East Tennessee Natural Gas, LLC

Third Revised Volume No. 1

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Effective Date: 08/02/2010, Docket: RP10-946-000, Status: Effective

Third Revised Sheet No. 128 Third Revised Sheet No. 128

Superseding: Second Revised Sheet No. 128

RATE SCHEDULE FT-GS

FIRM TRANSPORTATION SERVICE

5.6 An FT-GS Shipper receiving interruptible transportation deliveries

pursuant to this Section 5, shall install, maintain, and operate,

at its own expense, at or near the FT-GS Shipper's point of

delivery to the Qualified End-user, a measuring station properly

equipped with meters and other measuring equipment satisfactory to

Transporter, by which the daily volume of gas delivered by the FT-

GS Shipper to each of the Qualified End-users receiving service

under the provisions of this Section 5 can be accurately

determined. The quantity of gas to be billed under the IT

Agreement pursuant to which the Qualified End-user's gas is being

delivered shall be the Dekatherm equivalent of the quantities of

gas measured by such meters of the FT-GS Shipper, corrected to the

basis of measurement specified in this FERC Gas Tariff. The FT-GS

Shipper shall deliver to Transporter on or before the fifth day

after the close of the billing month a statement accompanied by

charts and calculations or other statements as mutually agreeable

showing the volume of interruptible gas delivered each billing day

to each such Qualified End-user during the billing month.

5.7 In the event the FT-GS Shipper elects to transport gas under its

FT-GS Agreement for the requirements of the Qualified End-user

theretofore served under the IT Agreement between the Qualified

End-user and Transporter, consistent with the provisions of this

Section 5, the FT-GS Shipper shall give Transporter at least 5

days notice prior to the Month for which the FT-GS Shipper desires

to transport such gas; provided, however, that the FT-GS Shipper's

election will not increase the FT-GS Shipper's Maximum Daily

Transportation Quantity for firm service under Transporter's FT-GS

Rate Schedule. Thereafter, the FT-GS Shipper may not re-elect to

transport gas under its FT-GS Agreement for the Qualified End-user

for at least 12 Months, and such re-election shall then be subject

to the approval of Transporter in the same manner as though the

Qualified End-user had not theretofore received gas under the

provisions of this Section 5.

6. FUEL AND LOSSES

Shipper shall furnish the quantity of gas required for fuel and losses

associated with rendering transportation service pursuant to this Rate

Schedule. NAESB WGQ Standard 1.3.16 states: Where fuel reimbursement

is in kind, the standard fuel calculation mechanism, as this is related

to the nomination process, should be (1-fuel%/100) multiplied by

receipt quantity = delivery quantity. In accordance with this NAESB

WGQ Standard, the quantity of gas retained by Transporter for fuel and

losses shall equal the quantity of gas tendered at the receipt point

multiplied by the applicable fuel and loss retention percentage shown

on the effective Notice of Rates and Other Tariff Rate Changes of

Transporter's FERC Gas Tariff. Once each calendar year, Transporter

shall have the right to file with the Commission to change the quantity

required for fuel and losses based on system average fuel and loss

requirements, excluding the facilities designated as an Incremental

Lateral.