This operating agreement exhibit takes effect if any party takes and disposes of less than its percentage interest share of gas (including casinghead gas) produced and saved during any calendar month. The volume not taken by that party may be taken by any other party or parties.
Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a crucial document in the energy industry that plays a significant role in ensuring the effective management and regulation of gas balancing in Hawaii. It establishes a legally binding framework for gas balancing activities within the state and outlines the rights and obligations of the involved parties. 1. Introduction: The Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is an addendum to the operating agreement between key entities operating in Hawaii's energy sector. It focuses specifically on gas balancing, which is an essential process in maintaining the stability and reliability of the gas supply network. 2. Purpose and Objectives: The primary purpose of Hawaii Exhibit E is to define the procedures and mechanisms for gas balancing activities, ensuring a fair distribution and proper utilization of natural gas resources across Hawaii. It aims to optimize gas supply management, prevent shortages or surpluses, and minimize disruptions within the gas grid. 3. Parties involved: Hawaii Exhibit E identifies the parties involved in the gas balancing agreement. This typically includes gas suppliers, distributors, grid operators, and other relevant stakeholders. The agreement ensures cooperation and coordination among these parties, fostering a collaborative approach to gas balancing. 4. Gas Balancing Mechanisms: The agreement outlines the specific gas balancing mechanisms to be employed. These may include voluntary exchange arrangements, use of gas storage facilities, contractual provisions for gas imbalances, methods for measuring and reporting gas imbalances, and resolution mechanisms for disputes arising from imbalances. 5. Rights and Obligations: Hawaii Exhibit E delineates the rights and obligations of each party. This includes responsibilities related to maintaining accurate gas measurement, reporting imbalances, establishing reserve requirements, adhering to scheduling instructions, and providing compensation for penalties resulting from imbalances. 6. Performance Monitoring and Enforcement: The document sets out provisions for monitoring gas balancing performance through regular reporting and auditing. It specifies the procedures for addressing non-compliance and resolving disputes, including the use of mediation or arbitration if necessary. 7. Additional Forms: Depending on specific circumstances or variations in gas balancing agreements, there may be different versions of Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4. These variations could include form 4A, form 4B, or other designators to indicate modifications or tailored provisions for unique situations. In summary, Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a comprehensive document that establishes the framework for gas balancing activities in Hawaii. It ensures cooperation, fairness, and efficient management of gas supply, benefiting the energy sector as a whole.Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a crucial document in the energy industry that plays a significant role in ensuring the effective management and regulation of gas balancing in Hawaii. It establishes a legally binding framework for gas balancing activities within the state and outlines the rights and obligations of the involved parties. 1. Introduction: The Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is an addendum to the operating agreement between key entities operating in Hawaii's energy sector. It focuses specifically on gas balancing, which is an essential process in maintaining the stability and reliability of the gas supply network. 2. Purpose and Objectives: The primary purpose of Hawaii Exhibit E is to define the procedures and mechanisms for gas balancing activities, ensuring a fair distribution and proper utilization of natural gas resources across Hawaii. It aims to optimize gas supply management, prevent shortages or surpluses, and minimize disruptions within the gas grid. 3. Parties involved: Hawaii Exhibit E identifies the parties involved in the gas balancing agreement. This typically includes gas suppliers, distributors, grid operators, and other relevant stakeholders. The agreement ensures cooperation and coordination among these parties, fostering a collaborative approach to gas balancing. 4. Gas Balancing Mechanisms: The agreement outlines the specific gas balancing mechanisms to be employed. These may include voluntary exchange arrangements, use of gas storage facilities, contractual provisions for gas imbalances, methods for measuring and reporting gas imbalances, and resolution mechanisms for disputes arising from imbalances. 5. Rights and Obligations: Hawaii Exhibit E delineates the rights and obligations of each party. This includes responsibilities related to maintaining accurate gas measurement, reporting imbalances, establishing reserve requirements, adhering to scheduling instructions, and providing compensation for penalties resulting from imbalances. 6. Performance Monitoring and Enforcement: The document sets out provisions for monitoring gas balancing performance through regular reporting and auditing. It specifies the procedures for addressing non-compliance and resolving disputes, including the use of mediation or arbitration if necessary. 7. Additional Forms: Depending on specific circumstances or variations in gas balancing agreements, there may be different versions of Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4. These variations could include form 4A, form 4B, or other designators to indicate modifications or tailored provisions for unique situations. In summary, Hawaii Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a comprehensive document that establishes the framework for gas balancing activities in Hawaii. It ensures cooperation, fairness, and efficient management of gas supply, benefiting the energy sector as a whole.
