Transcolorado Gas Transmission Company LLC

Second Revised Volume No. 1

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Effective Date: 12/28/2007, Docket: RP08-167-000, Status: Effective

Original Sheet No. 244 Original Sheet No. 244 : Effective

 

GENERAL TERMS AND CONDITIONS

 

6. CAPACITY RELEASE BY FIRM SHIPPERS (Continued)

 

iii. All recalled Capacity notices must indicate whether

penalties will apply for the Gas Day for which quantities are reduced

due to a Capacity recall.

 

(d) Quantity Allocation

 

In the event of an Intra-Day Capacity recall, Transporter

shall determine the allocation of capacity between the Releasing

Shipper and the Replacement Shipper(s) based upon the Elapsed Prorata

Capacity (EPC). In any recall notification provided to Transporter,

the quantity must be expressed in terms of the adjusted total released

Capacity entitlements based upon EPC. EPC means that portion of the

Capacity that would have theoretically been available for use prior to

the effective time of the Intra-Day recall based upon a cumulative

uniform hourly use of the Capacity. The amount of the capacity

allocated to the Replacement Shipper(s) must equal the original

released Capacity less the recalled Capacity that is adjusted based

upon the EPC. Transporter shall not be obligated to deliver in excess

of the total daily contract quantity of the release as a result of any

recall. The service flexibility available to either the Releasing

Shipper or the Replacement Shipper for the subject Capacity shall not

be less as a result of the recall.

 

(e) Disputes

 

In the event of a dispute between the Releasing Shipper and

any other person as to the validity of any recall or reput, or the status of

the holder of the capacity rights, TransColorado shall be entitled to

conclusively rely on any notice provided by the Releasing Shipper. The

Original Shipper, Replacement Shipper and/or Subreplacement Shipper involved

in any such dispute shall indemnify and hold TransColorado harmless from any

costs, damages or expenses relating to TransColorado's reliance on such

notice.

 

6.15 Qualification for Participation in the Capacity Release Program.

 

(a) Any person wishing to become a Qualified Bidder and make a

Qualified Bid must satisfy the creditworthiness requirements in Section 18 of

these General Terms and Conditions prior to submitting a Qualified Bid under

this Section 6. A person cannot bid for services which exceed its pre-

qualified level of credit-worthiness. TransColorado shall process -- and

encourages -- applications from potential Qualified Bidders seeking

prequalification for bids they may make in the future.