Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

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

Original Sheet No. 495 Original Sheet No. 495 : Effective

GENERAL TERMS AND CONDITIONS

(continued)

Transporter for the same period, and (iii) any

additions thereto appropriate in order to reflect any

increases, if any, in such volumes expected by

Transporter to be experienced during the next Recovery

Year; provided, however, that at no time shall the CSC

Charge net of the CSC Rate Credit, if any, be greater

than 3¢ per Dth.

18.4 CSC Rate Credit.

18.4.1 The CSC Rate Credit shall be included as component of

Transporter's commodity rate applicable to all volumes

subject to the CSC Charge which are delivered off of

Transporter's system pursuant to Transporter's generally

available jurisdictional transportation and sales tariffs

during the twelve (12) consecutive Month period beginning

with the Month that the tariff sheets reflecting the CSC

Rate Credit first shall become effective.

18.4.2 The CSC Rate Credit shall be calculated as follows:

(a) Transporter shall multiply (i) the total of all

volumes delivered off of Transporter's system pursuant

to Transporter's generally available jurisdictional

transportation and sales tariffs during the period

that a CSC rate was in effect prior to the effective

date of the Initial CSC Charge, by (ii) the full CSC

rate(s) in effect for the same period; after which

(b) The amount determined pursuant to paragraph (a) shall

be divided by twelve (12) to determine an equal

monthly installment; after which

(c) The amount of the monthly installment determined

pursuant to paragraph (b) shall be multiplied

separately by (i) the number of Months remaining in

the Initial Recovery Year as of the date on which the

tariff sheets reflecting the CSC Rate Credit first