Transwestern Pipeline Company

Second Revised Volume No. 1

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Effective Date: 01/01/2001, Docket: RP00-626-002, Status: Suspended

Substitute Original Sheet No. 99 Substitute Original Sheet No. 99 : Suspended

 

 

 

34. IMBALANCE NETTING AND TRADING.

 

Imbalances accruing on different contracts between a third party (Company) and

Transporter may be offset by netting and trading.

 

Imbalance netting and trading activity shall follow the steps outlined below.

 

(i) To the extent the Company has multiple points at which an imbalance accrues,

the monthly imbalances held by a single legal entity shall be subject to the

applicable transportation charge and fuel percentage and accumulated and netted

within the same location prior to applying the applicable index price as set

forth in the provisions regarding index price in Form N of this tariff and

calculating the imbalance dollar valuation.

 

(ii) By the ninth (9th) business day of the month, Transporter will automatically

post on its EBB the Company's dollar valued imbalances.

 

(iii) A Company may negotiate with other Companies to trade the existing dollar

imbalances. This trading will occur only between Companies (Transporter will

not be involved).

 

(iv) All Companies will have until the close of the 17th business day of the month

to complete dollar imbalance trading.

 

(v) Companies must notify Transporter prior to the close of the 17th business day

via fax or e-mail of the dollars traded and the trading partners (all Companies

involved in the trade must notify Transporter of the intent and amount traded).

 

(vi) Imbalance netting and trading will be completed at no additional cost to the

Company.

 

(vii) After close of the 17th business day of the month, Transporter will calculate

the Company's final dollar imbalance. Any remaining dollar imbalances

net of trading will be subject to the applicable imbalance valuation provisions

outlined above and due and payable by the 20th business day of the month.

Interest shall accrue on the dollar value of the Imbalance from such date due

until the date of payment, at the interest rate set forth in

18 CFR 154.501(d)(1), as may be amended from time to time.

 

(viii) Any discrepancies between trading Company's imbalance trade notifications to

Transporter will result in the trade not being confirmed and the dollars

remaining as an imbalance to both Companies which will be subject to the

applicable imbalance valuation provisions outlined above.