| ANR Storage Company |
|
Fourth Revised Sheet No. 0 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 0 |
| Original Volume 1 |
FERC GAS TARIFF
ORIGINAL VOLUME No. 1
of
ANR STORAGE COMPANY
Filed With The
FEDERAL ENERGY REGULATORY COMMISSION
Communications Concerning Tariff Should
Be Addressed to:
Robert D. Jackson
Director, Rates and Regulatory Affairs
ANR Storage Company
717 Texas Street
Houston, Texas 77002-2761
(832) 320-5487 (Phone)
(832) 320-6487 (Fax)
| ANR Storage Company |
|
Seventh Revised Sheet No. 1 : Effective |
| FERC Gas Tariff | | Sixth Revised Sheet No. 1 |
| Original Volume 1 |
TABLE OF CONTENTS
Description Sheet No.
----------------------------------- ---------
Preliminary Statement.......................................... 2
Statement of Rates............................................. 5
Rate Schedules and Forms of Service Agreement
Firm Storage service (FS)
Rate Schedule FS........................................... 9
Form of Service Agreement FS............................... 25
Interruptible Storage service (IS)
Rate Schedule IS........................................... 44
Form of Service Agreement IS............................... 52
Merchant Sales (MS)
Rate Schedule MS........................................... 57
General Terms and Conditions
1. Definitions........................................... 124
2. Requests for Storage Service..........................126A
3. Storage Service....................................... 132
4. Nominations, Scheduling and Allocation................ 132
5. Pressures at Point of Injection/
Withdrawal.......................................... 135
6. Measurement and Measurement Equipment................. 135
7. Quality...............................................140A
8. Billing and Payment................................... 142
9. Force Majeure......................................... 144
10. Priority of Service Requests and Service Agreements... 146
11. Miscellaneous......................................... 149
12. Facilities............................................ 153
13. Internet Website...................................... 154
14. Responsibility for Associated Transportation.......... 154
15. Title Transfers of Gas in Storage..................... 155
16. Operational Flow Order.("OFO")................................155A
17. Types of Discounts....................................155D
18. Negotiated Rates......................................155E
19. Billing Adjustment for Rate Schedule IS Withdrawal
Penalty..............................................155G
20. Off-System Capacity...................................155G
Storage Service Request Form................................... 156
| ANR Storage Company |
|
Second Revised Sheet No. 1A : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 1A |
| Original Volume 1 |
TABLE OF CONTENTS
Original Volume No. 2
---------------------
Rate
Schedule Description Sheet No.
-------- -------------------------------------------- ---------
X-1 Storage Service - ANR Pipeline Company 2
X-2 Storage Service - Panhandle Eastern Pipe Line
Company - Notice of Cancellation 24
X-3 Storage Service - Panhandle Eastern Pipe Line
Company - Notice of Cancellation 46
X-4 Storage Service - Panhandle Eastern Pipe Line
Company - Notice of Cancellation 68
X-5 Storage Service - Northern Indiana Public Service
Company - Notice of Cancellation 89
X-6 Storage Service - United Cities Gas Company
- Notice of Cancellation 111
X-7 Storage Service - Panhandle Eastern Pipe Line
Company - Notice of Cancellation 132
X-8 Storage Service - Southern Natural Gas Company
- Notice of Cancellation 153
X-9 Storage Service - Southern Natural Gas Company
- Notice of Cancellation 177
X-10 Storage Service - Southern Natural Gas Company
- Notice of Cancellation 203
X-11 Storage Service - Aquila Inc. (successor in
Interest to Inter-City Gas Corporation)
- Notice of Cancellation 229
| ANR Storage Company |
|
First Revised Sheet No. 2 : Effective |
| FERC Gas Tariff | | Original Sheet No. 2 |
| Original Volume 1 |
PRELIMINARY STATEMENT
This Original Volume No. 1 of the FERC Gas Tariff ("Tariff") of
ANR Storage Company (ANR) contains the Rates and Charges, Rate
Schedules, Forms of Service Agreement and the General Terms and
Conditions applicable to Storage Service performed by ANR pursuant
to the FS and IS Rate Schedules.
| ANR Storage Company |
|
Second Revised Sheet No. 2A
: Effective |
| FERC Gas Tariff | | First Revised Sheet No. 2A |
| Original Volume 1 |
Reserved for System Map
| ANR Storage Company |
|
Sheet Nos. 3 - 4 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
Reserved for future use.
| ANR Storage Company |
|
Fourteenth Revised Sheet No. 5 : Effective |
| FERC Gas Tariff | | Thirteenth Revised Sheet No. 5 |
| Original Volume 1 |
STATEMENT OF RATES FOR STORAGE OF NATURAL GAS
RATE SCHEDULE FS Maximum Minimum
---------------- Rate per Dth Rate per Dth
------------ ------------
1. Reservation Rate
a. Deliverability - Monthly $ 2.39997 $ 0
b. Capacity - Monthly $ 0.02449 $ 0
C. Deliverability - Daily (3)(4) $ 0.07890 $ 0
D. Capacity - Daily (3)(4) $ 0.00081 $ 0
2. Injection/Withdrawal
Commodity Rate $ 0.00804 $ 0.00804
3. Overrun Service Rate (1) $ 0.08345 $ 0.00804
RATE SCHEDULE IS Maximum Minimum
---------------- Rate per Dth Rate per Dth
------------ ------------
1. Commodity Rate $ 0.08345 $ 0.00804
SURCHARGE APPLICABLE TO
FS AND IS SERVICE (2) Maximum Minimum
--------------------- Rate per Dth Rate per Dth
------------ ------------
1. ACA $ 0.0019 $ 0.0019
Rate Schedules FS and IS
------------------------
Seller's Injection Use 1.3 %
Seller's Withdrawal Use 0.2 %
(1) See Section 4.2 of Rate Schedule FS for definition.
(2) See Section 5 of Rate Schedules FS and IS for applicability.
(3) Rates applicable for Volumetric Rate Capacity Release.
(4) See Section 1.9 of the General Terms and Conditions of this Tariff.
| ANR Storage Company |
|
Sheet Nos. 6 - 8 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
Reserved for future use.
| ANR Storage Company |
|
Second Revised Sheet No. 9 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 9 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
1. AVAILABILITY
This Rate Schedule is available to any person, corporation,
partnership or any other party (hereinafter referred to as
"Customer") for the purchase of natural gas Storage Service
from ANR Storage Company (hereinafter referred to as
"Seller"), when:
(a) Seller has determined that it has sufficient available
and uncommitted Storage capacity or capacity released in
accordance with Section 7 of this Rate Schedule FS to
perform service requested by Customer; and
(b) Customer and Seller have executed a Service Agreement
under this Rate Schedule.
2. APPLICABILITY AND CHARACTER OF SERVICE
This Rate Schedule shall apply to all Storage Service which is
rendered by Seller for Customer pursuant to an executed
Agreement under this Rate Schedule.
Storage Service rendered by Seller under this Rate Schedule
shall consist of:
(a) The receipt of Gas on behalf of Customer at the Point
of Injection at daily quantities up to the Maximum
Daily Injection Quantity plus Seller's Injection Use;
| ANR Storage Company |
|
First Revised Sheet No. 10 : Effective |
| FERC Gas Tariff | | Original Sheet No. 10 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(b) The Storage of Gas in quantities not to exceed the Maximum
Storage Quantity, except as provided for in Section 6 of this
Rate Schedule; and
(c) The Tender of Gas for redelivery by Seller to or for the
account of Customer at the Point of Withdrawal a quantity not
to exceed Customers Working Storage Gas at daily quantities
up to the Maximum Daily Withdrawal Quantity reduced by
Sellers Withdrawal Use.
(d) The receipt of Gas on behalf of Customer and redelivery of Gas
for the account of Customer in excess of its applicable
Maximum Daily Injection Quantity and Maximum Daily Withdrawal
Quantity on a best efforts basis by Seller when required to
allow Customer full utilization of its Maximum Storage
Quantity.
(e) Storage Service under this Rate Schedule shall be firm up to
the Maximum Storage Quantity and shall be firm up to the
Maximum Daily Withdrawal Quantity and Maximum Daily Injection
Quantity on any Day. The Maximum Storage Quantity, the Maximum
Daily Injection Quantity, and the Storage Demand Withdrawal
Quantity shall be specified in the executed Agreement.
| ANR Storage Company |
|
Twelfth Revised Sheet No. 11 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 11 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
3. GENERAL TERMS AND CONDITIONS
The General Terms and Conditions of this Tariff are applicable
to this Rate Schedule, and are specifically incorporated herein
by reference.
4. RATES AND CHARGES
The amounts which shall be paid by Customer to Seller for each
Month during the period of service hereunder shall include the
sum of the charges due under the subsections of this Section 4
and charges under Section 5, below, that are applicable to
Customer for such Month, computed by use of the applicable
rates set forth on Sheet No. 5 of this Tariff which are
effective during such Month or portions thereof, or pursuant to
Section 18 of the General Terms and Conditions of this Tariff,
Seller and Customer may mutually agree upon a negotiated rate
to be paid by Customer to Seller for each Month during the
period of service provided by Seller to Customer.
Each total rate computed for a specific transaction shall be
rounded to the nearest one tenth of a cent. If, at initiation
of service, service is provided for only a portion of a Month,
any applicable reservation fee shall be prorated for the number
of Days that service is provided.
4.1 Storage Charges:
(a) Reservation Charges:
(1) The FS Deliverability Reservation Rate shall
be paid each Month for each Dekatherm of
Customer's Storage Demand Withdrawal
Quantity.
(2) The FS Capacity Reservation Rate shall be
paid each Month for each Dekatherm of
Customer's Maximum Storage Quantity.
(3) If, due to Seller's scheduling of necessary
maintenance of pipeline facilities,
necessary maintenance of compression
facilities and/or facility outages for tie-
in of new facilities, Seller fails to Tender
for redelivery or accept
| ANR Storage Company |
|
Second Revised Sheet No. 12 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 12 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
for Storage injection at the Point of Injection/Withdrawal
for the account of Customer during any Day the quantity of
Gas that Customer has so nominated for such Day up to a
Customer's Maximum Daily Injection Quantity or Maximum
Daily Withdrawal Quantity, as applicable, then subject to
the provisions of the General Terms and Conditions of this
Tariff, Customer's Monthly bill shall be reduced by an
amount equal to the product of
(a):
A x B x 12 + D X 12
----------
C
Where: A = Deliverability Rate
B = Storage Demand Withdrawal Quantity
C = Maximum Storage Quantity
D = Capacity Charge
and (b): the difference between such quantity of Gas
nominated for injection or withdrawal up to the Maximum
Daily Injection Quantity or Maximum Daily Withdrawal
Quantity, as applicable, and the applicable quantity
actually injected or withdrawn by Seller for the account
of Customer during such Day. Such reductions of
Seller's Reservation Charges shall not be applicable in
the event of Seller's failure to accept from Customer
quantities of Gas tendered for injection during April 1
of any calendar year through October 31 of such year, if
Seller and Customer agree upon and place into effect the
make-up of such injection deficiency during such April
through October period.
(b) Commodity Charge: The Injection/Withdrawal Commodity
Rate shall be paid each Month for Each Dekatherm Of Gas
Which Is Delivered to or for the account of Customer and
Each Dekatherm of Gas Customer delivers or causes to be
delivered at the Point of Injection/Withdrawal during
the Month. Such charges shall be applicable both on
injection and on withdrawal.
| ANR Storage Company |
|
First Revised Sheet No. 13 : Effective |
| FERC Gas Tariff | | Original Sheet No. 13 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
4.2 Overrun Service Charge: An overrun rate shall be paid
for each Dekatherm of service provided on behalf of
Customer pursuant to Section 6, below. As set forth on
Sheet No. 5 of this Tariff, the Overrun Service Charge
shall consist of the Overrun Service Rate for each
Dekatherm of the Average Monthly Storage Volume which is
stored for or on behalf of Customer during the Month
greater than the Customer's Maximum Storage Quantity.
4.3 Seller's Use Charge: Customer shall furnish the Gas for
Seller's Injection Use and Seller's Withdrawal Use in
the Storage Service as set forth on Sheet No. 5 of this
Tariff.
4.4 Annual Charges Clause Adjustment (ACA): Seller shall
collect the ACA charge from Customer for all Gas stored
hereunder, as authorized by the Commission's Orders, so
that Seller may recoup the annual charges assessed by
the Commission for the previous fiscal year in
accordance with its final Order No. 472, issued May 29,
1987, and Order No. 472-B, issued September 16, 1987 at
Docket No. RM87-3 or any superseding Commission Order.
The currently effective rate for such charge shall be
stated on Sheet No. 5 of this Tariff. Any subsequent
changes in such assessment charge shall be filed by
Seller at least 30 Days prior to the proposed effective
date unless, for good cause shown, lesser periods are
allowed by valid Commission Order.
4.5 Rate Changes: Subject to the provisions of the
Agreement agreed to by Customer and Seller, Seller may
from time to time and at any time selectively adjust any
or all of the rates charged to any individual Customer
for which a Maximum Rate and Minimum Rate are stated on
Sheet No. 5 of this Tariff or a superseding Tariff;
provided, however, that such adjusted rate(s) shall not
exceed the applicable Maximum Rate(s), nor shall they be
less than the Minimum Rate(s), set forth on such sheet.
Seller shall have the right to charge the Maximum Rate
at any time as a condition for new service or for
continuation of service under an existing Agreement
unless agreed to otherwise between Seller and Customer.
Whenever Seller adjusts the rate to be charged to a
Customer pursuant to this Section 4.5, notice thereof
shall be given to Customer not less than seventy-two
(72) hours prior to the effective date of such
adjustment.
| ANR Storage Company |
|
Fourth Revised Sheet No. 14 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 14 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
5. ADDITIONAL CHARGES
5.1 Commission and Other Regulatory Fees: Customer shall
reimburse Seller for all fees required by the Commission
or any other regulatory body which are related to
service provided under this Rate Schedule including, but
not limited to, filing, reporting and application fees.
5.2 Other Charges: Customer shall pay any other charges
applicable to service hereunder authorized by the
Commission or any other successor agency having
jurisdiction.
5.3 Third Party Charges. If Customer requests, and Seller
agrees, that Seller shall, to provide service to Customer,
use service which Seller has contracted for with third
party(s) pursuant to Section 20 of the General Terms and
Conditions of this Tariff for the benefit of Customer,
Customer shall pay Seller an amount up to the charges Seller
is obligated to pay such third party(s), which charges may
include, but are not limited to, reservation and/or Usage
Charges and surcharges, fuel charges, compression fees,
balancing or Storage fees, measurement fees, processing
fees, and/or facility charges. Such charges shall be set
forth as separate items on billings rendered to Customer.
6. STORAGE OVERRUN SERVICE
Customer may request Seller to provide Storage Service under
this Rate Schedule for quantities of Gas in excess of
Customer's Maximum Storage Quantity. Service requested under
this section must be nominated separately as "overrun" by
Customer. Seller may provide such Overrun Service on an
interruptible basis if, in Seller's judgment, it can provide
the service without adverse effect on Seller's operations or
on Seller's ability to meet higher priority obligations.
Customer shall pay the Overrun Service Charge pursuant to
Section 4.2 of this Rate Schedule FS for such overrun Storage
Service.
7. CAPACITY RELEASE
Any Customer or Replacement Customer under Rate Schedule FS
shall be entitled to release all or a portion of its capacity
to Seller for resale. Additionally, Customer may release its
capacity on a volumetric basis. Any Customer or Replacement
Customer releasing capacity will be designated a Releasing
Customer. Any person purchasing released capacity shall be
designated a Replacement Customer. Any Customer that wants to
release capacity must notify Seller that it wants to release
capacity and the terms and conditions of such release.
| ANR Storage Company |
|
Seventh Revised Sheet No. 14A : Effective |
| FERC Gas Tariff | | Sixth Revised Sheet No. 14A |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
7.1(a) PROCEDURE FOR MAKING OFFER TO RELEASE. Releasing Customer shall communicate its
release notice through Seller's Internet Site. The Releasing Customer shall submit
the following information, objectively stated and applicable to all potential
Customers on a non-discriminatory basis:
(1) the pricing provisions of the offer to release (releases longer than one (1) year
are subject to the limits of Seller's Maximum Rate) and whether bids should be
denominated in dollars and cents or as a percentage of Maximum Tariff Rate; any
Maximum/Minimum Rates specified by the releasing shipper should include the Tariff
Reservation Rate and all demand surcharges as a total number or as stated
separately;
If the release is for a term of one (1) year or less and is to take effect on
or before one (1) year from the date on which the Seller is notified of the
release, the Deliverability Rate, Capacity Rate, volumetric rate or
percentage of the maximum tariff rate for capacity released and assigned may
exceed the maximum Deliverability Rate, maximum Capacity Rate or volumetric
rate for the service being released.
Payments or other consideration exchanged between the Releasing Customer and
Replacement Customer in a release to an asset manager as described in
Subsection 7.1(f) are not subject to the maximum rate.
(2) the specific quantity to be released expressed in Dth; the basis for released
quantity should be per Day for Storage Injection/Withdrawal, and a per release
quantity for Storage capacity and total release period quantity;
(3) the duration of release or term including any right to recall;
(4) The terms and conditions of any recall rights. Releasing Customers may, to the
extent permitted as a condition of the capacity release, recall released capacity
by providing notice to the Seller in accordance with the timeline set forth below.
The recall notification shall show the recall quantity expressed in terms of
adjusted total released capacity entitlements based upon the Elapsed Prorata
Capacity. Recalled capacity notices will indicate whether penalties will apply
for the gas day for which quantities are reduced due to a capacity recall. Seller
will support the ability for the Releasing Shipper to specify, as a condition of a
release, whether the Releasing Shipper's recall notification must be provided
exclusively on a Business Day. When capacity is recalled, it may not be reput for
the same gas day. The deadline for notifying Seller of a reput is 8:00 a.m. to
allow for the timely nominations to flow on the next gas day.
(i) Timely Recall Notification
(a) A Releasing Customer recalling capacity should provide notice of such
recall to the Seller and the first Replacement Customer no later than
8:00 a.m. on the Day that Timely Nominations are due;
(b) The Seller should provide notification of such recall to all affected
Replacement Customers no later than 9:00 a.m. on the Day that Timely
Nominations are due (Central Clock Time);
(ii)Early Evening Recall Notifications:
(a) A Releasing Customer recalling capacity should provide notice of such
recall to the Seller and the first Replacement Customer no later than
3:00 p.m. on the Day that Evening Nominations are due;
(b) The Seller should provide notification of such recall to all affected
Replacement Customers no later than 4:00 p.m. on the Day that Evening
Nominations are due (Central Clock Time);
| ANR Storage Company |
|
Fourth Revised Sheet No. 14B : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 14B |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(iv) Intraday 1 Recall Notifications:
(a) A Releasing Customer recalling capacity should
provide notice of such recall to the Seller and the
first Replacement Customer no later than 7:00 a.m. on
the Day that Intraday 1 Nominations are due;
(b) The Seller should provide notification of such
recall to all affected Replacement Customers no
later than 8:00 a.m. on the Day that Intraday 1
Nominations are due (Central Clock Time); and
(v) Intraday 2 Recall Notifications:
(a) A Releasing Customer recalling capacity should
provide notice of such recall to the Seller and the
first Replacement Customer no later than 2:30 p.m.
on the Day that Intraday 2 Nominations are due;
(b) The Seller should provide notification of such
recall to all affected Replacement Customers no
later than 3:30 p.m. on the Day that Intraday 2
Nominations are due (Central Clock Time).
