Columbia Gulf Transmission Company

Second Revised Volume No. 1

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Effective Date: 07/01/2003, Docket: RP03-492-000, Status: Effective

Sixth Revised Sheet No. 63A Sixth Revised Sheet No. 63A : Effective

Superseding: Fifth Revised Sheet No. 63A

ITS-2 RATE SCHEDULE

INTERRUPTIBLE TRANSPORTATION SERVICE (Continued)

4. RATE

(a) The charges to be paid by Shipper, as set forth in paragraph (b) below, shall be no higher

than the applicable total effective maximum rate charges and no lower than the applicable total effective

minimum rate charges set forth in the currently effective applicable rate tariff sheets of this Tariff,

unless otherwise mutually agreed to by Transporter and Shipper with respect to the charge identified in

Section 4(b)(1) below.

(b) For all service rendered under this Rate Schedule, Shipper each month shall pay Transporter

Shipper's bid rate, which shall include the charges set forth below:

(1) Commodity Charge: A Commodity Charge per Dth of gas actually delivered each Day

during the Month to or for the account of Shipper.

(2) Surcharges: The surcharges applicable to this Rate Schedule.

(c) The charges and surcharges are subject to adjustment in accordance with the procedures set

forth in the General Terms and Conditions.

(d) In addition to collecting the applicable charges and surcharges, Transporter shall retain

from the gas tendered for transportation the effective Retainage percentage set forth in the currently

effective applicable rate tariff sheets of this Tariff. That Retainage percentage shall be subject to

adjustment in accordance with Section 33 (Transportation Retainage Adjustment) of the General Terms and

Conditions. Transporter will not retain gas from Shippers utilizing Transporter's capacity in off-system

pipelines (those pipeline facilities that do not connect directly to Transporter's pipeline facilities).

Shippers will provide the Retainage applicable to the respective off-system pipeline they are utilizing.

(e) If Shipper tenders gas to Transporter which contains liquids which Shipper or Shipper's

producer/supplier requests Transporter to transport, separate and handle, Transporter will charge Shipper the

applicable charge for performing this service unless Shipper requests Transporter to contract directly with

the producer/supplier. Transporter will continue to charge Shipper for this service until Transporter and

the producer/supplier execute such contract.

5. GENERAL TERMS AND CONDITIONS

All of the General Terms and Conditions are applicable to this Rate Schedule and are hereby made a

part hereof, with the exception of Sections 4, 12, 14, and 34.