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September 22, 2005


Tariff Change for Receipt Point Meters


Measurement Canada deems receipt meter sites, where the average meter pressure is greater than 1379 kPa, as “low intervention trade transaction” meter sites. Measurement Canada grants permission within their Electricity and Natural Gas Inspection Act for use of these gas meters without prior verification and sealing by Measurement Canada Inspectors or other accredited service providers. This permission by Measurement Canada recognizes that both parties are knowledgeable in natural gas processes and therefore Measurement Canada trusts that the parties will ensure that transactions between the two parties are indeed accurate. However, Measurement Canada remained responsible for the resolution of any measurement disputes between the two parties.


Effective 2005 July 01, Measurement Canada is allowing the parties additional independence on these low intervention trade transactions. Their policy now states they will no longer be responsible for any dispute resolution for sites where they grant conditional permission for the use of gas meters without their verification and sealing. TransGas will continue to verify and prove all measurement devises as it has in the past. Such permission will not be granted by Measurement Canada unless the service contract between the two parties stipulates the recognition that Measurement Canada is not held responsible for any dispute resolution.


With this change in Measurement Canada’s policy, the TransGas Comprehensive Tariff (Tariff), TransGas’ contractual agreement with its shippers, requires a small change to fully comply with Measurement Canada’s revised policy. As such, TransGas has made an immediate addition to its Tariff, as outlined in the black lined attachment, to comply with Measurement Canada’s revised policy. This immediate change to the Tariff allows TransGas to continue to provide uninterrupted transportation service to its customers in a cost effective and efficient manner.

If you have any questions or concerns, please contact your Key Account Manager, or the undersigned.

Yours Truly,


Phil Sandham
Executive Director
Customer Services

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