Granite State Gas Transmission, Inc.

Third Revised Volume No. 1

Effective Date: 12/13/1993, Docket: RS93- 1-001, Status: Effective

Original Sheet No. 331 Original Sheet No. 331 : Effective

GENERAL TERMS AND CONDITIONS

(continued)

32. OPERATIONAL FLOW ORDERS (continued)

32.3 Upon the issuance of an OFO by Transporter, it shall be

incumbent upon each Shipper/Operator to adjust gas sup-

plies as directed. Such response shall be required

within the time frame specified in the OFO. Failure to

comply in a timely fashion with an OFO may result in an

immediate interruption of all or a portion of

Shipper's/Operator's service and may cause Ship-

per/Operator to be subject to an unauthorized overrun

charge, as provided for in Rate Schedule LMS contained

in Transporter's Tariff. Provided, however, a Ship-

per/Operator shall not incur any charges or penalties if

such charges or penalties would not have been incurred

but for compliance with the OFO.

32.4 In the event Shipper(s)/Operator(s) does not respond to

the OFO and Transporter believes it is necessary to take

actions (i.e., buying or selling gas, etc.) to maintain

system integrity or to prevent interrupting service to

another Shipper/Operator, Transporter shall have the

right, but not the obligation, to take such remedial

actions as it deems necessary. If Transporter takes

these actions, it shall be made whole by the non-re-

sponding Shipper(s)/Operator(s) for all costs that

Transporter incurs.

32.5 Transporter shall not be liable for any costs incurred

by any Shipper/Operator in complying with the OFO.

32.6 Transporter shall not be responsible for any damages

that result from any interruption in

Shipper's/Operator's service that is a result of a

Shipper's/Operator's failure to comply promptly and

fully with an OFO and the non-complying Ship-

per(s)/Operator(s) shall indemnify Transporter against

any claims of responsibility.