Texas Eastern Transmission, L P

Seventh Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

 

 

Effective Date: 03/14/2010, Docket: RP10-375-000, Status: Effective

Seventh Revised Sheet No. 644 Seventh Revised Sheet No. 644

Superseding: Sixth Revised Sheet No. 644

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

28. DISCOUNT TERMS

 

28.1 Any Customer desiring a discount of the maximum Recourse Rates for service

under Pipeline's Open-access Rate Schedules must submit a valid request for

such discount pursuant to the procedures of this Section 28. To be considered

a valid request, Customer must complete and submit a request for discount via

the LINK® System, specifically including the information for all mandatory

fields. Upon receipt of a valid request for a discount, Pipeline will log

such request and either deny or grant such request.

 

28.2 In the event that Pipeline agrees to discount its maximum Recourse Rates under

any of its Open-access Rate Schedules, Pipeline and Customer may agree to the

types of discounts specified herein without such discounts constituting a

material deviation from Pipeline's pro forma service agreement. Pipeline and

Customer may agree that a specified discounted rate will apply: (i) only to

specified quantities under the service agreement; (ii) only if specified

quantities are achieved or only with respect to quantities below a specified

level; (iii) only during specified periods of the year or for a specifically

defined period; (iv) only to specified points, combination of points, Zones,

markets, Transportation Paths or other defined geographic area(s); (v) only to

reserves committed by Customer; (vi) only in a specified relationship to the

quantities actually delivered (i.e., that the reservation charge will be

adjusted in a specified relationship to quantities actually delivered); (vii)

so that the applicable rate may be adjusted in the following manner: when one

rate component, which was equal to or within the applicable maximum and

minimum Recourse Rates at the time Customer received the Discount Confirmation

pursuant to Section 28.4 below specifying the terms of the discount,

subsequently exceeds the applicable maximum Recourse Rate or is below the

applicable minimum Recourse Rate, so that such rate component must be adjusted

downward or upward to equal the new applicable maximum or minimum Recourse

Rate, then other rate components may be adjusted upward or downward to achieve

the agreed-upon overall rate, so long as none of the resulting rate components

exceed the maximum Recourse Rate or are below the minimum Recourse Rate

applicable to the rate component (such changes to rate components shall be

applied prospectively, commencing with the date a Commission order accepts

revised Statements of Rates; however, nothing contained herein shall be

construed to alter a refund obligation under applicable law for any period

during which rates which had been charged under a discount agreement exceeded

rates which ultimately are found to be just and reasonable); and/or (viii)

based upon published index prices for specific receipt and/or delivery points

or other agreed-upon published pricing reference points for price

determination (such discounted rate may be based upon a single published index

price or the differential between published index prices or arrived at by

formula; provided that the discounted rate shall not change the underlying

rate design, shall not include any minimum bill or minimum take obligation,

and shall define the rate component to be discounted). Notwithstanding the

foregoing, no discounted rate shall be less than the applicable minimum rates.

 

28.3 In the event that Pipeline rejects Customer's request for a discounted rate,

Pipeline shall notify Customer via e-mail of the reason for such rejection.