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. 146 Original Sheet No. 146

 

GENERAL TERMS AND CONDITIONS

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7. DETERMINATION OF DAILY RECEIPTS

 

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

Receipt Point shall be allocated in accordance with the confirmed

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

by KMLP 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 KMLP. 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 KMLP through KMLP'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. KMLP shall acknowledge receipt and

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

received through KMLP'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 KMLP's Interactive Website if

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

EDI. KMLP's acceptance is contingent on KMLP 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.