National Fuel Gas Supply Corporation
Fourth Revised Volume No. 1
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Effective Date: 09/30/2006, Docket: RP06-291-004, Status: Effective
Sub. First Revised Sheet No. 369 Sub. First Revised Sheet No. 369 : Pending
Superseding: Original Sheet No. 369
GENERAL TERMS AND CONDITIONS
11. PREGRANTED ABANDONMENT AND RIGHT OF FIRST REFUSAL (Cont'd.)
Potential Shippers may revise their bids during the posting period.
Transporter may reject any bid which would require Transporter to
discount below a rate or beyond a discount period agreeable to
Transporter will accept bids from Potential Shippers with respect
to a quantitative portion of Shipper's contract quantity.
When Transporter posts notices of termination of an FSS or ESS
service agreement and an associated FST or EFT service agreement, a
bidder will be permitted to specify that its bid for each
individual service is contingent upon its ability to contract for
its requested capacity under both services.
11.5 Determination of Best Bid
Transporter shall review all bids from Potential Shippers received
pursuant to Section 11.4, which have not been rejected by
Transporter, to determine which bid is the Best Bid(s). For
purposes of this Section 11.5, the "Best Bid(s)" shall be the
bid(s) yielding to Transporter the highest net present value. Net
present value shall be calculated on the basis of the present value
of the Reservation Charge revenues or Storage Capacity Charge and
Demand Charge revenues per unit to Transporter. In making the
determination of net present value Transporter shall apply the same
discount factor to all bids. If Transporter receives two (2) or
more mutually exclusive Best Bids during the posting period that
are not matched by Shipper, Transporter will consider the bid
submitted earliest in time to be the Best Bid.