MidContinent Express Pipeline LLC
Original Volume No. 1
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Effective Date: 04/10/2009, Docket: RP09-136-000, Status: Effective
Original Sheet No. 147 Original Sheet No. 147
GENERAL TERMS AND CONDITIONS
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6.10 NOMINATION PRIORITIES
As part of the nomination and transfer nomination
process, if there is more than one supply source nominated to be
delivered to a single Delivery Point or buyer, the nomination or
transfer nomination must identify how and which supply sources should
be cut in the event all nominated deliveries are not or cannot be
made. Similarly, the nomination or transfer nomination must identify
which delivery should be cut in the event Gas is not or cannot be
received as nominated (i.e., ranking). Ranking is to be included in
the list of data elements. MEP is to use Shipper provided rankings
when making reductions during the scheduling process when this does
not conflict with tariff-based rules.
6.11 OPERATIONAL BALANCING
MEP agrees that it will negotiate with each entity that
operates facilities interconnecting with MEP at Delivery Points
(Balance Operator) in a good faith effort to reach an agreement to
deal with imbalances at such Delivery Point(s) (at Receipt Points,
MEP may rely on PDAs under Section 7 of these General Terms and
Conditions), which OBA Agreement would be a form of a Predetermined
Allocation, subject to the following conditions:
(a) Such agreement must set out a mutually agreeable
procedure for dealing at the Delivery Point(s), as between MEP and
Balance Operator, with any difference between confirmed nominations
and actual physical Gas flow caused by operational conditions; such
an agreement may include imbalances charges and penalties, and/or
limitations on the volume of imbalance which may be accommodated, but
MEP is not obligated to agree to include any provisions for cashout
of imbalances;
(b) The Balance Operator must meet the same
creditworthiness standards as Shipper;
(c) MEP and Balance Operator must not have previously
entered into such agreement which was terminated because of Balance
Operator's failure to perform. Nothing herein is intended to
restrict MEP's right to terminate in accordance with its terms any
agreement entered into hereunder, including without limitation the
right to terminate for Balance Operator's failure to perform
consistent with its obligations under the agreement.