B
Backhaul
Synonym:
Definition: Transportation of gas in a direction opposite the
aggregate physical flow of gas in the pipeline.
Typically achieved when the transporting pipeline
redelivers gas at a point upstream from the point of
receipt. A backhaul condition will exist as long as the
aggregate backhaul transactions are lesser in volume
that the aggregate forward haul transactions. A
backhaul transaction can result in a delivery by
displacement (reduction) of physical flow at the
delivery point.
Balancing
Synonym:
Definition: The process of equalizing receipt and deliveries
quantities or gas by making deliveries of gas into or
withdrawals from a pipe owned by a pipeline or LDC equal
to the contracted amount of space. Balancing may be
accomplished daily, monthly or seasonally, with
penalties generally assessed for excessive imbalance.
Balancing Account
Synonym:
Definition: A special account in which a specific type of utility
expense, such as purchased gas, is recorded. If
revenues exceed the expense, the utility is said to have
overcollected, and rates are reduced in a subsequent
period to eliminate the overcollection. If the expense
exceeds the revenue, the utility is said to have
undercollected, and rates are increased to offset the
undercollection.
Balancing Agreement
Synonym: Allocation Agreement
Definition: A contractual agreement between two or more legal
entities to account for differences between measured
volumes and the total confirmed nominations at a point.
They have been used to keep track of over/under
production relative to entitlements between producers,
and over/under deliveries relative to confirmed
nominations between operators of wells, pipelines and
LDCs.
Balancing Penalties
Synonym:
Definition: Charges applied to volumes outside of the balancing
window. Balancing penalties are intended to prevent
shippers from abusing the transporter's system by
borrowing and/or storing gas without charge.
Balancing Window
Synonym:
Definition: An acceptable tolerance between transportation receipts
and deliveries within which there are generally no
penalties applied.
Base Load
Synonym:
Definition: As applied to gas, a given send-out of gas remaining
fairly constant over a period of time, usually not
temperature sensitive.
Base Pressure
See Pressure, Base
BCF
Synonym:
Definition: Billion cubic feet (109); a volumetric unit used to
measure natural gas.
Billing Period
Synonym: Billing Cycle, Billing Month
Definition: A predefined period, usually a calendar month, in which
daily services are summarized for invoicing and
imbalance statements.
Blanket Certificate
Synonym: Open Access Certificate
Definition: A certificate of public convenience and necessity issued
by FERC under section 7 (c) of the Natural Gas Act,
authorizing multiple natural gas activities such as
self-implementing transportation services, the
construction and operation of facilities, storage
services, changes in rate schedules and other minor
transactions.
Broker
Synonym:
Definition: An individual or company that acts as an agent for a
company that wants to buy or sell a natural gas service.
For a commission, a broker will find a compatible party
and facilitate a contractual relationship.
Brokering
Synonym:
Definition: With regard to the function of aggregating gas supplies
and serving as an intermediary in the marketplace, the
term is not unique to the gas industry. However, the
term is also applied to the resale of pipeline capacity
or transportation rights.
British Thermal Unit
Synonym: Btu
Definition: The quantity of heat that must be added to one pound of
water to raise its temperature one degree Fahrenheit
from 58.5 to 59.5 degrees Fahrenheit (AGA definition)
under standard pressure of 20 inches of mercury
(1 Btu x 1054.804 = 1 Joule). Other definitions with
different base conditions exist and can be used
contracturally consistent with the agreement of parties.
Btu, Dry
Synonym:
Definition: Heating value contained in a standard cubic foot of
natural gas measured and calculated free of moisture
content.
Btu, Saturated
Synonym:
Definition: The number of Btus contained in a standard cubic foot of
natural gas fully saturated with water under actual
delivery pressure, temperature and gravity conditions.
Btu Value
Synonym: Btu Content, Heat Content, Heating Value
Definition: Factor which converts gas volumes into energy values.
In the U.S., usually expressed in Btu per cubic foot
(Btu/cf). In Canada, usually in megajoules per cubic
meter (MJ/m3). Heating values typically vary between
990 and 1050 Btu\cf (36.9 to 39.1 MJ/m3).
Bundled Rate
Synonym:
Definition: A single charge that covers a number of services
provided by a pipeline or distributor. Examples of such
services are gas sales, transportation, storage and
load-balancing.
Bypass
Synonym:
Definition: The act of circumventing a traditional supplier in favor
of a direct delivery of gas. For example, an end-user
may initiate direct service from a pipeline and
circumvent a local distribution company or construct
his own pipeline and bypass the pipeline company and the
LDC.
By-Products
Synonym: Residuals
Definition: Secondary products which are obtained from the
processing of a raw material and have commercial value.
They may be the residues of the gas production process,
such as coke, tar, and ammonia, or they may be the
result of further processing of such residues, such as
ammonium sulphate.