Empire Pipeline, Inc.

Original Volume No. 1

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Effective Date: 12/10/2008, Docket: CP06-5-010, Status: Effective

Original Sheet No. 153 Original Sheet No. 153

 

GENERAL TERMS AND CONDITIONS

 

 

9. CURTAILMENT

 

 

Following the scheduling of services, Transporter shall have the right

to curtail services on a system-wide basis or segment-by-segment basis

(i) as a result of conditions of force majeure, as described at

Section 28.6 of these General Terms and Conditions, (ii) when

necessary, in Transporter's reasonable judgment, to avert a material

threat to the integrity of its system or to remedy an unexpected loss

of capacity, or (iii) when continuation of service would impair

Transporter's ability to render a service of a higher priority, as set

forth in this Section 9. The allocation procedures and priorities set

forth in this Section 9 shall apply to both system-wide and segment-

by-segment limitations or curtailments, insofar as is possible.

 

Transporter will allocate capacity in the manner set forth in this

Section 9 only to the extent it is reasonably practical to do so.

 

It is recognized that the allocation of Transporter's capacity may be

affected by the capabilities of Transporter's measurement, control and

communication equipment, as it exists from time to time, the

operational requirements of Transporter or by factors beyond the

control of Transporter, including but not limited to variations in the

requirements or markets served by Transporter.

 

In the event of a curtailment of service under this provision,

Transporter shall provide such notice as is reasonable under the

circumstances.

 

For purposes of this Section 9, a "discounted rate" shall include a

negotiated rate that is less than the maximum rate at the time in

question, and for such negotiated rates, a "discount" shall mean the

difference between the maximum rate and the negotiated rate at such

time.