09-13-19 CenterPoint Energy - Rate for Transportation Service Rate

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CENTERPOINT ENERGY ENTEX GENERAL TERMS AND CONDITIONS FOR TRANSPORTATION SERVICE RATE SCHEDULES T-90,T-91&T-92 operational integrity of its distribution system;and daily and intra-day price movements of greater than fifty cents($0.50)per MMBtu of the Daily Price Index(es)compared to the Monthly Price Index(es) specified in the Agreement shall be deemed to adversely affect Company's cost of gas purchased for resale to its firm service sales customers. 12.5.2 Company shall notify affected Shippers verbally of the Critical Period Event and Shippers shall have a minimum of four(4)hours to bring deliveries and takes into balance,or other longer time periods as deemed applicable by the Company.If,j after the specified notice period indicated in Company's notice to Shipper of the Critical Period Event,Shipper has not balanced deliveries and takes,Company shall have the right to balance receipt and deliveries of gas. Company shall not be obligated to deliver a greater volume of gas to the Delivery Point than it received at the Receipt Point for Shipper's account, as indicated by the upstream delivering pipeline, until such time as Company determines that the Critical Period Event no longer exists.An imbalance that occurs following notice of a Critical Period Event may not be carried forward for clearing during the month,but instead may,at the Company's option,be cashed out based on the Critical Period Price. 12.5.3 The"Critical Period Price"shall be the"Applicable Daily Index"specified in the Agreement or,if the Applicable Daily Index is not published for the day,the"Applicable Alternative Daily Index"specified in the Agreement. 12.5.4 If, on any day during a Critical Period Event, after the expiration of the notice period, the Shipper delivers to Company volumes of gas that are greater than Shipper's gas requirements at the Delivery Point,then Company can purchase such over-delivered volumes at the Receipt Point from the Shipper at the following rates per MMBtu:(i)the first 5%of over-delivered volumes will be cashed out at the Critical Period Price;and(ii)amounts greater than 5%will be cashed out at a rate equal to 50%of the Critical Period Price. 12.5.5 If;on any day during a critical situation,after the expiration of the notice period,the Shipper delivers to Company volumes of gas that are less than the Shipper's gas requirements at the Delivery Point, then Company may require Shipper to purchase such deficiency at the Delivery Point from Company at the following rates per MMBtu. The first 5%of under-delivered volumes will be cashed out at the Critical Period Price. Amounts greater than 5%will be cashed out at a rate equal to 150% of the Critical Period Price for the day in which the deficiency occurred. 12.6 Multi-day Imbalances 12.6.1 For any multi-day period measured from the beginning of the first day of the month where a cumulative imbalance is equal to or greater than 5%of the projected redeliveries for the Service Month,Company may at its option, eliminate, through an intra-month cash-out action, all or part of said cumulative imbalance. For these purposes, the projected deliveries for the Service Month shall be equal to the arithmetic average of the number of observed deliveries within the Service Month to date multiplied by the number days in the Service Month. The"cash-out"price applicable to such intra-month cash- out transactions shall be equal to 50%of the Critical Period Price for cash-out purchases by Company from Shipper and 150% of Critical Period Price for cash-out purchases required of Shipper from Company. As a prerequisite to any such intra-month cash-out action, Company shall warn Shipper during the Business Day prior to the day on which the Company projects Shipper will be in violation of the 5%threshold,based on the information available to Companyat the time said warning is issued. Once such warning is issued to Shipper in any Service Month,no additional warnings from Company will be required during that same Service Month,prior to an intra-month cash-out action by Company on Shipper's then cumulative imbalance. 12.6.2 Company shall not be obligated to do the following under any circumstances:(i)deliver more gas to Shipper during any given day or month than it shall have received at the Receipt Point for the account of Shipper during said period; or(ii)to receive at the Receipt Point or deliver at the Delivery Point during any given Day a total quantity of gas in excess of the MDQ plus lost and unaccounted for gas. First Revised Terms&Conditions Replaces Original T-90,T-91&T-92 Effective 07-11-2019 Terms&Conditions