CNG Transmission Corporation

Second Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 01/10/2000, Docket: RP00-135-000, Status: Effective

Original Sheet No. 397C Original Sheet No. 397C : Superseded

GENERAL TERMS AND CONDITIONS

Construction of Delivery Tap Facilities

employee salaries on a time-devoted basis and

related expenses, taxes other than income taxes,

depreciation costs and the time value of money as

set forth in a facilities agreement incurred prior

to the in-service date of the Requested Facilities

and (3) a gross-up for state and federal income

taxes, if applicable. Unless the Pipeline agrees to

allow the Requesting Customer to pay such costs at

some other time or in installments, any agreement

for Construction of Requested Facilities shall

provide that the Requesting Customer shall pay

Pipeline the costs of Construction and Related Costs

prior to the commencement of Construction. If

actual costs are not known, Pipeline shall be

entitled to bill the Requesting Customer based upon

estimated costs and the Requesting Customer shall be

required to pay such estimated costs, provided

however, upon determining its actual costs, Pipeline

shall have thirty days to either refund any excess

collections or bill for any under-collections, as

appropriate, to provide for the Pipeline's

collection of its actual costs, including the time

value of money.

37.5 Pipeline may agree to pay all or part of the costs

of the Requested Facilities and their Construction,

Related Costs and tax gross up if the Construction

is economically or operationally beneficial to

Pipeline. In determining economic or operational

benefit, Pipeline may consider the following

factors, among others: costs of the Requested

Facilities and their Construction; the estimated

incremental throughput and/or revenues attributable

to the Requested Facilities; the Related Costs and

tax gross up attributable to the Requested

Facilities; the marketability of the capacity

associated with the Requested Facilities; the

location of the markets associated with the

Requested Facilities; the interruptible or firm

nature of the transportation service; the

availability of capital funds on terms and

conditions acceptable to Pipeline; the time value of

money; increased system or operational reliability

or flexibility; and increased access to new supplies

or markets.