Texas Eastern Transmission, L P

Seventh Revised Volume No. 1

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Effective Date: 11/16/2009, Docket: RP10-53-000, Status: Effective

Second Revised Sheet No. 592 Second Revised Sheet No. 592

Superseding: Sub First Revised Sheet No. 592

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

of Receipt into Pipeline's system, or (2) between actual deliveries of Natural

Gas and scheduled and confirmed deliveries of Natural Gas at Point(s) of

Delivery from Pipeline's system, which Point(s) of Receipt and/or Point(s) of

Delivery are subject to Operational Balancing Agreements, as more fully

described in Section 8.8(B), on the Day or Days such variances arise, will be

resolved by Pipeline pursuant to the terms of the applicable Operational

Balancing Agreement and Customer shall not be subject to any imbalance charges

or penalties pursuant to its transportation agreements with Pipeline for such

imbalances.

 

(B) For the purpose of minimizing operational conflicts between various pipeline

facilities with respect to the delivery of Gas to and from Pipeline's

facilities, Pipeline is willing to negotiate and execute Operational Balancing

Agreements with appropriate parties that operate Natural Gas facilities which

interconnect with Pipeline's system (herein called OBA Party). Such Operational

Balancing Agreements shall specify the Gas custody transfer procedures to be

followed by Pipeline and OBA Party for the confirmation of scheduled quantities

to be received by Pipeline at Point(s) of Receipt and delivered by Pipeline at

Point(s) of Delivery. Such Operational Balancing Agreements will provide that

any variance between actual quantities and scheduled and confirmed quantities

for any Day shall be resolved in-kind promptly or Cash-out pursuant to the terms

of the Operational Balancing Agreement. To facilitate such determination of

variances on a timely basis, Pipeline and the OBA Party will agree in the

Operational Balancing Agreement on necessary measurement and accounting

procedures. Pipeline shall post on the LINK® System those Point(s) of Receipt

and Point(s) of Delivery which are subject to an Operational Balancing

Agreement. Pipeline will also provide to any party upon request a copy of any

executed Operational Balancing Agreement.

 

(C) It is Pipeline's intent to negotiate and execute Operational Balancing

Agreements on a non-discriminatory basis with any OBA Party. However, Pipeline

shall have no obligation to negotiate and execute Operational Balancing

Agreements with any OBA Party that:

 

(1) is not creditworthy as determined pursuant to Section 3.3 of the General

Terms and Conditions; for purposes of such provision, references to

Customer shall refer to the OBA Party.

 

(2) does not maintain dispatching operation which is staffed on a continuous,

around-the-clock basis 365 days per year;