Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 08/01/2004, Docket: RP04-381-000, Status: Effective

First Revised Sheet No. 127 First Revised Sheet No. 127 : Effective

Superseding: Original Sheet No. 127

RATE SCHEDULE NNTS

NO NOTICE TRANSPORTATION SERVICE

(continued)

2. APPLICABILITY AND CHARACTER OF SERVICE (continued)

conditioned upon Shipper having sufficient Gas supplies and

Shipper's timely and full compliance, notwithstanding any

excuse for nonperformance otherwise applicable, with all

directives issued by Transporter and all of Shipper's

obligations under this Tariff to ensure full deliverability.

2.3 Shipper shall request, in accordance with this Tariff, Pooling

Areas in which total supplies for no-notice service may be

received. Shipper shall designate the quantities (equal to

one-fourth of its Contract Delivery Demand) of the Receipt

Entitlements, and/or at points requested, to serve as the

portion designated for flowing supplies, and the remaining

three-fourths shall be deemed to serve as the portion

designated for injection into and withdrawal from storage

(storage supplies). Transporter shall advise Shipper if any of

the Receipt Entitlements and/or Receipt Points requested by

Shipper are unavailable or would impair the performance of, or

render Transporter unable to perform, no-notice service under

this Rate Schedule. Shipper shall then request substitute

entitlements or points. Shipper's designation shall not

require Transporter to change the operation of its system, nor

shall it affect Transporter's role as director of Shipper's

Working Gas Quantities account or require Transporter on any

particular Day to utilize any particular Gas supplies for

injection into storage and/or to meet Shipper's no-notice

demands at the Point(s) of Delivery. The Point(s) of Receipt,

Point(s) of Delivery, Contract Delivery Demand, Maximum

Delivery Obligation(s), Receipt Entitlement(s) and Maximum

Receipt Obligation(s), as applicable, shall be specified in the

Service Agreement and the quantities and/or points agreed upon

to serve as flowing supplies shall be identified in the Service

Agreement. Shipper shall have the right to utilize Secondary

Receipt Points, Pools and Additional Individual Receipt Points

in accordance with Section 5 of the General Terms and

Conditions and consistent with the provisions of this Rate

Schedule.