For recall notification provided to the Seller prior to the recall
notification deadline specified above and received between 7:00
a.m. and 5:00 p.m., the Seller should provide notification to all
affected Replacement Customers no later than one hour after
receipt of such recall notification. For recall notification
provided to the Seller after 5:00 p.m. and prior to 7:00 a.m., the
Seller should provide notification to all affected Replacement
Customers no later than 8:00 a.m. after receipt of such recall
notification (Central Clock Time). Releasing Customer may only
recall such released capacity that Replacement Customer has not
filled. The Releasing Customer shall make such recall by
notifying Seller in writing of such recall and by submitting a
nomination change to Seller, pursuant to Section 4.1 of the
General Terms and Conditions of this Tariff;
In the event of an intra-day capacity recall, Seller will
determine the allocation of capacity between the Releasing Shipper
and the Replacement Shipper(s) based upon the Elapsed Prorata
Capacity. Variations to the use of Elapsed Prorata Capacity may
be necessary to reflect the nature of Seller's Tariff, services,
and/or operational characteristics.
Seller will not be obligated to deliver in excess of the total
daily contract quantity of the release as a result of NAESB WGQ
Standard No. 5.3.55.
The amount of capacity allocated to the Replacement Shipper(s)
should equal the original released capacity less the recalled
capacity that is adjusted based upon the Elapsed Prorata Capacity
or other Seller Tariff specific variations of the Elapsed Prorata
Capacity in accordance with NAESB WGQ Standard No. 5.3.56.
| ANR Storage Company |
|
Sixth Revised Sheet No. 15 : Effective |
| FERC Gas Tariff | | Fifth Revised Sheet No. 15 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(5) whether the release is on a permanent or temporary basis;
(6) the length of time the offer to release should be posted for
bidding on Seller's Internet Site;
(7) whether there are any reput rights;
(8) and any other conditions or contingencies of the offer to release,
including nondiscriminatory provisions necessary to evaluate bids and
the tie breaking criteria, provided, however, that bid evaluations will
be limited to highest rate, net revenue and present value;
(9) the legal name of the Replacement Customer that is designated in
any Pre-arranged Release ("Designated Replacement Customer"); and
(10) the bid evaluation method; and
(11) Volumetric Release - any minimum volumetric commitment.
(12) An indication of whether the Pre-arranged capacity release is to an
asset manager as described in Subsection 7.1(f), and the asset
manager's obligation as to volumetric level and effective time
period(s) to deliver gas to, or purchase gas from the Releasing
Customer.
(13) An indication of whether the Pre-arranged capacity release is to a
marketer participating in a state-regulated retail access program
as described in Subsection 7.1(f).
(b) Seller's creditworthiness standards shall apply to any potential
Replacement Customer and Releasing Customer shall not establish its own
creditworthiness standards for bidding customer.
(c) Releasing Customer may withdraw any existing offer to release, if a
valid bid has not been received. Releasing Customer shall be subject to
the provisions of Section 8, below, prior to the commencement of the
Agreement with Replacement Customer. Releasing Customer may withdraw its
offer to release any time prior to the close of the bidding period via
the Internet Site or EDM, where unanticipated circumstances justify such
withdrawal or when no bid has been received which meets the Releasing
Customer's minimum conditions. Releasing Customer shall have the option
to accept contingent bids which extend beyond the close of the bidding
period. Releasing Customer cannot extend the original bid period or the
pre-arranged deal Matching Period without posting a new release.
Rerelease of Released Capacity shall be allowed on the same terms and
basis as the primary release (except for volumetric releases which may
not be rereleased).
(d) CAPACITY RELEASE TIMELINE. The Capacity Release Timeline is applicable
to all parties of the Capacity Release process; however it is only
applicable if: (1) all information provided by parties to the
transaction is valid and Replacement Customer has been determined to be
credit worthy before the capacity release bid is tendered and (2)
release contains no special terms or conditions of the release.
| ANR Storage Company |
|
Fifth Revised Sheet No. 15B : Effective |
| FERC Gas Tariff | | Fourth Revised Sheet No. 15A |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(i) For biddable releases (less than 1 year):
(1) offers should be tendered by 12:00 p.m. on a Business
Day;
(2) open season ends no later than 1:00 p.m. on a Business
Day(evaluation period begins at 1:00 p.m. during which
contingency is eliminated, determination of best bid is
made, and ties are broken);
(3) evaluation period ends and award posting if no match
required at 2:00 p.m.;
(4) match or award is communicated by 2:00 p.m.;
(5) match response by 2:30 p.m.;
(6) where match required, award posting by 3:00 p.m.;
(7) contract issued within one hour of award posting (with a
new contract number, when applicable); nomination
possible beginning at the next available nomination cycle
for the effective date of the contract. (Central Clock
Time)
(ii) For biddable releases (1 year or more):
(1) offers should be tendered by 12:00 p.m. four Business Days
before award;
(2) open season ends no later than 1:00 p.m. on the Business
Day before timely nominations are due (open season is three
Business Days);
(3) evaluation period begins at 1:00 p.m. during which
contingency is eliminated, determination of best bid is
made, and ties are broken;
(4) evaluation period ends and award posting if no match
required at 2:00 p.m.;
(5) match or award is communicated by 2:00 p.m.;
(6) match response by 2:30 p.m.;
(7) where match required, award posting by 3:00 p.m.;
(8) contract issued within one hour of award posting (with a
new contract number, when applicable); nomination possible
beginning at the next available nomination cycle for the
effective date of the contract. (Central Clock Time)
| ANR Storage Company |
|
Fourth Revised Sheet No. 15B : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 15B |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(iii) For non-biddable releases:
Timely Cycle
Posting of prearranged deals not subject to bid are due
by 10:30 a.m.
Evening Cycle
Posting of prearranged deals not subject to bid are due
by 5:00 p.m.
Intraday 1 Cycle
Posting of prearranged deals not subject to bid are due
by 9:00 a.m.
Intraday 2 Cycle
Posting of prearranged deals not subject to bid are due
by 4:00 p.m.
For each cycle, contracts will be issued within one hour of
award posting (with a new contract number, when applicable);
nomination possible beginning at the next available
nomination cycle for the effective date of the contract.
(Central Clock Time)
(e) COMPETITIVE BIDDING PROCEDURE. Bids may be submitted by
potential Replacement Customers via the Internet Site during the
posting period. Seller shall post the terms of each complete bid,
but will not post the identity of the bidder. Posted bids will
be accessible via EDM. Seller will also require all information
set forth in Section 2 of the General Terms and Conditions of
this Tariff. Potential Replacement Customer bids for capacity
release transactions longer than one (1) year may not exceed the
Maximum Rates as stated on Sheet No. 5 of this Tariff. Upon
expiration of the offer, Seller shall remove such offer of
release from its Internet Site.
Potential Replacement Customers may withdraw their posted bids at
any time during the bidding period via the Internet Site or EDM.
Potential Replacement Customers cannot withdraw bids after the
bidding period ends. Such potential Replacement Customers may
not post another bid for the same capacity lower than their
previous bid.
Seller will post offers and bids, including prearranged deals,
upon receipt. A Releasing Customer may request a later posting
time for posting of such offer, and Seller will support such
request insofar as it comports with the standard Capacity Release
timeline specified in Section 7.1(d), above.
| ANR Storage Company |
|
Seventh Revised Sheet No. 16 : Effective |
| FERC Gas Tariff | | Sixth Revised Sheet No. 16 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(f) PRE-ARRANGED RELEASE
(i) Releasing Customer shall have the right to release capacity to a Pre-
arranged Replacement Customer without posting an offer on the Internet
Site if:
(1) the Replacement Customer confirms via the Internet Site the terms
and conditions of the Pre-arranged Release.
(2) the release is either at Maximum Rates, for releases longer than one
(1) year and meets all other terms and conditions of the release, or
(3) the release is less than 31 Days, or
(4) the release is to an asset manager that contains a condition that the
Releasing Customer may call upon the Replacement Customer to deliver
to, or purchase from, the Releasing Customer a volume of gas up to 100
percent of the daily contract demand of the released storage capacity,
provided that, the asset manager's delivery or purchase obligation
need only be up to 100 percent of the daily contract demand under the
release for storage withdrawals or injections, or
(5) the release is to a marketer participating in a state-regulated
retail access program that will be utilized by the Replacement
Customer to provide the gas supply requirement of retail consumers
pursuant to a retail access program approved by the state agency with
jurisdiction over the local distribution company that provides
delivery service to such retail consumers.
If Releasing Customer exercises such right, it must notify Seller prior
to the nomination of the released entitlements, and the Replacement
Customer shall adhere to the contracting requirements. Seller will post
the information on the Internet Site pursuant to the timeline set forth
in Section 7.1(d)(iii), above. The Replacement Customer shall meet any
eligibility requirements under this Section 7. Pre-arranged Replacement
Customer nominations possible at the earliest nomination opportunity at
the time Seller receives notification of release. Seller shall issue
contract within one hour of the notification of the release.
| ANR Storage Company |
|
Third Revised Sheet No. 16A : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 16A |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(ii) Matching Rights. A Pre-arranged Replacement Customer
shall have the right of first refusal for a time period
as negotiated by the Releasing Customer and the Pre-
arranged Replacement Customer ("Matching Period"). If no
Matching Period has been negotiated, the Matching Period
will be deemed to be one (1) hour following the time the
Pre-arranged Replacement Customer has been notified of
the winning bid. In the event a bid is received that
more closely meets the criteria specified by the
Releasing Customer, Seller shall provide the Pre-arranged
Replacement Customer an opportunity during the Matching
Period to match or exceed the bid that more closely meets
the criteria specified by the Releasing Customer. No
later than 2:00 p.m. Central Clock Time, the Pre-arranged
Replacement Customer shall receive notification on the
Internet Site of the terms and conditions of the
prevailing bid and shall have the Matching Period to
respond via the Internet Site. No later than 2:30 p.m.
Central Clock Time, the Pre-arranged Replacement Customer
shall post on the Internet Site its match response.
Absent a response, the capacity shall be awarded to the
prevailing bidder no later than 3:00 p.m. Central Clock
Time.
(g) Capacity will be awarded no later than 3:00 p.m. Central
Clock Time. The capacity will be awarded to the Replacement
Customer which otherwise satisfies the requirements of this
Tariff and also meets all of the conditions of the offer to
release capacity. In the case of multiple bid winners, the
highest ranking bid will receive the entire maximum amount of
capacity bid. The next highest ranking bidder will receive
the remainder of the offered capacity provided that the
amount remaining is above the bidder's minimum acceptable
quantity. Any remaining capacity will be given to the next
highest bidder with the same provisions as above. This
process will repeat until either all of the offered capacity
is awarded or the remaining capacity falls below either the
Releasing Customer's minimum quantity or all of the remaining
bidder's acceptable quantities. Seller shall not be required
to contract with parties submitting bids that do not meet the
conditions of the offer to release capacity, however, subject
to approval of Releasing Customer, Seller may accept bids
offering a price or term less than that set forth in the
release. Bids will be evaluated by the criteria provided by
the Releasing Customer. If no criteria are provided by the
Releasing Customer, bids will be accepted in the order of
priority based upon the highest economic value offered by the
competing bids as defined in Section 10 of the General Terms
and Conditions of this Tariff. The ultimate awarding of the
capacity will be posted subsequently on Seller's Internet
Site by 4:00 p.m. Central Clock Time, unless bidder was a
contingent bidder and the contingency did not occur. Seller
will tender a numbered Agreement within one hour to the
winning bidder, and the winning bidder shall enter into an
Agreement with Seller pursuant to Section 7.2, below.
| ANR Storage Company |
|
First Revised Sheet No. 16B : Effective |
| FERC Gas Tariff | | Original Sheet No. 16B |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
Seller is required to meet the Capacity Release
Timeline for processing capacity releases only if
the Releasing Customer's best bid methodology is
either: (1) highest rate, (2) net revenue, or (3)
present value. In all cases, Replacement
Customers will be subject to all requirements of
this Tariff. Storage Service to the Replacement
Customer may commence, prior to the posting of the
winning bid, if capacity has been awarded and a
contract executed.
7.2 EXECUTION OF SERVICE AGREEMENT. Once the provisions of
this Section 7 are satisfied and as a condition
precedent to receiving service pursuant to a capacity
release, Replacement Customer shall execute a Service
Agreement with Seller.
7.3 BILLING ADJUSTMENT. Releasing Customer shall remain
fully obligated under the terms of its Service Agreement
with Seller during any capacity release except for Usage
Charges incurred
| ANR Storage Company |
|
Third Revised Sheet No. 17 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 17 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
by any Replacement Customer that has purchased capacity
released by the Releasing Customer.
Seller shall credit the invoice of Releasing Customer
each Month for the Deliverability and Capacity charges
and volumetric rates invoiced, by Seller to Replacement
Customer provided, however, that such credit:
(a) shall not include any charges billed to the
Replacement Customer under Section 5 of this Rate
Schedule or Rate Schedule IS, and
(b) shall be reduced by the amount of any marketing
fee Seller is entitled to collect pursuant to
Section 7.4, below.
If a Replacement Customer fails to pay all or any part
of its Deliverability and Capacity charges which have
been credited to Releasing Customer within fifteen (15)
Days of the due date, such unpaid amount, with
applicable interest accruing from the date Replacement
Customer's payment was due, will be charged to the
Releasing Customer's next monthly bill and will be due
and payable by Releasing Customer, unless Replacement
Customer in good faith shall dispute the billed charges
in accordance with the provisions set forth in Section
8.2 of the General Terms and Conditions of this Tariff.
If such failure to pay continues for thirty (30) Days
after payment is due, and the Replacement Customer has
not disputed billings in accordance with Section 8.2 of
the General Terms and Conditions of this Tariff, then
Seller may, in addition to any other remedies it may
have hereunder, terminate its Agreement with the
Replacement Customer, and the Replacement Customer shall
be deemed to have consented to abandonment of service
under the Agreement. If the Agreement with the
Replacement Customer is so terminated and service
abandoned, the capacity will revert to the Releasing
Customer, and will be governed by the terms and
conditions of its existing Agreement with Seller. If
Releasing Customer pays delinquent amounts owed by
Replacement Customer and Seller subsequently receives
payment from Replacement Customer of some or all of such
amounts, Seller will credit the amounts received from
the Replacement Customer in Seller's next monthly bill
to the Releasing Customer.
| ANR Storage Company |
|
Fifth Revised Sheet No. 18 : Effective |
| FERC Gas Tariff | | Fourth Revised Sheet No. 18 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
7.4 MARKETING FEE. Seller may negotiate with Releasing
Customer to market all or a portion of the released
capacity to potential Replacement Customers who, as a
result of such marketing activity, bid for such capacity
during the competitive bidding procedure. If Seller
contracts with a Replacement Customer found by Seller,
Seller shall be entitled to a marketing fee which will
be negotiated between Seller and Releasing Customer,
such marketing fee to be deducted monthly from credits
due Releasing Customer with respect to each Dth of
capacity purchased by the Replacement Customer. Each
Replacement Customer found by Seller shall submit with
its bid a statement attesting to Seller's marketing
efforts in connection with such Replacement Customer's
decision to purchase released capacity. Such statement
shall constitute conclusive evidence of Seller's
proactive marketing effort entitling Seller to a
marketing fee.
7.5 TERM. Any release under this Section 7 for service
under Rate Schedule FS shall be for a maximum term not
longer than the remaining term of the underlying FS
Service Agreement. If capacity is released and the
Replacement Customer takes service under Rate Schedule
IS, the minimum term shall be one Month.
7.6 VOLUMETRIC RELEASE. Customer may release capacity on a
volumetric basis, provided that:
(a) all requirements and conditions of the release be
specified by the Releasing Customer in the release
notice, including any minimum Storage volume
requirement, and
(b) the requirements and conditions specified by
Releasing Customer must meet all of the
requirements and conditions of Seller's Tariff,
and
(c) Volumetric Rate For Release must fall below the
Maximum Rates for releases longer than one (1)
year as stated on Sheet No. 5 of this Tariff, and
| ANR Storage Company |
|
Seventh Revised Sheet No. 19 : Effective |
| FERC Gas Tariff | | Sixth Revised Sheet No. 19 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(d) Seller will bill the Volumetric Rate for Release
for volumes actually injected into Storage by
Seller for the account of Replacement Customer or
the minimum Storage volume requirement if actual
injected volumes are less than the required
minimum Storage volume requirement, and
(e) Replacement Customer shall remain fully
responsible for all Usage Charges incurred.
7.7 Notice of releases made under Section 7.1(f) shall be
posted on Seller's Internet Site not later than the
first nomination after the release transaction
commences.
7.8 Prior to the commencement of service pursuant to any
release request, the Replacement Customer may be
required to submit to Seller, in accordance with Section
2.1 of the General Terms and Conditions of this Tariff
hereunder, a check in an amount equal to the lesser of
$10,000 or the aggregate reservation charges which would
be due for two (2) Months of released service.
7.9 Releases of 31 Days or Less. Releasing Customer shall not
re-release firm entitlements that were previously released
pursuant to Section 7.1(f), above, to the same Replacement
Customer until twenty-eight (28) days after the first
release period has ended. The 28-Day hiatus does not apply
to any re-release to the same Replacement Customer that is
posted for bidding or that qualifies for any of the
exemptions from posting under Section 7.1(f).
Subsections 7.1(f)(i)(2), 7.1(f)(i)(4), and 7.1(f)(i)(5)
releases can be rolled-over for subsequent periods
without bidding.
