Portland Natural Gas Transmission System

Second Revised Volume No. 1

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Effective Date: 09/01/2006, Docket: RP06-449-000, Status: Effective

Original Sheet No. 368 Original Sheet No. 368 : Effective






14.1 Transporter's Policy. Transporter may own, construct, and

operate transmission laterals and related facilities, and intends to apply for

rolled-in rate treatment for the cost of these facilities at the FERC, as long

as this cost is supported by long-term firm transportation agreements, and

rolled-in rate treatment does not cause the transportation rates paid by other

firm shippers to increase. Transporter will agree to own, construct and

operate such laterals and related facilities for new as well as existing

Shippers as long as Transporter's laterals criteria are met.


14.2 Provisos. Nothing in this Section 14 shall:


(a) require Transporter to file an application for a certificate of

public convenience and necessity under Section 7(c) of the Natural Gas Act; or


(b) prevent Transporter from contesting an application for service

filed pursuant to Section 7(a) of the Natural Gas Act.


Transporter reserves the right to seek a waiver of the policy set

forth in this Section 14, on a basis that is not unduly discriminatory.