Caledonia Gas And Storage

First Revised Volume No. 1

Effective Date: 09/30/2010, Docket: RP10-1032-000, Status: Effective

Original Sheet No. 84 Original Sheet No. 84

provided however that Caledonia will calculate and include such

credits on Non-Offending Customers’ invoices for a period shorter than

twelve (12) Months in the event and to the extent that the total

accumulated amount of OFO penalty revenue collected pursuant to this

Section 6.6(i) by Caledonia as of the end of any Month exceeds

$1,000,000. Caledonia will file with the Commission a penalty

disbursement report within sixty (60) days of August 31 or sixty (60)

days after the end of the Month for which revenue collected exceeds

$1,000,000. Any penalty revenue credited to Non-Offending Customers

pursuant to this Section shall include interest calculated in

accordance with Section 154.501(d) of the Commission’s regulations.

(j) Liability of Caledonia. Caledonia shall not be liable for any

costs incurred by any Customer or point operator in complying with an

OFO. Caledonia shall not be responsible for any damages that result

from any interruption in service that is a result of a Customer’s or

point operator’s failure to comply promptly and fully with an OFO, and

the non-complying Customer or point operator shall indemnify Caledonia

against any claims of responsibility. However, Caledonia shall use

reasonable efforts to minimize any such costs or damages.

(k) Unilateral Action. In the event that (1) Customer(s) or point

operator(s) does not respond to an OFO, or (2) the actions taken

thereunder fail to correct the problem for which the OFO was issued, or

(3) Caledonia cannot carry out the procedures with respect to OFOs

within the time available, Caledonia may take unilateral action,

including the curtailment of Firm service, to maintain the operational

integrity of its Storage Facility. For purposes of this Section, the

operational integrity of Caledonia’s Storage Facility shall encompass

the integrity of the physical facility and the preservation of physical

assets and their performance, the overall operating performance of the

entire physical facility as an entity, and the maintenance (on a

reliable and operationally sound basis) of total Storage Facility

deliverability and the quality of Gas Delivered.

7. INJECTION/WITHDRAWAL AND TRANSPORTATION

7.1 Customer shall tender all Gas for injection into storage to

Caledonia at the Point of Injection/Withdrawal specified in the

relevant Service Agreement. The quantity of Gas tendered by Customer

to Caledonia for injection into storage shall not exceed the MDIQ plus

the applicable Fuel Reimbursement without the consent of Caledonia.

7.2 Availability. Caledonia shall make available all Gas to be

withdrawn from storage to Customer at the Point of Injection/Withdrawal

specified in the relevant Service Agreement. The quantity of Gas made

available to Customer shall not exceed the MDWQ without the consent of

Caledonia.