8. GAS IN STORAGE AFTER TERMINATION OF AGREEMENT
If a Customer which has not renewed its FS Agreement, prior to
the end of the term of such Agreement, fails to withdraw all of
its Working Storage Gas by the end of the date such FS
Agreement terminates, then, at Seller's option, and upon forty-
eight (48) hours notice, Customer will be deemed to have agreed
to the Storage of such remaining Working Storage Gas under Rate
Schedule IS or at Seller's option, Seller may retain any
remaining quantities of
| ANR Storage Company |
|
Third Revised Sheet No. 20 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 20 |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
Working Storage Gas free and clear of any adverse claims;
provided however, that Seller will notify Customer in writing
seven Months prior to termination of its FS Agreement of the
quantity of Storage Volumes being held by Seller for
Customer's account and the above options available to Seller
in the event Customer fails to withdraw all of its Working
Storage Gas by the end of said Storage Contract Year. In the
event Seller is unable to withdraw Customer's properly
nominated volumes, up to the Customer's Maximum Daily
Withdrawal Quantity, on any Day during the last Storage
Contract Year prior to the expiration of the Agreement, then
the term of the Agreement shall be extended by the number of
Days Seller is unable to Tender quantities of Gas for
redelivery.
9. DEFINITIONS
9.1 The term "Storage Demand Injection Quantity" shall mean:
(a) Fifty Percent (50%) of Customer's Storage Demand
Withdrawal Quantity when Customer's Storage Demand
Withdrawal Quantity is greater than or equal to
1/30th of the Maximum Storage Quantity.
(b) 1/130 of Customer's Maximum Storage Quantity when
Customer's Storage Demand Withdrawal Quantity is
less than 1/30th of the Maximum Storage Quantity.
9.2 The term "Maximum Daily Injection Quantity" shall mean:
(a) Storage Demand Injection Quantity as long as
Customer's Working Storage Gas is equal to or less
than fifty-five percent (55%) of the Maximum
Storage Quantity.
(b) Seventy-five Percent (75%) of the Storage Demand
Injection Quantity as long as Customer's Working
Storage Gas is greater than fifty-five (55%) of
the Maximum Storage Quantity, but equal to or less
than eighty percent (80%) of the Maximum Storage
Quantity.
| ANR Storage Company |
|
Third Revised Sheet No. 20A : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 20A |
| Original Volume 1 |
RATE SCHEDULE FS
FIRM STORAGE
(Continued)
(c) Sixty-five Percent (65%) of the Storage Demand Injection
Quantity as long as Customer's Working Storage Gas is
greater than eighty (80%) of the Maximum Storage
Quantity.
9.3 The term "Storage Demand Withdrawal Quantity" shall mean a
number of Dths that cannot be greater than 1/10 of the Maximum
Storage Quantity nor less that 1/126 of the Maximum Storage
Quantity reduced by the Dths required for Seller's Withdrawal
Use, as set forth on Exhibit A of this Agreement.
9.4 The term "Maximum Daily Withdrawal Quantity" shall mean:
(a) Storage Demand Withdrawal Quantity as long as Customer's
Storage Demand Withdrawal Quantity is greater than or
equal to 1/30 of the Maximum Storage Quantity,
otherwise.
(b) Storage Demand Withdrawal Quantity as long as Customer's
Working Storage Gas is equal to or greater than twenty
percent (20%) of the Maximum Storage Quantity.
(c) Seventy Percent (70%) of the Storage Demand Withdrawal
Quantity as long as Customer's Working Storage Gas is
less than twenty percent (20%), but equal to or greater
than ten percent (10%) of the Maximum Storage Quantity.
(d) Forty Percent (40%) of the Storage Demand Withdrawal
Quantity as long as Customer's Working Storage Gas is
less than ten percent (10%) of the Maximum Storage
Quantity.
9.5 Unless mutually agreed to otherwise, the term "Storage
Contract Year" shall mean the period from April 1 of the
calendar year through March 31 of the following calendar
year.
9.6 The term "Permanent Capacity Release" shall mean the release of
capacity by the Customer for the remaining term of its
Agreement with Seller. Releasing Customer shall not be liable
for any charges incurred by the Replacement Customer after the
Permanent Capacity Release. Replacement Customer shall be
subject to all terms of this Tariff.
| ANR Storage Company |
|
Sheet Nos. 21 - 24 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
Reserved for future use.
| ANR Storage Company |
|
Third Revised Sheet No. 25 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 25 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule FS)
THIS AGREEMENT entered into as of the ____ day of ___________,
20___, by and between ANR Storage Company, a Michigan Corporation,
hereinafter referred to as "Seller," and
___________________________, hereinafter referred to as "Customer."
W I T N E S S E T H
WHEREAS, Customer has requested Seller to store Gas on its
behalf; and
WHEREAS, Seller has sufficient capacity available to provide
the Storage Service for Customer on the terms specified herein;
NOW, THEREFORE, Seller and Customer agree as follows:
ARTICLE I
STORAGE SERVICE
1. Seller's service hereunder shall be subject to receipt of all
requisite regulatory authorizations from the Federal Energy
Regulatory Commission ("Commission"), or any successor regulatory
authority, and any other necessary governmental authorizations, in
a manner and form acceptable to Seller.
2. Subject to the terms and provisions of this Agreement, Customer may
on any Day deliver or cause to be delivered to Seller, Gas up to
the Maximum Daily Injection Quantity plus Seller's Injection Use
for Storage of up to the Maximum Storage Quantity, and at
Customer's request on any Day Seller agrees to Tender Equivalent
Quantities of Gas to or for the account of Customer, on a firm
basis, up to the Maximum Daily Withdrawal Quantity, reduced by
Seller's Withdrawal Use.
3. Seller may, if requested by Customer, inject or withdraw from
Storage daily quantities in excess of the Maximum Daily Injection
Quantity or Maximum Daily Withdrawal Quantity specified in
Paragraph 2, above, if it can do so without adverse effect on
Seller's operations or its ability to meet its higher priority
obligations.
| ANR Storage Company |
|
Third Revised Sheet No. 26 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 26 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule FS)
(Continued)
ARTICLE II
POINT OF INJECTION AND POINT OF WITHDRAWAL
1. Customer shall deliver or cause to be delivered Gas hereunder at
the Point of Injection.
2. Seller shall Tender to or for the account of Customer, Equivalent
Quantities of Gas stored hereunder, at the Point of Withdrawal.
ARTICLE III
TERM OF AGREEMENT
1. This Agreement shall be effective as of the date first above
written and shall remain in effect for a primary term commencing
April 1, _____ and ending March 31, _____, unless mutually
agreed to otherwise.
ARTICLE IV
RATE SCHEDULE AND CHARGES
1. Each Month, Customer shall pay Seller for the service hereunder, an
amount determined in accordance with Seller's Rate Schedule FS and
the applicable provisions of the General Terms and Conditions of
Seller's FERC Gas Tariff, Original Volume No. 1 ("Tariff"), as
filed with the Commission. Such Rate Schedule and General Terms
and Conditions are incorporated by reference and made a part
hereof. Sections VI & VII of Exhibit A hereto sets forth the
applicable information as follows, which shall be utilized for
transactions hereunder:
(a) Rates and Charges
(b) Additional charges which are applicable.
| ANR Storage Company |
|
Second Revised Sheet No. 27 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 27 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule FS)
(Continued)
Exhibit A to this Agreement shall specify the Rates and Charges
and Additional charges which are applicable. When the level of
any Rates and Charges or Additional charges is changed pursuant
to Commission authorization or direction, Seller may
unilaterally effect an amendment to Exhibit A to reflect such
change(s) by so specifying in a written communication to
Customer.
2. It is further agreed that Seller may seek authorization from the
Commission and/or other appropriate body for such changes to any
rate(s) and terms and conditions set forth herein, in Rate Schedule
FS or in the General Terms and Conditions of Seller's Tariff, as
may be found necessary to assure Seller just and reasonable rates.
Nothing herein contained shall be construed to deny Customer any
rights it may have under the Natural Gas Act, as amended, including
the right to participate fully in rate proceedings by intervention
or otherwise to contest Seller's filing in whole or in part.
3. Further Agreement:
(Write None or specify the agreement).
ARTICLE V
NOTICE
1. Except as may be otherwise provided, any notice, request, demand,
statement or bill provided for in this Agreement or any notice
which a party may desire to give the other shall be in writing and
mailed by regular mail, effective as of the postmark date, to the
| ANR Storage Company |
|
Third Revised Sheet No. 28 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 28 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule FS)
(Continued)
post office address of the party intended to receive the same, as
the case may be, as follows:
Seller: ANR Storage Company
717 Texas Street
Houston, Texas 77002-2761
Attention: Transportation Services
Customer: _______________________________________
_______________________________________
_______________________________________
_______________________________________
ARTICLE VI
INCORPORATION BY REFERENCE
The provisions of Rate Schedule FS and the General Terms and
Conditions of Seller's Tariff are specifically incorporated herein
by reference and made a part hereof.
ARTICLE VII
MISCELLANEOUS
1. This Agreement supersedes and cancels the following contract
between the parties hereto effective _____________________:
2. Replacement Customer.
[If Customer is a Replacement Customer, state identity of Releasing
Customer and Contract Number under which capacity is released. The
offer of release issued by the Releasing Customer is incorporated
herein by reference.]
| ANR Storage Company |
|
Original Sheet No. 29 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Sellers Rate Schedule FS)
(Continued)
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be signed by their respective Officers or
Representatives thereunto duly authorized.
ANR Storage Company
By _________________________
Its ________________________
____________________________
(Customer)
By __________________________
Its _________________________
| ANR Storage Company |
|
Second Revised Sheet No. 30 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 30 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule FS)
(Continued)
EXHIBIT "A"
to Agreement between
ANR Storage Company (Seller)
and
_____________________(Customer)
Dated _______________________
I. STORAGE DEMAND INJECTION QUANTITY (Dth)
II. STORAGE DEMAND WITHDRAWAL QUANTITY (Dth)
III. MAXIMUM STORAGE QUANTITY (Dth)
IV. POINT OF INJECTION
V. POINT OF WITHDRAWAL
VI. RATES AND CHARGES - Maximum Rates as set forth on Sheet No. 5
of Seller's Tariff unless otherwise agreed to.
VII. ADDITIONAL CHARGES - pursuant to Section 5 of Rate Schedule FS.
| ANR Storage Company |
|
Sheet Nos. 31 - 43 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
Reserved for future use.
| ANR Storage Company |
|
First Revised Sheet No. 44 : Effective |
| FERC Gas Tariff | | Original Sheet No. 44 |
| Original Volume 1 |
RATE SCHEDULE IS
INTERRUPTIBLE STORAGE
1. AVAILABILITY
This Rate Schedule is available to any person, corporation,
partnership or any other party (hereinafter referred to as
"Customer") for the purchase of natural gas Storage Service
from ANR Storage Company (hereinafter referred to as "Seller"),
when Customer and Seller have executed a Service Agreement
under this Rate Schedule.
2. APPLICABILITY AND CHARACTER OF SERVICE
This Rate Schedule shall apply to all Storage Service which is
rendered by Seller for Customer pursuant to an executed
Agreement under this Rate Schedule.
Storage Service rendered by Seller under this Rate Schedule
shall consist of:
(a) The receipt of Gas on behalf of Customer at the Point of
Injection up to the Maximum Storage Quantity plus
Seller's Injection Use at daily quantities up to the
Maximum Daily Injection Quantity plus Seller's Injection
Use;
(b) The Storage of Gas in quantities not to exceed the
Maximum Storage Quantity; and
(c) The Tender of Gas to or for the account of Customer at
the Point of Withdrawal a quantity not to exceed
Customer's Working Storage Gas reduced by Seller's
Withdrawal Use at daily quantities up to the Maximum
Daily Withdrawal Quantity reduced by Seller's Withdrawal
Use.
Storage Service rendered under this Rate Schedule shall be
interruptible, and shall be available only when capacity is
not being used for injection, Storage and withdrawal of higher
priority services. Such interruptible service shall be offered
in accordance with the provisions established in the General
Terms and Conditions of this Tariff.
Seller may, if Storage capacity is required by Customers
having a higher priority, require Customer to withdraw
quantities held in Storage by Seller for or on behalf of
Customer under Rate Schedule IS within forty-five (45) Days of
the date notice is provided to Customer by Seller, provided
however, if capacity contracted under Rate Schedule IS
interferes with Seller's ability to provide firm
| ANR Storage Company |
|
Second Revised Sheet No. 45 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 45 |
| Original Volume 1 |
RATE SCHEDULE IS
INTERRUPTIBLE STORAGE
(Continued)
service under any Rate Schedule FS Service Agreement, such
forty five (45) Day period shall be reduced to five (5) Days.
3. GENERAL TERMS AND CONDITIONS
The General Terms and Conditions of this Tariff are applicable
to this Rate Schedule and are specifically incorporated herein
by reference.
4. RATES AND CHARGES
The amounts which shall be paid by Customer to Seller for each
Month during the period of service hereunder shall include the
sum of the amounts due under the subsections of this Section 4
and charges under Section 5, below, that are applicable to
Customer for such Month, computed by use of the applicable
rates set forth on Sheet No. 5 of this Tariff which are
effective during such Month or portions thereof, or pursuant to
Section 18 of the General Terms and Conditions of this Tariff,
Seller and Customer may mutually agree upon a negotiated rate
to be paid by Customer to Seller for each Month during the
period of service provided by Seller to Customer.
Each total rate computed for a specific transaction shall be
rounded to the nearest one tenth of a cent.
4.1 Interruptible Service Commodity Charge: A Storage
Commodity Rate shall be paid for each Dekatherm of the
Average Monthly Storage Volume which is stored for or on
behalf of Customer during the Month.
4.2 Seller's Use Charge: Customer shall furnish the Gas for
Seller's Injection Use and Seller's Withdrawal Use in
the Storage Service as set forth on Sheet No. 5 of this
Tariff.
4.3 Annual Charges Clause Adjustment (ACA): Seller shall
collect the ACA charge from Customer for all Gas stored
hereunder, as authorized by the Commission's Orders, so
that Seller may recoup the annual charges assessed by
the Commission for the previous fiscal year in
accordance with its final Order No. 472, issued May 29,
1987, and Order No. 472-B, issued September 16, 1987 at
Docket No. RM87-3 or any superseding Commission Order.
The currently effective rate for such
| ANR Storage Company |
|
First Revised Sheet No. 46 : Effective |
| FERC Gas Tariff | | Original Sheet No. 46 |
| Original Volume 1 |
RATE SCHEDULE IS
INTERRUPTIBLE STORAGE
(Continued)
charge shall be stated on Sheet No. 5 of this Tariff.
Any subsequent changes in such assessment charge shall
be filed by Seller at least 30 Days prior to the
proposed effective date unless, for good cause shown,
lesser periods are allowed by valid Commission Order.
4.4 Rate Changes: Subject to the provisions of the
Agreement agreed to by Customer and Seller, Seller may
from time to time and at any time selectively adjust any
or all of the rates charged to any individual Customer
for which a Maximum Rate and Minimum Rate are stated on
Sheet No. 5 of this Tariff or a superseding Tariff;
provided, however, that such adjusted rate(s) shall not
exceed the applicable Maximum Rate(s), nor shall they be
less than the Minimum Rate(s), set forth on such sheet.
Seller shall have the right to charge the Maximum Rate
at any time as a condition for new service or for
continuation of service under an existing Agreement.
Seller shall make all information filings required by
the Commission's regulations with respect to any charges
at less than the Maximum Rate. Whenever Seller adjusts
the rate to be charged to a Customer pursuant to this
Section 4.4, notice thereof shall be given to Customer
not less than seventy-two (72) hours prior to the
effective date of such adjustment.
4.5 Overrun Service Charge: An overrun rate shall be paid
for each Dekatherm of service provided on behalf of
Customer pursuant to Section 6, below. As set forth on
Sheet No. 5 of this Tariff, the Overrun Service Charge
shall consist of the Storage Commodity Rate for each
Dekatherm of the Average Monthly Storage Volume which is
stored for or on behalf of Customer during the Month
greater than the Customer's Maximum Storage Quantity.
5. ADDITIONAL CHARGES
5.1 Commission and Other Regulatory Fees: Customer shall
reimburse Seller for all fees required by the Commission
or any other regulatory body which are related to
service provided under this Rate Schedule including, but
not limited to, filing, reporting and application fees.
| ANR Storage Company |
|
Second Revised Sheet No. 47 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 47 |
| Original Volume 1 |
RATE SCHEDULE IS
INTERRUPTIBLE STORAGE
(Continued)
5.2 Other Charges: Customer shall pay any other charges
applicable to service hereunder authorized by the
Commission or any successor agency having jurisdiction.
6. STORAGE OVERRUN SERVICE
Customer may request Seller to provide Storage Service under
this Rate Schedule for quantities of Gas in excess of
Customer's Maximum Storage Quantity. Service requested under
this section must be nominated separately as "overrun" by
Customer. Seller may provide such Overrun Service on an
interruptible basis if, in Seller's judgment, it can provide
the service without adverse effect on Seller's operations or on
Seller's ability to meet higher priority obligations. Customer
shall pay the Overrun Service Charge pursuant to Section 4.5,
above, for such overrun Storage Service.
7. WITHDRAWAL PENALTY
If Customer fails to withdraw all Working Storage Gas
quantities held in Storage by Seller for or on behalf of
Customer by the end of the applicable withdrawal period set
forth in Section 2 above, or by the date the IS Agreement
terminates, then Seller may retain such remaining quantities
of Working Storage Gas free and clear of any adverse claims,
unless such failure to withdraw was due to Seller's inability
to withdraw the quantities nominated by Customer, in which
event such applicable withdrawal period shall be extended by
the number of Days Seller is unable to Tender quantities of
Gas for redelivery.
8. DEFINITIONS
8.1 The term "Maximum Daily Injection Quantity" shall mean
one thirtieth (1/30) of the Maximum Storage Quantity.
8.2 The term "Maximum Daily Withdrawal Quantity" shall mean
the greater of one thirtieth (1/30) of the Working
Storage Gas as of the last Day of the prior Month or one
thirtieth (1/30) of the Working Storage Gas as of the
date that Seller notifies Customer that it must withdraw
all of its Working Storage Gas within forty-five (45)
Days or one fifth (1/5) of the Working Storage Gas as of
the date that Seller notifies Customer that it must
withdraw all of its Working Storage Gas within five (5)
Days.
| ANR Storage Company |
|
Sheet Nos. 48 - 51 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
Reserved for future use.
| ANR Storage Company |
|
Second Revised Sheet No. 52 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 52 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule IS)
THIS AGREEMENT entered into as of the ____ day of ___________,
20__, by and between ANR Storage Company, a Michigan Corporation,
hereinafter referred to as "Seller," and
___________________________, hereinafter referred to as "Customer."
W I T N E S S E T H
WHEREAS, Customer has requested Seller to store Gas on its
behalf; and
WHEREAS, Seller has sufficient Storage capacity available to
provide the Storage Service for Customer on the terms specified
herein;
NOW, THEREFORE, Seller and Customer agree as follows:
ARTICLE I
STORAGE SERVICE
1. Seller's service hereunder shall be subject to receipt of all
requisite regulatory authorizations from the Federal Energy
Regulatory Commission ("Commission"), or any successor
regulatory authority, and any other necessary governmental
authorizations, in a manner and form acceptable to Seller.
