Kern River Gas Transmission Company

Second Revised Volume No. 1

Effective Date: 09/06/2004, Docket: RP04-444-000, Status: Effective

First Revised Sheet No. 61 First Revised Sheet No. 61 : Effective

Superseding: Original Sheet No. 61

. RATE SCHEDULE KRI-L1 .

HIGH DESERT LATERAL INTERRUPTIBLE TRANSPORTATION SERVICES

1. AVAILABILITY

This rate schedule is available for the Transportation of Natural Gas on

an interruptible basis by Kern River Gas Transmission Company

(hereinafter called "Transporter") to any shipper (hereinafter called

"Shipper"):

(a) which executes a Transportation Service Agreement for service

hereunder and

(b) to the extent that capacity is available on Transporter's High

Desert Lateral from time to time for the delivery of Gas to

Transporter and the redelivery by Transporter for the account of

Shipper.

2. APPLICABILITY AND CHARACTER OF SERVICE

2.1 This rate schedule will apply to Gas transported by Transporter

for Shipper on the High Desert Lateral (a lateral of approximately

32 miles extending from Transporter's mainline near milepost 41 of

the Common Facilities located in San Bernardino County, California

to the High Desert Power Project, LLC's power plant site) pursuant

to the executed Transportation Service Agreement for service under

this rate schedule.

2.2 Service rendered under this rate schedule will consist of:

(a) The receipt by Transporter of Shipper's Gas at the Receipt

Point(s) specified in Shipper's Transportation Service

Agreement, including Quantities for fuel used and lost and

unaccounted-for gas that Shipper is obligated to provide

pursuant to Section 12 of the General Terms and Conditions

of this tariff; and

(b) The Transportation of Gas up to Shipper's Transportation

Maximum Daily Quantity (TMDQ) on an interruptible basis; and

Transportation (less any fuel used and lost and unaccounted-

for gas pursuant to Section 12 of the General Terms and

Conditions of this tariff) by Transporter to Shipper at the

Delivery Points specified in Shipper's Transportation

Service Agreement.