El Paso Natural Gas Company

Second Revised Volume No. 1A

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Effective Date: 04/01/2010, Docket: RP10-454-001, Status: Effective

Twelfth Revised Sheet No. 117 Twelfth Revised Sheet No. 117

Superseding: Eleventh Revised Sheet No. 117

RATE SCHEDULE FT-H

Hourly Firm Transportation Service

(Continued)

7. CHARGES (Continued)

7.2(b) Daily Unauthorized Overrun Transportation (Continued)

(iv) In non-Critical Conditions, a Shipper is given the

benefit of a daily Safe Harbor Tolerance Quantity equal

to the greater of 7% of its TCD or 2,000 dth per Day.

In Critical Conditions, a Shipper is given the benefit

of daily Safe Harbor Tolerance Quantities as determined

and applied pursuant to Section 11.1(a)(viii) and

11.1(i) of the GT&C. Should the daily unauthorized

overrun quantity exceed the applicable Safe Harbor

Tolerance Quantities, only those quantities taken in

excess of such tolerances shall be subject to the daily

unauthorized overrun penalty (Critical or non-Critical,

as applicable). Should Shipper's overrun quantities not

exceed the daily Safe Harbor Tolerance Quantities, such

overrun quantities shall be assessed the daily

authorized overrun rate in recognition of service

rendered.

(v) Daily unauthorized overrun amounts consist of two

components, a charge to cover the costs of providing

transportation service and a penalty applicable to the

unauthorized overrun activity. Pursuant to Section 14.2

of the GT&C, Transporter will retain the "charge"

component and will credit the "penalty" component to

Shippers.

(vi) Pursuant to Section 7.2(b)(iii) of this Rate Schedule,

if the daily unauthorized overrun quantity contains non-

telemetered quantities due to the lack of daily

measurement equipment or the lack of active telemetry

capability of the equipment, such non-telemetered

quantities shall be assessed at the authorized overrun

rate, but only for a quantity less than or equal to the

daily unauthorized overrun quantity.