Model Franchise Agreement (Page 8 of 9) in pdf

Model Franchise Agreement Page 8

Paragraph 12 applies to the cost of relocation.

16. Use of Decommissioned Gas System

a. The Gas Company shall provide promptly to the Corporation, to the extent such

information is known:

the names and addresses of all third parties who use decommissioned parts

of the gas system for purposes other than the transmission or distribution

of gas; and

ii.

the location of all proposed and existing decommissioned parts of the gas

system used for purposes other than the transmission or distribution of gas.

b. The Gas Company may allow a third party to use a decommissioned part of the

gas system for purposes other than the transmission or distribution of gas and may

charge a fee for that third party use, provided

the third party has entered into a municipal access agreement with the

Corporation; and

ii.

the Gas Company does not charge a fee for the third party's right of access

to the highways.

c. Decommissioned parts of the gas system used for purposes other than the

transmission or distribution of gas are not subject to the provisions of this

Agreement. For decommissioned parts of the gas system used for purposes other

than the transmission and distribution of gas, issues such as relocation costs will

be governed by the relevant municipal access agreement.

17. Franchise Handbook

The Parties acknowledge that operating decisions sometimes require a greater level of

detail than that which is appropriately included in this Agreement. The Parties agree to

look for guidance on such matters to the Franchise Handbook prepared by the

Association of Municipalities of Ontario and the gas utility companies, as may be

amended from time to time.

18. Other Conditions

The following paragraph shall be inserted as a special condition in the old Union Gas franchise area,

which is understood to be the franchise area of Union Gas in southwestern Ontario prior to its

merger with Centra Gas.

Notwithstanding the cost sharing arrangements described in Paragraph 12, if any part of

the gas system altered or relocated in accordance with Paragraph 12 was constructed or

installed prior to January 1, 1981, the Gas Company shall alter or relocate, at its sole

expense, such part of the gas system at the point specified, to a location satisfactory to the

Engineer/Road Superintendent.

Model Franchise Agreement Page 8