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Gas Franchise Agreement

The gas franchise agreement is for the distribution system required for delivery of natural gas within a municipality.

Key principles for the agreement:

  • franchise fee for exclusivity and use and administration of ROW
  • cores services identified and evaluated annually
  • extra services are distinguished and negotiated separately
  • greater reciprocity - termination on default, indemnity provision, dispute settlement, force majeure
  • right to purchase distribution system
  • separate fee for large annexations
  • control over construction and maintenance
  • funding of relocation costs
  • control over joint use by third parties

Click here to view the Gas Franchise Agreement.

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