Viking Gas Transmission Company

Original Volume No. 1

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Effective Date: 11/01/1993, Docket: RS92- 52-001, Status: Effective

Original Sheet No. 38 Original Sheet No. 38 : Superseded

 

 

 

 

RATE SCHEDULE LMS (Continued)

 

(c) If, on any day, Transporter determines that the capacity of its system, or any portion

thereof, including the points at which gas is tendered for transportation, is

insufficient to satisfy all requirements for Daily Demand Service, or if any of the

conditions set forth in subsection (a) above are not satisfied in full, Transporter

shall reduce the Daily Demand Service available to each shipper pro rata on the basis of

the Daily Demand Quantity of such Shipper; provided, however, that if the amount of

Daily Demand Service is reduced due to the failure of a Shipper to comply with an

Operational Flow Order, Transporter shall, to the extent practicable, first reduce the

Daily Demand Service available to such Shipper prior to reducing the Daily Demand

Service available to other Shippers. Penalty revenues received by Transporter from

Shippers who fail to comply with an OFO will be used to compensate Shippers who comply

with the OFO and do not receive their scheduled quantities as a result of the

unauthorized actions of the non-complying Shippers; provided, however, that in no event

shall the compensation paid to Shippers who comply with OFOs exceed the penalty revenues

actually collected by Transporter from non-complying Shippers.

 

(d) Nothing in (a) above shall limit the ability of a Shipper to contract with any gas

supplier it desires, provided that Shipper agrees to the appointment of a Shipper's

designee in accordance with (a) (iii) above.

 

8. Disposition of Excess Gas

 

Under the cash-out procedures of Section 6 of this Rate Schedule and in order to alleviate

conditions that threaten the integrity of its system, Transporter may periodically acquire

quantities of gas that are in excess of system needs. Transporter shall have the right to

make interruptible sales of such excess gas from time to time at mainline receipt points on

Transporter's system pursuant to the terms of the blanket certificate of public convenience

and necessity granted to Transporter pursuant to 18 C.F.R. Section 284.284(6) and Order No.

636. Such sales shall be made under rates, terms and conditions mutually agreed upon between

Transporter and the purchasers; provided, however, that all such sales shall be fully

interruptible and shall be curtailed pro rata without regard to transportation arrangements

made by purchasers.