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. 159 Original Sheet No. 159

 

GENERAL TERMS AND CONDITIONS

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10. IMBALANCES AND SCHEDULING CHARGES

 

10.1 RESPONSIBILITY FOR BALANCING

 

Shippers are obligated to deliver and receive Gas in

conformance with their confirmed nominations. MEP will attempt to

enter into OBAs which deal with imbalances. If an OBA is not feasible

or the imbalance is beyond the terms of the OBA, however, Shippers

are also responsible for conforming their takes at Delivery Points

with their deliveries to MEP at Receipt Points each Day. MEP has no

obligation to deliver for the account of a Shipper more volumes of

Gas than MEP has received for the account of the Shipper or to accept

for the account of the Shipper more volumes of Gas than are being

delivered for the account of the Shipper on any Day.

 

10.2 NETTING AND TRADING OF IMBALANCES

 

At the end of each calendar Month, to the extent the net

receipts (with the appropriate deductions for the applicable Fuel Gas

and Unaccounted For Gas) do not equal deliveries under an Agreement

on a Dth basis [such imbalances shall be separately determined by

Operational Impact Area as defined in Section 10.4(d) hereof] and for

imbalances that may be created at a point level in specific

Operational Impact Areas due to the differences between the nominated

and or confirmed and allocated activity, but may offset at the

contract level, the following netting and trading procedures will

apply (imbalances on the Leased Capacity will be determined

separately with appropriate deductions for fuel and unaccounted for

gas applicable to the Leased Capacity):

 

(a) Imbalances under a Shipper's different Agreements

will then be netted together for each Operational Impact Area to

obtain the Shipper's aggregate imbalance for each Operational Impact

Area, which will be either an Overage Imbalance or an Underage

Imbalance as defined in Section 10.4 hereof. Netting must be done

within the Operational Impact Areas defined in Section 10.4(d) of

these General Terms and Conditions. Shippers may only decrease their

Overage and Underage Imbalances through trading and must do so within

the Operational Impact Area where the imbalance exists.

 

(b) To assist Shippers in arranging trades, MEP will

post on its Interactive Website the Total aggregate Imbalance by

Operational Impact Area of any Shipper which has notified MEP that it

has elected to have such information posted. Notification by the