Algonquin Gas Transmission, LLC

Fifth Revised Volume No. 1

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Effective Date: 02/13/2010, Docket: RP10-308-000, Status: Effective

Third Revised Sheet No. 861 Third Revised Sheet No. 861

Superseding: Second Revised Sheet No. 861

FORM OF SERVICE AGREEMENT

(APPLICABLE TO RATE SCHEDULE PAL)

Date:__________________________, Contract No.__________________

SERVICE AGREEMENT

This AGREEMENT is entered into by and between Algonquin Gas Transmission, LLC,("Algonquin") and

_____________________________________ ("Customer").

WHEREAS,

NOW THEREFORE, in consideration of the premises and of the mutual covenants herein contained,

the parties do agree as follows:

1. Algonquin shall deliver and Customer shall take and pay for service pursuant to the terms of

this Agreement and subject to Algonquin's Rate Schedule PAL and the General Terms and

Conditions of Algonquin's Tariff, which are incorporated herein by reference and made a part

hereof.

2. The Maximum Park Quantity or Maximum Loan Quantity, as appropriate, and the PAL Point(s) of

Transaction are set forth in the Exhibit(s) A to this agreement. Customer shall initiate a

request for each park or loan service transaction by executing and delivering to Algonquin

one or more Exhibit(s) A. Upon execution by Algonquin, Customer's Exhibit(s) A shall be

incorporated in and made a part hereof.

3. This Agreement shall be effective on ___________ and shall continue for a term ending on and

including ___________ ("Primary Term") and shall continue to be effective from ______________

to ______________ thereafter unless and until terminated by Algonquin or Customer upon prior

written notice of at least _______. This Agreement may be terminated at any time by

Algonquin in the event Customer fails to pay part or all of the amount of any bill for

service hereunder and such failure continues for thirty days after payment is due; provided

Algonquin gives thirty days prior written notice to Customer of such termination and provided

further such termination shall not be effective if, prior to the date of termination,

Customer either pays such outstanding bill or furnishes a good and sufficient surety bond or

other form of security reasonably acceptable to Algonquin guaranteeing payment to Algonquin

of such outstanding bill; provided that Algonquin shall not be entitled to terminate service

pending the resolution of a disputed bill if Customer complies with the billing dispute

procedure currently on file in Algonquin's Tariff. Any portions of this Agreement necessary

to correct or resolve a Park Balance or a Loan Balance under this Agreement as required by

Rate Schedule PAL and the General Terms and Conditions of Algonquin's Tariff shall survive

the other parts of this Agreement until such time as such balancing has been accomplished.

4. Maximum rates, charges, and fees shall be applicable to service pursuant to this Agreement

except during the specified term of a discounted rate or a Negotiated Rate to which Customer

and Algonquin have agreed. Provisions governing such discounted rate shall be as specified

in the Discount Confirmation to this Agreement. Provisions governing such Negotiated Rate

and term shall be as specified on an appropriate Statement of Negotiated Rates filed, with

the consent of Customer, as part of Algonquin's Tariff. It is further agreed that Algonquin

may seek authorization from the Commission and/or other appropriate body at any time and from

time to time to change any rates, charges or other provisions in the applicable Rate Schedule

and General Terms and Conditions of Algonquin's Tariff, and Algonquin shall have the right to

place such changes in effect in accordance with the Natural Gas Act. Nothing contained

herein shall be construed to deny Customer any rights it may have under the Natural Gas Act,

including the right to participate fully in rate or other proceedings by intervention or

otherwise to contest increased rates in whole or in part.