Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

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Effective Date: 11/29/1999, Docket: RP00- 7-003, Status: Effective

Sub First Revised Sheet No. 386 Sub First Revised Sheet No. 386 : Effective

Superseding: Original Sheet No. 386





containing a discounted Reservation Charge Rate in the same proportion such Reservation

Charge Rate is discounted from the maximum Reservation Charge Rate.


3.4 Pipeline shall not be obligated to adjust the Reservation Charge pursuant to Section

3.3 when Pipeline's failure to deliver on any one day at least 95% of the quantity of

gas requested by Customer to be delivered at Point(s) of Delivery which gas Pipeline is

obligated to deliver on a firm basis at such Point(s) of Delivery on such day up to the



(A) is the result of the conduct of Customer or the downstream operator of the

facilities at the Point of Delivery;


(B) is the result of Pipeline having operational flow orders in effect on such day;


(C) is the result, during the period from May 1 through November 1 of any year, of

Pipeline performing routine operational maintenance and repair;


(D) is the result of Pipeline performing at anytime repair and maintenance of its

facilities to comply with applicable regulatory requirements, or


(E) occurs either (1) within ten (10) days following a force majeure event as

contemplated by Section 17.1 of the General Terms and Conditions, or (2) prior

to the date Pipeline has or should have, in the exercise of due diligence,

overcome the force majeure event, whichever occurs first.


provided, however, 3.4(C) and 3.4(D) are also subject to the notice and due diligence

requirements of Section 17.3 of the General Terms and Conditions.


3.5 Storage Cost Credit Mechanism A cost increment to reflect the use of storage

facilities is incorporated into the Rate Schedule CDS, FT-1, and SCT rates. A portion

of the revenue attributable to this storage cost increment will be credited to Rate

Schedule SS, SS-1, FSS-1 and X-28 Customers. The credit will compensate for the

temporary use of storage service to support the "no-notice" and "instantaneous"

transportation services as directed in Order No. 636, and such credit will be

eliminated or reduced subject to Commission review and certification of additional

storage capacity. Pipeline will credit to Rate Schedule SS, SS-1, FSS-1 and X-28

Customers an amount equal to the storage costs recovered (less any Rate Schedule CDS

pre-injection credits and less $525,146 per month associated with the Oakford Storage

Expansion Project approved in Docket No. CP97-774) through the Rate Schedule CDS, SCT,

and FT-1 rates. Storage costs recovered in a particular month will be subject to

credit to Rate Schedule SS, SS-1, FSS-1 and X-28 Customers in the same month. Such

amounts to be credited will be allocated to Rate Schedule SS, SS-1, FSS-1 and X-28

Customers based upon their pro rata share of respective MDWQ's under Rate Schedules SS,

SS-1, FSS-1 and X-28 and will be credited to Reservation Charges for the month.