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Commercial Natural Gas Rates
Rate Schedule 43

LARGE COMMERCIAL AND INDUSTRIAL GAS SERVICE
 

DEFINITIONS

  • "Contract Amount" means the maximum amount of Firm Gas a Customer may purchase from Athens Utilities Board on any Day as established by a written contract between Athens Utilities Board and the Customer.
  • "Customer" means a person or entity contracting with or otherwise receiving services from Athens Utilities Board for firm gas service under Rate Schedule "43".
  • "Day" means a period of twenty-four ("24") consecutive hours, beginning and ending at 8:00 a.m. prevailing Athens time.
  • "Determination Period" means the twelve-month period beginning July 1 and ending June 30, inclusive.
  • "Firm Gas" means that gas not subject to interruption or curtailment except for emergency or other causes as provided in the Rules and Regulations of Athens Utilities Board.
  • "Load Factor" means the quotient obtained by dividing the average daily sales to Customer for the Determination Period by the maximum daily sales to Customer for the Winter Period.
  • "Winter Period" means the five-month period from November 1 to and including March 31 included in the Determination Period.

 

AVAILABILITY

Service under Rate Schedule "43" is available to any commercial or industrial customer provided:

  1. The Customer is located within the service area of Athens Utilities Board; and 
  2. The Customer used 8,000 therms or more in three of the twelve months of the previous Determination Period; and
  3. The Customer's Load Factor is .50 or greater during the previous Determination Period; and
  4. The Customer meets the following definition of a commercial or industrial customer: "Commercial customers are businesses primarily engaged in the sales of goods or services, including institutions and governmental agencies. Industrial customers are engaged primarily in a process that creates or changes raw or unfinished materials into another form or product including the generation of electric power."

In the event Customer shall fail to continue to meet conditions 1 through 4 during the previous Determination Period, service under Rate Schedule "43" shall no longer be available. Customer shall be reclassified to the appropriate rate schedule effective August 1 of each year.

 

A Customer may have multiple meters at each location. Each meter must meet the conditions imposed by a) through d) to qualify for Rate Schedule "43." If a meter fails to meet the conditions imposed by 1 through 4, the meter will be billed under Rate Schedule "32".

 

CHARACTER OF SERVICE

Service under Rate Schedule "43" is firm service.

 

Unless otherwise approved by Athens Utilities Board, a Customer receiving service under Rate Schedule "43," after previously receiving service under Rate Schedule "32" or Rate Schedule "42," shall not be allowed to return to service under Rate Schedule "32" or Rate Schedule "42" until customers are reclassified to the appropriate rate schedules on August 1 of each year.

 

Gas purchased under Rate Schedule "43" shall be used only by the Customer at its facilities and shall be delivered at a single point of delivery or multiple points of delivery located within the service area of Athens Utilities Board and shall not be resold by the Customer.

 

NET RATE

The net rate for service under Rate Schedule "43" for each monthly billing period shall be the sum of the Customer Charge and the Commodity Charge, each calculated as follows:

Customer Charge:
 
$200.00 per month
 
Commodity Charge:
 
$0.1695 per therm for the first 10,000 therms plus the cost per therm of gas sold to Customer; plus
 
  $0.1555 per therm from 10,001 therms to and including 20,000 therms plus the cost per therm of gas sold to Customer; plus
 
  $0.1415 per therm from 20,001 therms to and including 40,000 therms plus the cost per therm of gas sold to Customer; plus
 
  $0.1276 per therm for the excess over 40,000 therms plus the cost per therm of gas sold to Customer.
 

 

PURCHASED GAS ADJUSTMENT

The cost per therm of gas sold to Customer that is included in the Commodity Charge shall be subject to the Purchased Gas Adjustment of Athens Utilities Board.

 

MINIMUM BILL

The minimum bill for each monthly billing period shall be the Customer Charge. The minimum bill will be billed for each monthly billing period beginning with the date of initial service and ending with the date service is terminated at the request of the Customer, inclusive.

 

PAYMENT TERMS

Bills for service under Rate Schedule "43" will be rendered monthly. Each bill rendered for service is due and payable on the date it is issued. The rates and charges under Rate Schedule "43" are net, the gross rate being five percent ("5%") higher. In the event the current monthly bill is not paid on or before the last date for payment as specified on the bill, the gross rate shall apply to any unpaid amount of the bill.

 

SERVICE AVAILABILITY

All requests for new or additional service or the transfer of existing service to higher priority end use will be supplied based on the judgment of Athens Utilities Board as to the available gas supply, the load factor or use pattern of the Customer, end use priority as may be specified by the Federal Energy Regulatory Commission ("FERC") or other appropriate governmental authority, impact on the local economy, and the laws of the State of Tennessee.

 

RULES AND REGULATIONS

All service provided hereunder is subject to the Rules and Regulations of Athens Utilities Board which may from time to time be revised.

 

SERVICE INTERRUPTION AND CURTAILMENT

Gas service under Rate Schedule "43" is subject to the curtailment provisions contained within the Rules and Regulations of Athens Utilities Board.