Arlington Storage Company, LLC

First Revised Volume No. 1

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Effective Date: 11/08/2009, Docket: RP10-67-000, Status: Effective

Original Sheet No. 121 Original Sheet No. 121

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

4.8 Qualification of Prospective Replacement Customer. A prospective Replacement Customer

must be on ASC's approved bidders list before bids may be posted on the Internet Web

Site, must satisfy all requirements of the applicable Rate Schedule and the General

Terms and Conditions of this FERC Gas Tariff and must have executed a Capacity Release

Umbrella Agreement. To be on the approved bidders list, the prospective Replacement

Customer must satisfy ASC's credit requirements as outlined in Section 3 of the General

Terms and Conditions, and, if applicable, provide the information required by Section 3

of the General Terms and Conditions. ASC will apply its creditworthiness criteria to

assess the submission. Such credit appraisal shall be reevaluated and updated

periodically. The prospective Replacement Customer shall remain on the approved

bidders list until such prospective Replacement Customer (i) notifies ASC to the

contrary, (ii) no longer meets the credit qualifications established in Section 3 of

the General Terms and Conditions, or (iii) is suspended from the approved bidders list

in the event, and for such time as, such Replacement or Prearranged Replacement Customer

fails to pay part or all of the amount of any bill for service in accordance with

Section 14 of the General Terms and Conditions. ASC will waive the creditworthiness

requirement on a non-discriminatory basis for Replacement Customers and permit them to

submit bids, if the Releasing Customer provides ASC with a guarantee or other form of

credit assurance in form and substance satisfactory to ASC of all financial obligations

of the Replacement Customer with respect to the capacity being released by Releasing

Customer prior to the commencement of service to the Replacement Customer. ASC shall

not award capacity release offers to a prospective Replacement Customer until and unless

the Customer meets ASC's creditworthiness requirements applicable to all services that

it receives from ASC, including the service represented by the capacity release.

 

4.9 Nominations. Following its selection, and prior to the flow of Gas, the Replacement

Customer shall be permitted to submit nominations pursuant to the terms and conditions of the applicable

Rate Schedule and the General Terms and Conditions of this FERC Gas Tariff.

 

4.10 Billing. The Replacement Customer shall be billed and make payments to ASC in accordance

with the applicable Rate Schedule, other provisions of this FERC Gas Tariff and of its Storage Service

Agreement incorporating its bid terms. In accordance with the terms of the release, the Replacement

Customer shall pay or be liable for the usage charges (plus all applicable surcharges, Fuel Reimbursement,

taxes, penalties, etc.) applicable under the relevant Rate Schedule attributable to its usage of the

released capacity. Except in the case of certain permanent releases of capacity, ASC shall continue to

bill the Releasing Customer all applicable charges under its existing Storage Service Agreement, excluding

usage charges (plus all applicable surcharges, Fuel Reimbursement, taxes, penalties, etc.) billed to the

Replacement Customer and attributable to Replacement Customer's usage of the released capacity. Invoices

sent to the Releasing Customer shall reflect a credit equal to any reservation charges (plus all

surcharges applicable thereto) being billed to the Replacement Customer for the released