Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 03/18/2010, Docket: RP10-383-000, Status: Effective

Original Sheet No. 420A Original Sheet No. 420A

GENERAL TERMS AND CONDITIONS

(continued)

5.7 Balancing (continued)

(7) In each instance when a Shipper(s) must cash-out

its Monthly Imbalance, Transporter shall have

the right to review the circumstances

surrounding such Imbalance and, in its

reasonable discretion, may waive all or a

portion of the cash-out amount. Any such waiver

shall be granted on a not unduly discriminatory

basis to all Shippers incurring Imbalances under

similar circumstances.

(8) Payment of any penalties or fees for Imbalances

pursuant to this Tariff shall not be construed

to in any way entitle or authorize Shipper to

incur any Imbalance under any Service Agreement.

(d) Required Balancing: Subject to and in accordance with the

provisions of Section 20, if and when Transporter determines

that an Imbalance has exceeded the Operating Range,

Transporter shall have the right to interrupt or curtail at

any time, and from time to time, the quantities of Gas it

will receive or deliver to the extent Transporter deems

necessary in order to limit or reduce the Imbalance existing

at any time. Transporter shall provide such notice as is

provided for in said section. Transporter shall not apply

this provision in an unduly discriminatory manner, nor in a

manner contrary to the Commission's Regulations. Nothing in

the foregoing shall supersede or negate the general

obligation of Shippers to correct any Imbalance