2. Subject to the terms and provisions of this Agreement,
Customer may deliver or cause to be delivered to Seller on an
interruptible basis, Gas up to the Maximum Daily Injection
Quantity, plus Seller's Injection Use, for Storage up to the
Maximum Storage Quantity, and Seller agrees to receive, store
and redeliver at Customer's request Equivalent Quantities of
Gas to or for the account of Customer, on an interruptible
basis, up to the Maximum Daily Withdrawal Quantity, reduced by
Seller's Withdrawal Use, as set forth on Exhibit A attached
hereto.
3. Seller, if requested by Customer, may inject or withdraw from
Storage daily quantities in excess of the Maximum Daily
Injection Quantity or Maximum Daily Withdrawal Quantity
specified in Paragraph 2, above, if it can do so without
adverse effect on Seller's operations or its ability to meet
all higher priority obligations.
| ANR Storage Company |
|
First Revised Sheet No. 53 : Effective |
| FERC Gas Tariff | | Original Sheet No. 53 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule IS)
(Continued)
ARTICLE II
POINT OF INJECTION AND POINT OF WITHDRAWAL
1. Customer shall deliver or cause to be delivered Gas hereunder
at the Point of Injection.
Seller shall Tender to or for the account of Customer,
Equivalent Quantities of Gas stored hereunder, at the Point of
Withdrawal.
ARTICLE III
TERM OF AGREEMENT
1. This Agreement shall be effective for an initial period as of
the date first written above until _____________________, and
__________ to __________ thereafter, until terminated by
Seller or Customer upon __________ prior written notice to the
other specifying a termination date at the end of such period
or any successive period thereafter. The period of service
hereunder shall be from _______________ until the termination
of this Agreement.
ARTICLE IV
RATE SCHEDULE AND CHARGES
1. Each Month, Customer shall pay Seller for the service
hereunder, an amount determined in accordance with Seller's
Rate Schedule IS and the applicable provisions of the General
Terms and Conditions of Seller's FERC Gas Tariff, Original
Volume No. 1 ("Tariff"), as filed with the Commission. Such
Rate Schedule and General Terms and Conditions are
incorporated by reference and made a part hereof. Section VI
and VII of Exhibit A hereto sets forth the applicable
information as follows, which shall be utilized for
transactions hereunder:
a. Rates and Charges
b. Additional charges which are applicable.
| ANR Storage Company |
|
Third Revised Sheet No. 54 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 54 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule IS)
(Continued)
Exhibit A to the Service Agreement shall specify the Rates and
Charges and Additional charges which are applicable. When the
level of any Rates and Charges or Additional Charges is changed
pursuant to Commission authorization or direction, Seller may
unilaterally effect an amendment to Exhibit A to reflect such
change(s) by so specifying in a written communication to
Customer.
2. It is further agreed that Seller may seek authorization from the
Commission and/or other appropriate body for such changes to any
rate(s) and terms and conditions set forth herein in Rate Schedule
IS or in the General Terms and Conditions of Seller's Tariff, as
may be found necessary to assure Seller just and reasonable rates.
Nothing herein contained shall be construed to deny Customer any
rights it may have under the Natural Gas Act, as amended, including
the right to participate fully in rate proceedings by intervention
or otherwise to contest Seller's filing in whole or in part.
3. Further Agreement:
(Write None or specify the agreement).
ARTICLE V
NOTICE
1. Except as may be otherwise provided, any notice, request, demand,
statement or bill provided for in this Agreement or any notice
which a party may desire to give the other shall be in writing and
mailed by regular mail, effective as of the postmark date, to the
post office address of the party intended to receive the same, as
the case may be, as follows:
Seller: ANR Storage Company
717 Texas Street
Houston, Texas 77002-2761
Attention: Transportation Services
Customer: _______________________________________
_______________________________________
_______________________________________
_______________________________________
| ANR Storage Company |
|
First Revised Sheet No. 55 : Effective |
| FERC Gas Tariff | | Original Sheet No. 55 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule IS)
(Continued)
ARTICLE VI
INCORPORATION BY REFERENCE
The provisions of Rate Schedule IS and the General Terms and
Conditions of Seller's Tariff are specifically incorporated
herein by reference and made a part hereof.
ARTICLE VII
MISCELLANEOUS
1. This Agreement supersedes and cancels the following contract
between the parties hereto effective _____________________:
2. Replacement Customer.
[If Customer is a Replacement Customer, state identity of
Releasing Customer and Contract Number under which capacity is
released. The offer of release issued by the Releasing
Customer is incorporated herein by reference.]
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be signed by their respective Officers or
Representatives thereunto duly authorized.
ANR Storage Company
By __________________________
Its _________________________
_____________________________
(Customer)
By __________________________
Its _________________________
| ANR Storage Company |
|
First Revised Sheet No. 56 : Effective |
| FERC Gas Tariff | | Original Sheet No. 56 |
| Original Volume 1 |
FORM OF SERVICE AGREEMENT
(For Use Under Seller's Rate Schedule IS)
(Continued)
EXHIBIT "A"
to
Agreement between
ANR Storage Company (Seller)
and
___________________ (Customer)
Dated ________________________
I. MAXIMUM DAILY INJECTION QUANTITY (Dth)
II. MAXIMUM DAILY WITHDRAWAL QUANTITY (Dth), which shall be: the
greater of one thirtieth (1/30) of the Working Storage Gas as
of the last Day of the prior Month or one thirtieth (1/30) of
the Working Storage Gas as of the date that Seller notifies
Customer that it must withdraw all of its Working Storage Gas
within forty-five (45) Days or one fifth (1/5) of the Working
Storage Gas as of the date that Seller notifies Customer that
it must withdraw all of its Working Storage Gas within five
(5) Days.
III. MAXIMUM STORAGE QUANTITY (Dth)
IV. POINT OF INJECTION
V. POINT OF WITHDRAWAL
VI. RATES AND CHARGES - Maximum Rates as set forth on Sheet No. 5
of this Tariff unless otherwise agreed to.
VII. ADDITIONAL CHARGES - pursuant to Section 5 of Rate Schedule IS.
| ANR Storage Company |
|
Second Revised Sheet No. 57 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 57 |
| Original Volume 1 |
RATE SCHEDULE MS
MERCHANT SALES
1. APPLICABILITY
This Rate Schedule MS shall be applicable to all firm and
interruptible sales services rendered by ANR Storage Company ("Seller")
under the blanket certificate of public convenience and necessity
granted to Seller pursuant to 18 C.F.R. Section 284.284(a) and Order
636.
2. AVAILABILITY
Service under this Rate Schedule shall be available, pursuant to
the term of Seller's blanket sales certificate, to any Gas purchaser
("Buyer") which has executed a Sales Service Agreement with Seller.
3. SALES SERVICE AGREEMENT
Sales service under this Rate Schedule shall be available only on
the condition and to the extent that Seller and Buyer have agreed to
such service and have executed a written Sales Service Agreement that
contains the terms, conditions, rates and fees applicable to such
service. Seller shall have no obligation to provide sales service for
any quantity of Gas in excess of that specifically agreed to in the
Sales Service Agreement and such obligation shall be coextensive with
the term of the agreement. In accord with 18 C.F.R. Section 284.285,
Seller is authorized to abandon the sales service to which the Sales
Service Agreement relates upon termination of such agreement without
obtaining any additional approval of the Federal Energy Regulatory
Commission for such abandonment.
4. TERMS, CONDITIONS, RATES AND FEES
The terms, conditions, rates and fees applicable to service under
this Rate Schedule shall be those terms, conditions, rates and fees to
which Seller and Buyer have agreed in their Sales Service Agreement.
5. POINT OF SALE
The point of sale for all Gas sold by Seller to Buyer under this
Rate Schedule shall be (a) any point at which the Gas enters Seller's
system, or (b) any point at which Seller's system interconnects with
that of another pipeline.
6. TRANSPORTATION
Gas purchased by Buyer from Seller under this Rate Schedule shall
be transported pursuant to the terms of separate transportation
agreements.
| ANR Storage Company |
|
Sheet Nos. 58 - 123 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
SHEET NOS. 58 THROUGH 123 ARE RESERVED FOR FUTURE USE
| ANR Storage Company |
|
Second Revised Sheet No. 124 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 124 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
1. DEFINITIONS
1.1 The term "Agreement" shall mean the Service Agreement
executed by the Customer and Seller and any exhibits,
attachments and/or amendments thereto.
1.2 The term "ANR Existing Agreements" shall mean ANR
Storage Company's Rate Schedules: X-1 through X-11 and
any other service authorized by the Commission under
Part 157 at the effective date of this Tariff.
1.3 The term "Average Monthly Storage Volume" shall mean the
sum of Customer's Working Storage Gas at the end of each
Day of the Month divided by number of Days in the Month.
1.4 The term "BTU" shall mean one (1) British thermal unit,
the amount of heat required to raise the temperature of
one (1) pound of water one degree (1) Fahrenheit at
sixty degrees (60) Fahrenheit. (BTU is measured on a
dry basis at 14.73 psia.)
1.5 The term "Business Day" shall mean every Monday,
Tuesday, Wednesday, Thursday or Friday, excluding all
federal banking holidays for transactions in the United
States and similar holidays for transactions in Canada
and Mexico.
1.6 The term "Central Clock Time" shall mean Central Standard
Time except for that period when daylight savings is in
effect. During this period, Central Clock Time shall mean
Central Daylight Time.
1.7 The term "Commission" and "FERC" shall mean the Federal
Energy Regulatory Commission or any successor regulatory
authority having jurisdiction.
1.8 The term "Customer" shall mean any person, corporation,
partnership or any other party that executes a valid
Service Agreement with ANR Storage Company for the
Storage of Gas under the terms and conditions of
Seller's FERC Gas Tariff.
1.9 The term "Daily Rate" shall mean the result of the
calculation of multiplying the monthly rate by the
number of Months in the rate period; dividing the result
by the number of Days in the rate period; and taking the
answer out to 5 decimal places and rounding up or down
to the Transporter's specific decimal place or by
multiplying the Daily Rate times the number of Days in
the rate period; dividing the result by the number of
Months in the rate period; and taking the answer out to
5 decimal places and rounding up or down to the
Transporter's specific decimal place.
1.10 The term "Day" shall mean a period of consecutive hours,
beginning at 9:00 a.m. Central Clock Time and ending on
the following 9:00 a.m. Central Clock Time.
| ANR Storage Company |
|
Third Revised Sheet No. 125 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 125 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
1.11 The term "Dekatherm" (Dth) shall mean the quantity of
heat energy which is equivalent to one (1) million
(1,000,000) BTU; thus the term MDth shall mean one (1)
thousand Dth.
1.12 The determination of quantities deemed to be delivered
for purposes of use of the term "Each Dekatherm Of Gas
Which Is Delivered" shall be the pro rata allocation of
the quantities of Gas nominated, after adjustments for
Seller's Use and pursuant to Section 4.3 of these
General Terms and Conditions, for injection into Storage
or for withdrawal from Storage.
1.13 The term "Equivalent Quantities" shall mean a quantity
of Gas containing an amount of Dths equal to the amount
of Dths received by Seller for the account of Customer
at the Point of Injection reduced by the Dths removed
for Seller's Injection and/or Withdrawal Use as
attributable to the Storage of Customer's Gas.
1.14 The term "Gas" shall mean natural gas, including
casinghead gas produced with crude oil, gas from gas
wells and gas from condensate wells and synthetic
natural gas.
1.15 The term "Maximum Storage Quantity" shall mean the
greatest number of Dths that Seller is obligated to
store on behalf of Customer on any Day.
1.16 The term "Month" shall mean the period beginning on the
first Day of a calendar month and ending at the same hour
on the first Day of the next succeeding calendar month.
1.17 "NAESB Standards" shall mean the standardized business
practices, procedures and criteria which have been
adopted and published by the North American Energy
Standards Board and which have been adopted by
reference by the Commission.
1.18 The term "North American Energy Standards Board" or
"NAESB" shall mean the private, consensus standards
developer whose wholesale natural gas standards are
developed by representatives from all segments of the
natural gas industry.
1.19 The term "OBA" shall mean a contract between two
parties which specifies the procedures to manage
operating variances at an interconnect.
1.20 The term "Operator" shall mean a party that operates the
facilities that interconnect with Seller's facilities.
1.21 The term "Point of Injection and Point of Withdrawal"
shall be as set forth on Exhibit A to the FS or IS
Service Agreement.
1.22 The term "Point of Injection/Withdrawal" shall mean the
Point of Injection and/or the Point of Withdrawal.
| ANR Storage Company |
|
Third Revised Sheet No. 126 : Effective |
| FERC Gas Tariff | | Substitute Second Revised Sheet No. 126 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
1.23 The term "Releasing Customer" shall mean any Customer
releasing capacity under Section 7 of Rate Schedule FS.
1.24 The term "Replacement Customer" shall mean any Customer
to which capacity is released under Section 7 of Rate
Schedule FS.
1.25 The term "Seller" shall mean ANR Storage Company.
1.26 The term "Seller's Injection Use" shall mean the
applicable percentage stated on Sheet No. 5 of this
Tariff multiplied by the quantity of Gas injected into
Storage for the account of Customer.
1.27 The term "Seller's Use" shall mean the sum of the
Seller's Injection Use and the Seller's Withdrawal Use.
1.28 The term "Seller's Withdrawal Use" shall mean the
applicable percentage stated on Sheet No. 5 of this
Tariff multiplied by the quantity of Gas withdrawn from
Storage for the account of Customer.
1.29 The term "Service Day" shall mean the Day during which
Customer receives Storage Service pursuant to a
nomination in accordance with Section 4 of these General
Terms and Conditions.
1.30 The term "Storage" or "Storage Service" shall mean the
Storage of Gas.
1.31 The terms "Tender", "Tender Gas" and "Tender of Gas"
shall mean that the delivering party is able and
willing, and offers, to deliver Gas to or for the
account of the receiving party at the Point of
Injection/Withdrawal.
1.32 The term "Usage Charges" shall mean all variable charges
associated with the injection/withdrawal of Gas by
Seller.
1.33 The term "Wire Transfer" shall mean payments
made/effected by wire transfer (Fedwire, CHIPS, or Book
Entry), or Automated Clearinghouse, or any other
recognized electronic or automated payment mechanism
that is agreed upon by Seller in the future.
1.34 The term "Working Storage Gas" shall mean the quantity of
Gas held in storage at any given time, by Seller, for the
account of Customer.
1.35 Capitalized terms not defined herein are defined
pursuant to NAESB.
| ANR Storage Company |
|
Fifth Revised Sheet No. 126A : Effective |
| FERC Gas Tariff | | Fourth Revised Sheet No. 126A |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
2. REQUESTS FOR STORAGE SERVICE
2.1(a) Requests. To seek to qualify for Storage Service
pursuant to Rate Schedules FS or IS, a potential
Customer shall submit a Request for such Service in
writing to the Seller. Seller shall evaluate and
respond to such requests as soon as is reasonably
possible, and shall begin service, if an Agreement is
executed, as soon as is reasonably possible, after
execution of the Agreement. Such a Request shall be
considered acceptable only if the information specified
in Section 2.2, below, is provided in writing, but
Seller may waive all or any portion of such information
in individual instances, when the information is
already in the possession of Seller. Each Request for
Service under Rate Schedule FS by or on behalf of each
proposed Customer may be required to be accompanied by
refundable earnest money in the form of either Wire
Transfer or a check payable to ANR Storage Company in
the amount of the lesser of ten thousand dollars
($10,000) or the aggregate reservation charges which
would be due for two Months of service for such
requested service, which amount shall be applied, until
fully used, against the first amounts due by Customer
to Seller as reservation charges; provided, however,
| ANR Storage Company |
|
Third Revised Sheet No. 127 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 127 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
that if the request is not accepted by Seller or if service is not otherwise
offered, Seller will refund earnest money thirty (30) Days after notice to
potential Customer that Seller is not accepting offer. Requests for service
shall be sent to:
ANR Storage Company
717 Texas Street
Houston, Texas 77002-2761
Attention: Transportation Services
2.1(b) Sale of Service. Seller will respond to requests for service
submitted in accordance with this Section 2 within five (5) Business
Days of Seller's receipt of such request.
1. To the extent that an acceptable and valid request for service is
at Maximum Rates and at a fixed Maximum Storage Quantity for the
requested term and it is operationally feasible for Seller to
provide the requested service, then Seller shall be obligated to
grant such request made within the time periods set forth below:
a) For annual service from April 1 through March 31 with an
initial term of one year or longer, requests made within five
(5) Months of the requested service commencement date;
b) For service during April 1 through March 31 with an initial
term of four Months or longer, but less than one year,
requests made within thirty (30) Days of the requested
service commencement date;
c) For service during April 1 through March 31 with an initial
term of less than four Months, but longer than one Month,
requests made within ten (10) Days of the requested service
commencement date;
d) For service during April 1 through March 31 with an initial
term of one Month or less, requests made within seven (7)
Days of the requested service commencement date.
2. Seller may grant, on a not unduly discriminatory basis,
acceptable and valid requests for service made at less than
Maximum Rates, at a variable Maximum Storage Quantity, and/or
outside of the time periods set forth in Section 2.1(b)1 above,
provided that Seller shall not be obligated under any
circumstances to accept such requests.
2.2 Form of Request for Storage Service
(a) Each request, to be considered as an acceptable and valid request, must
furnish the portion of the information set forth below. The "ANR Storage
Company's Storage Service Request Form" is set forth on Sheet Nos. 156
through 158 of this Tariff and may be changed from time to time and
reissued by Seller.
(b) Requestor's Identification: Name, address, representative, telephone
number of party requesting service.
| ANR Storage Company |
|
Fourth Revised Sheet No. 128 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 128 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(c) Customer's Identification: (Note: The "Customer" is the party which
proposes to execute the Agreement).
(1) Name, address, Dun & Bradstreet No., representative and telephone
number of Customer.
(2) A statement of whether Customer is a local distribution company, an
intrastate pipeline, an interstate pipeline, marketer/broker,
producer, end user or other type of entity (which shall be
described).
(3) A statement of whether Customer is acting for itself or as agent for
someone else (who must be named).
(4) A statement of whether Customer is a Replacement Customer and the
contract number under which Replacement Customer is requesting
service.
(d) Type of Service(s) Requested: Specify for which Volume No. 1 Rate
Schedule service is desired.
(e) Quantity: (stated in Dekatherms)
(1) Maximum Storage Quantity, which shall not be less than 100,000
Dekatherms, except for volumes under Section 7 of Rate Schedule
FS.
(2) Storage Demand Withdrawal Quantity, the number of Dths cannot be
greater than 1/10 of the Maximum Storage Quantity nor less that
1/126 of the Maximum Storage Quantity.
