Common use of Shortfall in creation of Additional Capacity Clause in Contracts

Shortfall in creation of Additional Capacity. (a) Where there is a delay in the completion of a project creating Additional Capacity such that some, but not all, Additional Capacity becomes available, or a project creating Additional Capacity creates less Capacity than expected, that capacity will be allocated among the access holders who have entitlements to the Additional Capacity on an equitable pro-rata basis. By way of example, if one access holder had 60% of all contracted entitlements to the Additional Capacity created by that project, then 60% of the available Additional Capacity will be allocated to that access holder.

Appears in 29 contracts

Samples: Holder Agreement, Access Holder Agreement, Access Holder Agreement

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