El Paso Natural Gas Company

First Revised Volume No. 1-A

Effective Date: 05/01/1993, Docket: RP93- 16-001, Status: Effective

Substitute Original Sheet No. 210C Substitute Original Sheet No. 210C : Superseded

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

4. SCHEDULING AND CAPACITY ALLOCATION (Continued)

4.3 Adjustments to Confirmation Volumes Received by El Paso in the

Event of Supply Underperformance (Continued)

(1) Calculation of Performance Factors - (Continued)

available months of data. The absolute value

of the difference between final scheduled

volumes and actual received volumes for such

three (3) month period shall be divided by each

Operator's final scheduled volumes, as adjusted

for any past system change data available, to

arrive at that Operator's gross performance

factor. El Paso shall reduce each Operator's

performance factor by 2 percentage points.

(2) Application of Performance Factors - The

following procedure shall be used by El Paso to

calculate an Operator's expected

underperformance and allocate its share of

supply shortfall for the targeted gathering

system. El Paso shall apply the adjusted

performance factor against an Operator's

confirmed volumes to estimate the Operator's

expected volume underperformance. The

Operator's expected volume underperformance

shall be compared with the sum of all

Operators' expected volume underperformance to

determine each Operator's proportionate share

(percentage) of the total expected volume

underperformance. Each Operator's

proportionate share shall be applied against

the total supply shortfall for the gathering

system to determine the adjustment to each

Operator's confirmed volumes. El Paso shall

communicate all adjusted confirmed volumes that

have been scheduled to the appropriate parties

in accordance with Section 4.1(a) of this FERC

Gas Tariff. El Paso shall make available

electronically to each Operator its applicable

performance factor within each gathering system

prior to each month.