Ozark Gas Transmission, L. L. C.

Original Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 09/01/2005, Docket: RP05-405-000, Status: Effective

Second Revised Sheet No. 88A Second Revised Sheet No. 88A : Effective

Superseding: Substitute First Revised Sheet No. 88A

 

GENERAL TERMS AND CONDITIONS (continued)

 

14.6 Transporter shall not award capacity release

offers to a Customer until and unless the

Customer meets the Transporter's

creditworthiness requirements applicable to

all services that it receives from the

Transporter, including the service

represented by the capacity release.

Transporter shall not be required to commence

service or to continue to perform service

under Rate Schedules FTS or FSS for any

Designated Replacement Shipper or Replacement

Shipper (collectively for purposes of this

Section 14.6, "Replacement Shipper") who

fails to demonstrate Creditworthiness as

reasonably determined by Transporter. Unless

Replacement Shipper, at the time of

submission of a bid for released capacity has

an existing satisfactory credit history with

Transporter, Replacement Shipper shall submit

such information requested by Transporter

sufficient for Transporter to determine

Replacement Shipper's Creditworthiness.

Transporter's determination of

Creditworthiness shall be based upon a review

of Replacement Shipper's financial

statements, bank references, trade

references, or information relating to

Replacement Shipper's financial status and

obligation payment history. Upon Replacement

Shipper's request, Transporter shall provide

a written explanation of any credit

limitation applied to Replacement Shipper.

Transporter may require Replacement Shipper

to maintain throughout the term of its

Agreement either (a) a prepaid account with

Transporter, (b) an escrow account, (c) a

letter of credit, or (d) such other good and

sufficient security as reasonably determined

by Transporter in an amount not exceeding

Transporter's estimate of three (3) Months of

transportation charges calculated at

Replacement Shipper's firm transportation MDQ

or firm storage MDWQ and MSQ, as applicable.

 

Transporter will also permit another entity

to guarantee Replacement Shipper's

obligations, provided that the guarantor has

sufficient credit available, as determined by

Transporter. Transporter may, without

waiving any rights or remedies it may have,

suspend further service until such acceptable

security is received by Transporter. Upon

Replacement Shipper's establishment of an

acceptable credit record or upon expiration

of its Transportation Service Agreement,

Transporter shall refund Replacement

Shipper's deposit within thirty (30) Days.