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Old 02-23-2023, 08:57 AM   #6706
GGG
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Quote:
Originally Posted by Lubicon View Post
It's been a long time since I worked that side of the industry but at least where I worked it was a fixed rate regardless of oil prices. But that also protects the pipeline when prices are low.
The other thing is their are take or pay provisions which charge the tolls regardless of whether you are shipping oil in the pipe.

There is also a regulated rate component to non-pre sold space on pipelines which is based on capital and opex and a % profit margin.
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