Florida Gas Transmission Company, LLC

Fourth Revised Volume No. 1

Effective Date: 09/01/2006, Docket: RP06-463-000, Status: Effective

Original Sheet No. 248 Original Sheet No. 248 : Effective

GENERAL TERMS AND CONDITIONS

(continued)

13.1 DETERMINATION OF DAILY AND MONTHLY DELIVERIES - WESTERN DIVISION

A. All deliveries in the Western Division, including alternate

deliveries shall be determined under this Section 13.1. For the

purposes of this section "overage" shall be defined as actual

deliveries in excess of Scheduled Deliveries, and "underage" shall

be defined as actual deliveries below Scheduled Deliveries.

Overages and underages under this section shall include prior

period adjustments, as determined in accordance with Section 4.i.

In the event actual quantities delivered by Transporter do not

equal Scheduled Deliveries, any overage or underage will be

allocated as follows:

(1) To the extent there is not an OBA for the subject delivery

point, Transporter and the interconnecting party will agree

as to which party is responsible for the predetermined

allocation (PDA) and to the extent the interconnecting party

has agreed to submit the PDA to Transporter, such PDA shall

be provided under Subsection 13.1.B. below for the

allocation period, Transporter shall allocate overages and

underages in accordance with the PDA;

(2) To the extent there is no PDA, Transporter shall allocate

any overage or underage pro rata based on scheduled and

confirmed quantities at the delivery point.

Underages and overages, as allocated above, shall be considered a

Delivery Imbalance for the purposes of balancing under Section 14.

B. Predetermined Allocation Statements (PDA)

Any PDAs established by an Interconnecting Party must be submitted to

Transporter in writing or by electronic communications following the

NAESB Standards before the first day of the allocation period in which

the PDA is to be effective. To the extent interconnecting party submits

a PDA by electronic communication, Transporter shall send a Quick

Response as such term has been defined by NAESB confirming the receipt

of such PDA. The PDA shall specify how any underage or overage from the

confirmed quantity is to be allocated at a contract or such lower level

of detail which is provided on the nomination level. The PDA methods

shall include ranked, pro rata, percentage, swing, and operator provided

value, as such terms are used in the NAESB Standards. The PDA may

require new allocation detail as nomination changes occur. Transporter

shall be entitled to rely exclusively on an effective PDA in allocating

gas delivered to a point. No retroactive changes to a PDA may be made

unless Transporter and all affected parties agree in writing.