Vector Pipeline L.P.

Original Volume No. 1

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Effective Date: 06/01/2005, Docket: RP05-295-000, Status: Effective

Third Revised Sheet No. 143 Third Revised Sheet No. 143 : Effective

Superseding: Second Revised Sheet No. 143

(iv) the quantity applicable to the Bid, which must be no

less than the minimum specified in the Release

Request;

 

(v) the term for which the Bidder wishes to obtain the

transportation rights, which must be the same as the

term specified in the Release Request, or be no less

than any minimum term specified in the Release

Request; and

 

(vi) whether the Bid is contingent and, if so, the basis

for the contingency.

 

All bids must specify the receipt and delivery points in

accordance with the Release Request. The receipt and

delivery points awarded a Replacement Shipper in accordance

with this section shall be specified on its Transportation

Agreement.

 

6. Determination of Successful Bidder

 

Transporter shall determine the successful bidder based on the

best bid first in accordance with the following procedures:

 

(a) If the Release Request specifies an economic value standard

for the award of released transportation rights, Transporter

shall apply such standard, including any designated tie

breaking procedure if necessary to determine the successful

Bidder. Transporter's application of Releasor's economic

value standard shall result in as many successful bidders as

mandated thereby.

 

(b) Pursuant to NAESB Standard 5.3.3, the Transporter shall

evaluate the Bids and award the capacity based on the

following procedures where all Bids utilize the same rate

form.

 

(i) If the present value method is chosen in the Release

Request, Transporter shall determine the bid or bids

having the highest present value (PV) based on the

following formula:

 

PV = (Bid Rate) x (Bid Quantity) x 1-(1+i)-n

----------------

i

 

where

 

Bid Rate = for firm releases, the reservation charge

which the Bidder has agreed to pay; or, for

interruptible releases, the usage charge which the

Bidder has agreed to pay.