Garden Banks Gas Pipeline, LLC

Original Volume No. 1

Effective Date: 05/10/2010, Docket: RP10-594-000, Status: Effective

Second Revised Sheet No. 129 Second Revised Sheet No. 129

Superseding: First Revised Sheet No. 129

GENERAL TERMS AND CONDITIONS

25. ANNUAL CHARGE ADJUSTMENT CLAUSE

25.1 Purpose:

In order to recover the annual charges assessed by the Commission under

Section 382.202 of the Commission's Regulations pursuant to the

provisions of the Commission's Order No. 472, this Section 24 of the

General Terms and Conditions is established to be applicable to the Rate

Schedules contained in Volume No. 1 of Transporter's FERC Gas Tariff.

Because Transporter is electing to recover the annual charges assessed

by the Commission through the operation of this Annual Charge Adjustment

Clause, Transporter does not intend to recover any annual charges

recorded in Account No. 928 in any Natural Gas Act Section 4 rate case.

25.2 Basis for the Annual Charge Adjustment Clause:

The Rate Schedules specified in Section 25.1 hereof shall include an

Annual Charge Adjustment unit charge (ACA unit charge) applicable to

each MMbtu of gas transported thereunder in the amount set forth on

Original Sheet No. 6 thereof. The ACA unit charge shall be added to the

volumetric rate of any Rate Schedule with a reservation charge.

25.3 Filing Procedures:

Changes to the ACA unit charge must be filed annually to reflect the

annual charge unit rate authorized by the Commission each fiscal year

and are subject to the notice requirements of Section 154.207 of the

Commission's Regulations. Transporter shall not commence to collect the

ACA unit charge until Transporter has received authorization from the

Commission.