Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

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Effective Date: 05/09/1994, Docket: RP94- 33-000, Status: Suspended

Second Revised Sheet No. 628 Second Revised Sheet No. 628 : Suspended

Superseding: First Revised Sheet No. 628

GENERAL TERMS AND CONDITIONS

(Continued)

 

Pipeline's GSR Demand Account. Pipeline shall retain

the remaining ten percent (10%) of such excess revenue

without any refund obligation.

 

(D) Treatment of Stranded Costs:

 

Pipeline's cost of service settlement approved in Docket No.

RP90-119 includes Account No. 858 costs. Pipeline is offering

for assignment certain upstream pipeline capacity pursuant to

Section 3.15 of the General Terms and Conditions. Effective as

of June 1, 1993, Pipeline has removed all Account No. 858 costs

other than those costs associated with the operational loops as

defined in Section 3.15(D) of the General Terms and Conditions.

From time to time after June 1, 1993, Pipeline will file limited

Section 4 filings to recover known and measurable costs as

stranded costs attributable to Account No. 858 upstream pipeline

capacity to the extent such costs are not otherwise recovered in

Pipeline's rates. Amounts to be recovered hereunder as stranded

costs shall be direct billed to Customers under Rate Schedules

CDS, FT-1, SCT (adjusted for peak day or MDQ over the last twelve

months for Rate Schedule SCT Customers, whichever is less), LLFT

and VKFT, if applicable, and shall be allocated as of the date of

the filing between aggregate MDQs under Rate Schedules FT-1, LLFT

and VKFT associated with incremental facility expansions

implemented on or after June 1, 1993, and the aggregate MDQs

under Rate Schedules CDS, FT-1 and SCT (adjusted for peak day or

MDQ over the last twelve months for Rate schedule SCT Customers,

whichever is less) associated with systemwide service. Such

allocation shall be based on the dekatherm miles underlying the

affected incremental or systemwide services divided by the total

dekatherm miles underlying both incremental facility expansions

and systemwide services. The allocation to the Customers'

individual MDQs under Rate Schedules FT-1, LLFT and VKFT

associated with incremental facility expansions and the

Customer's individual MDQ's under Rate Schedules CDS, FT-1, SCT

(adjusted for peak day or MDQ over the last twelve months for

Rate Schedule SCT Customers, whichever is less) associated with

systemwide service shall be pro rata based on the ratio of the

Customer's individual MDQs to the aggregate MDQs associated with

incremental facility expansions, if applicable, or systemwide

service, respectively. Direct billings hereunder for stranded

costs shall include carrying charges from the date of incurrence

of the stranded costs to the projected date of payment calculated

in accordance with Section 154.305 of the Commission's

Regulations. Customers will have the option of amortizing such

direct billed amounts over as much as a twelve month period with

carrying charges calculated in accordance with Section 154.305 of

the Commission's Regulations on amounts as yet uncollected;

provided however, any Customer may elect to pay Pipeline the full

amount in a lump sum plus applicable carrying charges.