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. 149 Original Sheet No. 149
GENERAL TERMS AND CONDITIONS
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9. OVERRUN AND UNAUTHORIZED GAS CHARGES AND PENALTY REVENUE
9.1 AUTHORIZED OVERRUN CHARGES
If deliveries to a Shipper exceed its MDQ under an
Agreement but represent volumes properly nominated and confirmed, an
Authorized Overrun Charge shall apply. The applicable maximum
Authorized Overrun Charge for transportation under Rate Schedule FTS
shall be a maximum Authorized Overrun Rate determined as the 100%
load factor derivative of the maximum reservation and commodity
rates. The maximum Authorized Overrun Rate under Rate Schedule ITS
shall equal the maximum rate for Rate Schedule ITS multiplied by the
number of Dth of the Authorized Overrun Gas. Such Authorized Overrun
Rates may be discounted on a non-discriminatory basis to any level
between zero and the maximum Authorized Overrun Rate or may be
determined pursuant to a Negotiated Rate or Negotiated Rate Formula
agreement.
9.2 UNAUTHORIZED GAS CHARGES
In light of Shipper's obligations to remain in balance
under Section 10 of these General Terms and Conditions, to the
extent that Delivery Point imbalances are not accommodated under an
OBA, an Unauthorized Gas Charge set out herein shall apply to all
volumes taken at Delivery Points in excess of confirmed nominations,
under either an FTS Agreement or an ITS Agreement. Swings
accommodated under an OBA shall not be subject to a charge under
this provision. If an Unauthorized Gas Charge applies, the Shipper
shall pay KMLP an Unauthorized Gas Charge equal to the volume of the
Gas the Shipper delivered in excess of confirmed nominations
multiplied by the Unauthorized Gas Rate. The maximum Unauthorized
Gas Rate is twice the maximum rate under Rate Schedule ITS;
provided, however, that the Unauthorized Gas Rate may be discounted
to any level between zero and this maximum rate or may be determined
pursuant to a Negotiated Rate or Negotiated Rate Formula agreement.