Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 01/01/2010, Docket: RP10-206-000, Status: Effective

Original Sheet No. 83 Original Sheet No. 83

RATE SCHEDULE FT-2

FIRM TRANSPORTATION SERVICE (WITH MINIMUM FLOW OBLIGATION)

(continued)

2. APPLICABILITY AND CHARACTER OF SERVICE (continued)

to the provisions of Section 2.6 below, and Transporter may issue

a Minimum Flow Obligation notice to Shipper identifying all

amounts of Gas that Shipper failed to nominate and for which

penalties are due. The quantity of Gas subject to and specified

in a MFO notice shall be up to but shall not exceed the MFO(s)

specified in the Shipper's Service Agreement, nor Shipper's

Receipt Entitlement and/or MRO, as applicable, and MDO,

respectively.

Once Shipper submits its nomination in the Timely Nomination

Cycle, Transporter shall not be obligated to accept any revised

nominations from Shipper to the extent such revised nominations

would affect Transporter's ability to provide any related Linked

Firm Service nominated during the Timely Nomination Cycle.

Notwithstanding the foregoing, Shipper shall not be assessed any

penalty amounts with respect to new, or increased, Linked Firm

Service nominations submitted the same Day after the Timely

Nomination Cycle.

2.5 The amount of any penalty resulting from Shipper's failure to meet

its MFO(s) shall be determined based on the difference between the

sum of the nominated quantities of Linked Firm Service capacity

received from the affected Linked Firm Service Shippers during the

Timely Nomination Cycle up to the applicable MFO(s) of Shipper for

such Day, as specified in Shipper's Service Agreement, and the

amount of Gas flowed by Shipper on that Day with respect to the

applicable MFO(s). In the event that Shipper flows some Gas on a

given Day towards an MFO and that amount is less than the MFO for

that Day, the resulting Linked Firm Service capacity shall be

allocated for scheduling purposes to affected Linked Firm Service

Shipper(s) on a pro rata basis based on the quantities of Linked

Firm Service nominated during the applicable Timely Nomination

Cycle; provided, however that affected Linked Firm Service

Shipper(s) that do not also hold the underlying Rate Schedule FT-2

capacity that created the Linked Firm Service capacity shall have

a higher scheduling priority than an affected Linked Firm Service

Shipper that holds the Rate Schedule FT-2 capacity that created

the Linked Firm Service capacity.