Columbia Pipeline Group 5151 San Felipe, Ste 2400, Houston, Texas, USA 77056 Tel: 713.386.3776 slinder@cpg.com

www.transcanada.com

Sorana Linder Director, Regulated Services

September 30, 2016

Ms. Kimberly D. Bose Federal Energy Regulatory Commission 888 First Street, N.E. Washington, DC 20426 Re: Columbia Gas Transmission, LLC, Docket No. RP13-606-___ Chesapeake LNG Update Filing Dear Ms. Bose:

Pursuant to Section 4 of the Natural Gas Act (“NGA”), and Part 154 of the Federal Energy Regulatory Commission’s (“Commission”) regulations,1 Columbia Gas Transmission, LLC’s (“Columbia”) hereby submits for filing the revised tariff sections to its FERC Gas Tariff, Fourth Revised Volume No. 1, to become effective November 1, 2016:

Part Version Title V.16 10.0.0 LNG Rates

Statement of Nature, Reasons and Basis

On February 28, 2013, Columbia filed a Stipulation and Agreement of Settlement (“Settlement”) representing a collaborative resolution between Columbia and Columbia Gas of Virginia, Inc. (“CGV”), City of Richmond, Virginia (“COR”), and Virginia Natural Gas, Inc. (“VNG”) (collectively, “LNG Customers”) and provided for a means to fund approximately $30 million in facility upgrades needed to extend the life of and to ensure the safe operation of Columbia’s liquefied natural gas (“LNG”) plant located in Chesapeake, Virginia. Article III of the Settlement reflects an agreement to revise the Levelized LNG Rate Adder for all three LNG Customers if the actual costs of the Capital Improvements are less than $30 million. Specifically, Article III states:

“The Levelized LNG Rate Adder shall be adjusted downward if the actual cost of Capital Improvements installed at the Chesapeake LNG Facility is less than $30 million. To the extent a downward adjustment is necessitated, the Levelized LNG Rate Adder shall be reduced proportionately by the percentage by which the actual costs of Capital Improvements is lower than the $30 million allowance for Capital Improvements (e.g., if Columbia spends $27 million, or 10% less, the Levelized LNG Rate Adder shall be reduced by 10%). Any such reduction in the Levelized LNG Rate Adder shall incorporate any overpayments (plus the currently applicable Commission-approved interest rate) associated with rates paid prior to the adjustment, recognizing that the initial Levelized LNG Rate Adder is to be based on the $30 million in Capital Improvements.”

1 18 CFR Part 154 (2016).

On June 3, 2013, the Commission approved the Settlement and directed Columbia to file tariff records to be effective February 1, 2014. On January 31, 2014, the Commission accepted the filed tariff records.

Columbia has completed the work at the Chesapeake LNG Facility and has determined that actual

costs are lower than the $30 million contemplated in the Settlement. Specifically, final costs amount to $28,352,586. In accordance with Article III of the Settlement, Columbia is hereby filing updated tariff records to reflect a reduction in the Levelized LNG Rate Adder2. Accordingly, Columbia respectfully requests that the Commission grant any waivers necessary and approve the filed tariff records to become effective November 1, 2016. Motion

Pursuant to Section 154.7(a)(9) of the Commission’s regulations, Columbia moves to place the proposed tariff sections into effect at the requested effective date. Request for Waiver Pursuant to Section 154.7(a)(7), Columbia respectfully requests that the Commission grant any waivers that may be necessary to accept this filing and to place the filed tariff sheets into effect as requested herein. Materials Submitted Herewith:

In accordance with Section 154.7(a)(1) of the Commission’s regulations, the following materials are submitted herewith:

(1) Appendix A reflecting support for the rate reduction; (2) The proposed revised tariff sections being filed; and (3) Marked version of the revised tariff sections in accordance with Section 154.201(a) of the

Commission’s regulations. Posting and Certification of Service Pursuant to Sections 154.2(d), 154.7(b), 154.207, and 154.208(b) of the Commission’s regulations, a copy of this tariff filing is being served to all of Columbia’s existing customers and affected state commissions. A copy of this filing is also available for public inspections during regular business hours in a convenient form and place at Columbia’s offices at 5151 San Felipe, Suite 2400, Houston, Texas, 77056. Service on Columbia Gulf

