not more often than is found necessary in practice.

The accuracy of chromatographs shall be verified at least once every thirty

(30) Days. If, upon testing, the measuring equipment is found to be in error

by not more than two percent (2%), previous recordings of such equipment shall

be considered accurate in computing deliveries, but such equipment shall be

adjusted at once to record accurately. If, upon testing, the measuring

equipment shall be found to be inaccurate by an amount exceeding two percent

(2%), at a recording corresponding to the average hourly rate of flow for the

period since the last preceding test, then any previous recordings of such

equipment shall be corrected to zero error for any period which is known

definitely or agreed upon, but in the case of the period is not known or

agreed upon, such correction shall be for a period extending over one-half of

the time elapsed since the last test, not exceeding a correction period of

sixteen (16) Days. If after testing a meter is found to be out of service or

registering inaccurately, the quantity of Gas delivered shall be determined:

(a) by correcting the error if the percentage of error is ascertainable by

calibration, tests or mathematical calculation, or in the absence of any such

possible method of determining deliveries, then (b) by using the registration

of any check meter or meters, if installed, and accurately measuring or, in

the absence of both possible methods of determining deliveries as set forth in

(a) or (b), then (c) by estimating the quantity of Gas delivered as the same

quantity of Gas delivered during previous periods under similar conditions

when the meter was registering accurately.


 

13. BILLING AND PAYMENT

13.1 Invoice. Not later than the tenth (10th) Business Day of each month

Freebird shall provide Shipper (including a Replacement Shipper) an invoice

and any required backup data (which may be transmitted by fax or electronic

mail) setting forth (i) the charges due for the preceding Month; (ii) the

total quantity of Gas, stated in Dekatherms, received from and made available

to Shipper at the Point of Injection/Withdrawal hereunder during the preceding

Month(s), and the amount due therefor; and if applicable, (iii) the amount of

Shipper’s Gas in storage as of the close of the preceding Month and

information sufficient to explain and support any adjustments made by Freebird

in determining the amount billed. Invoices will be based on actuals (if

available) or best available data. If actual quantities are not available by

the tenth (10th) Business Day of the month, Freebird may invoice based on best

available data subject to adjustment to actuals at a later date. All charges

to Shipper will be subject to all applicable taxes, if any, payable on the

services provided by Freebird, including, without limitation, tax on any Fuel

provided by Shipper and any ad valorem or similar tax assessed on Shipper’s

Gas in the Storage Facility, all of the foregoing being the responsibility of

Shipper at all times. All references to prices, fees, charges, or other

monetary amounts will be in U.S. dollars unless otherwise expressly provided

in the applicable Service Agreement.


 

13.2 Application of Payments for Released Capacity. Payments to Freebird by a

Replacement Shipper for released capacity shall be applied as follows, in the

following order: (i) Freebird shall retain amounts equal to the Replacement

Shipper’s usage charges; (ii) Freebird will credit the balance to Storage

Reservation Charges due from the Replacement Shipper; and (iii) Freebird shall

remit the remaining balance, if any, or shall charge any balance due, to the

Replacement Shipper, in accordance with Section 4.10 of the General Terms and

Conditions of this FERC Gas Tariff. If any balance due from the Replacement

Shipper remains unpaid, , the outstanding balance will then be billed to the

Releasing Shipper, provided that the Releasing Shipper is only liable to the

extent of its Storage Reservation Charges specified in the applicable Service

Agreement and corresponding Rate Schedule, plus applicable interest calculated

in accordance with Section 154.501(d) of the Commission’s regulations.