Algonquin Gas Transmission, LLC

Fifth Revised Volume No. 1

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Effective Date: 11/30/2009, Docket: RP10-77-000, Status: Effective

Fourth Revised Sheet No. 544 Fourth Revised Sheet No. 544

Superseding: Substitute Third Revised Sheet No. 544

GENERAL TERMS AND CONDITIONS

(continued)

14. CAPACITY RELEASE (continued)

paid by a Replacement Customer and received by Algonquin which are owed in

respect of the capacity rights released by that Releasing Customer and acquired

by that Replacement Customer from Algonquin under a New Service Agreement

pursuant to Releasing Customer's release (but not pursuant to subsequent

releases of the same capacity), even if greater than the Fixed Charges

obligation of the Releasing Customer, up to the maximum rate for the released

capacity. Under Negotiated Rate agreements, the Releasing Customer is

obligated to pay Algonquin the difference by which the Negotiated Rate exceeds

the rate paid by the Replacement Customer. Under Negotiated Rate agreements,

Algonquin and the Releasing Customer may agree upon payment obligations and

crediting mechanisms which may vary from or are different from those set forth

in Algonquin's capacity release provisions. Replacement Customer under a New

Service Agreement shall be liable to Algonquin for all obligations incurred

thereunder, including Fixed Charges and charges related to usage. Any

Replacement Customer shall be entitled to receive refunds to the extent the

rate paid by it is subsequently determined to be in excess of a just and

reasonable rate; provided, however, that if the Releasing Customer is subject

to a discounted rate and received credits attributable to Fixed Charges that

Algonquin is required to refund, Algonquin shall be entitled to reverse such

credits and shall be required to refund such amounts to the Replacement

Customer only to the extent actually collected back from the Releasing

Customer. In addition, for releases that become effective on or after July 30,

2008, any rate paid by a Replacement Customer in any capacity release

transaction with a term of one (1) year or less which is not subject to the

maximum rate cap is deemed to be a final rate and is not subject to refund if

the effective date of the release is on or before one (1) year from the date on

which Algonquin was notified of the release.

(b) The service agreement between Algonquin and each Releasing Customer shall

remain in full force and effect and unmodified, as if the Release from that

Releasing Customer and related New Service Agreement had never been entered

into, except (i) the Releasing Customer shall not be entitled to any of the

rights under the service agreement which are released by it for the period set

forth in the Release and (ii) the Releasing Customer shall be entitled to a

credit as provided in this subsection. Notwithstanding the above, in the event

there is a permanent release of Releasing Customer's Capacity pursuant to

Section 14.14 of these General Terms and Conditions, Algonquin will agree to

discharge Releasing Customer of liability, on a prospective basis, in whole or

in part.

for Fixed Charges and shall simultaneously credit such invoice with the Fixed

Charges that Algonquin is entitled to recover under all New Service Agreements

which are owed in respect of the capacity rights released by the Releasing

Customer and acquired pursuant to such release (but not pursuant to subsequent

releases of the same capacity); provided, however, that such credit shall be

reversed, and