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Florida City Gas <br />FPSC Natural Gas Tariff <br />Volume No. 9 Original Sheet No. 65 <br />THIRD PARTY SUPPLIER (TPS) <br />(Continued) <br />INDEMNIFICATION <br />As between the Company and TPS, TPS warrants that it has clear title to any gas <br />delivered into the Company's system, and TPS shall be deemed to be in exclusive control and <br />possession of gas prior to its delivery into the Company's system for redelivery to Customer. <br />TPS agrees to indemnify, defend and hold harmless Company from any and all claims, suits or <br />damage actions arising out of deliveries on behalf of a transporting Customer. <br />ALLOCATION OF SUPPLIES <br />Gas received by the Company from the TPS shall be allocated first to the GS classes <br />being served under ADDQ in the order of increasing annual usage, then to NGV followed by the <br />remaining GS classes in the order of increasing annual usage, then by KDS and lastly to FGS <br />Customers. <br />DAILY AND MONTHLY CONTRACT BALANCING <br />Third Party Suppliers will be billed for all their Customers' balancing charges as follows: <br />a) Daily Imbalance Charge <br />The Company shall, within the existing limitations of its system, provide for balancing <br />between gas requirements and actual gas deliveries, net of an adjustment for Company Use and <br />Unaccounted for Gas, received by the Company for the account of the Customers served by the <br />TPS that day. The Company shall not be obligated to provide gas service during an hourly, daily <br />or monthly period in excess of the levels specified in the Rate Schedules under which Customers <br />of the TPS are served. <br />The Company reserves the right to require daily balancing on any other day in which the <br />Company, in the exercise of its reasonable judgment, determines that such balancing is <br />necessary for operational reasons. The Company will provide the TPS in all instances with at <br />least twenty-four (24) hours advance notice that daily balancing will be imposed. <br />In the event that daily balancing is imposed in accordance with this section, TPS shall be <br />assessed the following charges for daily imbalances: <br />Imbalance * Charge ** <br />0% to 5% <br />$0.00 per therm <br />5.1% to 10% <br />$0.10 per therm <br />Underdeliveries > 10% <br />$0.50 per therm <br />Overdeliveries > 10% <br />$0.10 per therm <br />Issued by: Carolyn Bermudez Effective: <br />Vice President, Florida City Gas <br />p, 4-qc) <br />