GENERAL TERMS AND CONDITIONS

(continued)


 


 

to commence, and other factors determined to be relevant by

Pipeline. The NPV shall also include only revenues generated by the

reservation rate, or other form of revenue guarantee, as proposed by

the bidder(s). For purposes of its NPV evaluation, Pipeline will

consider the aggregate NPV of two or more bids for minimum bid

packages, provided that the combined quantity of capacity under

those packages do not exceed the maximum capacity available for

subscription.


 

4.4 Rejected Bids. Pipeline reserves the right to reject any bid lower

than the minimum acceptable bid for the capacity that is subject to

the open season. Pipeline may set a reserve price which will be the

minimum rate for the minimum acceptable bid; provided, however, if

Pipeline elects to do so it will: (i) set such reserve price prior

to the time of posting; and (ii) present such reserve price to a

trustee to be held in escrow confidentially until the conclusion of

the bidding process so as to demonstrate that such reserve price was

established at the time of posting.


 

Irrespective of whether a bid has the highest NPV of the bids

received, Pipeline may reject bids for service that: (i) may

detrimentally impact the operational integrity of Pipeline's system;

(ii) do not satisfy all the terms of the specified posting; (iii)

contain terms and conditions other than those set forth in this

Tariff; (iv) do not satisfy the Pipeline's creditworthiness criteria

as set forth in GT&Cs Section 2.5; (v) contain contingencies that

cannot be removed within a time frame acceptable to Pipeline; or

(vi) result in incremental costs.


 

4.5 Binding Nature of Bids. All bids received during the open season

remain binding on all bidders through the end of the open season

unless withdrawn by the bidder through the same medium on which its

bid was submitted; provided, however, a bidder may withdraw its

previous bid and submit a bid with a higher NPV during the open

season, but neither bidder (nor an affiliate of bidder) may submit a

bid with a lower NPV. At the end of the open season, all bids

either withdrawn by the bidder or not accepted by Pipeline shall

become null and void.