Rate Schedule TF-2 Service Agreement

Contract No. 100313

 

THIS SERVICE AGREEMENT (Agreement) by and between Northwest Pipeline LLC (Transporter) and Puget Sound Energy, Inc. (Shipper) is made and entered into on February 20, 2019 and restates the Service Agreement made and entered into on November 03, 2015.

 

WHEREAS:
  1. Effective January 12, 1994, Shipper originally entered into this Agreement pursuant to the provisions of the approved Joint Offer of Settlement in Docket No. RP93-5-011, which unbundled the storage and redelivery transportation services.
  2. The storage redelivery service hereunder is related to that certain Rate Schedule SGS-2F Service Agreement No. 100505, dated February 10, 1998, and its storage rights under the Jackson Prairie Gas Storage Project Agreement dated January 15, 1998, as amended.
  3. Significant events and previous amendments of this Agreement include:

     

    1.  By Amendment dated June 16, 1995, the Agreement, as amended, was replaced by the Firm Redelivery Transportation Agreement as a result of an open season for Transporter's share of the Jackson Prairie Zone 2 expansion (Docket No. CP95-300-000), effective December 15, 1995.

     

    2.  By Amendment dated February 01, 1998, Shipper changed its name from Washington Natural Gas Company to Puget Sound Energy, Inc., effective February 01, 1997.

     

    3.  By Amendment dated October 15, 1999, Shipper's Contract Demand, Annual Contract Quantity and Monthly Billing Quantity were increased to reflect Shipper's request for additional storage redelivery transportation capacity related to all of its storage rights under SGS-2F Storage Service Agreement No. 100505 dated February 10, 1998.  This is also related to 71,620 Dth/d of withdrawal capacity, 280,337 Dth/d of storage capacity and portions of Shipper's ownership rights under the Jackson Prairie Gas Storage Project by agreement dated January 15, 1998, as amended, effective November 01, 1999.

     

    4.  By Amendment dated July 10, 2000, Shipper increased the delivery pressure at the Issaquah Highlands delivery point from 250 psig to 475 psig and the Duvall-Cottage Lake delivery point from 150 psig to 400 psig, effective August 01, 2000.

     

    5.  By Amendment dated March 05, 2007, the primary term of the Agreement was extended from October 31, 2004 to March 31, 2011.

     

    6.  By Amendment dated March 25, 2011, Transporter and Shipper restated the Agreement to extend the term end date to March 31, 2020.

     

    7.  By restatement dated September 23, 2011, Transporter and Shipper reduced the Bellingham II delivery point from 19,622 Dth/d to 3,965 Dth/d and moved the difference of 15,657 Dth/d to the Bellingham (Ferndale) delivery point effective upon execution of this Agreement.  As a result of the path shortening, Shipper will be subject to a Contract-Specific Operational Flow Order of 3,965 Dth/d from the inlet of the Bellingham Line to Bellingham II.

     

    8. By restatement dated November 03, 2015, Transporter and Shipper restated the Agreement in its most current form of service and extended the Primary Term End Date from March 31, 2020, to March 31, 2023 in exchange for certain segmentation rights.

     

    9. Transporter and Shipper further desire to restate the Agreement to remove Exhibit B and relocate the provisions to Exhibit A as it pertains to Contract-Specific OFO conditions.

 

 

THEREFORE, in consideration of the premises and mutual covenants set forth herein, Transporter and Shipper agree as follows:

  1. Tariff Incorporation. Rate Schedule TF-2 and the General Terms and Conditions (GT&C) that apply to Rate Schedule TF-2 , as such may be revised from time to time in Transporter's FERC Gas Tariff (Tariff), are incorporated by reference as part of this Agreement, except to the extent that any provisions thereof may be modified by non-conforming provisions herein.
  2. Transportation Service. Subject to the terms and conditions that apply to service under this Agreement, Transporter agrees to receive, transport and deliver natural gas for Shipper, on a firm basis. The Transportation Contract Demand, the Annual Contract Quantity, the Maximum Daily Quantity at the Primary Receipt Point, and the Maximum Daily Delivery Obligation at each Primary Delivery Point are set forth on Exhibit A.
  3. Transportation Rates. Shipper agrees to pay Transporter for all services rendered under this Agreement at the rates set forth or referenced herein. The Monthly Billing Quantity for reservation charges is set forth on Exhibit A. The Maximum Base Tariff Rates (Recourse Rates) for Rate Schedule TF-2 set forth in the Statement of Rates in the Tariff, as revised from time to time, will apply to service hereunder unless and to the extent that discounted Recourse Rates or awarded capacity release rates apply as set forth on Exhibit A or negotiated rates apply as set forth on Exhibit D. Additionally, if applicable under Section 21 of the GT&C, Shipper agrees to the incremental facilities charge as set forth on Exhibit C.
  4. Transportation Term. This Agreement becomes effective on the effective date set forth on Exhibit A. The primary term begin date for the transportation service hereunder is set forth on Exhibit A. This Agreement will remain in full force and effect through the primary term end date set forth on Exhibit A and, if Exhibit A indicates that an evergreen provision applies, through the established evergreen rollover periods thereafter until terminated in accordance with the notice requirements under the applicable evergreen provision.
  5. Non-Conforming Provisions. All aspects in which this Agreement deviates from the Tariff, if any, are set forth as non-conforming provisions on Exhibit B. If Exhibit B includes any material non-conforming provisions, Transporter will file the Agreement with the Federal Energy Regulatory Commission (Commission) and the effectiveness of such non-conforming provisions will be subject to the Commission acceptance of Transporter's filing of the non-conforming Agreement.
  6. Capacity Release. If Shipper is a temporary capacity release Replacement Shipper, any capacity release conditions, including recall rights, are set forth on Exhibit A.
  7. Exhibit / Addendum to Service Agreement Incorporation. Exhibit A is attached hereto and incorporated as part of this Agreement. If any other Exhibits apply, as noted on Exhibit A to this Agreement, then such Exhibits also are attached hereto and incorporated as part of this Agreement. If an Addendum to Service Agreement has been generated pursuant to Sections 11.5 or 22.12 of the GT&C of the Tariff, it also is attached hereto and incorporated as part of this Agreement.
  8. Regulatory Authorization. Transportation service under this Agreement is authorized pursuant to the Commission regulations set forth on Exhibit A.
  9. Superseded Agreements. When this Agreement takes effect, it supersedes, cancels and terminates the following agreement(s): Service Agreement dated November 03, 2015, but the following Amendments and/or Addendum to Service Agreement which have been executed but are not yet effective are not superseded and are added to and become an Amendment and/or Addendum to this agreement: None
IN WITNESS WHEREOF, Transporter and Shipper have executed this Agreement as of the date first set forth above.
  
Puget Sound Energy, Inc. Northwest Pipeline LLC
By: /S/ By: /S/
Name: BILL DONAHUE Name: MIKE RASMUSON
Title: MANAGER, NATURAL GAS RESOURCES Title: DIRECTOR, MARKETING SERVICES

 

EXHIBIT A

Dated and Effective February 20, 2019

to the

Rate Schedule TF-2 Service Agreement

(Contract No. 100313)

between Northwest Pipeline LLC

and Puget Sound Energy, Inc.

SERVICE DETAILS

  1. Transportation Contract Demand: 116,510 Dth per day
  2. Annual Contract Quantity: 1,358,576 Dth
  3. Monthly Billing Quantity: 3,722 Dth
  4. Primary Receipt Point:
      Point ID Name Maximum Daily Quantity (Dth)    
      235 JACKSON PRAIRIE RECEIPT 116,510    
       Total 116,510
  5. Primary Delivery Point(s):
      Point ID Name Maximum Daily Delivery Obligation (Dth) Delivery Pressure (psig) 
      260 LAKE FRANCIS 692 150
      263 ISSAQUAH HIGHLANDS 38,067 475
      268 DUVALL-COTTAGE LAKE 2,104 400
      278 GRANITE FALLS 11,147 250
      284 SEDRO/WOOLLEY 23,378 500
      290 BELLINGHAM II 3,965 500
      295 SIPI DELIVERY 25,000 450
      472 BELLINGHAM (FERNDALE) 12,157 300
      Total116,510  
    Specified conditions for Delivery Pressure, pursuant to Section 2.4 of the General Terms and Conditions: None
  6. Recourse or Discounted Recourse Transportation Rates:
    1. Reservation Charge (per Dth of Monthly Billing Quantity): Maximum Base Tariff Rate, plus applicable surcharges
    2. Volumetric Charge (per Dth): Maximum Base Tariff Rate, plus applicable surcharges
    3. Rate Discount Conditions Consistent with Section 3.3 of Rate Schedule TF-2:

      Not Applicable

  7. Transportation Term:
    1. Primary Term Begin Date: December 15, 1995
    2. Primary Term End Date: March 31, 2023
    3. Evergreen Provisions: Yes, grandfathered unilateral evergreen under Section 14.3 of Rate Schedule TF-2
  8. Contract-Specific OFO Parameters:
    Time PeriodQuantityTransmission Corridor 
    11/03/2015 to 03/31/2023Up to 3965 Dth per dayBELLINGHAM LINE (287) to
    BELLINGHAM II (290)

    Specified contract-specific OFO conditions or alternative actions:

    The Contract-Specific OFO Parameters will remain in full force and effect through the Primary Term End Date set forth above and through the established evergreen rollover periods thereafter until terminated in accordance with the notice requirements under the Evergreen Provisions herein.

  9. Regulatory Authorization: 18 CFR 284.223
  10. Additional Exhibits:

    Exhibit B No

    Exhibit C No

    Exhibit D No

    Exhibit E No