(f) Term of Service:
(1) Date service is requested to commence.
(2) Date service is requested to terminate (Agreements for FS shall
terminate on March 31, unless mutually agreed to otherwise).
(g) Point of Injection
(h) Point of Withdrawal
(i) Certified Statement: A certified statement that the Customer has, or
will have, by the time of execution of an Agreement with Seller, title
to, or the legal right to cause to be delivered to Seller, for Storage
the Gas which is to be delivered to Seller and facilities or
contractual rights which will cause such Gas to be delivered to and
received from Seller.
(j) Credit Evaluation:
(1) Customer's Bank References.
(2) Customer should submit year end audited financial statements of
Customer together with the latest quarterly report.
(3) Customer's Affiliates, including parent, subsidiaries of parent
and of such subsidiaries, and subsidiaries of Customer.
| ANR Storage Company |
|
First Revised Sheet No. 129 : Effective |
| FERC Gas Tariff | | Original Sheet No. 129 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(4) In the event proceedings have been commenced
by or against such Customer for any relief
under any bankruptcy or insolvency law, or
any law relating to the relief of debtors,
readjustment of indebtedness,
reorganization, arrangement, composition or
extension; or in the event a decree or order
of a court having jurisdiction in the
premises for the appointment of a receiver
or liquidator or trustee or assignee in
bankruptcy or insolvency of such Customer,
or of a substantial part of its property, or
for the winding up or liquidation of its
affairs, shall have been entered, or any
substantial part of the property of such
Customer shall be sequestered or attached
and shall not be returned to the possession
of such Customer or released from such
attachment within thirty (30) Days
thereafter; or in the event such Customer
shall make a general assignment for the
benefit of creditors or shall admit in
writing its inability to pay its debts
generally as they become due, Customer shall
be required to fully disclose any and all
actions regarding the above described
proceedings against Customer or related
parties defined in 2.2(j)(3) above, in its
Request for Service.
(5) Any other information requested by Seller
pursuant to Section 11.5 of these General
Terms and Conditions.
2.3 Subsequent Information
(a) If any of the events or actions described in
2.2(j)(4) above, shall be initiated or imposed
during the term of service hereunder, Customer
shall provide notification thereof to Seller
within two (2) working Days of any such initiated
or imposed event or action. Customer shall also
provide, forthwith, such additional Customer
credit information as may be reasonably required
by Seller, at any time during the term of service
hereunder, to determine Customer's
creditworthiness.
| ANR Storage Company |
|
First Revised Sheet No. 130 : Effective |
| FERC Gas Tariff | | Original Sheet No. 130 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(b) After receipt of a Request for Storage Service
hereunder, Seller may require that Customer
furnish additional information as a prerequisite
to Seller offering to execute an Agreement with
Customer. Such information may include proof of
Customer's title to the Gas involved and/or its
legal right to cause the Gas to be delivered to
Seller for Storage and of Customer's contractual
and/or physical ability to cause such Gas to be
delivered to and received from Seller.
2.4 Request Validity. Customer's Request for Storage
Service shall be considered null and void if Seller has
tendered an Agreement for execution to Customer and
Customer fails to execute the Agreement within thirty
(30) Days thereafter. Seller will not execute an
Agreement under Rate Schedule FS for which it does not
have sufficient available capacity. If sufficient
capacity is available, but Customer does not desire to
or cannot begin Storage Service within thirty (30) Days
after the date the request is made pursuant to Section
2.1 of these General Terms and Conditions, or such other
period as the parties may agree to in writing, then such
Request shall be considered null and void.
2.5 Customer's Performance. If a Customer that has executed
an Agreement for service under Rate Schedule IS fails,
on the later of the date service is to commence or
fifteen (15) Days after the Customer executes the
Agreement or the completion of construction of any
necessary facilities or the issuance of any necessary
governmental authorization, to nominate, pursuant to
Section 4.1 of these General Terms and Conditions, a
quantity of Gas for Storage, or fails, having nominated
a quantity of Gas and Seller having scheduled the
quantity for Storage, pursuant to Section 4.3 of these
General Terms and Conditions, to Tender such Gas for
Storage on the date it is scheduled, the Seller may
terminate Customer's Agreement and the Customer's
request for service shall be deemed null and void;
provided, however, that the Customer's Agreement shall
not be terminated nor shall the Customer's request for
service be deemed null and void if the Customer's
failure to nominate or Tender is caused by an event of
force majeure on Seller's system, as defined in Section
9 of these General Terms and Conditions.
| ANR Storage Company |
|
Fourth Revised Sheet No. 131 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 131 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
2.6 Complaints: In the event that a Customer or potential
Customer has a complaint relative to service under Seller's
Tariff, the Customer shall:
(a) Provide a description of the complaint, verbally or in
writing, including the identification of the Storage
Request (if applicable), and communicate it to Seller.
Information regarding the appropriate contact personnel
is available via Seller's Internet Site.
(b) Within forty-eight (48) hours, or two Business Days,
whichever is later from the Day of receipt of a
complaint, Seller will respond initially to the complaint
and Seller shall respond in writing within thirty (30)
Days advising Customer or potential Customer of the
disposition of the complaint.
2.7 Information:
Contact information is available via Seller's Internet Site
for any person desiring information on the availability,
pricing, or other terms of the Storage Services.
2.8 Relationship with Affiliates:
Information on any facilities that Seller's storage function
employees share with any of the marketing function employees
of its affiliate(s) will be available on its Internet Site, in
accordance with the Commission's regulations.
| ANR Storage Company |
|
Sixth Revised Sheet No. 132 : Effective |
| FERC Gas Tariff | | Fifth Revised Sheet No. 132 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
3. STORAGE SERVICE
3.1 Treatment of Gas. Seller may subject or permit the
subjection of Gas stored hereunder to compression,
cooling, cleaning, or other processes to such extent as
may be required in Seller's sole opinion.
4. NOMINATIONS, SCHEDULING AND ALLOCATION
4.1(a) Nominations. Seller will accept nominations for
Storage Service as provided herein. A valid
nomination is a data set which contains, at a
minimum, the mandatory data elements included in
the NAESB Standards related to nominations, and
any additional Seller-required data elements. All
Standard and Intra-Day nominations for service
shall be made via Electronic Delivery Mechanism
("EDM")as approved by the Commission. Seller will
accept nominations via mail, fax, courier service
or personal delivery. Seller will support the
receipt of nominations, via the methods listed
above, and EDM in a manner designed to enable
Customers to submit nominations seven Days a week,
twenty-four hours a Day.
Each nomination shall indicate whether it is being
submitted as a Standard or Intra-Day nomination.
The standard quantity for nominations, for
confirmations and scheduling, in the United
States, shall be Dekatherms per gas day. For
Canada it shall be Gigajoules per gas day. For
Mexico it shall be Gigacalories per gas day. For
commercial purposes the standard conversion factor
between Dekatherms and Gigajoules shall be
1.055056 Gigajoules per Dekatherm and between
Dekatherms and Gigacalories shall be 0.251996
Gigacalories per Dekatherm. (For reference 1
Dekatherm = 1,000,000 BTUs; 1 Gigajoule =
1,000,000,000 Joules; and 1 Gigacalorie =
1,000,000,000 Calories.) The standard BTU is the
International BTU, which is also called the
BTU(IT); the standard Joule is the Joule specified
in the SI system of units.
| ANR Storage Company |
|
Second Revised Sheet No. 132A : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 132A |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
Customer may use an agent to provide all or a
portion of its nomination data, provided that
Seller is so advised in advance in writing. A
Customer that uses an agent for such nomination
purposes shall hold Seller harmless for all
actions or inactions of its agent.
(b) Standard Nominations. A "Standard Nomination" is
a nomination for Storage Service for any Day. The
Standard Nomination shall include a begin date and
end date, which must be within the term of the
Customer's Service Agreement. Each Day within a
date range nomination is considered an original
nomination. Subsequent nominations for one or
more Days within the range supersede only the Days
specified. The Days outside the range of the
subsequent nomination are unaffected. Nominations
have a prospective effect only. Seller shall
process all new or revised nominations that are
submitted by 11:30 a.m. Central Clock Time and
received by 11:45 a.m. Central Clock Time on the
Day before the applicable Service Day. Customer
may nominate zero (0) for a daily quantity, but in
the event Customer nominates a daily quantity in
excess of zero (0), such daily quantity shall not
be less than five hundred (500) Dth. Customer
shall also inform Seller in advance of each Month
of the desired order of priority of injections and
withdrawals under each Agreement and Seller may
rely thereon (or in the absence of such
information, upon Seller's judgment) if allocation
under such Agreement is required.
| ANR Storage Company |
|
Third Revised Sheet No. 132B : Effective |
| FERC Gas Tariff | | Substitute Second Revised Sheet No. 132B |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(c) Standard Nominations Timetable. The timetable for a Standard
Nominations shall be as follows on the Day before a Service
Day, Central Clock Time:
11:30 a.m. for nominations leaving control of
Customer;
11:45 a.m. for receipt of nominations by Seller
(including from Title Transfer Tracking Service
Providers (TTTSPs));
noon for Seller to send quick response for
nominations submitted via EDM;
3:30 p.m. for Seller to receive completed
confirmations from upstream and downstream
connected parties;
4:30 for Customer and Operators to receive
scheduled volume information from Seller.
In addition, at the end of each gas day, Seller should provide
the final scheduled quantities for the just completed gas day.
With respect to the implementation of this process via the 1.4.x
scheduled quantity related standards, Seller should send an end
of gas day Scheduled Quantity document. Receivers of the end of
gas day Scheduled Quantity document can waive the Senders
sending of the end of gas day Scheduled Quantity document.
Seller, as receiver of nominations, initiates the confirmation
process. The party receiving a request for confirmation or
an unsolicited confirmation response may waive the obligation of
the Seller to send. The sending party will adhere to nomination,
confirmation and scheduling deadlines. The party receiving the
communication shall have the right to waive any deadline, on a
non-discriminatory basis.
(d) Other Nominations. Seller may, at its option, accept
nominations which are not timely as described above. In that
event, Seller shall not be required to comply with the
Standard Nomination timeline set out above.
| ANR Storage Company |
|
Fourth Revised Sheet No. 132C : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 132C |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
4.2(a) Intra-Day Nominations. Any nomination submitted after the
standard nomination deadline, by eligible Customers, shall be
an Intra-Day Nomination. An Intra-Day nomination shall be
effective for one (1) Day only. Intra-Day nominations may be
used to nominate new supply or market. The nomination
process set forth in Section 4.1(a), above, shall apply to
the Intra-Day nominations. An Intra-Day quantity shall be a
revised
daily quantity.
(1) Timetables for Intraday Nominations shall be as follows:
(a) Evening Nomination Cycle: shall be as follows on
the Day before a Service Day, Central Clock Time:
6:00 p.m. for nominations leaving control of Customer;
6:15 p.m. for receipt of nominations by Seller (including
from TTTSPs);
6:30 p.m. for Seller to send quick response for
nominations submitted via EDM;
9:00 p.m. for Seller to receive completed confirmations
from upstream and downstream connected parties;
10:00 p.m. for Customer and Operators to receive
scheduled volume information from Seller and to
provide scheduled quantities to bumped parties
(notice to bumped parties);
9:00 a.m. for flow of Gas.
(b) Intraday 1 Nomination Cycle: shall be as follows on
the Service Day, Central Clock Time:
10:00 a.m. for nominations leaving control of Customer;
10:15 a.m. for receipt of nominations by Seller
(including from TTTSPs);
10:30 a.m. for Seller to send quick response for
nominations submitted via EDM;
1:00 p.m. for Seller to receive completed confirmations
from upstream and downstream connected parties;
| ANR Storage Company |
|
Second Revised Sheet No. 132D : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 132D |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
2:00 p.m. for Customer and Operators to receive scheduled
volume information from Seller and to provide scheduled
quantities to bumped parties (notice to bumped parties);
5:00 p.m. for flow of Gas.
(c) Intraday 2 Nomination Cycle: shall be as follows on
the Service Day, Central Clock Time:
5:00 p.m. for nominations leaving control of Customer;
5:15 p.m. for receipt of nominations by Seller (including
from TTTSPs);
5:30 p.m. for Seller to send quick response for
nominations submitted via EDM;
8:00 p.m. for Seller to receive completed confirmations
from upstream and downstream connected parties;
9:00 p.m. for Customer and Operators to receive scheduled
volume information from Seller;
9:00 p.m. for flow of Gas.
(d) For purposes of 4.2(a)(1)(a), (b), and (c) "provide" shall
mean, for transmittals pursuant to standards 1.4.x, receipt
at the designated site, and for purposes of other forms of
transmittal, it shall mean send or post.
An Intra-Day nomination is subject to Operator's confirmations and
Seller's operating conditions. If Operator confirmation is not
received, the Intra-Day nomination will not be accepted. Seller
will not accept a reduced Intra-Day nomination for any quantity
deemed already delivered based on an average hourly flow.
(b) For purposes of providing notice of any nomination changes to a
Customer and or Customer's agent, Seller shall contact either
party by telephone or other instant communication device. With
respect to changes initiated by Seller, if a Customer so elects,
such Customer may provide a telephone number and Seller will
contact Customer at such phone number to alert Customer that a
change has been made; provided that where an interruptible
Customer's nomination is bumped by a firm Customer's intraday
nomination, Seller shall provide notice of such bump to the
interruptible Customer in the same manner that Seller uses to
notify Customers of OFOs.
| ANR Storage Company |
|
Third Revised Sheet No. 133 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 133 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
4.3 Scheduling of Storage and Allocation of Service. For
each Day, Seller will schedule injections and
withdrawals of Gas, on the basis of: Storage
nominations made by Customers (which Seller is hereby
authorized to rely upon in its scheduling); Storage
capacity available on Seller's system in light of
nominations and requests; and overall operating
conditions from time to time. If, on any Day, Seller
determines that the capacity of its system is
insufficient to serve all Storage nominations scheduled
for such Day, or to accept the quantities of Gas
tendered, capacity shall be allocated to provide service
in the following order:
(a) In scheduling deliveries of firm Storage
nominations on any Day when capacity is
constrained, Seller shall allocate service on a
pro rata basis to those Customers nominating
volumes on such Day based upon such Customer's
contracted daily injection or withdrawal volumes
compared
| ANR Storage Company |
|
Original Sheet No. 134 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
to the contracted daily injection or withdrawal volumes
of all other Customers nominating volumes on such Day.
(b) In scheduling nominated quantities for interruptible
Storage Services hereunder, after providing for firm
Storage Service, Seller shall utilize the priorities
established in Section 10 of these General Terms and
Conditions, provided however that no interruptible
Customer shall have a claim of priority on any Day to
quantities in excess of the lesser of (1) such
interruptible Customers Maximum Daily Injection Quantity
or Maximum Daily Withdrawal Quantity as applicable or (2)
such interruptible Customers nomination.
4.4 Delivery of Gas. Seller, subject to the other provisions
hereof, shall make daily delivery, to the extent practicable,
of Equivalent Quantities of Gas at the Point of Withdrawal.
4.5 Hourly Variation. Injections and Withdrawals shall be made at
uniform hourly rates to the extent practicable.
4.6 Limitation on Obligation. Should the quantities of Gas
received from Customer(s) by Seller at the Point of Injection
exceed the Maximum Daily Injection Quantity plus the Sellers
Injection Use, Seller shall notify Customer(s) of such fact,
a reasonable time after such becomes known, and Customer(s)
shall seek to reduce deliveries to Seller forthwith. In the
event any such excess delivery would jeopardize the safety of
Sellers operations and/or its ability to meet its contract
commitments to others, such decisions being solely within the
judgment and discretion of Seller, Seller shall have the right
to refuse to accept, without any liability to Customer, or any
other person, all or such part of said excess delivery as
Seller deems necessary, and shall notify Customer accordingly.
| ANR Storage Company |
|
First Revised Sheet No. 135 : Effective |
| FERC Gas Tariff | | Original Sheet No. 135 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
4.7 Reduction in Maximum Storage Quantity. In the event
that Customer nominates or utilizes less than 50% of its
Maximum Storage Quantity under Rate Schedule IS for a
period of one (1) year, Seller may reduce Customer's
Maximum Storage Quantity to 125% of the average
utilization during such year, which new Maximum Storage
Quantity, as applicable, shall be effective on the first
Day of the Month following the Month in which Seller
gives Customer notice of such reduction.
5. PRESSURE AT POINT OF INJECTION AND POINT OF WITHDRAWAL
5.1 Pressure at Point of Injection and Point of Withdrawal.
Unless otherwise agreed to by the parties as set forth
in the Service Agreement, Customer shall cause the Gas
to be delivered at the Point of Injection at a pressure
sufficient to allow the Gas to enter Seller's system at
the varying pressures that may exist in such system from
time to time; provided, however, that such pressure of
the Gas delivered or caused to be delivered by Customer
shall not exceed the Maximum Allowable Operating
Pressure ("MAOP") which Seller specifies for the Point
of Withdrawal. In the event the MAOP of Seller's
system, at the Point of Injection/Withdrawal hereunder,
is from time to time increased or decreased, then the
MAOP of the Gas delivered or caused to be delivered by
Customer to Seller at the Point of Injection/Withdrawal
shall be correspondingly increased or decreased upon
notification by Seller to Customer.
Unless otherwise agreed to by the parties as set forth in
the Service Agreement, Seller shall Tender the Gas to or
for the account of Customer at the Point of Withdrawal
hereunder at Seller's prevailing line pressure as such
may vary from time to time.
6. MEASUREMENT AND MEASUREMENT EQUIPMENT
6.1(a) The volume of Gas delivered to Seller hereunder or
redelivered to or for the account of Customer
hereunder shall be measured by:
(1) An orifice meter, designed, installed maintained
and operated as recommended in the latest issue of
American National Standard ANSI/API 2530 (American
Gas Association Gas Measurement Report No. 3),
entitled "Orifice Metering
| ANR Storage Company |
|
First Revised Sheet No. 136 : Effective |
| FERC Gas Tariff | | Original Sheet No. 136 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
of Natural Gas and Other Related Hydrocarbon
Fluids", as such publication may be revised from
time to time (hereinafter referred to as "AGA
Report No. 3); or
(2) A turbine meter, designed, installed, maintained
and operated as recommended in the latest issue of
American Gas Association Transmission Measurement
Committee Report No. 7, entitled "Measurement of
Fuel Gas by Turbine Meters", as such publication
may be revised from time to time (hereinafter
referred to as "AGA Report No. 7"); or
(3) A positive displacement meter, installed and
operated in accordance with generally accepted
industry practices.
(b) Auxiliary measuring equipment shall be installed,
maintained and operated in accordance with generally
accepted industry practices.
