Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 02/28/2003, Docket: RP03-239-000, Status: Effective

Original Sheet No. 287 Original Sheet No. 287 : Effective

RATE SCHEDULE USS

UNBUNDLED SALES SERVICE

1. AVAILABILITY: Sales-for-resale service shall be available under this

Rate Schedule to any party (hereinafter referred to as "Buyer") that

requests firm or interruptible sales-for-resale service of natural gas

from the unbundled merchant division of CenterPoint Energy Gas

Transmission Company (hereinafter referred to as "Seller"), when:

(a) Seller determines that such sales service may be rendered pursuant

to Subpart J of Part 284 of the Commission's Regulations and that

it has sufficient supplies of natural gas to provide the service;

and

(b) Seller and Buyer have negotiated and executed an agreement for the

requested sales service on mutually agreeable terms.

2. APPLICABILITY AND CHARACTER OF SERVICE: The terms and conditions

negotiated and set forth in each individual Sales Agreement shall apply

to and govern the sale of gas thereunder and the obligations and rights

of the parties. There shall be no requirement that all or any of the

terms and conditions of one Sales Agreement under this Rate Schedule

shall be the same as the terms and conditions of any other Sales

Agreement under this Rate Schedule, except to the extent expressly

required herein.

3. PRICE: The price for service provided under this Rate Schedule shall be

negotiated by Seller and Buyer, except as provided in Section 4 below,

and specified in the Sales Agreement.

4. SMALL CUSTOMER TRANSITIONAL SERVICE: Seller shall sell gas under this

Rate Schedule for a one-year period commencing on the effective date of

this Rate Schedule to a Small Customer at a cost-based rate of $2.3976

per Dth. A Small Customer, for purposes of this Section, shall be one

which was purchasing gas under Seller's superseded Rate Schedule G-2 on

the day prior to the effective date of this Rate Schedule and which has

elected to continue to purchase under this Rate Schedule its previously

effective Rate Schedule G-2 bundled firm sales entitlement and has

executed a Sales Agreement for such transitional sales service.