Kern River Gas Transmission Company

Second Revised Volume No. 1

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Effective Date: 07/01/2000, Docket: RP00-288-000, Status: Effective

Original Sheet No. 624 Original Sheet No. 624 : Effective

RATE SCHEDULE UP-1

Kern River Firm Transportation Services

(Continued)

ARTICLE V - QUALITY (Continued)

5.5 Failure to Conform. (Continued)

(2) The calculated percentage shall be used to determine

the quantity of non-conforming component that each of

the non-conforming shippers must eliminate from its

Gas nominations and/or receipts, in order to bring

said Composite Gas Stream back to within 93% of the

quality specification described in Section 5.1. The

required reduction of the non-conforming component, as

well as the newly calculated maximum allowable

concentration of the non-conforming component in

Shipper's Gas deliveries to Transporter, shall be

communicated to each of the non- conforming shippers.

(3) Shipper shall reduce the non-conforming component to

the maximum allowable concentration in 5.5(b)(ii)(2)

above by either replacing nominated or existing Gas

deliveries to Transporter with Gas containing less of

the non-conforming component or by reducing

nominations or deliveries of non-conforming Gas until,

inclusive of the reductions of non-conforming

components similarly required of any other non-

conforming shippers, the Composite Gas Stream is again

calculated not to exceed 3% of the requirements of

Section 5.1 herein.