It is requested that a copy of all communications, correspondence and pleadings with respect to this filing be sent to:

2 Appendix A reflects support for the updated Levelized LNG Rate Adder.

*Sorana Linder, Director, Regulated Services Columbia Gas Transmission, LLC 5151 San Felipe, Suite 2400 Houston, Texas 77056 Phone: (713) 386-3776 Email: slinder@cpg.com *William A. Sala, Jr., Senior Counsel Columbia Gas Transmission, LLC 5151 San Felipe, Suite 2400 Houston, Texas 77056 Phone: (713) 386-3743 Email: tsala@cpg.com *Persons designated for official service pursuant to Rule 2010.

Conclusion

Pursuant to Section 385.2005 and Section 385.2011(c)(5) of the Commission’s regulations, the undersigned certified that: (1) she has read the filing and knows its contents; (2) the contents are true to the best of her knowledge and belief; and (3) the undersigned possesses full power and authority to sign the filing.

Respectfully submitted,

Sorana Linder Director, Regulated Services

Enclosures

APPENDIX A

Effective Rate Adders Allocation

Proposed Rate Adders

Demand 0.497$ 92.71% 0.461$ Capacity 0.198$ 92.71% 0.184$

30,000,000$ 28,352,586$

5.49%1.80% 1/

7.29%

92.71%

1/ See interest calculation on page 4.

Calculation of Allocation %

Columbia Gas TransmissionCalculation of LNG Adder Reduction

Pursuant to Article III of Chesapeake LNG Settlement

Existing Cost included in LNG Adder:New Cost Actuals

Billed Overcollections + Interest% of costs under original estimate

Total Overcollection %

Net Allocation (100% - 7.02%)

Line No. Contract # Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 2014 Total(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l)

1 City of Richmond 35887 Reservation 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 195,718.60$ 2 35887 Capacity 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 242,302.50$ 3 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 438,021.10$

4 Columbia Gas of Virginia 35888 Reservation 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 175,545.37$ 5 35888 Capacity 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 680,516.10$ 6 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 856,061.47$

7 Virginia Natural Gas 35889 Reservation 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 284,776.03$ 8 35889 Capacity 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 1,695,573.00$ 9 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 1,980,349.03$

10 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$

11 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 179,766.29$ 12 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290%

13 16,342.39$ 16,389.78$ 16,437.31$ 16,484.98$ 16,532.79$ 16,580.73$ 16,628.82$ 16,677.04$ 16,725.40$ 16,773.91$ 16,822.55$ 14 47.39$ 47.53$ 47.67$ 47.81$ 47.95$ 48.08$ 48.22$ 48.36$ 48.50$ 48.64$ 480.16$

Chesapeake LNG Adder Summary

5.49% Overcollections (Line 10 * 5.49%)FERC Monthly Interest Rate

Calculation of Interest:

Total (Line 3 + Line 6 + Line 9)

(Line 13 * Line 12)

Line No. Contract #

1 City of Richmond 35887 Reservation2 35887 Capacity3

4 Columbia Gas of Virginia 35888 Reservation5 35888 Capacity6

7 Virginia Natural Gas 35889 Reservation8 35889 Capacity9

10

1112

1314

5.49% Overcollections (Line 10 * 5.49%)FERC Monthly Interest Rate

Calculation of Interest:

Total (Line 3 + Line 6 + Line 9)

(Line 13 * Line 12)

Chesapeake LNG Adder Summary

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 2015 Total(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m)

17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 213,511.20$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 264,330.00$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 477,841.20$

15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 191,504.04$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 742,381.20$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 933,885.24$

25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 310,664.76$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 1,849,716.00$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 2,160,380.76$

297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$

16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 196,108.69$ 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290%

16,871.34$ 16,920.26$ 16,969.33$ 17,018.54$ 17,067.90$ 17,117.40$ 17,167.04$ 17,216.82$ 17,266.75$ 17,316.82$ 17,367.04$ 17,417.41$ 48.79$ 48.93$ 49.07$ 49.21$ 49.35$ 49.50$ 49.64$ 49.78$ 49.93$ 50.07$ 50.22$ 50.36$ 594.85$

