El Paso Natural Gas Company

Second Revised Volume No. 1A

Effective Date: 01/01/2009, Docket: RP08-426-000, Status: Effective

Third Revised Sheet No. 202E Third Revised Sheet No. 202E

Superseding: Second Revised Sheet No. 202E

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

1. DEFINITIONS (Continued)

1.53 "Premium Service Delivery Point" - A Delivery Point eligible for

enhanced firm transportation service (e.g., hourly rights, no-

notice, daily balancing) and/or interruptible swing service.

Premium Service Delivery Points will be identified on Transporter's

EBB. Transporter will update the list of Premium Service Delivery

Points as experience and operating conditions allow. Transporter's

determination of eligibility shall be based on, but may not be

limited to, the following:

(a) Except as provided below, the Delivery Point is equipped with

physical gas measurement equipment compatible with

Transporter's system and capable of registering hourly flows;

and

(b) The DP Operator agrees to receive variable hourly rates of

flow and agrees to operate the Delivery Point under a

Predetermined Allocation Agreement ("PDA") or under a

mutually agreed upon similar arrangement specifying the

allocation of deliveries to individual TSAs.

under a D-Code, some or all of which have physical gas

measurement equipment compatible with Transporter's system

and capable of registering hourly flows, the quantities

delivered to any such individual meters in the D-Code shall

be deemed to have flowed on a ratable 1/24th basis if: 1)

hourly measurement equipment is not installed or 2) the

hourly measurement equipment does not have active telemetry

capability (temporary outages excepted) into the VISA system

on a real time basis.

1.53A "Premium Service Virtual Delivery Point" ("PSVP") - A Delivery

Point eligible for firm transportation service within the Permian

virtual area, pursuant to Rate Schedule FTH-V. PSVPs will be

identified on Transporter's EBB. Transporter will update the list

as new eligible points are identified or upon request(s) of Shipper

and/or DP Operator. Transporter's determination of eligibility

shall be based on, but may not be limited to, the following:

(a) Location, distance from Transporter's mainline, pressure

conditions, proximity to other Receipt and Delivery Points,

pipeline diameter; and

(b) Except as provided below, the Delivery Point is equipped with

physical gas measurement equipment compatible with

Transporter's system and capable of registering hourly flows;

and