Columbia Gulf Transmission Company

Second Revised Volume No. 1

Effective Date: 07/01/2010, Docket: RP10-134-001, Status: Pending

Original Sheet No. 271 Original Sheet No. 271

GENERAL TERMS AND CONDITIONS (Continued)

• Schedule of retained gas by month for mainline, onshore, offshore and backhaul

• Schedule of CUG and LAUF identified by mainline, onshore, offshore and backhaul

• Schedule of Excess Retainage sales made identifying the quantity of gas sold, the

date of sale, and the total sales proceeds

• Delivery throughput

33.5 No Impact on Future Rate Proceedings

While the IFF mechanism is in effect, Transporter shall not recover Qualified Capital

Investments in its transportation rates. Nothing in this Section 33 shall preclude

Transporter from including and recovering the costs of any Qualified or Non-Qualified

Capital Investments or any other costs in its rates in future rate proceedings or

otherwise have any effect or impact on Transporter's rates in future rate proceedings;

provided, 80% of every dollar retained by Transporter in excess of an annual effective

return of 24.2% over the period the IFF Mechanism is in effect shall be credited against

the net book value of Cumulative Qualified Capital Investments in any future general rate

case. In no event will the credit to net book value exceed the total net book value of

Cumulative Qualified Capital Investments.

33.6 Re-Opener

(a) No later than the conclusion of the seventh Annual Period, Transporter shall make a

limited Section 4 Natural Gas Act filing to replace, modify or retain the IFF

mechanism set forth in this Section 33 and, if determined by Transporter, to

replace, modify or retain the Retainage percentages.

(b) Transporter has the right to seek at any time any changes to this Section 33 set

forth on the applicable rate tariff sheets of this Tariff pursuant to, at

Transporter's sole discretion, a limited Natural Gas Section 4 filing or a general

Natural Gas Act Section 4 filing. Shippers have the right to seek at any time any

changes to this Section 33 or the Retainage percentages set forth on the applicable

rate tariff sheets of this Tariff pursuant to a general Natural Gas Act Section 5

filing. Nothing in Section 33.6(a) of the General Terms and Conditions of this

Tariff or elsewhere shall preclude or otherwise limit the right of Transporter and

Shippers, as set forth in this Section 33.6(b), to seek changes at any time to this

Section 33 or the Retainage percentages; provided, Transporter shall not adjust

upward the Retainage percentage during the effectiveness of the IFF program,

subject to Transporter's right to make the filing referenced in Section 33.6(a) at

any time.