Centerpoint Energy Gas Transmission Company

Sixth Revised Volume No. 1

Effective Date: 01/01/2010, Docket: RP10-206-000, Status: Effective

Fifth Revised Sheet No. 685 Fifth Revised Sheet No. 685

Superseding: Fourth Revised Sheet No. 685

GENERAL TERMS AND CONDITIONS

(continued)

31. PENALTY REVENUE CREDITING (continued)

31.3 Annual Total Penalty Revenue Credit. On November 1 of each Year,

Transporter shall send notices to eligible Shippers of the

applicable credit amount for the preceding Penalty Base Period

(or part thereof). Transporter shall have the option of

crediting against a Shipper's invoice (any such credit shall be

separately identified on the invoice) or sending a check in the

amount of the applicable Shipper Penalty Revenue Credit.

Transporter shall file within thirty (30) Days of such date a

report with the Commission setting forth the calculation of the

Total Penalty Revenues, the Linked Firm Service Penalty Revenues

and the Shipper Penalty Revenue Credits, together with supporting

documentation for such calculations.

31.4 Annual Linked Firm Service Penalty Revenue Credit. Transporter

shall credit to or pay the Linked Firm Service Shippers the Total

Linked Firm Service Penalty Revenue Credit for a Penalty Base

Period once a year as set forth in this section. On November 1 of

each year, Transporter shall send a notice to eligible Linked

Firm Service Shippers of the applicable Total Linked Firm Service

Penalty Revenue Credit amount for the preceding Penalty Base

Period. Transporter shall have the option of crediting against a

Shipper's invoice (any such credit shall be separately identified

on the invoice) or sending a check in the amount of the

applicable Total Linked Firm Service Penalty Revenue Credit.

Transporter shall file within (30) Days of such date a report

with the Commission setting forth the calculation of the Total

Linked Firm Service Penalty Revenue Credit for each Linked Firm

Service Shipper, together with supporting documentation for such

calculations (including specification of the Daily Linked Firm

Service Penalty Revenue Credits underlying that total).