Questar Southern Trails Pipeline Company

Original Volume No. 1

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Effective Date: 10/14/2008, Docket: CP99-163-004, Status: Effective

First Revised Sheet No. 52 First Revised Sheet No. 52

Superseding: Original Sheet No. 52

 

GENERAL TERMS AND CONDITIONS

 

7. CAPACITY RELEASE AND ASSIGNMENT

 

7.1 General. This section defines the terms and conditions of the

capacity release program on Southern Trails' system and applies to any Shipper

that has contracted for firm transportation service under this tariff and

elects to release all or a portion of its firm capacity.

 

7.2 Conditions of Release. A Shipper shall have the right to release

any portion of its firm capacity but only to the extent that the released

capacity is acquired by another Shipper through provisions of this section.

 

7.3 Criteria of Release. A releasing Shipper may specify how bids for

released capacity are to be evaluated to determine the best offer. A Shipper

must notify Southern Trails of the criteria by which volumetric bids are to be

evaluated. These criteria must be objectively stated, applicable to all

potential bidders and nondiscriminatory. Unless the offer to release is

withdrawn according to § 7.22, the releasing Shipper shall not be entitled to

reject a bid that meets its specified criteria.

 

7.4 Qualification For Participation in the Capacity Release Program.

Any party wishing to become a bidding Shipper must prequalify by satisfying

the creditworthiness provisions and Questline access and signatory

requirements of this tariff prior to submitting a bid for capacity.

Notwithstanding Shipper's qualification to participate in Southern Trails'

capacity release program, Southern Trails does not guarantee to the releasing

Shipper that the replacement Shipper will pay for the contracted-for service.

 

7.5 Notice by Shipper Electing to Release Capacity. A releasing

Shipper must post a notice via Questline that it elects to release firm

capacity. The notice must state:

 

(a) The releasing Shipper's name, contract number and the name

and phone number of the individual responsible for authorizing the release of

capacity.

 

(b) The maximum and minimum RDC to be released stated in

Dth/day.

 

(c) The primary receipt and delivery points.