Transwestern Pipeline Company
Second Revised Volume No. 1
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Effective Date: 01/01/2003, Docket: RP00-490-002, Status: Effective
Second Revised Sheet No. 81D Second Revised Sheet No. 81D : Effective
Superseding: First Revised Sheet No. 81D
GENERAL TERMS AND CONDITIONS
(continued)
22.4 Alert Day
A. Transporter shall have the right to declare an Alert Day in the event of
operational distress caused by over-deliveries into Transporter's system which
over-deliveries threaten the integrity or safe operation of the pipeline.
Transporter shall use reasonable efforts to resolve the situation causing the
operational distress prior to declaring an Alert Day. During an Alert Day,
Operator(s) may not deliver volumes of gas into Transporter's system in excess
of the scheduled volumes for that day. Transporter will localize its imposition
of an Alert Day to the smallest affected area necessary to resolve the problem
and to those Operator(s) causing the problem where such Operator(s) may be
identified. Transporter will determine whether it will issue an Alert Day based on
the operating status of the pipeline system using the following criteria: weather
forecast, system conditions-line pack, overall projected pressures at monitored
locations, facility status-horsepower utilization and availability; and overall
send out projections and availability. The Alert Day will be in effect only for
the gas day for which it is issued. If conditions require, new Alert Days will be
issued for subsequent gas days based upon the above stated criteria.
B. Transporter shall provide as much notice of the Alert Day declaration as is
reasonably possible, but in any event such notice shall be provided at least
twenty-four (24) hours before the start of the Alert Day. The notice shall
designate the estimated duration of the Alert Day condition and whether it
applies system wide, only in certain affected areas, or only to certain
Operator(s). Transwestern shall provide affected parties with notification of
Alert Days through the Shipper's choice of Electronic Notice Delivery Mechanism.
Unless the affected party and Transwestern have agreed to exclusive notification
via EDI/EDM, the affected party should provide Transwestern with at least one
Internet E-mail address to be used for Electronic Notice Delivery of
notification of Alert Days. The obligation of Transwestern to provide
notification is waived until the above requirement has been met. Transwestern
will support the concurrent sending of electronic notification of Alert Days to
two Internet E-mail addresses for each affected party. Affected parties will
manage internal distribution of notices received by Electronic Notice Delivery.
C. If actual volumes exceed scheduled volumes on an Alert Day, a penalty may be
imposed on Operators subject to the Alert Day declaration as follows:
(i) For Operator's actual volumes which exceed scheduled volumes by more than
500 MMBtu at a measured receipt point subject to the Alert Day declaration,
and the amount of such variance is greater than four percent (4%) of the
scheduled volume but less than six percent (6%) of the scheduled volume, Operator
shall pay a penalty imposed by Transporter equal to $5.00 per Dth for volumes in
excess of the four percent (4%) but less than the six percent (6%) tolerance level.
(ii) For Operator's actual volumes which exceed scheduled volumes by more than
500 MMBtu at a measured receipt point subject to the Alert Day
declaration, and the amount of such variance is equal to or greater than
six percent (6%) of the scheduled volume, Operator shall pay a penalty
imposed by Transporter equal to $10.00 per Dth for volumes equal to or
greater than the six (6%) tolerance level.
(iii) For the purpose of calculating penalties in accordance with (i) and (ii)
above, each measured receipt point which is out of tolerance by less than
500 MMBtu shall be excluded.
(iv) Such penalty shall not be charged if the variance is caused by a "Force
Majeure" event as defined in Section 11.1 of the General Terms and
Conditions of this Tariff or due to error, omission or request of
Transporter.
(v) All penalty revenues collected pursuant to this section will be refunded to shippers annually,
based upon the ratio of each shipper's scheduled throughput to the total system scheduled
throughput.