Kinder Morgan Louisiana Pipeline LLC
Original Volume No. 1
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Effective Date: 03/01/2009, Docket: RP09-257-000, Status: Effective
Original Sheet No. 131 Original Sheet No. 131
GENERAL TERMS AND CONDITIONS
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5. NEW FACILITIES CHARGE
5.1 (a) With respect to new or expanded interconnection
facilities, when such new and/or expanded facilities are required to
accommodate receipt and/or delivery of Gas under a request for new
or revised service, and KMLP determines that installation of such
facilities will not impair service to any existing Shipper or
threaten the integrity of KMLP's System, KMLP will construct such
facilities but, unless otherwise provided by contract, KMLP shall
require Shipper to pay as the CIAC as defined in Section 1.7 of
these General Terms and Conditions, except that KMLP will pay the
cost of such facilities when the criteria set forth in Section 5.2
are satisfied.
5.2 (a) KMLP will pay the cost of the modification or
construction of facilities required at Receipt or Delivery Point(s)
to effectuate the receipt or delivery of Gas hereunder when the
construction or modification of such facilities is economically
beneficial to KMLP. KMLP may conclude that a portion of the
facilities are economically beneficial.
(b) (1) For the purposes of determining whether a
project for access to Gas supply is economically beneficial to KMLP,
KMLP will evaluate each prospective project based upon the amount of
the reserves and/or deliverability characteristic of the Gas supply
to be attached. Facility additions at Receipt Points shall be
evaluated based upon the incremental cost of service of the
facilities to be constructed by KMLP, and the incremental revenues
which KMLP estimates will be generated as a result of constructing
and/or modifying such facilities.
(2) For purposes of determining whether a project
to deliver Gas is economically beneficial to KMLP, KMLP will
evaluate each prospective project based upon the incremental cost of
service of the facilities to be constructed by KMLP, and the
incremental revenues which KMLP estimates will be generated as a
result of constructing and/or modifying such facilities.