Message-ID: <19738298.1075846656897.JavaMail.evans@thyme> Date: Mon, 27 Dec 1999 04:45:00 -0800 (PST) From: susan.scott@enron.com Subject: TW/Red Cedar deal Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Susan Scott X-To: Drew Fossum@ENRON X-cc: X-bcc: X-Folder: \Susan_Scott_Dec2000_June2001_1\Notes Folders\All documents X-Origin: SCOTT-S X-FileName: sscott3.nsf Drew, here's an excerpt from a FERC letter order accepting for filing a nonconforming agreement filed by Dynegy Midstream...sounds a little bit like what the TW guys are trying to do, if I understand the concept of volumetric rates correctly. Left a message for my friend at DMP but he (like everyone else) is out 'til next year. But since there were no subsequent orders issued in the docket I assume there were no problems with the filing. I'm still leaning towards recommending the $0 demand/ $0.02 commodity + file as nego. rate approach. If Steve Harris is OK with the idea of doing a deal that requires filing, I will draft something and send it your way. * * * The referenced negotiated transaction provides for a transportation service under DMP's Rate Schedule FTS. Rather than paying a reservation charge, the negotiated agreement specifies that KGS will pay a volumetric rate. The volumetric rate will equal DMP's maximum interruptible transportation service rate as set forth in DMP's tariff. . .The contract also (a) specifies five Dth/d as KGS' maximum daily reservation quantity, (b) lists KGS' primary receipt as Meter # 9999999 and (c) identifies five primary delivery points for KGS. . . Upon filing Docket No. RP99-240-000, DMP stated that it agreed to the above negotiated rate so that KGS could serve small residential customers on DMP's system under a firm rate schedule.