Petal Gas Storage Company
Original Volume No. 1
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Effective Date: 03/15/2002, Docket: CP00- 59-002, Status: Effective
Second Revised Sheet No. 7 Second Revised Sheet No. 7 : Effective
Superseding: First Revised Sheet No. 7
FSS RATE SCHEDULE
FIRM STORAGE SERVICE (Continued)
4.2 Obligations of Customers for Payment of Charges.
A Customer (including a Replacement Customer), who releases its right to
capacity on any basis for a period less than the remaining term of the
original Customer's FSS Agreement, remains responsible for compliance
with all terms and conditions of such Agreement, which shall remain in
effect, and for payment to Petal of the amount of any Storage Capacity
and Deliverability Charge not paid by the Replacement Customer. A
Customer (including a Replacement Customer) who releases its right to
capacity for the full remaining term of such original Customer's FSS
Agreement, shall be released from its obligations under such Agreement
subject to the following conditions: First, upon obtaining the consent
of Petal, which consent shall not be unreasonably withheld, and second,
upon receiving the approval of Petal's lenders/note holders.
4.3 Notification to Petal.
To release its capacity rights, a Customer must notify Petal in writing
or via Petal's EBB of the terms and conditions of the release. The
notification must include:
(a) The Releasing Customer's name, contract number, and phone number
of the individual responsible for authorizing the release of
(b) The effective date(s) of the release.
(c) The volume(s) subject to release.
(d) The MDIQs, TMDIQ, MDWQs and TMDWQ subject to release.
(e) The minimum acceptable rate(s). Releasing Customer has the
choice to specify dollars and cents or percents of maximum tariff
rate in the denomination of bids. Once the choice is made by the
Releasing Shipper, the bids shall comport with the choice.
(f) Whether the capacity is offered on a permanent or temporary basis,
and on a firm or recallable basis. If on a recallable basis,
include the conditions, if any, upon which the Releasing Customer
may recall the capacity.
(g) The criteria by which Petal shall evaluate the bids. A Releasing
Customer may select: 1) the present-value formula specified in
Section 4.2 of the General Terms and Conditions of this Tariff,
2) net revenue, 3) highest rate, or 4) state its own
nondiscriminatory criteria, subject to Petal's approval.
(h) The method by which capacity shall be awarded if tied bids are
received. If no method for awarding capacity to tied bids is
specified, the capacity will be awarded