Southeast Supply Header, LLC

Original Volume No. 1

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Effective Date: 09/04/2008, Docket: CP07-44-005, Status: Effective

Original Sheet No. 272 Original Sheet No. 272







21.2 Transporter may waive from time to time, at its discretion, all or

a portion of the monetary reimbursement requirement set forth in

Section 21.1 if it determines that construction of the facilities

would be economic to Transporter, based on Shipper assurance of

Transportation throughput through the proposed facilities and

other matters, as described below. All requests for waiver shall

be handled by Transporter in a manner which is not unduly

discriminatory. For purposes of determining whether a project is

economic, Transporter will evaluate projects on the basis of

various economic criteria, which may include, without limitation,

the estimated Transportation throughput, cost of the facilities,

operating, maintenance, administrative and general expenses

attributable to the facilities, the system net revenues

Transporter estimates will be generated subsequent to such

construction, and the availability of capital funds on terms and

conditions acceptable to Transporter. In estimating the system

net revenues to be generated, Transporter will evaluate the

existence of capacity limitations of the existing facilities, the

marketability of the capacity, the location of the markets, the

nature of the Transportation service, and other factors which

impact the utilization of Transporter's system.


21.3 Any monetary reimbursement due Transporter by Shipper pursuant to

this Section 21 shall be due and payable to Transporter prior to

Transporter's commencement of construction of facilities to be

constructed unless otherwise agreed by Transporter and within ten

(10) Days of receipt by Shipper of Transporter's invoice(s) for

same; provided, however, subject to Transporter's written consent,

such monetary reimbursement, plus carrying charges thereon, may be

amortized over a mutually agreeable period not to exceed the

primary contract term of any Agreement for service between

Transporter and Shipper. Carrying charges shall be computed

utilizing interest factors acceptable to both Transporter and

Shipper. Unless Transporter and Shipper otherwise agree on

interest factors for computing the carrying charges for new

facilities, the interest rates determined by the Commission under

Section 154.501(d) of the Commission's regulations shall apply.