Trans-Union Interstate Pipeline, L.P.
Original Volume No. 1
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Effective Date: 02/07/2006, Docket: RP06-217-000, Status: Effective
Original Sheet No. 138 Original Sheet No. 138 : Effective
Transportation Agreement which is at the maximum recourse rate
for a term of
twelve (12) or more consecutive months of service contains no
automatic
extension provision, Transporter at its option shall either
accept Shipper's
requested extension period, or shall require Shipper to exercise
its right of
first refusal (ROFR) by making the capacity under the Firm
Transportation
Agreement available in accordance with the following procedures.
Transporter
shall post the capacity for bidding on its Web Site no later than
280 days
prior to the expiration of Shipper's Firm Transportation
Agreement. The
capacity will remain posted on the Web Site for a minimum of 20
days ("ROFR
Bidding Period") with such posting containing the following
information with
respect to the capacity:
(a) Daily and other applicable quantity limitations of capacity
available;
(b) Receipt and Delivery Points;
(c) Maximum reservation charge;
(d) Any applicable restrictions; and
(e) The last day of the ROFR Bidding Period.
Transporter may require bidders to insure that offers are bona
fide by
providing financial assurances satisfactory to Transporter.
A Shipper's ROFR rights apply only when the Shipper is seeking to
contract for
its entire geographic historical Contracted Capacity, however a
Shipper may
elect to retain a portion of its Contracted Capacity subject to
ROFR rights,
in which case Transporter's pregranted abandonment authority
would apply to
the remainder of the service.
29.2 Upon conclusion of the ROFR Bidding Period, Transporter
shall evaluate
the bids in accordance with the procedures set forth in section
26.5(e),
provided that the term used for purposes of the formula will be
the lesser of
the term proposed by the bidder or five years; and provided
further that any
bid rate higher than the maximum applicable recourse rate shall
be deemed to
be equal to the maximum applicable recourse rate. Transporter
shall not be
required to accept any bid at less than Transporter's maximum
applicable
recourse rate.
29.3 If Transporter receives no bids, or if Transporter
receives no bids at
its maximum applicable recourse rate and Transporter determines
not to accept
any bids below the maximum applicable recourse rate, Transporter
shall notify
Shipper of the bid having the highest value to Transporter
("Highest Bid"), or
that no bids were received. If Transporter receives a bid at its
maximum
applicable recourse rate, or if it accepts any bid below the
maximum
applicable recourse rate, Transporter shall, within five days of
the close of
the ROFR Bidding