Carolina Gas Transmission Corporation

Original Volume No. 1

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Effective Date: 08/06/2007, Docket: RP07-519-000, Status: Effective

First Revised Sheet No. 128 First Revised Sheet No. 128 : Effective

Superseding: Original Sheet No. 128

4. CAPACITY ENTITLEMENTS AND RIGHT OF FIRST REFUSAL

4.1 Available Unsubscribed Capacity. Pipeline will post on its

Internet Website currently available unsubscribed capacity and

capacity that will become available within the next thirty-six

(36) months. Shipper may submit a Service Request under GT&Cs

Section 2.1 to subscribe to such capacity.

(a) Requests for service to commence within one (1) year will

be evaluated on a first-come, first-served basis.

(b) Pipeline may enter into a Service Agreement with a

Prearranged Shipper for service to commence one (1) year or

more in the future.

(1) Prearranged Shipper’s Service Agreement will specify

that the capacity commitment is subject to the

outcome of the bidding process set forth in Section

4.5 and, if necessary, Prearranged Shipper’s election

to exercise its matching rights thereunder.

(2) After the Service Agreement is executed by Pipeline

and Prearranged Shipper, Pipeline will post the

capacity for bidding under Section 4.5 to give other

parties an opportunity to bid on the capacity. This

bidding process will take place even if the capacity

has previously been subject to bidding.

(3) Once capacity for service to commence in the future

is reserved, Pipeline will make such capacity

available on an interim basis in accordance with this

Section 4.1 up to the service commencement date of

Prearranged Shipper’s Service Agreement. A Service

Agreement for such Interim Capacity shall not be

eligible for automatic extension under Section 4.4 or

for a Right of First Refusal.

4.2 Reserved Unsubscribed Capacity.

(a) Pipeline may elect to reserve for future expansion projects

for which an open season has been held or will be held any

unsubscribed capacity or capacity under expiring or

terminating Service Agreements where such agreements do not

have a Right of First Refusal or the applicable Shipper

does not exercise its Right of First Refusal to retain the

capacity. Pipeline will post such reserved unsubscribed

capacity on its Internet Website.