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. 153 Original Sheet No. 153

 

GENERAL TERMS AND CONDITIONS

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7. DETERMINATION OF DAILY RECEIPTS

 

7.1 To the extent feasible, all volumes received by MEP at a

Receipt Point shall be allocated in accordance with the confirmed

nominations for that point. In the event the actual volumes received

by MEP do not equal the confirmed nominations for that point, any

underage or overage will be allocated as follows:

 

(a) First, in accordance with the effective

predetermined allocations (PDAs) submitted by those entities

(Allocators) owning or controlling the Gas being delivered to MEP. An

OBA may be one type of a PDA. Shipper agrees that such an allocation

is binding on Shipper.

 

(b) Then, if there is no effective PDA, pro rata to

the extent applicable based on confirmed nominations or transfer

nominations, as applicable. Shipper agrees that such an allocation is

binding on Shipper.

 

7.2 The upstream or downstream party providing the point

confirmation should submit the PDA to the allocating party after or

during confirmation and before the start of the Day, except that no

other PDAs need be submitted if an OBA is in effect at a point.

Unless otherwise agreed, all PDAs must be submitted to MEP through

MEP's Interactive Website or through EDI before the start of the Day

the PDA is to be effective. Such PDA shall specify how any underage

or overage from the confirmed nominated volumes should be allocated

among the entities listed on the PDA. MEP shall acknowledge receipt

and acceptance of the PDA through MEP's Interactive Website or EDI if

received through MEP's Interactive Website or via EDI if received via

EDI. Such notification of acknowledgment and acceptance will be

within fifteen (15) minutes of receipt via MEP's Interactive Website

if received via MEP's Interactive Website or via EDI if received via

EDI. MEP's acceptance is contingent on MEP being able to administer

the allocation submitted by the Allocator. Allocation methodology

types upon which parties may agree are: ranked, pro rata,

percentages, swing and operator provided value. Other examples of

allocation methods which can be used are matching of supply sources

with specified customers, and combinations of methodology types.

Different methods may be submitted for overages or underages. If the

parties cannot agree, Section 7.1(b) shall apply.