NNG - Tariff - Seventh Revised Sheet No. 291
Northern Natural Gas Company Seventh Revised Sheet No. 291
FERC Gas Tariff Superseding
Fifth Revised Volume No. 1 Sixth Revised Sheet No. 291
48. Daily Delivery Variance Charges (DDVC)
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C. Negative DDVC. Unless an SOL has been called (as described below), the Negative
DDVC shall apply to the daily volumes at each delivery point which are less than
the sum of all daily volumes scheduled at the point, after a tolerance of five
percent (5%) of all daily volumes scheduled at the point has been considered.
The tolerance for Small Customers who have not bypassed Northern's system is the
greater of five percent (5%) of all daily volumes scheduled at the point or
650 MMBtu. The tolerance level for Bypassing Small Customers shall be equal to the
Bypassing Small Customer's MDQ. If Shipper has subscribed to service under Rate
Schedule SMS, the Negative DDVC applies only to the actual volumes taken that
are less than the scheduled volumes, less the sum of the tolerance and the SMSQ.
D. Punitive DDVC. The Punitive DDVC shall apply to the daily volumes at each
delivery point that are in excess of the Positive DDVC level as determined
above.
E. System Overrun Limitation (SOL). In the event that the pipeline system
operating integrity is in jeopardy, an SOL may be called for all or part of the
SMS entitlement above MDQ. When an SOL is in effect SMS may not be available
above the MDQ. Any decision by Northern to call an SOL will also involve a
decision on the level of SMS service that would be authorized above MDQ. If SMS
is offered, Northern will post on its website the percentage of SMS that may be
utilized above the MDQ, ranging from 0-100%. The website posting of available
SMS service levels will be made concurrently with the SOL declaration. If
throughput overrun has been scheduled during an SOL, SMS is available below the
scheduled level, but the five percent (5%) tolerance will not apply above the
Shipper's MDQ (including any overrun volumes scheduled) before the Positive or
Punitive DDVC's apply. However, Small Customer and Bypassing Small Customer
tolerances and positive DDVC levels as set forth in paragraph B.4 above apply at
all times, even when an SOL is called. In addition, when an SOL is in effect,
if the sum of the scheduled volume on all of Shipper's firm and interruptible
Throughput Service Agreements is equal to or greater than the Shipper's MDQ and
no SMS is being authorized above the MDQ, then the tolerance is not available
above the MDQ level. However, in such case, SMS is available up to the
Shipper's MDQ. Further, Small Customers and Bypassing Small Customers retain
their use of tolerance and positive DDVC levels as set forth in paragraph B.4
above, and SMS on SOL or Critical Days, and Small Customers and Bypassing Small
Customers are not subject to the foregoing limitation.
An SOL may be called for all or part of the system by localizing the smallest
affected area, beginning with individual points, followed by branchline,
operational zone, Market/Field Area, and up to the entire system, in that order.
Northern will post the SOL on the website no later than 3:00 p.m. CST of the gas
day for which SOL has been called. Northern will determine the operating status of
the pipeline system using the following criteria: weather forecast; system
conditions-line pack, overall projected pressures at monitored locations and
storage conditions; facility status-horsepower utilization and availability; and
overall send-out projections and availability. In the event any or all of these
criteria cause Northern's operating condition to severely deteriorate, a Critical
Day may be called in Northern's sole discretion.
F. Critical Day. Northern shall have the right to post a Critical Day notice in
order (i) to alleviate conditions which threaten the integrity of its pipeline
system, (ii) to maintain pipeline operations at the pressures required to
provide an efficient and reliable firm transportation service to Shippers, and
(iii) to maintain its pipeline system in balance for the foregoing purposes.
A Critical Day may be called for all or part of the system by localizing the
smallest affected area, beginning with individual points, followed by a
branchline, operational zone, Market/Field Area, and up to the entire system, in
that order. When possible, Northern will limit the Critical Day notice to the
offending Shipper(s). The following events and/or operational variables could
cause Northern to issue or end a Critical Day:
(i) weather forecast;
(ii) system conditions including line pack;
(iii) overall projected pressures at monitored locations;
(iv) storage conditions; and
(v) facility status including horsepower utilization and availability.
Issued by: Mary Kay Miller, V.P. Regulatory & Government Affairs
Issued on: March 25, 2005 Effective: April 1, 2005
