Balancing. ​ is in compliance with the provisions of [Section 2.14].

Phase Balancing. Customer shall endeavor to take and use power and energy in such a manner that the current will be reasonably balanced on all three phases. In the event that any check indicates that the current on the most heavily loaded phase exceeds the current on either of the other two phases by more than 20 percent, Customer shall make at its expense, upon request, the changes necessary to correct the unbalanced condition. If said unbalanced condition is not corrected within 60 days, or such other period as may be agreed upon, WKRECC may thereafter elect to meter the load on individual phases and compute the billing demand as being equal to three times the maximum kilowatt load on the most heavily loaded phase. For all purposes hereunder, the load on any phase shall be the load measured by a wattmeter connected with the current coil in that phase wire and the potential coil connected between the phase wire and the neutral voltage point.

Balancing Accounting. Processor will maintain an "over/under" account to reflect any imbalances as between the parties. Processor shall provide Producer with a statement each Month setting forth the amounts of any imbalances for "over-delivered" or "under-delivered" quantities during the preceding Month.

Balancing of Deliveries. Producer and Processor recognize Processor's inability to redeliver Plant Products to Producer which exactly match the composition and quantities of the Plant Products. In-kind quantities of Plant Products due to Producer shall be delivered in, and as part of, the commingled stream of all plant products produced or extracted at the Plant. Processor and Producer shall make a good faith effort to keep the nominated and delivered quantities as much in balance as possible by making delivery adjustments from time to time.

Any Distribution Company ceases to be a party to the Balancing and Settlement Code Framework Agreement other than in circumstances where that Distribution Company is able to carry on its distribution business.

gas balancing reports under agreements provided for in clause 9.3;

“Balancing and Settlement Code” means the document, as modified from time to time, setting out the electricity balancing and settlement arrangements designated by the Secretary of State and adopted by The National Grid Company plc (Registered No. 2366977) or its successor pursuant to its transmission licence.

“OBA” means the Operating and Balancing Agreement with PG&E dated February 2, 2009.

Natural Gas to be produced from an Exploitation Area shall be taken and disposed of in accordance with the rules and procedures set forth in this clause 9.3. The Parties recognize that, in the event of individual disposition of Natural Gas, imbalances may arise with the result being that a Party will temporarily have disposed of more than its Participating Interest share of production of Natural Gas. Accordingly, if Natural Gas is to be produced from an Exploitation Area, the Parties shall, in good faith and no later than the date on which the Development Plan for Natural Gas production is approved by the Operating Committee, negotiate and conclude the terms of a balancing agreement to cover the disposition of Natural Gas produced under the PSC, regardless of whether all of the Parties have entered into a sales arrangement or sales contract for their respective Entitlement of Natural Gas. The Natural Gas balancing agreement shall, subject to the terms of the PSC, make provision for:

Take or Pay Obligations, Prepayments, BTU Adjustments and Balancing Problems. To the best of each Borrower's knowledge, there is no take or pay obligation under any gas purchase agreement comprising a portion of the Collateral which is not matched by a commensurate and corresponding pay or take obligation binding upon the purchaser under a corresponding gas sales agreement such that with respect to the ownership and operation of the business of Borrowers or the Collateral, any such obligation in favor of any seller under any gas purchase agreement to which any Borrower is a "buyer" is matched by a corresponding obligation on the part of "purchasers" under corresponding gas sales agreements pursuant to which any Borrower is the "seller". To the best of each Borrower's knowledge, neither Borrower nor the Collateral is subject to requirements to make BTU adjustments or effect gas balancing in favor of third parties which would result in Borrowers being required to # deliver gas at a price below that established in applicable gas sales agreements or on behalf of and for the benefit of third parties in exchange or to otherwise compensate for prior above market or above contract purchases of gas from Borrowers or their predecessors in interest, or # balance in kind by allowing other owners in the Collateral to make up the past imbalances in gas sales, or # balance in cash by paying other owners of the collateral for the past gas imbalances except for the matters described on [Exhibit D] hereto which have been disclosed to Borrowers.