Natural Gas Pipeline Company Of America

Seventh Revised Volume No. 1

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Effective Date: 04/18/2008, Docket: RP08-319-000, Status: Effective

Original Sheet No. 499 Original Sheet No. 499 : Pending





exceed $3.12, except as provided in subsection (a)(5). The rate

applicable in any quarter shall be a rate filed by Natural, which

may not exceed $3.42 [except as provided in subsection (a)(5)] and

such rate may only exceed $3.12 in any quarter [except as provided

in subsection (a)(5)] to the extent Natural has previously charged

less than $3.12 [i.e., the cumulative average of the rates which

have been charged by Natural may not exceed $3.12 at any point

during the forty-eight (48) month period except as provided in

subsection (a)(5)]. If Natural charges a rate less than $2.81, then

for the purpose of calculating the average rate Natural is allowed

to charge over the forty-eight (48) month recovery period, the rate

for any period such lower rate is in effect shall be reflected at

$2.81. These rates are not specifically related to, and need not be

supported by, costs incurred at any point in time but are subject to

reconciliation and refund under Section 38.10 of these General Terms

and Conditions.


(3) Once Natural has sufficient information to

determine the total amount of its Supply Realignment Costs, Natural

shall file to adjust the GSR Demand Surcharge applicable hereunder.

Such filing shall set out the rate (including zero if applicable)

which is necessary to recover the remaining unrecovered balance of

such costs allocated to the Natural Customer Group members from them

over the remainder of the forty-eight (48) month recovery period,

which rate must be consistent with the ceiling rates set forth in

subsection (a)(2). Natural may at any time reduce this rate further

or suspend billings, but may not increase any rate charged under

this subsection (a)(3). Any reduction in rate under this subsection

(a)(3) cannot be offset by an increase in rate under subsection



(4) Natural may change the GSR Demand Surcharge

applicable to members of the Natural Customer Group once each

quarter, consistent with the parameters set out herein, by filing a

revised rate at least thirty (30) days prior to the beginning of

such quarter. For the purposes of the NCG Settlement, quarters

shall mean the three (3) month periods commencing December 1, 1993

and on the first day of each succeeding third month over the ensuing

forty-eight (48) month period; provided, however, that for billing

purposes the initial quarter shall consist of two months (January

and February, 1994) but the rate level for this initial quarter

shall be subject to the same limitations in subsection (a)(1) as for

any other quarter; and provided, further, that the rates set out in

filings by Natural in Docket Nos. RP94-87, RP94-122, RP94-169, RP94-

195, RP94-249 and RP94-260 satisfy this subsection for the periods

covered by such filings.