Great Lakes Gas Transport, L.L.C.

Second Revised Volume No. 1

Effective Date: 01/01/1998, Docket: RP98- 82-001, Status: Effective

Sub. Original Sheet No. 167 Sub. Original Sheet No. 167 : Effective

GENERAL TERMS AND CONDITIONS

FOR TRANSPORTATION SERVICE

(cont'd)

25. ORDER OF DISCOUNTS

If and when Transporter discounts the rates applicable for service under

any Service Agreement under Rate Schedules included in this Tariff, the

amount of any such discount shall be accounted for as a reduction of

maximum rates in the following sequence to the extent any of the following

components are included in the maximum rate:

(a) GRI Surcharge

(b) the base rate

26. POLICY WITH RESPECT TO FEES AND CONSTRUCTION OF NEW FACILITIES

26.1 Except as provided in Section 26.2 herein, Shipper shall reimburse

Transporter (a) for the costs of any facilities installed by Transpor-

ter with Shipper's consent to receive, measure, transport, or deliver

natural gas for Shipper's account; and (b) for any and all filings and

approval fees required in connection with Shipper's Service Agreement

that Transporter is obligated to pay to the Commission or any other

governmental authority having jurisdiction. A reimbursement due

Transporter by Shipper pursuant to this Section 26.1 shall be due and

payable to Transporter within ten (10) days of receipt by Shipper of

Transporter's bill(s) for same; provided, however, subject to Trans-

porter's consent such reimbursement, plus carrying charges thereon,

may be amortized over a mutually agreeable period not to extend beyond

the primary contract term of the service agreement between Transporter

and Shipper. Carrying charges shall be computed utilizing interest

factors acceptable to both Transporter and Shipper.