Message-ID: <14964635.1075844186704.JavaMail.evans@thyme> Date: Thu, 1 Feb 2001 08:16:00 -0800 (PST) From: susan.scott@enron.com To: jeffery.fawcett@enron.com, steven.harris@enron.com, kevin.hyatt@enron.com, lorraine.lindberg@enron.com, tk.lohman@enron.com, michelle.lokay@enron.com Subject: ROFR Q&A Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Susan Scott X-To: Jeffery Fawcett, Steven Harris, Kevin Hyatt, Lorraine Lindberg, TK Lohman, Michelle Lokay X-cc: X-bcc: X-Folder: \Michelle_Lokay_Dec2000_June2001_2\Notes Folders\Tw-commercial group X-Origin: LOKAY-M X-FileName: mlokay.nsf The question came up yesterday whether a shipper who contracts for firm capacity for a year or more at a negotiated rate is entitled to a ROFR. I've done some checking, and the answer is no, a negotiated rate shipper that entered into a contract after March 27, 2000 does not automatically get ROFR rights. This was clearly stated by FERC in Order No. 637-A. It does not matter whether the negotiated rate is above the maximum tariff rate; the contract is still not considered to be "at maximum rates" for ROFR purposes. As you know, our tariff does allow us to mutually agree to include ROFR rights in a contract with a shipper who does not automatically get ROFR rights. Any questions -- let me know.