Line No. Contract #

1 City of Richmond 35887 Reservation2 35887 Capacity3

4 Columbia Gas of Virginia 35888 Reservation5 35888 Capacity6

7 Virginia Natural Gas 35889 Reservation8 35889 Capacity9

10

1112

1314

5.49% Overcollections (Line 10 * 5.49%)FERC Monthly Interest Rate

Calculation of Interest:

Total (Line 3 + Line 6 + Line 9)

(Line 13 * Line 12)

Chesapeake LNG Adder Summary

Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 2016 Total Grand Total(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l)

17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 17,792.60$ 177,926.00$ 587,155.80$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 22,027.50$ 220,275.00$ 726,907.50$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 39,820.10$ 398,201.00$ 1,314,063.30$

15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 15,958.67$ 159,586.70$ 526,636.11$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 61,865.10$ 618,651.00$ 2,041,548.30$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 77,823.77$ 778,237.70$ 2,568,184.41$

25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 25,888.73$ 258,887.30$ 854,328.09$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 154,143.00$ 1,541,430.00$ 5,086,719.00$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 180,031.73$ 1,800,317.30$ 5,941,047.09$

297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 297,675.60$ 9,823,294.80$

16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 16,342.39$ 163,423.90$ 539,298.88$ 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290% 0.290%

17,467.92$ 17,518.57$ 17,569.38$ 17,620.33$ 17,671.43$ 17,722.67$ 17,774.07$ 17,825.61$ 17,877.31$ 17,929.15$ 50.51$ 50.66$ 50.80$ 50.95$ 51.10$ 51.25$ 51.40$ 51.54$ 51.69$ 51.84$ 511.75$ 1,586.76$

Total Overcollection + Interest (Line 11 + Line 14) 540,885.65$

% of $30 MM 1.80%

CLEAN TARIFF SECTION

Columbia Gas Transmission, LLC V.16.

FERC Tariff Currently Effective Rates

Fourth Revised Volume No. 1 LNG Rates

Version 10.0.0

Issued On: September 30, 2016 Effective On: November 1, 2016

Rates Applicable to Certain X-Rate Schedules Contained in

Columbia's Original Volume No. 2 Tariff

Liquefied Natural Gas

X-131, X-132 and X-133 Electric Power Costs Adjustment

Base Rate Current Surcharge Daily Rate

Demand $

Capacity $

LNG Electric Power Costs Adjustment Daily LNG

Adder Rate1 Current Surcharge Adder Rate

Demand $

Capacity $

1/ The LNG Adder Rate shall apply to Rate Schedules X-131, X-132, and X-133 (contained in Columbia’s Original Volume No. 2

Tariff) pursuant to the Settlement approved in Docket No. RP13-606-000.

0.640 0.17 0.01 0.027

0.257 0.069 0.003 0.011

0.461 0.00 0.00 0.015

0.184 0.00 0.00 0.006

MARKED TARIFF SECTION

Columbia Gas Transmission, LLC V.16.

FERC Tariff Currently Effective Rates

Fourth Revised Volume No. 1 LNG Rates

Version 10.0.0

Issued On: September 30, 2016 Effective On: November 1, 2016

Rates Applicable to Certain X-Rate Schedules Contained in

Columbia's Original Volume No. 2 Tariff

Liquefied Natural Gas

X-131, X-132 and X-133 Electric Power Costs Adjustment

Base Rate Current Surcharge Daily Rate

Demand $

Capacity $

LNG Electric Power Costs Adjustment Daily LNG

Adder Rate1 Current Surcharge Adder Rate

Demand $

Capacity $

1/ The LNG Adder Rate shall apply to Rate Schedules X-131, X-132, and X-133 (contained in Columbia’s Original Volume No. 2

Tariff) pursuant to the Settlement approved in Docket No. RP13-606-000.

0.640 0.17 0.01 0.027

0.257 0.069 0.003 0.011

0.4970.461 0.00 0.00 0.0160.015

0.1980.184 0.00 0.00 0.0070.006