Caledonia Gas And Storage
First Revised Volume No. 1
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Effective Date: 09/30/2010, Docket: RP10-1032-000, Status: Effective
Original Sheet No. 78 Original Sheet No. 78
Storage Inventory will be vested in Caledonia in accordance with
Section 9 of this Gas Tariff.
5.17 Caledonia’s Rights to Terminate Temporary Capacity Releases.
(a) In the event of a temporary release for which (1) Caledonia has
given notice of termination of the Releasing Customer’s Service
Agreement because the Releasing Customer no longer satisfies
Caledonia’s credit requirements as outlined in Sections 4 of
Caledonia’s General Terms and Conditions; and (2) the Storage
Reservation Charge specified in the effective Addendum to the
Replacement Customer’s Capacity Release Umbrella Agreement is less than
the level of the Storage Reservation Charge which the Releasing
Customer was obligated to pay Caledonia, then Caledonia shall be
entitled to terminate the Addendum, upon thirty (30) days’ written
notice to the Replacement Customer, unless the Replacement Customer
agrees prior to the end of the said 30-day notice period to pay for the
remainder of the term of the Addendum either (i) the Storage
Reservation Charges and commodity charges at levels which the Releasing
Customer was obligated to pay Caledonia, or (ii) such rate as mutually
agreed to by Caledonia and the Replacement Customer. Replacement
Customer may elect to pay the lesser of the two foregoing options.
Caledonia’s right to terminate the Addendum is subject to Caledonia
providing written notice of termination to the Replacement Customer
within sixty (60) days of the determination by Caledonia that the
Releasing Customer no longer satisfies Caledonia’s credit requirements.
Termination of the Addendum shall not occur prior to termination of the
Releasing Customer’s Service Agreement.
(b) In the event that a Replacement Customer has received thirty (30)
days’ notice of termination of the Addendum to Replacement Customer’s
Capacity Release Umbrella Agreement pursuant to Section 5.17(a) above
for storage service, and there is Gas in storage for Replacement
Customer’s account at the end of such 30-day period because (1)
Replacement Customer’s MDWQ rights were not adequate to withdraw all of
its Gas before the end of such 30-day period, or (2) Caledonia could
not accommodate Replacement Customer’s requested withdrawals because of
capacity constraints, the Addendum shall continue in force and effect
for the sole purpose of withdrawal of said Gas by Replacement Customer
until Replacement Customer’s Storage Inventory is zero. Caledonia shall
require Replacement Customer to withdraw each Gas Day a quantity equal
to the MDWQ, or such other lesser quantity acceptable to Caledonia. The
requirement to withdraw storage quantities shall be suspended on any
Gas Day to the extent that Caledonia cannot accommodate a nomination to
withdraw such storage quantities on such Gas