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

Third Revised Sheet No. 125A Third Revised Sheet No. 125A

Superseding: Second Revised Sheet No. 125A

RATE SCHEDULE FTH-V

Small Shipper Firm Hourly Transportation Service - Virtual Area

(Continued)

7. CHARGES

7.1 Shipper shall pay hourly scheduling penalties, if applicable,

pursuant to Section 14.1 of the GT&C.

(a) For purposes of evaluating hourly scheduling penalties, a

Shipper's total hourly rights at a PSVP will be determined by

summing Shipper's Hourly Contract Entitlements under all

Shipper's TSAs for which gas is scheduled for delivery to such

point.

7.2 Overrun Transportation

(a) Daily Authorized Overrun Transportation. On any Day, upon

request of Shipper and with Transporter's consent, Transporter

may deliver gas quantities at any Delivery Point in excess of

Shipper's TCD, as specified in the Executed TSA. Such request

for authorized overrun service includes the same Hourly

Contract Entitlements provided for in the TSA pursuant to

Section 2.4 of this Rate Schedule. All such quantities shall

be delivered as authorized overrun gas on an interruptible

basis. Shipper shall pay an amount obtained by multiplying the

quantity of such overrun gas delivered by Transporter to

Shipper, or for Shipper's account, at each Delivery Point by

the daily authorized overrun rate. The daily authorized

overrun rate shall be the applicable maximum rate unless

otherwise agreed to by Transporter and Shipper. Such rate

shall not be less than the applicable minimum rate or more

than the applicable maximum rate as set forth on the Statement

of Rates.

(i) In the event Shipper has requested authorized overrun,

the authorized overrun rate will apply. In the event

Shipper's quantities have been scheduled and the total

scheduled quantities do not exceed TCD, the usage rate

will apply. If Shipper incurs a daily authorized

overrun quantity on deliveries in excess of the FTHV TSA

TCD, the daily authorized overrun charge shall be

assessed by multiplying the daily authorized overrun

quantity by the maximum authorized overrun rate as

stated on the Statement of Rates.

(ii) Because daily overrun service is measured by use of a

Shipper's TCD pursuant to Section 7.2(a) of this rate

schedule, to the extent a Shipper takes daily deliveries

in excess of its Delivery Point MDQ at one Delivery

Point but below TCD at all Delivery Points, such

quantities will be charged the usage rate and will be

treated as imbalance quantities rather than overrun

quantities if the quantities have not been scheduled.