Common use of Gas Balancing Clause in Contracts

Gas Balancing. (a) For each Gas Day, <User> must procure the delivery of an amount of Gas into each Sub-network that is equal to <User>’s good faith estimate, acting as a reasonable and prudent person, of the quantity of Gas likely to be delivered to (b) <User> hereby indemnifies <Service Provider> against any (i) Direct Damage; (ii) Indirect Damage; or (iii) loss, damage, cost or expense suffered or incurred by <Service Provider> in relation to or connection with any Claim brought by any person against in relation to or connection with any imbalance between the actual quantity of Gas delivered into each Sub-network and the actual quantity of Gas delivered out of the Sub-network on that Gas Day by, to or for <User> or a Related Shipper of <User>, except to the extent that such imbalance results from: (iv) breach by <Service Provider> of this Haulage Contract or any Law; (v) the negligence of <Service Provider>; or (vi) the failure of <Service Provider> to act as a reasonable and prudent network operator to mitigate the occurrence of such an imbalance. (c) <Service Provider> may do all reasonable things to maintain a balance between the sum of quantities of Gas delivered by Users at a Receipt Point and the sum of quantities of Gas received by Users at Delivery Points in the Sub- network with which that Receipt Point is associated. (d) <User> acknowledges and agrees that: (i) <Service Provider> does not control whether and how the operator of an Interconnected Pipeline delivers Gas into the AGA GDS at a Receipt Point; and (ii) <Service Provider> will not be liable to <User>, under this Haulage Contract or otherwise, in respect of any loss, damage, cost, expense or other consequence suffered by <User> in relation to or connection with: 28 Rule 178 of the Retail Market Rules requires Users to procure injections into the sub-network which match the User’s likely swing service repayment quantities and the User’s required withdrawals. (A) a failure by the operator of an Interconnected Pipeline or a Related Shipper of <User> to deliver Gas into the AGA GDS at a Receipt Point; or (B) any breach by <User> of this Haulage Contract. (e) <User> must not, and must ensure that its Related Shippers and Swing Service Providers do not: (i) jeopardise Gas deliveries into a Sub-network in such a way that the Sub- network’s system pressure is threatened29; (ii) reduce or in any way compromise <Service Provider>’s ability to ensure that the system pressure in a Sub-network is maintained; or (iii) cause any User or other person to suffer loss or damage. (f) For each Sub-network, without limiting this clause 6.2, <User> must ensure that its intra-day Gas flows do not: (i) jeopardise the operation of the Sub-network; (ii) cause the obligation under rule 182 of the Retail Market Retails to keep the Sub-network pressurised to fall disproportionately on other Users30; or (iii) cause any User or other person to suffer loss or damage. (g) Nothing in this clause 6.7 limits clause 8.

Appears in 1 contract

Sources: Haulage Contract

Gas Balancing. (a) For each Gas Day, <UserCounterparty> must procure the delivery of an amount of Gas into each Sub-network that is equal to <UserCounterparty>’s 's good faith estimate, acting as a reasonable and prudent person, of the quantity of Gas likely to be delivered to (b) <UserCounterparty> hereby indemnifies <Service Provider> against any (i) Direct Damage; (ii) Indirect Damage; or (iii) any loss, damage, cost or expense suffered or incurred by <Service Provider> in relation to or connection with any Claim claim brought by any person against <Service Provider>, in relation to or connection with any imbalance between the actual quantity of Gas delivered into each Sub-network and the actual quantity of Gas delivered out of the Sub-network on that Gas Day by, to or for <UserCounterparty> or a Related Shipper of <UserCounterparty>, except to the extent that such imbalance results from: (ivi) breach by <Service Provider> of this Haulage Contract Service Agreement or any Law; (vii) the negligence of <Service Provider>; or (viiii) the failure of <Service Provider> to act as a reasonable and prudent network operator to mitigate the occurrence of such an imbalance. (c) <Service Provider> may do all reasonable things to maintain a balance between the sum of quantities of Gas delivered by Users at a Receipt Point and the sum of quantities of Gas received taken by Users at Delivery Points in the Sub- Sub-network with which that Receipt Point is associated. (d) <UserCounterparty> acknowledges and agrees that: (i) <Service Provider> does not control whether and how the operator of an Interconnected Pipeline delivers Gas into the AGA ATCO GDS at a Receipt Point; and (ii) <Service Provider> will not be liable to <UserCounterparty>, under this Haulage Contract Service Agreement or otherwise, in respect of any loss, damage, cost, expense or other consequence suffered by <UserCounterparty> in relation to or connection with: 28 Rule 178 of the Retail Market Rules requires Users to procure injections into the sub-network which match the User’s likely swing service repayment quantities and the User’s required withdrawals. (A) A. a failure by the operator of an Interconnected Pipeline or a Related Shipper of <UserCounterparty> to deliver Gas into the AGA ATCO GDS at a Receipt Point; or (B) any breach by <User> of this Haulage Contract. (e) <User> must not, and must ensure that its Related Shippers and Swing Service Providers do not: (i) jeopardise Gas deliveries into a Sub-network in such a way that the Sub- network’s system pressure is threatened29; (ii) reduce or in any way compromise <Service Provider>’s ability to ensure that the system pressure in a Sub-network is maintained; or (iii) cause any User or other person to suffer loss or damage. (f) For each Sub-network, without limiting this clause 6.2, <User> must ensure that its intra-day Gas flows do not: (i) jeopardise the operation of the Sub-network; (ii) cause the obligation under rule 182 of the Retail Market Retails to keep the Sub-network pressurised to fall disproportionately on other Users30; or (iii) cause any User or other person to suffer loss or damage. (g) Nothing in this clause 6.7 limits clause 8.

Appears in 1 contract

Sources: Service Agreement