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. 155 Original Sheet No. 155

 

GENERAL TERMS AND CONDITIONS

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10.4 SCHEDULING AND SEQUENCE OF ACTIONS

 

In rectifying imbalances which jeopardize KMLP's ability

to provide firm service, KMLP shall first attempt to control

imbalances through the scheduling process. KMLP shall coordinate with

the Shipper and with upstream and downstream entities to assure that

the volume of Gas delivered to Shipper or for its account and the

volume of Gas physically received by KMLP for Shipper are in close

balance, subject only to the flexibility (including OBA swings)

discussed in Section 10.2 above. To the extent Shipper's Total

Aggregate Imbalance exceeds the sum of its Maximum Aggregate Imbalance

under all of Shipper's Agreements, following netting and offsetting

pursuant to Section 10.3, and Shipper does not take action in

accordance with Sections 10.5 through 10.10 to correct such

imbalances, KMLP may adjust nominations upon notice to Shipper and

otherwise take actions as specified in Section 10.5 through 10.10. If

Shipper is unavailable, adjustments will be made pursuant to a Shipper

provided ranking or pro-rata if a Shipper provided ranking is not

available. KMLP may also utilize Operational Control measures under

Section 31 of these General Terms and Conditions to control imbalances

to the extent consistent with Section 31. As set out in Section

13.1(b)(3) of these General Terms and Conditions, KMLP provides timely

imbalance information to Shipper. KMLP will provide prior notice of

any action taken under Section 31 of these General Terms and

Conditions, consistent with the provisions of Section 31.

 

10.5 SCHEDULING PAYBACK

 

Any Shipper which has at any time a Total Aggregate

Imbalance (swings actually accommodated under OBAS shall not be

counted as an imbalance) which exceeds the sum of its Maximum

Aggregate Imbalances for all its Agreements, after netting and trading

under Section 10.3 and scheduling adjustments under Section 10.4,

shall be required to schedule Payback Volumes as follows:

 

(a) As used in this Section 10, Payback Volume shall

mean the volume of Gas which Shipper is required to nominate and

provide as Payback. The Payback Volumes shall equal the Shipper's

outstanding imbalance, once Shipper's imbalance exceeds the

flexibility available under Section 10.2 above. Payback shall mean Gas

which is nominated and provided to adjust KMLP's line pack rather than