Tuscarora Gas Transmission Company

First Revised Volume No. 1

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Effective Date: 07/01/2009, Docket: RP09-8-002, Status: Effective

Substitute Original Sheet No. 182 Substitute Original Sheet No. 182

Superseding: Original Sheet No. 182

 

GENERAL TERMS AND CONDITIONS

 

 

32. NEGOTIATED RATES (Continued)

 

32.2 Filing Requirement. Unless Transporter executes and files a non-

conforming agreement, Transporter will submit to the Commission on or

before the commencement of service under a Negotiated Rate Contract a

tariff sheet stating the exact legal name of the Shipper, Negotiated

Rate, the rate schedule, the receipt and delivery points, the contract

quantities and, where applicable, the Negotiated Rate Formula

underlying a Negotiated Rate for any Negotiated Rate Agreement. The

filing will contain a provision that the Negotiated Rate Agreement

does not deviate in any material respect from the Form of Agreement in

the tariff for the applicable rate schedule.

 

32.3 Rate Treatment. Transporter will not seek in future general rate

proceedings discount-type adjustments to demand charge billing

determinants for capacity converted from Recourse Rate Agreements to

Negotiated Rate Agreements, unless the Recourse Rate has been

discounted. In those situations where Transporter had granted a

market-justified discount to the Recourse Rate and subsequently

converted the service agreement to a Negotiated Rate Agreement,

Transporter may seek a discount-type adjustment. Such adjustment

would be based upon the greater of: (a) the Negotiated Rate revenue

received; or (b) the discounted tariff rate revenues which otherwise

would have been received.

 

32.4 Limitations. This Section 32 does not authorize Transporter to

negotiate terms and conditions of service.

 

32.5 Capacity Release. Negotiated Rates do not apply as the price cap for

capacity release transactions greater than one year.

 

32.6 Accounting Treatment. Transporter shall maintain separate records for

all revenues associated with Negotiated Rate transactions.

Transactions related to Negotiated Rate Agreements which originated as

a pre-existing discounted service and were subsequently converted will

be recorded separately from those originating as Negotiated Rate

Agreements. Transporter shall record each volume transported, billing

determinants, rate component, surcharge, and the revenue associated

with its Negotiated Rates so that this information can be filed,

separately identified, and separately totaled, as part of and in the

format of Statements G, I, and J in Transporter's next general rate

change application.