Granite State Gas Transmission, Inc.

Fourth Revised Volume No. 1

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Effective Date: 03/01/2010, Docket: RP10-322-000, Status: Effective

Original Sheet No. 106 Original Sheet No. 106

GENERAL TERMS AND CONDITIONS

(Continued)

22. NOMINATIONS AND SCHEDULING OF TRANSPORTATION SERVICES

(Continued)

among Transporter's other first-come, first-served Shippers

requesting quantities of gas to be scheduled in excess of the

applicable contractual entitlement of Shipper. For purposes of

comparing nominations based on price, a negotiated rate Customer

paying a rate higher than the maximum recourse rate will be deemed

to be paying a rate equal to such maximum recourse rate.

(f) Among Firm Transportation Shippers requesting quantities

of gas to be scheduled in excess of the contractual entitlements

of such Shippers.

Upon completion of such procedure, Transporter shall notify

each Shipper of their quantities available under each of

Transporter's rate schedules. A Shipper receiving interruptible

transportation service shall not lose its priority for purposes of

this Section 8 by the renewal or extension of the term of that

service; provided, however, Shipper's preexisting priority shall

not apply to any increase in transportation quantity or new point

of delivery. Shipper shall not lose priority by adding or

changing receipt point(s) applicable to that service; provided,

however, a Shipper receiving interruptible transportation service

shall not have priority for service from the new receipt point(s)

over a preexisting firm or interruptible transportation customer

receiving service from that point(s).

22.10 Allocation of Limited Capacity

If, on any day or month, due to any cause whatsoever, Transporter

determines that the capacity of its system, or any portion thereof

including the points at which gas is tendered for transportation

is insufficient to serve all transportation requirements which are

otherwise scheduled to receive service on such day, then any

capacity which requires allocation shall be allocated by contract

and location in a manner which results in curtailment of capacity

to zero, if necessary, first to the last quantities schedule, and

then sequentially in reverse order to the scheduling provided for

in Section 9. If capacity must be allocated within the services

included in (a), (b), (c), (d), and (f) of Section 9, such

services shall be curtailed on a pro-rata basis within each

service based upon quantities of gas schedule by such Shippers,

unless another method of allocation (i.e. ranked, percentage,

swing, or operator provided value) is agreed upon by the

transporter and other party. If capacity must be allocated within

the services included in (e) of Section 9, such services shall be

curtailed according to the price ranking used for scheduling.