sng/eec expansion projects & sng seamless service ?· sng/eec expansion projects & sng seamless...

Download SNG/EEC Expansion Projects & SNG Seamless Service ?· SNG/EEC Expansion Projects & SNG Seamless Service…

Post on 07-Dec-2018

213 views

Category:

Documents

0 download

Embed Size (px)

TRANSCRIPT

1

SNG/EEC Expansion Projects

& SNG Seamless Service

WebEx Training

November 15, 2016

2

Agenda

Update on Expansion Status

Elba Express Company (EEC) Expansion Fuel

Southern Natural Gas (SNG) Seamless Service Overview Contracts for Expansion Capacity

Capacity Release

Rates and Fuel

Seamless Nominations Pathing and Route Indicator

Fuel Examples

Q&A

3

Update on Expansion Projects

In-service target is December 1, 2016

The SNG facilities necessary to commence service are complete, but service is dependent on the start of SNGs FT service on EEC

EEC facilities are nearing completion for FT contract with SNG

An update regarding EECs status will be provided on November 18

We will try to provide the in-service notice by 4:00 p.m. two days prior to the effective date

We may allow capacity release offers to be entered early for December 1, subject to recall

4

EEC Expansion Service Fuel

Separate expansion fuel rate required by FERC

EEC filed 0.95% as gas retained for operations for expansion service (GRO (2016 Expansion))

Existing North to South FT and IT shippers will pay the existing 0.69% fuel (GRO (North-to-South))

All shippers pay the LAUF, currently 0.23%

In summary, for December 2016 May 2017

Expansion shippers will provide 1.18% fuel

Existing N-S FT and IT shippers will provide 0.92% fuel

EEC files updated fuel rates June of each year

5

SNGs Seamless Expansion Service

SNG will be an FT shipper on EEC and provide

seamless service to its expansion shippers

217,110 dth/d Transportation Demand (TD) initially

242,351 dth/d TD effective 6/1/17

EEC points and segments will be set up as Zone

3 points and segments on SNG Point Nbr Point Name Seg Nbr

938510 TRNSCO/EEC Z4 HART 200

938610 TRNSCO/EEC Z5 ANDERSON 200

938200 SO CO/EEC PLANT MCINTOSH EFFINGHAM 250

938300 EFFINGHM/EEC PLANT EFFINGHAM 250

938000 SLNG/EEC CHATHAM 270

938800 DCGT/EEC PORT WENTWORTH CHATHAM 270

606360 EEC/SNG CYPRESS EFFINGHAM 599

938850 EEC/SNG PT WENTWORTH CHATHAM 699

6

SNGs Seamless Expansion Service (contd)

SNGs firm expansion shippers will have capacity rights through the applicable EEC and SNG segments from their primary receipt PINs to their primary delivery PINs Expansion shippers will nominate on their SNG expansion

contract from the Transco interconnect(s) for delivery on SNG (1 nomination across 2 pipelines, i.e., seamless)

SNG will then submit the corresponding nominations to EEC on behalf of its shippers

If SNGs firm expansion shippers are not nominating all of their capacity on a day, then nominations on other contracts will be scheduled based on queue priority on SNG up to SNGs TD on EEC

7

Expansion Contracts & CR

Expansion shippers have signed MFTE-SNG master contracts with an Exhibit C for the subscribed expansion capacity If expansion capacity is released, the Replacement

Shipper must acquire it under an MFTE-SNG contract with an Exhibit C

Exhibit C sets out the EEC charges the Replacement Shipper must pay to SNG if the EEC capacity is used, i.e.,

The FERC approved fuel retention charges as set forth in EECs Tariff

All other FERC approved surcharges and charges generally applicable to firm transportation service as set forth in EECs Tariff, except for the ACA surcharge

To request an MFTE-SNG contract, email #SNGContractMGMT@KinderMorgan.com

To execute the Contract and Exhibit C, select the Contracts folder, then select the MFTE-SNG agreement, and right click for the menu to select contract execution

mailto:SNGContractMGMT@KinderMorgan.com

8

Expansion Contracts & CR (contd)

Offer and Bid Rates The filed maximum tariff rate for the expansion service is

$13.52/Dth of TD per month

Shippers have the option to capacity release at a rate higher than the max tariff rate for a term of one year or less

Any capacity release offers with a term greater than one year cannot be released at a rate greater than the max tariff rate

Confirmed bids of released capacity will be awarded to the primary PINS

After the capacity is awarded, the Replacement Shipper has the option to request a different PIN, but the choices are limited to in-the-path PINS, like any other acquired capacity

