Common use of CUMULATIVE STEERING DIFFERENCE CORRECTIONS Clause in Contracts

CUMULATIVE STEERING DIFFERENCE CORRECTIONS. 4.1 The Operators shall cooperate to reduce the CSD in the event that the absolute value of the CSD for Gas Day D-1 (“CSD D-1”) exceeds the Steering Tolerance. 4.2 In cooperating in accordance with paragraph 4.1, the Operators shall have regard to all the circumstances relevant to the CSD, to what is reasonably practicable for both Operators and to the following options in order of priority: (a) the Operators may agree a Cumulative Steering Difference Correction for Gas Day D that is equal to the absolute value of CSD D-1; (b) the Operators may agree a Cumulative Steering Difference Correction for Gas Day D that is equal to or greater than the value by which the absolute value of CSD D-1 exceeds the Steering Tolerance, provided that such Cumulative Steering Difference Correction shall not exceed the absolute value of CSD D-1; (c) the Operators may agree to maintain the CSD outside the Steering Tolerance for Gas Day D and for any subsequent Gas Day; or (d) the Operators may agree to implement Proportional Allocation in accordance with paragraph 6.2 for Gas Day D and for any subsequent Gas Day for which the CSD exceeds (or is expected to exceed) the Steering Tolerance. 4.3 Where the CSD is positive, a quantity of gas is owed to IUK by National Grid Gas, and where the CSD is negative, a quantity of gas is owed to National Grid Gas by IUK. 4.4 If for Gas Day D the absolute value of CSD D-1 does not exceed the Steering Tolerance, there shall be no Cumulative Steering Difference Correction unless the Operators otherwise agree. 4.5 A Cumulative Steering Difference Correction shall be reflected in the Offtake Profile Notice or Delivery Flow Notice issued by IUK at the time.

CUMULATIVE STEERING DIFFERENCE CORRECTIONS. 4.1 The Operators shall cooperate to reduce the CSD in the event that the absolute value of the CSD for Gas Day D-1 (“CSD D-1”) exceeds the Steering Tolerance. 4.2 In cooperating in accordance with paragraph 4.1, the Operators shall have regard to all the circumstances relevant to the CSD, to what is reasonably practicable for both Operators and to the following options in order of priority: (a) the Operators may agree a Cumulative Steering Difference Correction for Gas Day D that is equal to the absolute value of CSD D-1; (b) the Operators may agree a Cumulative Steering Difference Correction for Gas Day D that is equal to or greater than the value by which the absolute value of CSD D-1 exceeds the Steering Tolerance, provided that such Cumulative Steering Difference Correction shall not exceed the absolute value of CSD D-1; (c) the Operators may agree to maintain the CSD outside the Steering Tolerance for Gas Day D and for any subsequent Gas Day; or (d) the Operators may agree to implement Proportional Allocation in accordance with paragraph 6.2 for Gas Day D and for any subsequent Gas Day for which the CSD exceeds (or is expected to exceed) the Steering Tolerance. 4.3 Where the CSD is positive, a quantity of gas is owed to IUK IUKInterconnector by National Grid Gas, and where the CSD is negative, a quantity of gas is owed to National Grid Gas by IUKIUKInterconnector. 4.4 If for Gas Day D the absolute value of CSD D-1 does not exceed the Steering Tolerance, there shall be no Cumulative Steering Difference Correction unless the Operators otherwise agree. 4.5 A Cumulative Steering Difference Correction shall be reflected in the Offtake Profile Notice or Delivery Flow Notice issued by IUK IUKInterconnector at the time.