Questar Pipeline Company

First Revised Volume No. 1

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Effective Date: 09/01/2009, Docket: RP09-882-001, Status: Effective

Sub. First Revised Sheet No. 172D Sub. First Revised Sheet No. 172D

Superseding: First Revised Sheet No. 172D

 

Part 3

GENERAL TERMS AND CONDITIONS

(Continued)

 

16.5 Questar may make sales of those quantities of "in-kind" natural

gas received from shippers pursuant §§ 16.3 and 16.4 above and to retain the

revenues from such sales. Questar shall have the right to make sales of such

gas pursuant to the terms of the blanket certificate of public convenience and

necessity granted to Questar pursuant to 18 C.F.R. § 284.284.

 

Sales of such gas will be made in place or at the outlet from Clay

Basin. Transportation from the point of sale must be separately arranged by

buyer. Five days prior to selling such gas, Questar will post an announcement

of its intention to sell quantities of gas received in-kind pursuant to

Sections 16.3 and 16.4, the terms and conditions under which the gas will be

sold and solicit offers from potential buyers. By July 1 of each year,

Questar will file a report that identifies, for the 12 months ending April

30th, all sales of gas pursuant to this section, including the quantities,

dates of sales, prices and revenues.

 

16.6 All categories of fuel associated with its PAL2 service will be

included as an operating expense and will not be part of the fuel-gas

reimbursement.

 

17. INTERRUPTIBLE REVENUE SHARING

 

17.1 Thresholds for Revenue Sharing. For each 12-month period

beginning February 1, 1996, Questar will determine:

 

(a) The sum of (i) total deliverability and capacity reservation

revenues from Rate Schedule FSS of First Revised Volume No. 1 of Questar's

FERC Gas Tariff and (ii) the inventory revenues from Rate Schedule ISS. If

the sum of these amounts exceeds the annual cost level most recently

established as attributable to Clay Basin FSS service in an NGA § 4, § 5 or §

7 proceeding ($28,109,347 initially), customers receiving FSS storage service

at Clay Basin during the 12-month period will be eligible for ISS revenue

credits.

(b) The amount of total daily charge revenues from Rate Schedule

PAL1. If this amount exceeds the annual cost level most recently established

for PAL1 service ($1,341,523 in Docket No. RP02-357-000) or as established in

an NGA § 4, § 5 or § 7 proceeding in the future, customers receiving FSS

storage service at Clay Basin during the 12-month period will be eligible for

PAL1 revenue credits.

 

17.2 Credit Payments. Questar will make lump-sum payments to eligible

FSS storage customers or equivalent credits to their accounts totaling 75% of

the revenues from ISS and PAL1 Clay Basin service that exceed the threshold

specified in § 17.1. These will be distributed within three months following

the end of the 12-month accounting period described in § 17.1. Any revenue