Texas Eastern Transmission, L P
Seventh Revised Volume No. 1
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Effective Date: 03/14/2010, Docket: RP10-623-000, Status: Effective
First Rev Ninth Revised Sheet No. 529 First Rev Ninth Revised Sheet No. 529
Superseding: First Rev Eighth Revised Sheet No. 529
GENERAL TERMS AND CONDITIONS
(Continued)
(C) Capacity which is not subject to the right of first refusal claim pursuant to
this Section 3.13 shall be posted as available capacity on Pipeline's Website
and shall be marketed in accordance with Section 3.11 of Pipeline's General
Terms and Conditions.
3.14 Capacity Release
This Section 3.14 sets forth a firm capacity release mechanism pursuant to which
existing Customers under any firm, Open-access, Part 284 service agreement can
voluntarily release and assign all or part of their firm capacity rights to others that
want to obtain that firm capacity by entering into a contract with Pipeline. Customers
may release and assign their firm capacity on Pipeline under any firm, Open-access,
Part 284 service agreement only under this Section 3.14 of Pipeline's General Terms and
Conditions. This Section 3.14 is not applicable to any Customer whose service
agreement has been executed pursuant to an individually certificated service. Pipeline
will use an open bidding format and will post each Customer's offer to release capacity
(herein called Customer's Notice) and all the bids against that Customer's Notice,
except for the names of the parties. Bids are to be based on the Reservation Charge
only, provided the Reservation Charge may be converted into a volumetric charge. The
maximum rate for such volumetric releases is set forth on the Statement of Rates for
each applicable rate schedule. For the purposes of bidding and awarding, any maximum
and/or minimum rates specified by Releasing Customer shall include the tariff
reservation rate and all demand surcharges, specified as a total number or as stated
separately. For releases that become effective on or after July 30, 2008, the maximum
and/or minimum rates specified by Releasing Customer may exceed the maximum tariff rate
for the applicable service if (i) the term of the proposed release is one (1) year or
less, and (ii) the effective date of the proposed release is on or before one (1) year
from the date on which Pipeline is notified of the release.
(A) Capacity Eligible For Release:
Pipeline's Customers under any firm, Open-access rate schedules are permitted to
release their firm capacity in whole or in part as set forth in 3.14(J) herein,
on a full Day or a partial Day basis, on a permanent or temporary basis, and on
a recallable or non-recallable basis. Such Customer may propose an entity
(herein called Prearranged Customer) to obtain its released capacity from
Pipeline.
(B) Posting Requirements and Bid Periods for Releases Subject to Bidding:
The proposed duration of the Customer's release determines the minimum Bid
Period for the Customer's Notice pursuant to this Section 3.14. The capacity
release timeline is applicable to all parties involved in the capacity release
process; however, the standard timelines are only applicable if (i) all
information provided by the parties to the transaction is valid and the
acquiring shipper has been determined to be credit worthy before the capacity
release bid is tendered and (ii) there are no special terms or conditions of the
release. These Bid Periods are as follows: