Kern River Gas Transmission Company

Second Revised Volume No. 1

Effective Date: 08/01/2009, Docket: RP09-723-000, Status: Effective

First Revised Sheet No. 803 First Revised Sheet No. 803

Superseding: Original Sheet No. 803

. RATE SCHEDULE SH-1 .

Kern River Firm Transportation Services

(Continued)

ARTICLE 1 - DEFINITIONS

Unless another definition is expressly stated, the following terms and

abbreviations, when used in this Rate Schedule, the Firm Transportation

Service Agreement between Transporter and Shipper and in all related exhibits,

recitals, and appendices, are intended and will mean as follows:

1.1 "Business Day": "Business Day is defined as Monday through Friday,

excluding Federal Banking Holidays for transactions in the U.S., and

similar holidays for transactions occurring in Canada and Mexico." NAESB

WGQ 3.2.1

1.2 "Annual Charge Adjustment" or "ACA" shall mean any and all charges

assessed to Transporter pursuant to Part 382 of the FERC's Regulations,

18 C.F.R. 382.101 et. seq., as those Regulations may hereafter be

amended or superseded.

1.3 "Btu": "Standardize the reporting basis for Btu as 14.73 psia and 60

degrees F (101.325 kPa and 15 degrees C, and dry). Standardize the

reporting basis for gigacalorie as 1.035646 Kg/cm2 and 15.6 degrees C

and dry. Standardize the reporting basis for gas volumes as cubic foot

at standard conditions of 14.73 psia, 60 degrees, F and dry. For gas

volumes reported in cubic meters, the standard conditions are 101.325

kPa, 15 degrees C, and dry." NAESB WGQ 2.3.9

1.4 "Construction Commitment Date" shall mean the date Shipper receives

written notice from Transporter that Transporter and Mojave have

executed purchase order(s) to purchase the pipe required to construct

Transporter's System (including the Common Facilities) under terms that

impose a binding legal obligation upon Transporter to make non-

refundable payment(s) equal to thirty (30) percent of the total cost of

the pipe. A copy of such purchase order(s) shall accompany

Transporter's written notice to Shipper. The Construction Commitment

Date shall not be less than fifteen (15) Days after the Construction

Notification Date.

1.5 "Construction Notification Date" shall mean the date on which

Transporter notifies Shipper that Transporter has (a) obtained

regulatory approvals adequate to support the commencement of