Columbia Gas Transmission LLC

Third Revised Volume No. 1

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

Original Sheet No. 400 Original Sheet No. 400

GENERAL TERMS AND CONDITIONS (Cont'd)

47.8 Rate Treatment. Transporter shall have the right to seek in future general rate proceedings

discount-type adjustments in the design of its rates related to Negotiated Rate agreements that were

converted from pre-existing discount agreements to Negotiated Rate agreements, provided that the type of

pre-existing service is not altered as a result of the conversion to a Negotiated Rate. In those

situations, Transporter may seek a discount-type adjustment based upon the greater of: (a) the Negotiated

Rate revenues received or (b) the discounted rate revenues which otherwise would have been received.

47.9 Negotiated Rate Surcharge and Retainage Components. If Transporter negotiates surcharge or

retainage percentage rate components at lower than the maximum rate level for those components as part of a

Negotiated Rate arrangement, it will assume any under-recovery of costs or retainage from negotiated

shippers in order to ensure that its recourse Shippers are not better or worse off due to Negotiated Rate

arrangements with individual Shippers. To accomplish this, Columbia will credit full recourse rate

surcharge and retainage amounts to the appropriate surcharge and retainage accounts.

47.10 Relationship to Section 20.2 of the General Terms and Conditions. If Transporter negotiates

specific surcharge components of its rates, rather than total rates, as part of a Negotiated Rate

arrangement, the attribution policy in Section 20.2 of the General Terms and Conditions shall not apply.

47.11 Filing Requirement. With respect to Negotiated Rate arrangements, unless Transporter executes

and files a non-conforming service agreement, Transporter will file with the Commission a tariff sheet

stating the exact legal name of the Shipper, the Negotiated Rate, the rate schedule, the receipt and

delivery points, the contract quantities, and where applicable, any Negotiated Rate formula. The

Negotiated Rate arrangement shall not become effective earlier than the filing date of the tariff sheet,

unless the Negotiated Rate arrangement is dependent on information available on the first day of the month,

and the filing date of the tariff sheet falls after the first day of the month. Any such filed tariff

sheet will contain a statement that the Negotiated Rate agreement does not deviate in any material aspect

from the Form of Agreement in the tariff for the applicable rate schedule.

47.12 Accounting Treatment. To ensure compliance with the foregoing Sections 47.8, 47.9, 47.10 and

47.11, and to ensure that recourse Shippers are not better or worse off due to Negotiated Rate

arrangements, Transporter shall maintain and provide separately identified and totaled volume, billing

determinant, rate or surcharge component, and revenue accounting information for its Negotiated Rate

arrangements in any general or limited rate change filing that it makes. Transactions related to

Negotiated Rate agreements that originated as a pre-existing discounted service and were subsequently

converted will be recorded separately from those originating as Negotiated Rate agreements.