Columbia Gas Transmission LLC

Third Revised Volume No. 1

Effective Date: 03/03/2009, Docket: RP09-340-000, Status: Effective

Original Sheet No. 322 Original Sheet No. 322

GENERAL TERMS AND CONDITIONS (Cont'd)

12. MAXIMUM DAILY DELIVERY OBLIGATION AT DELIVERY POINTS AND MAXIMUM DAILY QUANTITY AT RECEIPT POINTS

12.1 Maximum Daily Delivery Obligation at Delivery Points

(a) The Maximum Daily Delivery Obligation (MDDO) at each point of delivery under Transporter's firm

transportation service Rate Schedules shall be set forth in the applicable Service Agreement. Unless further

limited by a Design Daily Quantity, as described in 12.1(c) below, or by an Aggregate Daily Quantity, as

described in 12.1(d) below, the MDDOs expressed in Shipper's firm Service Agreement shall serve to define

Transporter's firm service obligation to Shipper at each of its delivery points. At a minimum, the MDDOs

expressed in Shipper's Service Agreement will be utilized by Transporter in its design of any measurement,

pressure regulation, lateral pipeline, or other local facilities used to make deliveries to Shipper at each of

its delivery points under the Service Agreement. Where Shipper receives service from Transporter under two or

more firm service Rate Schedules, the MDDOs specified in one Service Agreement may be incorporated by

reference in the other Service Agreements.

(b) The sum of the MDDOs under all of Shipper's firm Service Agreements shall equal the sum of the

Transportation Demands under all of Shipper's firm Service Agreements; provided, however, that the sum of

those MDDOs may exceed Shipper's specified Transportation Demand if the Shipper previously held Service

Agreements under Transporter's former CDS or SGS Rate Schedules. Where the sum of the MDDOs exceed Shipper's

Transportation Demand, Transporter's firm service obligation to Shipper may be further limited by Design Daily

Quantities, as described in 12.1(c) below, or by Aggregate Daily Quantities, as described in 12.1(d) below.

agree to further define Transporter's service obligation to Shipper under Transporter's firm service Rate

Schedules by implementation of a Design Daily Quantity (DDQ) at each point of delivery to Shipper. If

applicable, the DDQ at each point of delivery under Transporter's firm transportation service Rate Schedules

shall be set forth in the applicable Service Agreement, and shall serve to define Transporter's firm service

obligation to Shipper at each of its delivery points in a specified area on a coincidental design day, unless

such obligation is further limited by an Aggregate Daily Quantity, as described in 12.1(d) below. The DDQ at

each point of delivery will be equal to or less than the corresponding MDDO value at each point. The DDQs

expressed in Shipper's Service Agreement will be utilized by Transporter in its design of its transmission

pipeline systems. Where Shipper receives service from Transporter under two or more firm service Rate

Schedules, the DDQs specified in one Service Agreement may be incorporated by reference in the other Service

Agreements.

(d) Notwithstanding the MDDOs or DDQs at individual delivery points, Transporter and Shipper may

mutually agree that Transporter's combined aggregate service obligation at all or some of the delivery points

to Shipper in a specified area (the Aggregate Area) shall, if applicable, be limited to an Aggregate Daily

Quantity (ADQ). Aggregate Area ADQs may themselves be included in larger Aggregate Area ADQs that would

control multiple areas. All such Aggregate Area ADQs shall be set forth in the applicable Service Agreement.

The Service Agreement will also specify which delivery points are to be included in and limited by an

Aggregate Area ADQ. Any Aggregate Area ADQ will be equal to or less than the sum of the individual MDDOs or

DDQs for each of the delivery points that are governed by that ADQ. Where Shipper receives service from

Transporter under two or more firm service Rate Schedules, the ADQs specified in one Service Agreement may be

incorporated by reference in the other Service Agreements.

(e) Unless waived by Transporter in its reasonable discretion, the aggregate of Shipper's MDDOs,

DDQs and ADQs, where applicable, shall be reduced in proportion to any reduction by Shipper in its Total Firm

Entitlement (TFE). Shipper shall have the right to specify the delivery points at which the reductions or

adjustments in those MDDOs, DDQs and ADQs shall be made.