K N Interstate Gas Transmission Co.
Second Revised Volume No. 1-B
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Effective Date: 11/01/1994, Docket: RP94-397-000, Status: Effective
First Revised Sheet No. 46 First Revised Sheet No. 46 : Superseded
Superseding: Original Sheet No. 46
GENERAL TERMS AND CONDITIONS FOR SERVICES - continued
23.5 BID PERIOD.
If a Shipper desires to release capacity, Shipper may post the
available capacity on Transporter's electronic bulletin board.
This posting will be for a minimum period of two business days, for
releases of more than one (1) calendar month in length, and up to a
maximum period of one month, as specified by releasing Shipper. A
releasing Shipper may specify an objectively stated, non-
discriminatory standard and post it on Transporter's EBB for
determining the best bid(s). If releasing Shipper does not so
specify, bids will be evaluated based on the economic value of the
reservation charge bid.*
The economic value of a bid shall be defined as the total net
present value of the reservation charge bid, not to exceed a term
of twenty (20) years. Transporter will give any replacement
Shipper found by the releasing Shipper (if any) an opportunity to
match any better offer by the close of business on the next
business day following the close of the bid period (match day).
All offers must be received by 5:00 PM CT on the last day of the
bid period and on match day. If the replacement Shipper matches
the better offer, Transporter will contract with the replacement
Shipper found by the releasing customer. If the better offer is
not matched, Transporter will contract with the person who made the
better offer. In all situations, including those where Shipper
specified criteria are used, Transporter will evaluate and rank the
bids. Capacity will be awarded once the winning bid is determined.
Capacity not taken by the winning bidder will be offered to the
next highest bidder.
* According to the following formula: