Maritimes & Northeast Pipeline, L.L.C.

First Revised Volume No. 1

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Effective Date: 01/01/2009, Docket: RP09-100-000, Status: Effective

Third Revised Sheet No. 410 Third Revised Sheet No. 410

Superseding: Second Revised Sheet No. 410

 

FORM OF SERVICE AGREEMENT

FOR RATE SCHEDULE MN151

 

Date:__________________________, Contract No.__________________

 

SERVICE AGREEMENT

 

This SERVICE AGREEMENT is entered into by and between Maritimes & Northeast Pipeline, L.L.C.,

("Pipeline") and _____________________________________ ("Customer").

 

WHEREAS,

 

NOW THEREFORE, in consideration of the premises and of the mutual covenants herein contained,

the parties do agree as follows:

 

1. Pipeline shall deliver and Customer shall take and pay for service pursuant to the terms of

this Service Agreement and subject to Pipeline's Rate Schedule MN151 and the General Terms

and Conditions of Pipeline's Tariff, which are incorporated herein by reference and made a

part hereof.

 

2. The Maximum Daily Transportation Quantity (MDTQ) and Maximum Annual Transportation Quantity

(MATQ) for service under this Service Agreement and any right to decrease the MDTQ or MATQ

during the term of this Service Agreement are listed on Exhibit C attached hereto. The

Point(s) of Receipt and Point(s) of Delivery, respectively, are listed on Exhibits A and B

attached hereto. Exhibit(s) A, B, and C are incorporated herein by reference and made a part

hereof.

 

On any given Day, Pipeline shall not be obligated to, but may at its sole discretion, receive

at Point(s) of Receipt quantities of gas in excess of Pipeline's Maximum Daily Receipt

Obligation (MDRO), plus Fuel Retainage Quantity, but shall not receive in the aggregate at

all Points of Receipt on any Day a quantity of gas in excess of the applicable MDTQ, plus

Fuel Retainage Quantity. On any given Day, Pipeline shall not be obligated to, but may at

its sole discretion, deliver at any Point of Delivery quantities of gas in excess of

Pipeline's Maximum Daily Delivery Obligation (MDDO), but shall not deliver in the aggregate

at all Points of Delivery on any Day quantities of gas in excess of the applicable MDTQ.

 

3. This Service Agreement shall be effective on ___________ and shall continue for a term ending

on and including ___________ ("Primary Term") and shall continue to be effective from

______________ to ______________ thereafter (not less than year to year for the secondary

term for agreements with a Primary Term of more than 1 year) unless terminated by either

party upon prior written notice of at least _______[at least one (1) year for Long Term

Service Agreement; mutually agreeable for Short Term Service Agreement; with the exception

that, for Service Agreements with a primary term of exactly one (1) year, the notice must be

submitted within ten (10) Business Days of the beginning of the primary term of the Service

Agreement, and at least one (1) year for subsequent notices for such Service Agreement].

Upon termination, any portions of this Service Agreement necessary to correct or cash out

imbalances or to make payment under this Service Agreement as required by the GT&C will

survive the other parts of this Service Agreement until such time as such balancing or

payment has been accomplished. To the extent that Customer desires to terminate this Service

Agreement and Pipeline agrees to such termination, Pipeline will collect as part of the exit

fee all (or such lesser portion as Pipeline agrees to) of the capacity Reservation Charges

otherwise recoverable by Pipeline from Customer for the balance of the contractual term,

absent such early termination.

 

If this Service Agreement qualifies as a "ROFR Agreement" as defined in the GT&C of

Pipeline's FERC Gas Tariff, the provision of a termination notice by either Customer or

Pipeline, pursuant to this article 3, any reduction of the MDTQ and MATQ pursuant to Exhibit

C (but only for the quantity of the reduction) or the expiration of this Service Agreement by

its own terms triggers Customer's right of first refusal under Section 4.2 of the GT&C of

Pipeline's FERC Gas Tariff.