Lesson Activities

Rate Calculation Activity

1. In this activity we will use an actual transportation rate document ("tariff") from the Natural Gas Pipeline Company of America to perform some pipeline rate calculations. Start by reviewing the Lesson Rate Calculation Example in the Canvas Modules under Lesson 7: Pricing Methodologies. Then, go to the Natural Gas Pipeline Company of America informational web site. Click on "Informational Postings," then "Tariff." Under "Currently Effective Rates", click on "Rate Schedule FTS Peak". Then, go to Page 13. Look at the "Reservation" and "Commodity" Rates for moving gas from the Midcontinent Region to the Market Region. Using the "Lesson 7: Transportation Rate Calculation Spreadsheet" Lesson 7: Pricing Methodologies Module of Canvas, calculate the daily rate per MMBtu.
2. Next, find the "Gas Quality" standards set forth by the pipeline under "Gas Quality - Tariff Reference". List the following quality specifications on the same spreadsheet.
   • Oxygen (O₂)
   • H₂S (Hydrogen Sulfide)
   • Sulfur
   • CO₂
   • H₂O
   • Inert gases
   • Btu value

Grading Criteria

This activity, due at 11:59 pm on Sunday is worth up to 20 points on the EBF 301 grading scale. Question 1 is worth 13 points and Question 2 is worth 7 points.

Fundamental Factors

The Fundamental Factors activity is due as usual this week, at 11:59 pm on Sunday, and is worth 30 points on the EBF 301 grading scale. Please refer to the Fundamental Factors Instructions for additional information and grading rubric.