Understanding PNT Ranks

  1. Hello.
  2. In this tutorial, we're going to cover ranking in the pathed non-threaded scheduling model.
  3. Rankings can be set on the receipt nomination, path nomination and the delivery nomination.
  4. Shippers can rank their nominations on a scale of 1 to 999. CSI will default all new nominations to a mid-ranking of 500 that can then be changed by the shipper.
  5. In the event of reductions or cuts, rankings determine how the original cuts are allocated and how subsequent balancing cuts will be made.
  6. Shippers have a great deal of power over how their nominations are scheduled when utilizing rankings.
  7. When rankings are not utilized, meaning the default allocation of 500 is left unchanged on the nomination, all cuts and contract balancing will use a pro
  8. rata determination method.
  9. Let's take a closer look at where the rankings are located and how they affect scheduling.
  10. Upstream ranks occur on the receipt nominations.
  11. When a cut originates from the path or the delivery nomination, the upstream rank is used to determine which of the received nominations are to be cut
  12. for contract balancing, which will be represented by the reduction reason code CBL.
  13. CBl cuts are always secondary cuts resulting from an originating cut.
  14. For example, if the originating cut was on the downstream side of these receipts, contract balancing would be made based on rankings you see here.
  15. The rank you'd see of 500 would get cut first.
  16. However, it's at a zero quantity, so the next receipt to get would the one ranked 4 with a quantity of 700. Ranks would follow until the required reduction
  17. quantity is met.
  18. Downstream ranks occur on the delivery nomination.
  19. When a cut originates from a path or a receipt nomination, the downstream rank determines which of the deliver nominations are to be cut.
  20. So in this example, originating cuts on upstream side would result in contract balancing using the down stream rank you see here.
  21. There are three ranked 500, however they have a quantity of zero, Therefore, the next ranked nomination is the one ranked three with a quantity of 800.
  22. The ranks would be followed until the required reduction quantity was met.
  23. There are three points of ranking on the path nomination.
  24. When a cut originates from a receipt nom, The receipt rank on path is used to determine which corresponding path will be cut.
  25. when a Cut originate from delivery nomination, The delivery rank on the path is used to determine which corresponding path will be cut.
  26. When a cut originates from the contract through priority of service, the Path Rank determines which path we'll be cutting.
  27. Now that's a lot of rankings in a lotta different locations, so let's take a look at some visuals to help see how rankings work.
  28. As I mentioned earlier, contract balancing or CBL cuts are secondary to an originating cut.
  29. On these next examples, we're going to see what the originate cuts may be and where they occur to help understand the flow of ranking.
  30. Receipt nominations will be affected by the originated reasons you see here.
  31. A confirming party reduction, no gas upstream, or when the confirmation is not conducted by an upstream party.
  32. The numbered items you here are the steps that follow the rankings for a cut originated on a receipt nom.
  33. and they match the numbered items on the following slide.
  34. So let's take a look.
  35. What you see here are receipt nominations on left, path nominations in the middle, and delivery nominations, on right.
  36. Step one represents the assumption that there is an originating cut at location 16294. Maybe it's a confirming party reduction,
  37. or maybe it is no gas upstream.
  38. But it takes the quantity from 1500 down to 1350. Step two represents the first in your contract balancing cuts, and it looks to the receipt rank to determine
  39. which path to choose to take the cut.
  40. So step three identifies that the path is a quantity of 1200 that were taken down to 1,050. Step four identifies the delivery location affected,
  41. And steps five and six identify which nominations for that locations be cut.
  42. The nomination with a rank of five will be taken from 100 to zero and the nomination, with the rank at four, will take from one hundred to fifty to fulfill
  43. the rest of the cut, so these are the steps that are following rank when a cut is made to a receipt nomination.
  44. Delivery nominations will affected by the reduction reasons you see here.
  45. A confirming party reduction, no gas downstream, or if a confirmation is not conducted by downstream party.
  46. So let's follow these steps through a downstream cut.
  47. In this example, since we're starting with a delivery nomination cut, we are going to flow from right to left.
  48. Step one makes the assumption that there was a quantity cut at location 15044 from 1500 down to 1350. It may have been due to a no gas downstream or a
  49. confirming party reduction.
  50. Step two then takes a look at the delivery ranks on all of the paths to determine which path takes the cut.
  51. In this example, the path with the lowest rank is a two and step three identifies the quantity at 1200 that will need to be cut to 1050. Step four indicates
  52. the receipt location affected and steps five and six take a Look at every nomination at that location and determine that the one ranked five will go from 100
  53. to zero, and the nomination ranked four will from 150 to fulfill the total quantity cut.
  54. So this is an example of all of the steps followed when the cut begins or originates on a delivery nomination.
  55. Path nominations will be affected by the originating reduction reasons you see here.
  56. As listed, they are pipeline capacity constraint, pipeline curtailment, capacity recalled, exceeded contract MDQ or exceeded point MD Q,
  57. force majeure, underperformance of receipt or delivery location, and pipeline balancing.
  58. All of these cuts will be based on priority of service and we'll look to the path rank for the affected contract to determine the cut.
  59. So let's take a look at an example of a cut originating on the pass.
  60. In this example, our cuts are going to start on the path, which is demonstrated in the middle of this screen.
  61. And then as we do our contract balancing, we'll work left and right.
  62. So step one is making the assumption that let's say due to pipeline curtailment, contract 25669, based on its priority of service,
  63. can only be allocated 1,100. If we look at all of the PATH nominations on that contract, To determine the path that takes the cut,
  64. we look at the Path Rank.
  65. And step two identifies that the last path listed is ranked as a four, so it's gonna take the Cut.
  66. Step three identifies, that that cut is gonna go from 900 down to 500. Now there's two step fours, there is one to the left and one the right.
  67. If you go to left, step 4 is identifying that receipt location 23231 is affected.
  68. Step five R for the receipt side, takes a look at the two nominations at location 23231, identifies the lowest rank as a rank two and cuts the quantity
  69. from 500 down to 100. So then if we go back to step four on the right hand side that identifies delivery location 15044, steps five D then take a Look
  70. at all nominations, at delivery Location 1504 and determines The one ranked 5 will take a cut from 100 to 0. The 1 ranked 4 will 100-0 and the 1-ranked 3
  71. will the remaining cuts.
  72. So again, these are the steps that follow rankings when the cut begins or originates on the path rank.

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