Midwestern Gas Transmission Company

Third Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 11/01/2003, Docket: RP03-618-000, Status: Effective

Second Revised Sheet No. 102 Second Revised Sheet No. 102 : Effective

Superseding: First Revised Sheet No. 102

RATE SCHEDULE LMS-PA

LOAD MANAGEMENT SERVICE - RECEIPT POINTS

6. MONTHLY IMBALANCES

(a) A Balancing Party's monthly imbalance shall be the net total of Daily Imbalances

from all points covered by the Receipt Point OBA. Unless Company and Balancing

Party mutually agree to correct the imbalance in kind on a nondiscriminatory basis,

each month Company and Balancing Party shall "cash out" any imbalance between

receipts and Scheduled Quantities at receipt points covered by the Receipt Point

OBA. Company shall divide the monthly imbalance by the sum of the Scheduled

Quantities for all days of the month for all points covered by the OBA to determine

the percent monthly imbalance to be cashed out as set forth below:

(b) If the monthly imbalance percentage is due to an excess of receipts relative to

Scheduled Quantities, Company shall pay the Balancing Party in accordance with

Schedule A below. If the monthly imbalance percentage is due to a deficiency in

receipts relative to Scheduled Quantities, the Balancing Party shall pay Company

in accordance with Schedule B below. Notwithstanding the above, a monthly

imbalance that is less than 1000 Dekatherms shall be cashed out at the

0-5 percentage level. In addition to correcting the monthly imbalance in cash,

the Balancing Party shall pay to Company the "Transportation Component" if

deliveries are greater than Scheduled Quantities, or Company shall pay to

Balancing Party the "Transportation Component" if deliveries are less than

Scheduled Quantities.

The "Transportation Component" shall be equal to the commodity rate pursuant to:

(1) Tennessee Gas Pipeline Company's Rate Schedule FT-A for transportation from

Zone 1 to Company's system multiplied by the monthly imbalance plus

(2) an additional amount to cover the cost of gas for the system fuel and use

and lost and unaccounted for gas.

The additional amount shall be calculated by multiplying the amount of fuel

necessary to transport the imbalance on Tennessee's system by the Index price.

Schedule A

Company Pays Balancing Party the

Monthly Imbalance Percentage Following Percent of the Index Price

---------------------------- ------------------------------------

0-5% 100%

>5-10% 85%

>10-15% 70%

>15-20% 60%

>20% 50%

Schedule B

Balancing Party Pays Company the

Monthly Imbalance Percentage Following Percent of the Index Price

---------------------------- ------------------------------------

0-5% 100%

>5-10% 115%

>10-15% 130%

>15-20% 140%

>20% 150%