Sherwood Direct Ex. 1.0, page 21

All transportation customers will pay a new System Balancing Charge (“SBC”), a gas cost recovery charge that allocates a portion of pipeline storage and transportation costs.

Language in Rider 15 – Customer Select (Applicable to Rates 1, 4, and 5)


The rates for service hereunder shall be those of the Customer’s companion rate, excluding Factor GC of Rider 6, Gas Supply Cost. In place of Factor GC, the Customer shall be charged a Balancing and Storage Adjustment which shall be the sum of the following: (1) Transportation Service Adjustment (TSA); (2) Storage Service Cost Recovery (SSCR); and (3) Customer Select Balancing Charge (CSBC) multiplied by the Customer’s total use in the billing period, each such component as determined in Rider 6, Gas Supply Cost. The CBSC will be replaced with the Storage Balancing Charge (SBC) per Rider 6 as of May 1, 2022. Additionally, the Customer shall receive a Transportation Service Credit (TSC) consisting of the sum of: (1) a 0.04 cent per therm storage withdrawal adjustment credit, and (2) a 0.26 cent per therm credit for gas in storage, multiplied by the Customer’s total use in the billing period. In the event that the Customer’s Supplier does not provide the Company the required firm supply affidavit by November 1 of each year, as required under Rider 16 – Supplier Aggregation Service, the Company shall charge the Customer the Company’s Non Commodity Gas Cost (NCGC), as filed from time to time as part of Rider 6, Gas Supply Cost, in place of the CSBC, from November 1 through March 31.

In Rider 6, Gas Supply Cost, Exhibit 2.2, Page 31

SBC System Balancing Charge – Primarily a non-commodity related, per therm, gas cost recovery mechanism applied to all deliveries or estimated deliveries of gas to the Customer’s facilities under the provisions of Rate 74, Rate 75, Rate 76, Rate 77 and Rider 15, Customer Select. This charge is the usage level based counterpart to the NCGC, and excludes firm transportation costs for which the Supplier is directly responsible. Revenues arising through the application of this charge will be credited to the NCGC. This charge replaces the CSBC as of May 1, 2022.