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Customer Choice Program

Contract Renewal Information

To All Bay State Gas Marketers:

On February 1, 1999, the Massachusetts Department of Telecommunications and Energy (“MDTE”) issued an order (the “Order”) addressing, among other things, issues relating to the contract renewal and supply planning process of the local distribution companies.  In the spirit of that Order, Bay State Gas Company (“Bay State”) has listed below the following transportation contracts that require advance notice in 2004.

Contracts Up For Renewal
Pipeline
Contract
Rate Schedule
Contract Expiration
Advance Notice
Tennessee 39741 FT-A 03/31/05 One Year
Tennessee 5291 FT-A 03/31/05 One Year
Texas Eastern 800382 FT-1 10/31/09 Five Years
Texas Gas T4942 FT 10/31/05 One Year

Tennessee contract Nos. 39741 and 5291 both transport gas from Niagara, New York, directly to Bay State’s city-gate. Bay State is currently in negotiations with Tennessee to renew these contracts for a five-year period but has not yet reached a decision.

As listed in the above table, Texas Eastern contract No. 800392 does not expire until 2009 but has a five-year advance notice provision.  This contract is used to transport gas from underground storage areas in Pennsylvania to Algonquin Gas Transmission where the gas is then transported to Bay State’s city-gate.  Contract talks with Texas Eastern are expected to begin later this year.  Bay State seeks to renew this contract for a five-year period.

Texas Gas contract No. T4249 is currently not eligible for capacity assignment and Bay State does not intend to renew this contract.

Please feel free to contact me at (508) 836-7269 with any questions or comments you may have .

Sincerely,
Christopher A. Kahl
Analyst
Nisource Energy Supply Services

 

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