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TransCanada Mainline O.E.B. STAR Presentation 5/20/2008.

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Presentation on theme: "TransCanada Mainline O.E.B. STAR Presentation 5/20/2008."— Presentation transcript:

1 TransCanada Mainline O.E.B. STAR Presentation 5/20/2008

2 2 Minimum Standards for Transportation Open Seasons TransCanada Transportation Access Procedures (TAPs) Minimum Notice and Open Season Period Bid Package Reverse Open Season Bid Results and Reporting Requirements Criteria and Timing

3 3 TransCanada Transportation Access Procedures (TAPs) TransCanadas Transportation Access Procedures (TAPs) and Short Term Firm Transportation Toll Schedule outline the process by which the Mainline administers requests for firm transportation service:Transportation Access ProceduresShort Term Firm Transportation Toll Schedule Ensures fair and equitable treatment to all Service Applicants TAPs developed in collaboration with Mainline shippers and approved by the National Energy Board

4 4 Minimum Notice and Open Season Period The TAPs and STFT Toll Schedule provide customers non-discriminatory access to transportation services and allow them sufficient time to: evaluate offers of new, existing and short term firm transportation capacity develop bids for service in the case of capacity expansions, allow other service providers to coordinate service offerings

5 5 TransCanada Open Seasons TransCanada holds a variety of open seasons for firm capacity: New Capacity Open Season When new facilities are required Existing Capacity Open Season Provides customers the opportunity to bid on existing capacity on the Mainline Daily Capacity Open Season Half of existing capacity offered in Existing Capacity Open Season Short Term Firm Capacity (STFT) Existing capacity typically offered on a seasonal basis

6 6 Minimum Notice and Open Season Period Firm Capacity Open Season When is Open Season Held? Open Season Notice Open Season Duration New When there is a reasonable expectation of a long-term requirement for expansion Practice is 2 weeks notice No less than 5 banking days ExistingOn/about May 5 each year or as required Practice is 1 weeks notice No less than 5 banking days Daily Opens after close of a New or Existing Capacity Open Season Notice provided at close of Existing or New Open Season Posted each Banking Day Short-Term January posting for Summer capacity July posting for Winter capacity On/before the 7 th of each month Any time TC determines there is available Short-term capacity Practice is 1 weeks notice unless within a Daily Open Season Jan 1-15 for Summer July 1-15 for Winter No less than 5 Banking Days Daily

7 7 Bid Package TransCanada posts open season information on its website: Amount of capacity being offered Date capacity is available Potential constraints (e.g. new capacity will not be available until…; no capacity available from…) Minimum term requirements Methodology used to evaluate bids (term x toll) Details are defined in the Tariff and summarized in the Postings

8 8 Reverse Open Season After a New Capacity Open Season is held that results in bids for new capacity, TransCanada holds a Request for Turnback Open Season in order to potentially reduce the facilities required for expansionRequest for Turnback Open Season NEB-approved process TransCanada posts the request for turnback bids on its public website Terms of the Request for Turnback include: Receipt and delivery point Daily quantity Commencement date and term Date that Turnback Bids must be received by TransCanada

9 9 Bid Results & Reporting Requirements TransCanada posts all of the Firm Contracts on its system in a Contract Demand Energy (CDE) table. Data in the table includes: Shipper name Contract number Receipt / delivery point Service type (FT, STS) Start / end date of contract Contract quantity This contract summary is updated at the beginning of each month to include contracts awarded through the TAPs process.

10 10 Protection Against Cross-Regulated / Un- regulated Subsidies TransCanada operates under a Code of Conduct that was developed with the Tolls Task Force and approved by the National Energy Board.Code of Conduct This Code of Conduct addresses affiliate transactions and cost allocation policy. TransCanada also files an annual compliance with the NEB.annual compliance Canadian Mainline Code of Conduct TCPL Mainline 2007 Compliance Report TCPL Mainline 2007 Compliance Plan

11 11 Conclusion TransCanadas NEB-approved Transportation Access Procedures (TAPs) provide open and non-discriminatory access to Mainline Capacity; Procedures for obtaining capacity (open seasons) are defined in TransCanadas Mainline Tariff and in the open season postings themselves; Contracts awarded through open seasons are standardized, NEB approved and are included as part of the Tariff (any contract that varies from the pro-forma version in the Tariff must be filed with the NEB); All Contracts awarded through open seasons are reported in TransCanadas CDE table in the Tariff.

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