6.2(a) The volume of Gas delivered to Seller or
redelivered to or for the account of Customer
shall be calculated by means of either an
electronic flow computer, or by the processing of
meter charts, in either case in the following
manner:
(1) When the measuring equipment is an orifice meter,
the flow of Gas through the meter shall be
computed in the manner recommended in AGA Report
No. 3, properly using all factors set forth
therein.
(2) When the measuring equipment is a turbine meter,
the volume of Gas delivered through the meter
shall be computed in the manner recommended in AGA
Report No. 7, properly using all factors set forth
therein.
(3) When the measuring equipment is a positive
displacement meter, the volume of Gas delivered
through the meter shall be computed by properly
applying, to the volume delivered at flowing Gas
pressures and temperatures, correction factors for
(i) absolute static pressure, (ii) flowing Gas
temperature, and (iii) compressibility ratio.
(b) The volume of Gas injected or withdrawn hereunder shall
be computed using the standards and factors determined
as follows:
| ANR Storage Company |
|
Third Revised Sheet No. 137 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 137 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(1) The unit of volume for the purpose of measurement
shall be one thousand cubic feet of Gas at a
temperature of sixty degrees (60 ) Fahrenheit and a
pressure of 14.73 pounds per square inch absolute,
dry. Volumes reported in cubic meters, the standard
conditions are 101.325 kPa, 15 degrees C, and dry.
Volumes reported in Gigacalories, the standard
conditions are 1.035646 Kg/cm2, 15.6 degrees C, and
dry. The Dekatherm equivalent of such unit of volume
shall be determined by multiplying each such unit of
volume by the total heating value per cubic foot of
the Gas delivered hereunder (adjusted to a common
temperature and pressure base) and by dividing the
result by one thousand (1,000).
(2) The average absolute atmospheric (barometric)
pressure at the Point of Injection/Withdrawal
shall be assumed to be equal to 14.4 pounds per
square inch.
(3) The flowing temperature of the Gas shall be
determined by means of an instrument of standard
manufacture accepted in the industry for this
purpose.
(4) The supercompressibility factor used in computing
the volume of Gas delivered through an orifice
meter shall be determined in a manner which yields
results consistent with the results produced by the
procedures presented in the American Gas
Association Transmission Measurement Committee
Report No. 8 entitled "Compressibility and
Supercompressibility for Natural Gas and Other
Hydrocarbon Gases."
(5) The specific gravity of the Gas used in computing
the volume of Gas delivered through a meter shall
be determined by one of the following methods:
(i) At intervals of not more than six (6)
Months, by means of an instrument of
standard manufacture accepted in the
industry for this purpose using a sample of
Gas from the Gas stream at the Point of
Injection/Withdrawal.
(ii) By means of an instrument of standard
manufacture accepted in the industry for this
purpose installed at a point to measure the
specific gravity of the Gas stream from which
Gas is being delivered at the Point of
Injection/Withdrawal.
| ANR Storage Company |
|
First Revised Sheet No. 138 : Effective |
| FERC Gas Tariff | | Original Sheet No. 138 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(6) The compressibility ratio factor "s" used in
computing the volume of Gas delivered through a
turbine meter or a positive displacement meter
shall be determined by the equation s = (Fpv)2, in
which "Fpv" is the supercompressibility factor
determined as described in subparagraph (4) of
this subsection (b), above.
(7) In determining the flowing temperature factor,
supercompressibility factor, and compressibility
ratio factor "s" for use in computing the volume
of Gas delivered through a meter, the flowing Gas
temperature for only the period(s) of time that
Gas was flowing through the meter shall be used.
6.3 All flow, measuring, testing and related equipment shall
be of standard manufacture and type approved by Seller.
If applicable, Seller or Customer may install check
measuring equipment, provided that such equipment shall
be so installed as not to interfere with the operations
of the Operator. Seller, or Customer, in the presence
of the other party, shall have access to measuring
equipment at all reasonable times, but the reading,
calibrating, and adjusting thereof and the changing of
charts, if any, shall be done by the Operator. Seller
or Customer shall have the right to be present at the
time of the installing, reading, cleaning, changing,
repairing, inspecting, testing, calibrating or adjusting
done by the Operator of the measuring equipment. The
records from such measuring equipment shall remain the
property of the Operator, but upon request, the other
party may request records, including charts, if any,
together with calculations therefrom for inspection,
subject to return within thirty (30) Days after receipt
thereof. Reasonable care shall be exercised in the
installation, maintenance and operation of the measuring
equipment so as to avoid any inaccuracy in the
determination of the volume of Gas injected and
withdrawn. The accuracy of all measuring equipment
shall be verified by Operator at reasonable intervals,
and if requested, in the presence of representatives of
the other party, but neither Seller nor Customer shall
be required to verify the accuracy of such equipment
more frequently than once in any thirty (30) Day period.
If either party at any time desires a special test of
any measuring equipment, it will promptly notify the
other party
| ANR Storage Company |
|
First Revised Sheet No. 139 : Effective |
| FERC Gas Tariff | | Original Sheet No. 139 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
and the parties shall then cooperate to secure a prompt
verification of the accuracy of such equipment.
Transportation and related expenses involved in the
testing of meters shall be borne by the party incurring
such expenses.
The Operator, for purposes of this section, shall be the
owner of the equipment referenced herein, or the agent
of such owner, or such other person as the parties may
agree in writing.
If, upon any test, Operator's measuring equipment is
found to be in error, such errors shall be taken into
account in a practical manner in computing the
deliveries. If the resultant aggregate error in the
computed receipts or deliveries is not more than 0.5%
for chromatograph or calorimeter and two percent (2%)
for other measuring equipment, then previous receipts or
deliveries shall be considered accurate. All equipment
shall, in any case, be adjusted at the time of test to
record correctly. If, however, the resultant aggregate
error in computing receipts or deliveries exceeds 0.5%
for chromatograph or calorimeter and two percent (2%)
for other measuring equipment, at a recording
corresponding to the average hourly rate, of Gas flow
rate for the period since the last preceding test, the
previous recordings of such equipment shall be corrected
to zero error for any period which is known definitely
or agreed upon, such correction shall be for a period
extending over one-half of the time elapsed since the
date of the last test.
6.4 In the event any measuring equipment is out of service,
or is found registering inaccurately and the error is
not determinable by test, previous recordings of
injections or withdrawals through such equipment shall
be determined as follows; provided, however, that the
correction period shall not exceed one (1) year:
(a) by using the registration of any check meter or
meters if installed and accurately registering, or
in the absence of (a);
(b) by correcting the error if the percentage of error
is ascertainable by calibration, special test or
mathematical calculation, or in the absence of
both (a) and (b) then;
| ANR Storage Company |
|
Second Revised Sheet No. 140 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 140 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(c) by estimating the quantity of receipt or delivery
based on receipts or deliveries during preceding
periods under similar conditions when the meter
was registering accurately.
6.5 If at any time during the term hereof, a new method or
technique is developed with respect to Gas measurement
or the determination of the factors used in such Gas
measurement, such new method or technique may be
substituted upon mutual agreement thereto by both
parties.
6.6 The parties agree to preserve for a period of at least
three (3) years or such longer period as may be
required by public authority, all test data, charts, if
any, and other similar records.
6.7 In accordance with the provisions of Sections 6.3 and
6.4, above, Seller will use the best information
available to close its allocation of quantities for a
service Month. For the purposes of Sections 6.3 and
6.4, above, "close" shall mean five (5) Business Days
after the applicable service Month. To the extent that
adjustments are made after the date of such close, such
adjustments ("Prior Period Adjustments" or "PPA") shall
be treated under this Section 6.7. If the PPA are due
to the correction of measurement data or reallocation
of volumes, such adjustments should be processed within
six (6) Months of the applicable service Month. If the
affected party disputes the as-adjusted quantity it is
entitled to rebut the basis for the PPA, but only if it
does so within three (3) Months of the processing of
the as-adjusted quantity. Notwithstanding the above
specified deadlines for processing/rebutting PPA, such
deadlines shall not apply in the case of deliberate
omission or misrepresentation or mutual mistake or
fact. Parties' other statutory or contractual rights
shall not be diminished by this standard.
| ANR Storage Company |
|
Original Sheet No. 140A : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
7. QUALITY
7.1 Heat Content. Heat content shall mean the gross heating value
per cubic foot of Gas received or delivered hereunder. Such
Gas shall have a heat content not less than 950 BTU per cubic
foot when determined on a dry basis. Seller shall have the
right to waive such BTU content limits if, in Sellers sole
opinion, Seller is able to accept Gas with a BTU content
outside such limits without affecting Sellers operations.
The total heating value per cubic foot of Gas shall be
determined by one of the following methods:
(a) by means of an instrument of standard manufacture
installed to measure the heating value of the Gas.
(b) at intervals of not more than six (6) Months by means of
an instrument of standard manufacture and a sample of Gas
from the Gas stream.
(c) other method mutually agreed upon by both parties.
For the purpose of calculating injections and withdrawals, the
heat content of the Gas so determined at each such point shall
be deemed to remain constant at such point until the next
determination. The unit of quantity for the purpose of
determining total heating value shall be one (1) cubic foot of
| ANR Storage Company |
|
Second Revised Sheet No. 141 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 141 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
anhydrous Gas at a temperature of sixty degrees
(60)Fahrenheit and an absolute pressure of 14.73 psia,
dry.
7.2 Freedom from Objectionable Matter. The Gas injected
and withdrawn hereunder:
(a) shall be commercially free from dust or other
solid or liquid matter which might interfere with
its merchantability or cause injury to or
interference with proper operation of the lines,
regulators, meters and other equipment of Seller;
(b) shall not contain more than one quarter (.25)
grain of hydrogen sulfide per one hundred (100)
cubic feet of Gas, as determined by methods
prescribed in Standards of Gas Service, Circular
of the National Bureau of Standards, No. 405,
page 134 (1934 edition), and shall be considered
free from hydrogen sulfide (H2S) if a strip of
white filter paper, moistened with a solution
containing five percent (5%) by weight of lead
acetate, is not distinctly darker than a second
paper freshly moistened with the same solution,
after the first paper has been exposed to the Gas
for one and one-half (1-1/2) minutes in an
apparatus of approved form, through which the Gas
is flowing at the rate of approximately five (5)
cubic feet per hour, the Gas from the jet not
impinging directly upon the test paper; or the
H2S content may be determined by an instrument of
approved type and by approved methods agreeable
to the parties;
(c) shall not contain more than twenty (20) grains of
total sulfur (including the sulfur in any
hydrogen sulfide and mercaptans) per one hundred
(100) cubic feet of Gas;
(d) shall not at any time have an oxygen content in
excess of one percent (1%) by volume and the
parties hereto shall make every reasonable effort
to keep the Gas free of oxygen;
(e) shall not contain as nearly as practicable any
free water nor contain more than four (4) pounds
of water vapor per million cubic feet of Gas;
| ANR Storage Company |
|
Third Revised Sheet No. 142 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 142 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(f) shall not contain more than two percent (2%) by volume of
carbon dioxide;
(g) shall be delivered at a temperature not in excess of one
hundred twenty degrees (120 ) Fahrenheit;
(h) shall not contain more than three percent (3%) by volume
of nitrogen; and
(i) shall not contain any polyclorinated biphenyls.
7.3 Failure to Meet Specifications. Should any Gas tendered for
injection or withdrawal hereunder fail at any time to conform
to any of the specifications of this Article, the affected
Party shall notify the other party of any such failure and the
affected party may at its option suspend all or a portion of
the receipt of any such Gas, and shall be relieved of
obligations hereunder for the duration of such time as the Gas
does not meet such specifications.
7.4 Commingling. It is recognized that Gas delivered to Seller by
Customer will be commingled with other Gas stored hereunder by
Seller. Accordingly, the Gas of Customer shall be subject to
such changes in heat content as may result from such
commingling and Seller shall, notwithstanding any other
provision herein, be under no obligation to withdraw for
Customer's account, Gas of a heat content identical to that
caused to be delivered by Customer to Seller.
8. BILLING AND PAYMENT
8.1 Billing. On or before the ninth (9th) Business Day of each
Month, Seller shall render (for purposes of this Section 8.1,
"render" shall mean (a) postmarked or (b) time-stamped and
electronically transmitted via EDM to the designated site,
whichever is applicable) an invoice to Customer setting forth
the amount due for the preceding Month under the applicable
Rate Schedule(s). Seller's invoice shall be based on actuals
(if available) or best available data. Quantities at points
where OBAs exist shall be invoiced based on scheduled
quantities.
| ANR Storage Company |
|
First Revised Sheet No. 142A : Effective |
| FERC Gas Tariff | | Original Sheet No. 142A |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
Seller may utilize estimates of the quantity of Gas received
for injection from or tendered to or for account of Customer
during a Month, in place of actual quantities when actual
quantities are not reasonably available; provided that
adjustments shall be made in later invoices for differences
between such estimated and actual quantities. Such invoices
shall include credits for capacity assignment required by
Section 7 of Rate Schedule FS, if any.
When information necessary for invoicing purposes is in the
control of Customer, Customer shall furnish such information
to Seller on or before the third (3rd) Day of the Month.
Both Seller and Customer have the right to examine at
reasonable times, books, records and charts of the other to
the extent necessary to verify the accuracy of any invoice,
charge or computation made under or pursuant to any of the
provisions hereof.
8.2 Payment. Customer shall pay any invoice, on or before the
tenth (10th) Day after the date of the invoice. Payments by
Customer to Seller shall be made in the form of Wire Transfer
directed to a bank account designated by Seller, unless
otherwise agreed to by the parties. Customer shall identify
the invoice number specified by Seller to which the payment
relates. Party making payment should submit supporting
documentation; party receiving payment should apply payment
per supporting documentation provided by the paying party;
and if payment differs from invoiced amount, remittance
detail should be provided with the payment, except when payment
is made by electronic funds transfer (EFT), in which case,
the remittance detail is due within two Business Days of the
payment due date.
| ANR Storage Company |
|
First Revised Sheet No. 143 : Effective |
| FERC Gas Tariff | | Original Sheet No. 143 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
If rendering of an invoice by Seller is delayed after the
ninth (9th) Business Day of the Month, then the time of
payment shall be extended accordingly unless Customer is
responsible for such delay. Should Customer fail to pay all of
the amount of any invoice as herein provided when such amount
is due, interest on the unpaid portion of the invoice shall
accrue from the due date until the date of payment at a rate
of interest equal to the Prime Rate plus two percent (2%)
charged by Citibank, N.A. during that period to responsible
commercial and industrial borrowers, but which in no event
shall be higher than the Maximum Rate permitted by applicable
law. If such failure to pay continues, then following thirty
(30) Days prior written notice from Seller of its intent to
abandon service under the Agreement, Customer shall be deemed
to have consented to such abandonment of service, unless
within the thirty (30) Day period Customer pays to Seller the
entire balance due with interest, and Seller, in addition to
any other remedy it may have hereunder, may suspend further
injection or withdrawal of Gas for Customer and may enter into
Agreements to provide service to others using Customers
capacity and deliverability; provided, however, that if
Customer in good faith shall dispute the amount of any such
invoice or part thereof and shall pay to Seller such amounts
not in dispute, accompanied by documentation supporting the
basis for the dispute and, at any time thereafter within
thirty (30) Days of a demand made by Seller, shall furnish a
good and sufficient surety bond in an amount and with surety
satisfactory to Seller or other assurance acceptable to
Seller, guaranteeing payment to Seller of the amount
ultimately found due upon such invoice after a final
determination which may be reached either by agreement or
judgment of the courts, as may be the case, then Seller shall
not be entitled to suspend further injection or withdrawal of
such Gas or to terminate or abandon service under the
Agreement unless and until default be made in the conditions
of such bond. The foregoing shall be in addition to any other
remedies Seller may have, at law or in equity, with respect to
Customers failure to pay the amount of any invoice.
| ANR Storage Company |
|
First Revised Sheet No. 144 : Effective |
| FERC Gas Tariff | | Original Sheet No. 144 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
8.3 Adjustment of Invoicing Errors. Subject to the provisions of
Section 6 of these General Terms and Conditions, if it shall
be found that at any time or times Customer has been
overcharged or undercharged and Customer shall have actually
paid the invoice containing such charges, then within thirty
(30) Days after the final determination thereof, either Seller
shall refund the amount of any such overcharge or Customer
shall pay the amount of any such undercharge. In the event an
error is discovered in the amount invoiced in any invoice
rendered by Seller, such error shall be adjusted within thirty
(30) Days of the determination thereof, provided that claim
therefor shall have been made within thirty (30) Days from the
date of discovery of such error, but in any event within six
(6) Months from the date of such invoice. The party receiving
such request for adjustment shall have three (3) Months to
rebut such claim otherwise the invoice shall be adjusted as
requested. The preceding time limits do not apply to
deliberate omission or misrepresentation or mutual mistake of
fact or government required rate changes. The parties
statutory or contractual rights shall not otherwise be
diminished by this Section. If the parties are unable to
agree on the adjustment of any claimed error, any resort by
either of the parties to legal proceedings shall be commenced
within fifteen (15) Months after the supposed cause of action
is alleged to have arisen, or shall thereafter be forever
barred.
9. FORCE MAJEURE
9.1 Definition. The term "force majeure" as used herein shall
mean acts of God, strikes, lockouts, or other industrial
disturbances; acts of the public enemy, wars, blockades,
insurrections, riots, epidemics, landslides, lightning,
earthquakes, fires, storms (including but not limited to
tornadoes or tornado warnings), crevasses, floods, washouts;
arrests and restraints of the government, either Federal or
State, civil or military, civil disturbances. Relative to
Sellers service and solely to the operation of its system,
force majeure shall also mean shutdowns for purposes of
necessary repairs, relocation, or construction of facilities;
| ANR Storage Company |
|
Original Sheet No. 145 : Effective |
| FERC Gas Tariff | | |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
breakage or accident to machinery, wells or lines of pipe or
casings; testing (as required by governmental authority or as
deemed necessary by Seller for the safe operation of the
underground storage reservoir and facilities required to
perform the service hereunder), the necessity of making
repairs or alterations to machinery or lines of pipe; failure
of wells, surface equipment or pipe lines, well or line freeze
ups; accidents, breakdowns, inability to obtain necessary
materials, or supplies or permits, or labor or land rights to
perform or comply with any obligation or condition of this
Agreement; an occurrence of nominations made by Customers on
any Day pursuant to Section 4 of these General Terms and
Conditions that are greater than zero (0) and less than 25,000
Dekatherms, in the aggregate; and any other causes, whether of
the kind herein enumerated or otherwise which are not
reasonably in Sellers control. It is understood and agreed
that the settlement of strikes or lockouts or controversies
with landowners involving rights of way shall be entirely
within Sellers discretion and that the above requirement that
any force majeure shall be remedied with all reasonable
dispatch shall not require the settlement of strikes or
lockouts or controversies with landowners involving rights of
way by acceding to the demands of the opposing party when such
course is inadvisable in the discretion of Seller.
