Southern LNG Inc.

Original Volume No. 1

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Effective Date: 03/01/2010, Docket: RP10-271-000, Status: Effective

Second Revised Sheet No. 66 Second Revised Sheet No. 66

Superseding: First Revised Sheet No. 66

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

12.4 Contents of Nominations:

 

Each nomination shall show the Customer's contract number and the information specified on the

form for submitting nominations, GT&C - Appendix B.

 

12.5 Scheduling Priorities for Delivery Nominations:

 

(a) If, on any day, Southern LNG determines it has insufficient delivery capacity to serve

all Customers' Firm and Interruptible Services for that day, then Southern LNG shall

first allocate all of its available vaporization capacity to Firm Services.

 

(b) If Southern LNG further determines that it has insufficient delivery capacity to

provide services allocated under the preceding paragraph 12.5(a) on that day, then

Southern LNG shall allocate all of its reduced capacity to the Firm Services based on

the ratio of each Customer's total MDVQ to the total aggregate MDVQ of all firm

Customers submitting nominations. Each firm Customer shall be allocated its

proportionate share of the available capacity based on its percentage share calculated

from this ratio.

 

(c) If Southern LNG does not have to limit its firm delivery services on a day, Southern

LNG shall allocate the remaining capacity on its system to Interruptible Services. If

the remaining capacity is insufficient to satisfy all of the nominations for

Interruptible Services, then the interruptible Customers shall be served on the basis

of the rate paid for service, higher rate first, and pro rata among Customers paying

the same rate based on each Customer's confirmed nomination relative to the total

confirmed nominations by all Customers for such Interruptible Services. If an

interruptible Customer receiving a discount or negotiated rate less than the maximum

rate elects to pay the maximum rate applicable to its service on any day that its

capacity would be allocated otherwise, Customer's service will be queued up with other

maximum-rate interruptible Customers. Customer must elect by the nomination deadline

for the day capacity is to be allocated. For negotiated rate transactions for

interruptible service in which Customer is paying a rate exceeding the maximum rate,

Customer shall be deemed to be paying the maximum rate for purposes of this Section.