Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 05/01/2010, Docket: RP10-567-000, Status: Effective

First Revised Sheet No. 249 First Revised Sheet No. 249

Superseding: Original Sheet No. 249

RATE SCHEDULE SBS

SHORT-TERM BALANCING SERVICE

(Continued)

2. APPLICABILITY AND CHARACTER OF SERVICE (continued)

2.7 Shipper must return, or have delivered, Gas in its Advance

Delivery, or Advance Receipt, as applicable, account (a) by the

close of the permitted period as specified in Section 2.5 above or

(b) within forty-eight (48) hours (or such longer period as may be

specified) of receipt of, and in accordance with, a notification

from Transporter.

2.8 Unless Transporter agrees otherwise, return of Advance Delivery

Gas shall occur on a first-out, first-in basis and delivery of

Advance Receipt Gas shall occur on a first-in, first-out basis.

2.9 Transporter shall not be required to schedule service under this

Rate Schedule if, in Transporter's judgment at the time of the

request, to do so would result in an increased Imbalance for the

transportation service rendered (or applicable Pool) under the

Service Agreement. In the event that the receipt, return or

delivery of Gas in Shipper's Advance Receipt, or Advance Delivery,

account, as applicable, is scheduled and adequate quantities are

not tendered at the Receipt Point(s), or taken at the Delivery

Point(s), as applicable, Transporter will not debit or credit such

deficient quantities to the account(s). Additionally, in the

event that Shipper furnishes nominations for receipts and

deliveries not related to service under this Rate Schedule, as

well as nominations for receipts and/or deliveries which are

contemplated to affect its Advance Delivery or Advance Receipt

account, quantities will be allocated in such a manner so that the

nominations submitted to affect Shipper's Advance Delivery, or

Advance Receipt, account, as applicable, are satisfied last.

2.10 For purposes of Section 14.5 of the General Terms and Conditions

of this Tariff, a Shipper may receive services under this Rate

Schedule by providing security in an amount sufficient to cover up

to the maximum amount of charges which could be incurred

hereunder.

2.11 For purposes of scheduling, allocations and curtailment pursuant

to Sections 5 and 10 of the General Terms and Conditions of this

Tariff, services