[Code of Federal Regulations]
[Title 18, Volume 1]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 18CFR284.264]

[Page 752]
 
           TITLE 18--CONSERVATION OF POWER AND WATER RESOURCES
 
  CHAPTER I--FEDERAL ENERGY REGULATORY COMMISSION, DEPARTMENT OF ENERGY
 
PART 284_CERTAIN SALES AND TRANSPORTATION OF NATURAL GAS UNDER THE 
NATURAL GAS POLICY ACT OF 1978 AND RELATED AUTHORITIES--Table of Contents
 
   Subpart I_Emergency Natural Gas Sale, Transportation, and Exchange 
                              Transactions
 
Sec. 284.264  Terms and conditions.

    (a) General conditions. (1) A participant must make every reasonable 
attempt to minimize use of emergency natural gas transactions.
    (2) Before deliveries of emergency natural gas commence, a 
responsible official of the recipient must provide any participants in 
the emergency natural gas transaction sufficient information to enable 
the participants to form a good faith belief that an emergency exists or 
is imminent.
    (3) No participant may engage in an emergency natural gas 
transaction if its participation will adversely affect service to its 
existing customers.
    (4) A participant may not sell emergency natural gas if, during the 
term of the sale, it is also purchasing emergency natural gas under this 
subpart, except when natural gas is being sold to relieve an emergency 
on another, separate segment of the participant's system.
    (5) An interstate pipeline, acting in an emergency gas transaction 
as a broker or agent on behalf of another participant or any other 
person, may not receive compensation for such brokerage or agency 
service.
    (6) A recipient of emergency natural gas that directly benefits from 
the service must:
    (i) Provide line loss and the fuel volumes required to transport the 
emergency natural gas; and
    (ii) Pay for the facilities required to be constructed to conduct 
the emergency natural gas transaction.
    (b) Duration--(1) Emergency sale or transportation. An emergency 
natural gas transaction is limited to 60 consecutive calender days, 
except that such transaction may be continued for an additional 60 
consecutive days if:
    (i) Fifteen days prior to the end of the initial 60-day period, the 
recipient of emergency natural gas files a petition that:
    (A) Describes fully the continued emergency,
    (B) Requests a waiver of the intitial 60-day limitation and 
permission for an extension of the transaction for an additional 60 
days; and
    (ii) Within the 15-day period, the Commission does not, by order, 
prohibit continuation of the emergency natural gas transaction for the 
additional 60-day period.
    (2) Redelivery in emergency exchange. The redelivery of emergency 
natural gas received under an exchange arrangement must occur within 180 
consecutive days following the termination of deliveries of the 
emergency natural gas.