Carnegie Interstate Pipeline Company
Original Volume No. 1
Contents / Previous / Next / Main Tariff Index
Effective Date: 01/01/1995, Docket: CP93-552-003, Status: Effective
Original Sheet No. 111 Original Sheet No. 111 : Effective
Superseding: Original Sheet No. 111
GENERAL TERMS AND CONDITIONS
(Continued)
16.7 Reimbursement
If CIPCO is required to divert gas pursuant to
an OFO which would otherwise have been delivered to a
Customer, CIPCO shall pay such Customer for such
quantity of gas at a price per Dth equal to the
average of spot market price indexes for gas
delivered to Texas Eastern Transmission Corporation
as published in Inside FERC's Gas Market Report for
the month in which such diversion occurred.
16.8 Cost Recovery
CIPCO shall be entitled to recover all costs
that it incurs in connection with the issuance,
operation, and/or termination of any OFO, including
such reimbursement costs set forth in Section 16.7,
and excluding costs recovered under Section 16.6,
through a reservation surcharge on a pro rata basis
on all Rate Schedule FTS Customers flowing gas, or
scheduled to flow gas, on CIPCO's system on the day
the OFO was issued; provided however, where an OFO
applies only to CIPCO's gathering system, any such
reimbursement shall be through a reservation
surcharge on a pro rata basis on all Rate Schedule
FGS Customers flowing gas, or scheduled to flow gas,
on CIPCO's system on the day the OFO was issued;
provided further, CIPCO shall not be entitled to
recover costs associated with an OFO that resulted
solely from CIPCO's negligent or willful
mismanagement.
16.9 Liability
Compliance with an OFO is essential to CIPCO's
ability to provide deliveries and service under all
Rate Schedules. A failure by one or more Customers
to comply with an OFO may affect CIPCO's ability to
provide such deliveries and services. Accordingly,
in the event of a Customer's non-compliance with an
OFO, and not in lieu of any other remedy available to
CIPCO at law or in equity, CIPCO shall have no
liability or responsibility for its inability to
provide deliveries or service to any Customer failing
to comply with an OFO and will be indemnified and
held harmless by the Customer(s) failing to comply
with CIPCO's OFO against any claims related to the
failure to provide deliveries and service.