9.2 Force Majeure. If by reason of force majeure either party
hereto is rendered unable, wholly or in part, to carry out its
obligations under this Agreement, it is agreed that on such
party giving notice in full particulars of such force majeure
in writing to the other party within a reasonable time after
the occurrence of the cause relied on, the party giving such
notice, so far as and to the extent that it is affected by
such force majeure, shall not be liable in damages during the
continuance of any inability so caused, but for no longer
period, and such cause shall so far as possible be remedied
with all reasonable dispatch. Seller shall not be liable in
damages to Customer other than for acts of gross negligence or
willful misconduct and then only where force majeure does not
apply.
9.3 Limitations. Such force majeure affecting the performance
hereunder by either Seller or Customer, however, shall not
relieve such party of liability in the event of concurring
negligence or in the event of failure to use due diligence to
remedy the situation and to remove the cause in an adequate
| ANR Storage Company |
|
Fourth Revised Sheet No. 146 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 146 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
manner and with all reasonable dispatch, nor shall such
causes or contingencies affecting such performance
relieve Customer, in whole or in part, from its
obligations to pay the monthly charges provided for in
Section 8 of these General Terms and Conditions.
10. PRIORITY OF SERVICE REQUESTS AND SERVICE AGREEMENTS
10.1 FIRM STORAGE
(a) Priority Of Request For Initial Firm Storage
Agreements: After notification, pursuant to
Section 13 of these General Terms and Conditions
hereof, that Seller has available firm Storage
capacity which is not subject to contract or is
released pursuant to Section 7 of Rate Schedule
FS, Seller will accept requests that Seller enter
into an Agreement for firm Storage Service.
Except as provided in Section 10.1(b) below, the
order of priority among such requests shall be
based upon the economic value of the transaction
to Seller, with the transaction producing the
greatest economic value having the highest
priority of request, provided, however, that
nothing herein shall require Seller to provide
service at any rates less than Seller's applicable
Maximum Rates, and provided further, that Seller
shall not be required to enter into Service
Agreements with terms of more than one Year unless
Customer has a long-term debt rating of at least
Baa3 according to Moody's Investors Service or
BBB- according to Standard & Poor's Corporation or
if its obligations to the Seller are guaranteed by
a person with a long-term debt rating equal to or
greater than stated above. Economic value shall
be determined on the basis of the product of the
term of service in years in the request, (using a
term not to exceed twenty (20) years) and the
Reservation Charges for each year in the life of
the Agreement agreed to in the request by the
requesting party, discounted to present value by
the then-current interest rate determined in
accordance with Section 154.501(d) of the
Commission's Rules and Regulations. The sum of
the present value for each year in the life of the
Agreement shall be the economic value of the
Agreement. In the event two or more bids with
equal economic values are received for combined
capacity in excess of the quantity of available
firm capacity, the capacity will be allocated on a
first come first served basis.
| ANR Storage Company |
|
Eighth Revised Sheet No. 147 : Effective |
| FERC Gas Tariff | | Seventh Revised Sheet No. 147 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
(b) Right of First Refusal:
Any Customer or Replacement Customer with an FS Agreement
paying Maximum Rates and (1) having a term of twelve (12)
consecutive Months or more, or (2) a term for more than one
year for a service not available 12 consecutive Months, may
exercise a right to continue to receive service under that
Agreement for all or a portion of the firm capacity under
the Agreement at the expiration of the Agreement's term
provided that Customer notifies Seller twelve (12) Months
prior to the expiration of the Agreement of its intent to
continue service under the Agreement, and will match the
best offer made by others for such capacity or portion
thereof by offering a rate and term of Agreement that
produces an equivalent or greater economic value for such
capacity as defined in Section 10.1(a), above, provided
that Seller shall not be obligated to enter into an
extension of any Agreement or continue service (i) at any
rate less than Seller's Maximum applicable Rate in effect
at the time of renewal or (ii) if a Customer's extension
rights are limited pursuant to Section 20 of these General
Terms and Conditions. If a Customer's Agreement does not
qualify for the right of first refusal under this Section
10, then Seller in a not unduly discriminatory manner may
agree otherwise with any such Customer.
After Customer has notified Seller of its intent to
continue service, the capacity available under Customer's
Agreement will be posted on Seller's Internet Site for
bid. Seller will accept bids for this capacity from the
time of posting up to and including, but no later than,
the forty-fifth (45th) Day prior to the date the existing
Agreement is scheduled to expire. Within five (5)
Business Days of the date bidding ends, Seller will
notify Customer of the bid received having the greatest
economic value, as defined by Section 10.1(a), above.
Customer will have ten (10) Business Days to notify
Seller whether it will match the rate and term offered in
the best bid, and if so will execute a new Service
Agreement matching the offer prior to the termination of
the existing Agreement.
If no bids are received, Customer may continue to receive
service under a new Agreement at the applicable Maximum
Rate, or at a rate agreed to by Customer and Seller.
(c) Priority of Request for Renewal of any ANR Existing
Agreements: For expiring ANR Existing Agreements,
Customer shall have the right of first refusal to retain
its service and enter into an FS Agreement for all or any
| ANR Storage Company |
|
Third Revised Sheet No. 148 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 148 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
portion of the firm capacity under its existing
Agreement by agreeing to match any offer made by
others for such capacity or portion thereof by
offering a rate and term of Agreement that
produces an equivalent or greater economic value
for such capacity as defined in Section 10.1(a),
above, provided that Seller shall not be obligated
to enter into an extension of any Agreement at any
rate less than Seller's maximum applicable rates
in effect at the time of renewal.
(d) Priority of Firm Storage Under Agreements: All
firm Storage Agreements shall have equal priority
as to service, and shall have priority over
interruptible Storage Services under Rate Schedule
IS and Overrun Service.
(e) Extension of Service Agreements: Prior to the
expiration of the term of an Agreement and prior to
Seller's posting the availability of capacity under
Seller's Right of First Refusal provisions, if
applicable, Seller and Customer may mutually agree
to an extension of the term of the Agreement (the
exact length of which is to be negotiated on a case-
by-case basis, in a not unduly discriminatory
manner).
10.2 INTERRUPTIBLE AND OVERRUN STORAGE
(a) Priority Of Nominations For Interruptible and
Overrun Service: Seller, in determining the
allocation of interruptible and overrun service
capacity on any Day among Customers under Rate
Schedule IS and Rate Schedule FS, which have
nominated quantities of service desired on such
Day, shall be assigned the order of priority of
such service on the basis that the highest rate
offered for such service shall be accorded the
highest priority. If more than one nomination or
request for interruptible and overrun Storage on a
Day includes an offer of the same rate, then the
order of priority as among such nominations or
requests shall be the same. If capacity is
constrained, service among Customers within the
same priority will be allocated pro rata based
upon the quantities nominated or requested.
(b) A Customer desiring Interruptible or Overrun
service under Rate Schedule IS or Rate Schedule FS
in a Month shall submit to Seller, at least five
(5) Business Days prior to the start of such
Month, the rate that such Customer is willing to
pay for such service in such Month. The rate
submitted by Customer pursuant to the above
provision shall be used to determine priority
among nominations on each Day of such Month. Once
Customer's nomination is accepted, and priority is
assigned thereto pursuant to this section for such
Month, such priority
| ANR Storage Company |
|
First Revised Sheet No. 149 : Effective |
| FERC Gas Tariff | | Original Sheet No. 149 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
shall not be changed by the execution of new IS
Agreements during the Month for service under Rate
Schedule IS, or the nomination of additional Overrun
Service under Rate Schedule FS or IS.
(c) Notwithstanding the provisions of this Section 10.2, if
a Customer under Rate Schedule IS or Rate Schedule FS
fails to submit a timely nomination for service for a
Month, pursuant to these General Terms and Conditions,
for such service, then such Customers priority for such
service for that Month, shall be changed, on the first
Day of that Month, to a ranking below that of all other
Customers who have made timely nominations for service.
10.3 COMMUNICATIONS
In offering service from time to time pursuant to this Section
10, to a Customer under an Agreement, Seller may deem any
offer made by telephone or other instant communication method
to have been refused if acceptance thereof is not communicated
to Seller within six normal working hours after such offer, or
as otherwise agreed to by the parties.
11. MISCELLANEOUS
11.1 Responsibility for Gas. Upon receipt of Gas to be stored,
Seller shall be in exclusive control and possession of such
Gas and responsible for any loss thereof, or any and all
injury or damage caused thereby, until the Equivalent
Quantities of Gas have been delivered for the account of
Customer after which Customer shall be in exclusive control
and possession of such Gas and responsible for any and all
injury or damage caused thereby.
| ANR Storage Company |
|
First Revised Sheet No. 150 : Effective |
| FERC Gas Tariff | | Original Sheet No. 150 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
11.2 Warranty. Customer or Replacement Customer warrants for
itself, its successors, and assigns, that it has, or
will have, at the time of delivery of the Gas for
injection hereunder good title to such Gas and/or good
right to cause the Gas to be delivered to Seller for
Storage. Customer or Replacement Customer warrants for
itself, its successors, and assigns, that the Gas it
warrants hereunder shall be free and clear of all liens,
encumbrances or claims, that it will indemnify and save
Seller harmless from all suits, actions, debts,
accounts, damages, costs, losses, and expenses arising
from or out of adverse claims of any and all persons to
said Gas and/or to royalties, taxes, license fees, or
charges thereon which are directly applicable to such
delivery of Gas and that it will indemnify and save
Seller harmless from all taxes or assessments which may
be directly levied and assessed upon such delivery and
which are by law payable and the obligation of the party
making such delivery.
11.3 Waivers. No waiver by either Seller or Customer of any
one or more defaults by the other in the performance of
any provisions hereunder shall operate or be construed
as a waiver of any future default or defaults, whether
of a like or a different character. Seller shall retain
the right to waive, with respect to Customer, any
Section of these General Terms and Conditions and Rate
Schedules FS and IS, if Seller does so in a non-
discriminatory manner.
11.4 Assignments. Any company which shall succeed by
purchase, merger or consolidation to the properties,
substantially as an entirety, of Customer or of Seller,
as the case may be, shall if eligible be entitled to the
rights and shall be subject to the obligations of its
predecessor in title under the Service Agreement(s)
between Seller and Customer. Either Seller or Customer
may assign any of its rights or obligations under its
Service Agreement(s) to a financially responsible
corporation with which it is affiliated at the time of
such assignment. Furthermore, Seller may, as security
for its indebtedness, assign, mortgage or pledge any of
its rights or obligations under its Service
Agreement(s), including its rights to receive payments,
to any other entity, and Customer will execute any
consent agreement with such entity and provide such
certificates and other documents as Seller may
reasonably request in connection with any such
assignment. Customer also may assign or pledge its
Service Agreement(s) under the provisions of any
mortgage, deed of trust, indenture or
| ANR Storage Company |
|
Second Revised Sheet No. 151 : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 151 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
similar instrument which it has executed or may hereafter
execute covering substantially all of its properties.
Otherwise, except as provided in Section 7 of Rate
Schedule FS neither party shall assign its Service
Agreement(s) or any of its rights thereunder unless it
first shall have obtained the consent thereto in writing
of the other party.
11.5 Creditworthiness. Seller shall not be required to
commence service or, subject to the following provisions,
to continue to provide service and may terminate a
Agreement with any Customer under Rate Schedule FS with a
primary term of one year or less and Service Agreements
under Rate Schedule IS, if:
(1) Customer is or has become insolvent;
(2) Customer has applied for bankruptcy under Chapter
11 of the Bankruptcy Code, or which is subject to
similar proceedings under State or Federal law; or
(3) Customer, when requested by Seller to demonstrate
creditworthiness, fails to do so in Seller's
reasonable judgment, in light of previous payment
experience and changes thereto and the prudent
credit analysis of information available; provided,
however, that any such Customer that is receiving
service shall continue to receive service for a
period of fifteen (15) Days after written notice by
Seller of any such circumstance, and shall continue
thereafter to receive service if, within such
fifteen (15) Day notice period, such Customer:
(i) deposits with Seller and maintains, on
account, an amount which would be due for
three (3) Months service at the full contract
quantities set forth in the Service
Agreement; or
(ii) furnishes good and sufficient security, which
may include an acceptable standby letter of
credit, or monthly prepayment agreement or
other security as reasonably determined by
| ANR Storage Company |
|
First Revised Sheet No. 152 : Effective |
| FERC Gas Tariff | | Original Sheet No. 152 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
Seller, of a continuing nature and in an
amount equal to such amounts which would be
due for service. If such payment on
account or payment security is not received
within such fifteen (15) Day notice period,
Seller may, without waiving any rights or
remedies it may have, suspend further
service for a period of ten (10) Days.
If such payment on account or a payment security
is not received within such ten (10) Day
suspension period, then Seller shall no longer be
obligated to continue to provide service to such
Customer.
Seller shall not be required to commence service, or
subject to the following provisions, to continue to
provide service and may terminate an Agreement with any
Customer under Rate Schedule FS having a term of more
than one year if Customer, or its guarantor, fails to
maintain a long-term debt rating issued by either
Moody's Investors Service, or Standard and Poor's
Corporation, or Customer's, or its guarantor's, long-
term debt rating issued by Moody's Investors Service or
Standard and Poor's Corporation falls below a rating of
at least Baa3 according to Moody's Investors Service or
BBB- according to Standard & Poor's Corporation;
provided, however, that any such Customer that is
receiving service shall continue to receive service for
a period of three (3) Months during which Customer
shall have the ability to:
(1) attain minimum long-term debt ratings as
described above; or
(2) secure a guarantee by a person with a
minimum long-term debt rating as described
above, provided further, if Customer should
fail to meet the requirements set forth
within the three-Month period, Seller shall
have the right to market the capacity
underlying the Service Agreement(s) in
question to other Customers meeting the
requirements as set forth herein.
11.6 Interpretation of Laws. Any Agreement shall be
interpreted, performed and enforced in accordance with
the laws of the State of Michigan.
| ANR Storage Company |
|
Fourteenth Revised Sheet No. 153 : Effective |
| FERC Gas Tariff | | Thirteenth Revised Sheet No. 153 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
11.7 Regulations. Any Agreement, and all terms and provisions
herein, and the respective obligations of the parties
thereunder are subject to valid laws, orders, rules and
regulations of duly constituted authorities having
jurisdiction.
11.8 No Third-Party Beneficiary. It is expressly agreed that
there is no Third-Party Beneficiary or any Agreement, and
that the provisions of any Agreement and these General Terms
and Conditions do not impart enforceable rights in anyone who
is not a party or successor or assignee of any party to an
Agreement herein.
11.9 Counterparts. Any Agreement may be executed in any number of
counterparts, each of which shall be deemed an original, but
all of which together shall constitute but one and the same
instrument.
11.10 Heading. The headings contained in any Agreement are for
reference purposes only and shall not affect the meaning or
interpretation of any Agreement.
11.11 Compliance with North American Energy Standards Board.
Seller has adopted all of the business practices and
electronic communication standards that were incorporated in
18 CFR 284.12(a) in accordance with Order No. 587 et al and
Order 698. Seller specifically incorporates the following
practices and standards of Version 1.8, except that Standard
4.3.23 refers to 2008 Annual Plan Item 10, into this Tariff.
Notwithstanding this Section 11.11, Seller shall adhere to
the NAESB Standards as modified by Order No. 717. Standard
Nos.
0.2.1-0.2.3, 0.3.1-0.3.15, 0.4.1, 1.2.8-1.2.19, 1.3.2(vi),
1.3.15, 1.3.16, 1.3.22-1.3.31, 1.3.32, 1.3.35-1.3.77, 1.3.79,
1.4.1-1.4.4, 1.4.5-1.4.7, 2.2.1-2.2.5, 2.3.1-2.3.6, 2.3.8,
2.3.10-2.3.13, 2.3.15-2.3.23, 2.3.25, 2.3.27, 2.3.28, 2.3.29,
2.3.30, 2.3.31-2.3.35, 2.3.40-2.3.65, 2.4.1-2.4.18, 3.3.1-
3.3.8, 3.3.10-3.3.13, 3.3.16, 3.3.20, 3.3.21-3.3.26, 3.4.1-
3.4.4, 4.2.1-4.2.20, 4.3.1-4.3.3, 4.3.5, 4.3.16-4.3.18,
4.3.20, 4.3.22-4.3.25, 4.3.26-4.3.36, 4.3.38-4.3.62, 4.3.65-
4.3.69, 4.3.72-4.3.76, 4.3.78-4.3.87, 4.3.89-4.3.93, 5.2.1-
5.2.3, 5.3.9, 5.3.17, 5.3.18, 5.3.20, 5.3.21, 5.3.30-5.3.43,
5.3.46, 5.3.47, 5.3.48, 5.3.50, 5.3.52, 5.3.59, 5.3.60,
5.4.1-5.4.23, 10.2.1-10.2.38, 10.3.1, 10.3.3-10.3.25.
12. FACILITIES
Unless otherwise agreed to by the parties, Seller shall not be
required to own, construct and install any facilities to
perform the service requested by Customer. In the event
Seller agrees to own, construct and install facilities to
perform the service requested by Customer including, but not
limited to, hot tap, processing, measurement, injection/
withdrawal wells, gathering system pipe line looping and/or
compression facilities, Customer shall reimburse Seller for
all Seller's costs associated therewith either on a lump sum
or incremental fee basis as agreed to by the parties.
| ANR Storage Company |
|
Third Revised Sheet No. 154 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 154 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
13. INTERNET WEBSITE
Seller has established an Internet Website ("Internet Site")
through the use of a third party provider Latitude
Technologies, Inc. that will be available to any existing or
potential Customer on Seller's system. The Internet Site shall
be interactive and contain relevant informational posting
requirements. Such site is located at "www.latec.com/anr".
Seller shall notify Customer of any change to its Internet Site
procedures or Web address.
Seller may also charge a fee to users of the Internet Site to
recover variable costs associated with the Internet Site.
Latitude Technologies, Inc. shall maintain daily backups of all
pipeline files and archive them for a period of three (3) years
pursuant to Commission regulations, and shall allow any
Customer access to such historical information, for a
reasonable fee, within a reasonable period of any such request.
14. RESPONSIBILITY FOR ASSOCIATED TRANSPORTATION
The transportation of quantities to be stored hereunder to and
from the Point of Injection/Withdrawal is solely the Customer's
responsibility.
| ANR Storage Company |
|
Fourth Revised Sheet No. 155 : Effective |
| FERC Gas Tariff | | Third Revised Sheet No. 155 |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
15. TITLE TRANSFERS OF GAS IN STORAGE
15.1 Seller, or any Customer receiving Storage Service from Seller,
shall be entitled to transfer, in-field, any of its Working
Storage Gas to another Customer or to Seller, provided,
however, that Seller may restrict such transfers when the
transfer results in an increase in Seller's service
obligations and such increase would in Seller's reasonable
judgment impair Seller's ability to meet all of its other
service obligations of equal or higher priority and if:
(a) Both purchaser and seller of the Working Storage
Gas provides ANR Storage with verification of the
transfer in writing; and
(b) The purchase does not cause either Customer to
exceed its Maximum Storage Quantity, as specified
in the Customer's Service Agreement.
