and Shipper

may agree that a specified discounted rate will apply:

 

(i) only to specified quantities under the service agreement;

 

(ii) only if specified quantities are achieved or only with

respect to quantities below a specified level;

 

(iii)only during specified periods of the year or for a

specifically defined period;

 

(iv) only to specified points, combination of points, markets,

transportation paths or other defined geographic area(s);

 

(v) only in a specified relationship to the quantities actually

delivered (i.e., that the reservation charge will be

adjusted in a specified relationship to quantities actually

delivered). Notwithstanding the foregoing, no discounted

rate shall be less than the applicable minimum rate; and/or

 

(vi) a formula including, but not limited to, published index

prices for specific receipt and/or delivery points or other

agreed upon published pricing reference points for price

determination (such discounted rate may be based upon the

differential between published index prices or arrived at

by formula). Such discounted rate: (1) shall not change the

underlying rate design; (2) shall not include any minimum

bill or minimum take provision that has the effect of

guaranteeing revenue; and (3) shall, in each service

agreement entered into pursuant to this Section 30.1(vi),

define the rate component(s) to be discounted.

 

Notwithstanding the foregoing, the discounted rate shall be

between the maximum rate and the minimum rate applicable to the

service provided.