Monroe Gas Storage Company, LLC

Original Volume No. 1

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Effective Date: 04/29/2009, Docket: RP09-447-000, Status: Effective

Original Sheet No. 26 Original Sheet No. 26

 

RATE SCHEDULE FSS

Firm Storage Service (Continued)

 

7. RIGHT OF FIRST REFUSAL (Continued)

 

7.3 In the event Customer notifies Operator in accordance with the terms of

this Rate Schedule, not less than six (6) Months prior to the

termination or expiration of an Service Agreement applicable to this

Rate Schedule that contains a ROFR, an open season will be held for the

capacity under the expiring Service Agreement. This open season will be

conducted pursuant to the terms and conditions set forth in Section 2.6

of the General Terms and Conditions of this FERC Gas Tariff.

 

7.4 Bids from qualified Potential Customers who desire, in whole or in part,

the capacity to be made available upon the expiration or termination of

a Service Agreement applicable to this Rate Schedule that includes a

ROFR must be received by Operator within the timeframe set forth in the

open season notice. Upon expiration of the open season, Operator will

select the best bid received from a qualified Potential Customer and

communicate the terms of that bid to the Customer, who may elect, within

ten (10) Days, or such greater time as Operator may specify, to execute

a renewed Service Agreement upon the same terms. In determining which

bid for the capacity is the best, Operator will use an objective, not

unduly discriminatory methodology as set forth in Section 2.6 of the

General Terms and Conditions of this FERC Gas Tariff.

 

7.5 If a Customer does not elect to match the terms of the best bid, its

Service Agreement applicable to this Rate Schedule will expire at the

conclusion of its term and Operator will be deemed to have all necessary

abandonment authorization with respect to such Service. Operator may

enter into a new Service Agreement with the qualified Potential Customer

who submitted the best bid.

 

7.6 Regardless of any bids received, Operator shall retain the right to

require a minimum rate or term of Service, which shall be market-based,

for bids during any such open season.

 

7.7 If during the open season, Operator receives no bids or rejects all

bids, Customer and Operator may negotiate for continuation of service

under mutually satisfactory rates, terms, and conditions. In no event,

however, will such continued service be provided at a rate lower than

the best bid by a qualified Potential Customer during the open season.