El Paso Natural Gas Company

Second Revised Volume No. 1A

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

Fourth Revised Sheet No. 240 Fourth Revised Sheet No. 240

Superseding: Third Revised Sheet No. 240

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

6. NOMINATIONS AND SCHEDULING PROCEDURES (Continued)

6.2 Capacity Allocation Procedure (Continued)

(a) Firm Allocation (Continued)

(vii) In the event a firm Shipper requests and receives an

emergency exemption as provided in Section 6.2(a)(vi)

of the GT&C, Transporter shall charge the Shipper

receiving emergency service ("Emergency Shipper") all

usage rates, surcharges and Fuel and L&U under the

applicable rate schedule for the quantities of gas

scheduled or delivered to or for the account of that

Shipper. If an Emergency Shipper receives emergency

service and, as a result, another Shipper receives less

than its capacity scheduled that Day, then the

Emergency Shipper will also be charged an additional

reservation charge equivalent to the highest firm rate

(on a daily equivalent basis) multiplied by the

quantity by which the Emergency Shipper exceeded its

scheduled capacity and the number of applicable Days.

(b) Interruptible Allocation. Interruptible capacity shall be

allocated based on the usage rate being paid with the highest

rate being scheduled first. Shippers paying the same usage

rate shall be allocated on a pro rata basis based on

nominated and confirmed quantities. Interruptible capacity

shall be allocated in the following order:

(i) First, among Shippers receiving firm authorized overrun

transportation service.

(ii) Second, among Shippers receiving interruptible

transportation service up to the Shipper's scheduled

quantity and pooling service.

(iii)Third, among Shippers utilizing Transporter's Rate

Schedule PAL and Rate Schedule ISS service.

Interruptible storage capacity shall be allocated based

on the storage inventory rate being paid with the

highest rate being scheduled first. Shippers paying

the same usage rate shall be allocated on a pro rata

basis based on the daily scheduled quantity.