Granite State Gas Transmission, Inc.

Third Revised Volume No. 1

Effective Date: 01/31/2003, Docket: RP02-464-000, Status: Effective

Fourth Revised Sheet No. 301 Fourth Revised Sheet No. 301 : Effective

Superseding: Third Revised Sheet No. 301

GENERAL TERMS AND CONDITIONS

(Continued)

29. CAPACITY RELEASE (continued)

29.7 Bidding Process

(a) Posting by Transporter: Transporter will post the release information on its IWS in accordance

with Section 29.8 below. The bidding period shall commence on the day that the notice of released capacity is

posted. In addition to the information provided by the Releasing Customer, the posting will specify the

deadline for submitting bids on the capacity and any other information relevant to the submission of the bids.

Such posting will continue for the duration of the bidding period specified in the notice. No prior posting

or bidding shall be required for pre-arranged releases of capacity at the applicable maximum rate (for

releases with a term of one year or more) or for pre-arranged release which are for a term of 31 days or less;

provided that Transporter will post a notice of such transactions within 48 hours of the effective date of

release.

(b) Bidding Period: The length of the bidding period for released capacity shall be as specified in

the notice provided to Transporter by the Releasing Customer, but shall not be less than one (1) business day.

All bids must be submitted during the bidding period through the use of the IWS. Bids which are submitted in

some different form or after the bidding period will not be eligible to receive the released capacity. Each

bid for released capacity must contain the following information:

(i) Bidder's legal, name, address, and the name and title of the individual(s) responsible for

authorizing the bid;

(ii) The term of the proposed acquisition;

(iii) The maximum rate(s) Bidder is willing to pay for the capacity stated in ten-thousandths of one

dollar ($0.0000) per Dth per day per Month for reservation charges, or in hundredths of one cent (0.00¢)

per Dth for volumetric rate bids;

(iv) The transportation quantity desired;

(v) The desired receipt and delivery point capacity of the transportation service;