9

Exhibit C Requirement for

Other Transportation Contracts

Existing Master FT, Master FTNN and/or IT contracts with SNG may be used to submit seamless nominations from EEC/Transco receipt PINS on an out-of-path or IT basis

Shipper must execute an amendment adding Exhibit C to its contract before nominations using EEC capacity will be accepted Includes firm, acquired firm, and interruptible

transportation services Email #SNGContractMGMT@KinderMorgan.com

specifying the Master contract(s) and/or IT contract to amend

Please note that pool contracts on SNG are not eligible to nominate seamless service since they are not subject to transportation charges

mailto:SNGContractMGMT@KinderMorgan.commailto:SNGContractMGMT@KinderMorgan.com

10

In Summary: Charges and Fuel

for Seamless Service Using EEC Capacity

SNG charges are applicable: Commodity and surcharges

Transportation commodity for receipt zone to delivery zone Zone matrix and maximization rules apply

ACA and SCRM ACA is effective Oct. 1 to Sept. 30 each year

SCRM is effective Jan. 1 to Dec. 31 each year

SNG Fuel is applicable: Zone of delivery, intrazone, or eligible backhaul

Winter fuel is effective Oct. 1 to Mar. 31 each year

Summer fuel is effective Apr. 1 to Sept. 30 each year

EEC fuel is applicable: Initial expansion fuel of 1.18%

EEC refiles its fuel rates to be effective June of each year

At this time, EEC does not have FT commodity charges within TD, and a second ACA charge will not apply

11

Nominations and Fuel Example

12

SNG PINs on EEC for

Expansion Service EEC PINs and Segments to be added as

nominatable points on SNG (Zone 3)

Shippers should monitor the SNG EBB for the above segments in determining available capacity

Point Nbr Point Name Seg Nbr

938510 TRNSCO/EEC Z4 HART 200

938610 TRNSCO/EEC Z5 ANDERSON 200

938200 SO CO/EEC PLANT MCINTOSH EFFINGHAM 250

938300 EFFINGHM/EEC PLANT EFFINGHAM 250

938000 SLNG/EEC CHATHAM 270

938800 DCGT/EEC PORT WENTWORTH CHATHAM 270

606360 EEC/SNG CYPRESS EFFINGHAM 599

938850 EEC/SNG PT WENTWORTH CHATHAM 699

13

Pathing of Seamless Nominations

SNG will schedule the seamless nominations from EEC to SNG using the default path through EEC-SNG Port Wentworth

Shippers with contracts pathed through the SNG-EEC Cypress Interconnect must include the route indicator Cypress in the nomination to receive primary to primary scheduling priority

Capacity can be nominated outside of the primary capacity path and can be scheduled on an out-of-path basis if capacity is available

Priorities through these virtual segments are evaluated no differently than any other segment on SNG. No bumping on ID3, EPSQ still retained, and capacity is available for nominations by shippers with an Exhibit C.

14

Route Indicator

SNG customers will have the ability to identify an

alternate segment path in Zone 3

At the time of nominations, if you want to follow

the red path below - select Cypress from the

Route Indicator field

_______ Default Path

_______ Cypress Path

15

Default Route

Uses Segment 699

to cross over from

EEC into SNG

16

Cypress Route

Uses Segment 599 to

cross over from EEC

into SNG

17

Route Indicator

18

Seamless Nominations

Transco Zone 4 Receipt PINSNG Zone 3 Delivery at the Seacoast PIN

Cypress Route

Fuel displays as a total pancaked fuel qty=187 Dth; Derived Fuel % of

0.01836

19

Fuel Calculation

Calculation steps:

Determine the delivery volume on SNG

For this example we will use 10,000 Dth

Gross the delivery volume up by the SNG fuel

10,000 Dth / (1.00 - .0067 intrazone 3) = 10,067 Dth

Use the calculated volume to apply the EEC fuel

10,067 Dth / (1.00 - .0118) = 10,187 Dth

10,187 Dth is the receipt volume to be nominated at

the Transco receipt point

20

Fuel Example

21

Determining Fuel

SNG encourages shippers to use the Fuel

Calculator in DART

From the Navigation Panel:

NominationsFuel Calculator

Also, in the nomination screen, shipper

can input the quantity to be delivered on

SNG and DART will compute the total fuel

22

Fuel Calculator

Be sure to enter the Route Code

Notice the derived Total Fuel % = 0.01836

That is Total Fuel on both pipes as shown in the

nomination matrix

23

Contacts for Assistance Account Managers

Walter Coe