Common use of Transportation Tax Clause in Contracts

Transportation Tax. (a) The Sender shall be responsible for the transportation tax as per the provisions of the regulations in force. The calculation of the amount payable as transportation tax on the Sender’s charge will be made based on the “Net Standard Volume” (“NSV”) without considering the compensation reported in the Volumetric Compensation by Quality of the Pipeline and certified by the independent inspector at the Point of Entry of the Pipeline. (b) The process for the payment of the transportation tax will be performed by Cenit in its capacity as Transporter. However, the amount determined according to the legal procedure in force will be paid to Cenit by the Sender. (c) The transportation tax will be invoiced on a quarterly basis, independent from the invoices for the Service, no later than twenty (20) Days after the closing of the Volumetric Compensation by Quality of the last month of the quarter, by the issuance of an invoice or equivalent document in Colombian pesos charged to the Sender, based on the NSV to which the Volumetric Compensation by Quality has not been applied. The Sender irrevocably agrees to pay the invoice or equivalent document in Colombian Pesos within fifteen (15) Days after the filing of the invoice or xxxx issued by Cenit. The objections to the invoice will not interrupt the term for the payment of the invoice. The delays in the payment thereof will generate late payment interest. (d) For information purposes, Cenit will send to the Sender the information of the estimate of the amount of the transportation tax every month, on the last day of the month after the closing of the Volumetric Compensation by Quality at the latest. (e) The adjustments in the invoicing or equivalent document related to the Transportation tax, will be made when: (i) there are adjustments in the amount charged to the Sender, derived from the calculation received by the Ministry of Mines and Energy; or (ii) there are adjustments due to objections to the invoices, as per the procedure set forth by the Parties. Those adjustments will be acknowledged and offset by Cenit against the amounts of the liquidation of the immediately subsequent quarter.

Transportation Tax. (a) The Sender shall be responsible for the transportation tax as per the provisions of the regulations in force. The calculation of the amount payable as transportation tax on the Sender’s charge will be made based on the “Net Standard Volume” (“NSV”) without considering the compensation reported in the Volumetric Compensation by Quality of the Pipeline and certified by the independent inspector at the Point of Entry of the Pipeline. (b) The process for the payment of the transportation tax will be performed by Cenit in its capacity as Transporter. However, the amount determined according to the legal procedure in force will be paid to Cenit by the Sender. (c) The transportation tax will be invoiced on a quarterly basis, independent from the invoices for the Service, no later than twenty (20) Days after the closing of the Volumetric Compensation by Quality of the last month of the quarter, by the issuance of an invoice or equivalent document in Colombian pesos charged to the Sender, based on the NSV to which the Volumetric Compensation by Quality has not been applied. The Sender irrevocably agrees to pay the invoice or equivalent document in Colombian Pesos within fifteen (15) Days after the filing of the invoice or xxxx bxxx issued by Cenit. The objections to the invoice will not interrupt the term for the payment of the invoice. The delays in the payment thereof will generate late payment interest. (d) For information purposes, Cenit will send to the Sender the information of the estimate of the amount of the transportation tax every month, on the last day of the month after the closing of the Volumetric Compensation by Quality at the latest. (e) The adjustments in the invoicing or equivalent document related to the Transportation tax, will be made when: (i) there are adjustments in the amount charged to the Sender, derived from the calculation received by the Ministry of Mines and Energy; or (ii) there are adjustments due to objections to the invoices, as per the procedure set forth by the Parties. Those adjustments will be acknowledged and offset by Cenit against the amounts of the liquidation of the immediately subsequent quarter.