15.2 ANR Storage will recognize the transfer for purposes of
computing available Working Storage Gas and applicable
Injection and Withdrawal Quantities on a prospective basis
within 24 hours after receiving the written verification
required by Section 15.1(a), above.
| ANR Storage Company |
|
Second Revised Sheet No. 155A : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 155A |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
16. OPERATIONAL FLOW ORDER ("OFO")
16.1 General. Seller, in its discretion, shall have the right to
issue OFOs when in its judgement it is necessary to
maintain or restore the operational integrity of Seller's
Storage system. Seller will not be required to issue an
OFO:
(a) to redeliver Gas to any Customer that has not tendered
Equivalent Quantities of Gas to Seller's Storage
system; or
(b) to any other pipeline in order to obtain access to
quantities of Gas, except to the extent that such
quantities of Gas are being transported by such
pipeline for the account of a Customer.
Seller shall not be required to respond to any OFO that it
receives from an interstate pipeline that is not currently
providing Equivalent Quantities and pressures of Gas to
Seller, unless Seller is a customer on that pipeline.
16.2 Forms of OFOs. An OFO may:
(a) direct any Customer to increase/decrease quantities
injected or withdrawn or increase/decrease pressures
at a Point of Injection/Withdrawal, in accordance
with Section 16.4, below; or
(b) implement verbal arrangements with transporters; or
(c) enable Seller to take or require any other actions as
may be deemed necessary by Seller in its judgement in
order to maintain the operational integrity of
Seller's Storage system.
16.3 OFO Operations Conditions. OFOs may be issued in any of the
following circumstances:
(a) to alleviate conditions that threaten the operational
integrity of Seller's Storage system; or
(b) to maintain minimum necessary pressures for Storage
operations; or
The OFO will remain in effect until the operational
condition requiring its issuance has been remedied.
| ANR Storage Company |
|
Third Revised Sheet No. 155B : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 155B |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(continued)
16.4 Condition to Firm Service Agreements.
(a) Seller may issue an effective OFO to any Customer
under Rate Schedule FS to (1) increase/decrease
quantities tendered to Seller for Storage at
Customer's Point of Injection, up to Customer's
Maximum Daily Injection Quantity; (2)
increase/decrease quantities requested to be withdrawn
from Storage at the Point of Withdrawal, up to
Customer's Maximum Daily Withdrawal Quantity.
Customer will be required to comply with such OFO
within twenty-four (24) hours prior notice.
(b) Seller will require, as a condition in each firm
Service Agreement, that Customer guarantee that Seller
will have the right to issue an effective OFO to any
transporter or owner of Gas being supplied to any
Customer, whether such OFO is required to be
effectuated at the Point of Injection/Withdrawal.
Seller shall issue an OFO pursuant to this Section
16.4(b) only if (1) Customer has elected to grant such
authority to Seller for the issuance of all OFOs; or
(2) Seller is required to issue the OFO without
providing the twenty-four (24) hours notice referenced
in Section 16.4(a), above.
(c) Seller shall develop a rotating schedule of Customers
at the Point of Injection/Withdrawal to establish the
priority of the Customer that will receive an OFO in
the event Seller requires additional supplies.
16.5 OFO NOTICE, CONTENTS AND PROCEDURES. Seller shall issue an
OFO as expeditiously as is reasonably practicable in the
circumstances, utilizing electronic communication,
(information transmitted via Seller's Internet Site,
electronic delivery mechanism prescribed by NAESB or other
mutually agreed communication methodologies used to
transmit and receive information, including communication
by telephone). Seller shall post and provide Customers
with updated information concerning the status of
operational variables related to the OFO as soon as it is
available. Each OFO will contain the following provisions:
(a) time and date of issuance;
(b) time that the OFO is considered to be effective (if no
time is specified, the OFO shall be effective
immediately);
| ANR Storage Company |
|
Second Revised Sheet No. 155C : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 155C |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(continued)
(c) duration of the OFO (if none is specified, the OFO
will be effective until further notice);
(d) the party or parties receiving the OFO;
(e) the quantity of Gas required to remedy the operational
condition requiring the issuance of the OFO; and
(f) any other terms Seller may reasonably require to
ensure the effectiveness of the OFO.
16.6 Failure to Comply with OFO. If Customer or agent fails to
comply with the terms of an OFO, for any reason other than
force majeure on an upstream or downstream pipeline, such
Customer shall be: (a) liable for any damages including, but
not limited to direct, consequential, exemplary or punitive
damages incurred by Seller or any other affected party as a
result of such failure. Notwithstanding anything to
the contrary in this Section 16.6, if Customer is required to
make a nomination pursuant to an OFO, unless critical
circumstances dictate otherwise, no damages and/or penalties
will be assessed unless Customer is given the opportunity to
correct the circumstances giving rise to the OFO.
16.7 Seller's Liability for OFOs. Seller shall not be liable to
any person for any costs, damages or other liability
associated with the issuance of, or the failure to issue,
any OFOs, provided, however, Seller shall be liable for
acts of negligence or undue discrimination, such standards
to be judged in light of the emergency conditions under
which OFOs are issued.
16.8 Seller's Scheduling Authority. Seller shall have the right
to act as a scheduling agent for a Customer's account if
(a) the Customer refuses to schedule Gas injections or
withdrawals as specified by an OFO issued pursuant to
Section 16.4(a); or (b), above, if Seller requires additional
quantities in less than the twenty-four (24) hour notice
period normally required for an OFO, and the Customer has
refused a verbal request to schedule the required quantity
of Gas.
| ANR Storage Company |
|
First Revised Sheet No. 155D : Effective |
| FERC Gas Tariff | | Original Sheet No. 155D |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
17. TYPES OF DISCOUNTS
Under its Rate Schedules Seller is permitted to discount its rates between its
Maximum and Minimum Rates on a basis that is not unduly discriminatory. From
time to time Customer and Seller may agree in writing on a level of discount of
the otherwise applicable rates and charges in addition to a basic discount from
the stated Maximum Rates. For example, Seller may provide a specific
discounted rate:
(i) to certain specified quantities under the Service Agreement,
(ii) if specified quantity levels are actually achieved or with respect to
quantities below a specified level,
(iii) during a specified time period,
(iv) to points of injection, points of withdrawal, or defined geographical
areas, or
(v) in a specified relationship to the quantities actually injected or
withdrawn (i.e., that the rates shall be adjusted in a specified
relationship to quantities actually injected or withdrawn).
In all circumstances the discounted rate shall be between the Maximum Rate and
the Minimum Rate applicable to the service provided.
Such forms of discounts shall not be considered a material deviation from Seller's
pro forma Service Agreement as a result of such discount and Seller shall not be
required to file such Agreement with the Commission as a non-conforming contract
because of such discount. Seller shall, however, file any required reports
related to such discounts pursuant to the Commission's regulations.
In addition, the discount agreement may include a provision that if one rate
component which was at or below the applicable Maximum Rate at the time the
discount agreement was executed subsequently exceeds the applicable Maximum
Rate due to a change in Seller's Maximum Rates so that such rate component must
be adjusted downward to equal the new applicable Maximum Rate, then other rate
components may be adjusted upward to achieve the agreed overall rate, as long
as none of the resulting rate components exceed the Maximum Rate applicable to
that rate component. Such changes to rate components shall be applied revised
Tariff sheet rates. However, nothing contained herein shall be construed to
alter a refund obligation under applicable law for any period during which
rates that had been charged under a discount agreement exceeded rates, which
ultimately are found to be just and reasonable.
| ANR Storage Company |
|
First Revised Sheet No. 155E : Effective |
| FERC Gas Tariff | | Original Sheet No. 155E |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
18. NEGOTIATED RATES
18.1 Availability: Seller and Customer may mutually agree to negotiate rates
under any Part 284 Rate Schedule that expressly provides for a negotiated
rate and references this Section 18. Seller's maximum effective rate
(maximum base rate plus all applicable surcharges) for service under any
such rate schedule is available as a recourse rate for any Customer that
does not desire to negotiate a rate hereunder.
18.2 Definition: Negotiated rates shall be mutually agreed and set forth in
writing. A negotiated rate is a rate: which is determined from a formula
rather than a stated rate between the maximum and minimum on the filed
rate sheets; or which is a stated rate that is or may be greater than the
Maximum Rate; or which may have components which are less than the
minimum charge for such components on the filed rate sheets; or which
uses a rate design other than the one used to establish the applicable
recourse rate (e.g., straight fixed variable). A negotiated rate may
include a minimum or maximum volume quantity for which charges will be
paid. A negotiated rate may also include the ability to having varying
terms for capacity or the ability to buyout of the term for some or all
of the capacity.
18.3 Capacity Allocation: In evaluating requests for firm service, where one or
more request uses a negotiated rate or negotiated rate formula, Seller will
consider, in assigning value to such requests, only reservation or demand
charge revenue or other revenue which is guaranteed to be received by
Seller. Pursuant to a capacity evaluation under Section 10.1 (a) of these
General Terms and Conditions, the net present value of any such bid for
firm service shall be capped by the net present value of the maximum
applicable reservation rate for such service over the contract term bid. In
performing a net present value evaluation of a negotiated rate bid
proposing a volumetric or usage rate along with a minimum throughput
commitment, Seller shall consider only the amounts required to be paid
regardless of actual usage.
| ANR Storage Company |
|
Second Revised Sheet No. 155F : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 155F |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
18.4 Capacity Release and Right of First Refusal: The rate at which capacity
subject to a negotiated rate may be released shall be capped at the maximum
applicable tariff rate. However, if the release is for a term of one (1)
year or less and if the release is to take effect on or before one (1) year
from the date on which the Seller is notified of the release, the rate at
which capacity subject to a Negotiated Rate may be released shall not be
capped at the maximum applicable tariff rate. For purposes of exercising
rights to continue service pursuant to Section 10.1(b) of these General
Terms and Conditions, the highest rate that the existing Customer capacity
holder must match if it desires to retain all or a portion of its capacity,
is the applicable Maximum Tariff Rate, including surcharges, for such
service.
18.5 Filing Requirements: No later than the Business Day on which Seller
commences service at a negotiated rate (or if the Day on which Seller
commences such service is not a Business Day, then the next Business Day
after Seller commences such service), Seller will file with the Commission
either its negotiated rate agreement or a numbered Tariff sheet stating the
name of the Customer, the actual negotiated rate or the formula used to
calculate the rate, the applicable receipt and delivery points, the quantity
of Gas to be transported, the applicable Rate Schedule for the service and
an affirmation that the negotiated rate agreement does not deviate in any
material aspect from the applicable Form of Service Agreement in Seller's
Tariff.
18.6 Accounting for Costs and Revenues: The allocation of costs to, and the
recording of revenues from, service at negotiated rate(s) will follow
Seller's normal practices associated with all of its services under this
Tariff. Seller will maintain separate records of negotiated rate transactions
for each billing period. These records shall include the volumes
transported, the billing determinants, the rates and surcharges charged and
the revenue received associated with such transactions. Seller will
separately identify such transactions in Statement G, I and J (or their
equivalents) filed in any general rate proceeding.
18.7 Rate Treatment: Seller shall have the right to seek in future general rate
proceedings discount-type adjustments in the design of its rates related to
negotiated rate agreements that were converted from pre-existing discount
agreements to negotiated rate agreements, provided that the type of pre-
existing service is not altered as a result of the conversion to a negotiated
rate. In these situations, Seller may seek a discount-type adjustment based
upon the greater of the negotiated rate revenues received or the discounted
rate revenues which otherwise would have been received.
18.8 Limitations: This Section 18 does not authorize Seller to negotiate terms
and conditions of service.
| ANR Storage Company |
|
Second Revised Sheet No. 155G : Effective |
| FERC Gas Tariff | | First Revised Sheet No. 155G |
| Original Volume 1 |
GENERAL TERMS AND CONDITIONS
(Continued)
19. BILLING ADJUSTMENT FOR RATE SCHEDULE IS WITHDRAWAL PENALTY
19.1 Billing Adjustment. A billing adjustment shall be made to non-
offending Customers' bills crediting all revenues from Rate
Schedule IS Withdrawal Penalties collected by Seller, net of
costs. All such revenue shall be generated from the sale of
Working Storage Gas retained by Seller ("Penalty Gas"). A pro
rata allocation of such revenue will be credited to each non-
offending Customer, and will appear on the invoice for the next
Month's business following actual receipt by Seller of such
revenues. Seller shall have 90 Days from the end of the Month, in
which such Penalty Gas was retained, to sell the Penalty Gas. The
Penalty Gas shall be sold as near as practical to the market rate
existing at the time the Penalty Gas is sold. If sale of Penalty
Gas is made to an affiliate of Seller, Seller shall sell such
Penalty Gas at no less then the spot market price on the Day of
such sale.
19.2 Allocation Base. Customers will receive a pro rata allocation of
net penalty revenue, based upon the following allocation base:
(a) Non-offending Rate Schedule FS Customers: The Maximum
Storage Quantity such Customer had a right to store in the
Month withdrawal penalty invoked; and
(b) Non-offending Rate Schedule IS Customers: The Average
Monthly Storage Volume the Customer stored in the Month
withdrawal penalty invoked.
19.3 Monthly Credit. Each Customer will receive a Monthly Credit based
upon the formula
X (Y / Z), where:
X = Total net Penalties collected by Seller in a Month
Y = The Customer's allocation base derived in accordance
with Section 19.2, above; and
Z = The Sum of all of Customers' allocation bases derived
in accordance with Section 19.2, above.
20. OFF-SYSTEM CAPACITY
Seller may, from time to time, enter into agreements with other
interstate or intrastate pipeline or storage companies for capacity
("off-system capacity"). In the event that Seller acquires off-system
capacity, Seller will use such capacity for operational reasons or to
provide service to its Customers pursuant to Seller's Tariff and subject
to Seller's approved rates, as such rates may change from time to time.
In the event that off-system capacity used to render service to Seller's
Customers is subject to renewal limitations, as specified in a
provider's tariff and/or as provided by FERC regulation, Seller will
indicate in any posting of capacity available for service any limitation
to extension rights that will apply as a result of limitations on the
off-system capacity. For purposes of transactions entered into subject
to this section, the "shipper must have title" requirement is waived.
| ANR Storage Company |
|
Third Revised Sheet No. 156 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 156 |
| Original Volume 1 |
ANR Storage Company
STORAGE SERVICE REQUEST FORM
Send to: ANR Storage Company (Seller)
717 Texas Street
Houston, Texas 77002-2761 Date Received
Attention: Transportation Services
Fax Telecopy No.: (832) 320-5706
Verification No.: (832) 320-5551
NOTE: A check, if required by Section 2.1 of the General Terms and
Conditions of Seller's FERC Gas Tariff, Original Volume No. 1
("Tariff"), must accompany each Storage Service Request to be
valid.
INFORMATION REQUIRED FOR VALID STORAGE REQUEST
NOTE: ANY CHANGE IN THE FACTS SET FORTH BELOW, WHETHER BEFORE OR
AFTER SERVICE BEGINS, MUST BE PROMPTLY COMMUNICATED TO SELLER
IN WRITING.
1. Requestor: (Do not complete if same as Customer, see No. 3 below)
Requestor's Name:________________________________________________
2. Is Requestor affiliated with Seller? YES _____ NO _____
If yes, type of affiliation and the percentage of ownership between
Seller and Requestor____________________________________________
3. Customer's Name, Address and D&B Number: (Note: The "Customer" is
the party which proposes to execute the Storage Agreement with
Seller).
_________________________________________________________________
_________________________________________________________________
Attention: ______________________ Telephone ( )________________
Address for _____________________________________________________
Statements _____________________________________________________
& Invoices _____________________________________________________
Attention: ____________________ Telephone ( )________________
For All _____________________________________________________
Other Matters_____________________________________________________
Attention: ____________________ Telephone ( )________________
Dispatch & Control Representative ________________________________
Telephone No. ( )______________ Telecopier ( )_______________
| ANR Storage Company |
|
Third Revised Sheet No. 157 : Effective |
| FERC Gas Tariff | | Second Revised Sheet No. 157 |
| Original Volume 1 |
4. Is Customer affiliated with Seller? YES _____ NO _____
If yes, type of affiliation and the percentage of ownership
between Seller and Customer_______________________________
5. Customer is a(n): (Check One)
_____ Local Distribution Company _____ Producer
_____ Intrastate Pipeline Company _____ End-User
_____ Interstate Pipeline Company _____ Marketer/Broker
_____ Other (Describe) __________________________________
6. Customer is Acting: (Check One)
_____ for Itself
_____ as Agent for ________________________________________
7. This request is for: (Check One)
_____ Firm Storage Service under Rate Schedule FS
_____ Interruptible Storage Service under Rate Schedule IS
8. Requested Storage Demand Withdrawal Quantity (SDWQ) (FS Only)
_____ Dekatherms per Day
9. Requested Maximum Storage Quantity
_____ Dekatherms (Shall not be less than 100,000 Dth,
except for volumes under Section 7 of Rate Schedule
FS.)
10. Point of Injection _______________________________
11. Point of Withdrawal ______________________________
12. Term of Service:
Date service is requested to commence: ________________________
Date service is requested to terminate: ________________________
(Agreements for FS shall commence on April 1 and terminate on
March 31 of any following year, unless mutually agreed to
otherwise.)
| ANR Storage Company |
|
First Revised Sheet No. 158 : Effective |
| FERC Gas Tariff | | Original Sheet No. 158 |
| Original Volume 1 |
13. Rate Information:
Does Customer agree to pay the applicable Maximum Rate(s) for the
service?
_________Yes _________No
If no, provide rate Customer will agree to pay for service
requested, which shall not be less than the applicable Minimum
Rate(s).
FIRM
Deliverability - Monthly ________
Capacity - Monthly ________
Injection ________
Withdrawal ________
INTERRUPTIBLE
Commodity Rate ________
14. Certified Statement:
By submitting this request, Customer certifies that Customer has
or will have by the time of execution of an Agreement with Seller,
title to, or the legal right to cause to be delivered to Seller,
for Storage, the Gas which is to be stored and facilities or
contractual rights which will cause such Gas to be delivered to
and received from Seller.
15. Credit Evaluation: as required by Section 2.2(j) of the General
Terms and Conditions of Seller's Tariff.
THIS STORAGE SERVICE REQUEST IS HEREBY SUBMITTED
this _____ day of ____________________, _____.
By ____________________________________________
Telephone Number ( )_______________________