Iroquois Gas Transmission System, L.P.

FIRST REVISED VOLUME NO. 1

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Effective Date: 09/01/1993, Docket: RS92- 17-004, Status: Effective

Original Sheet No. 62 Original Sheet No. 62 : Effective

6.1 Scheduling Penalty.

(a) Receipt Point Scheduling. If on any day

Shipper delivers a quantity of gas to Transporter at any

Receipt Point which exceeds or falls short of the Scheduled

Input Quantity for such Receipt Point by the greater of ten

percent (10%) or 400 Dth, then Shipper shall pay to

Transporter an amount equal to the Maximum Transportation

Commodity Rate for service under the ITS Rate Schedule for

service to the zone in which the gas is scheduled to be

delivered for all quantities in excess or which fall short of

the Scheduled Input Quantity by more than the greater of ten

percent (10%) or 400 Dth of the Scheduled Input Quantity for

such Receipt Point. Transporter may waive the penalty on a

basis which is not unduly discriminatory if, in the exercise

of its reasonable discretion, Transporter determines that

such excess or shortfall will not cause operational

difficulties or affect the integrity of Transporter's system

or Transporter's ability to render other scheduled service

on such day.

(b) Delivery Point Scheduling. If on any day

Shipper takes delivery of a quantity of gas from Transporter

at any Delivery Point which exceeds or falls short of the

Scheduled Equivalent Quantity for such Delivery Point by the

greater of ten percent (10%) or 400 Dth, then Shipper shall

pay to Transporter an amount equal to the Maximum

Transportation Commodity Rate for service under the ITS Rate

Schedule for service to the zone in which the gas is

scheduled to be delivered for all quantities in excess or

which fall short of the Scheduled Equivalent Quantity by more

than the greater of ten percent (10%) or 400 Dth of the

Scheduled Equivalent Quantity for such Delivery Point.

Transporter may waive the penalty on a basis which is not

unduly discriminatory if, in the exercise of its reasonable

discretion, Transporter determines that such excess or

shortfall will not cause operational difficulties or affect

the integrity of Transporter's system or Transporter's

ability to render other scheduled service on such day.

(c) On any day on which Shipper may be liable

for Scheduling Penalties under both Sections 6.1(a) and

6.1(b) above, Transporter shall impose on Shipper only the

greater of the two penalties.