Midwestern Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 08/01/2004, Docket: RP04-402-000, Status: Effective

Third Revised Sheet No. 250 Third Revised Sheet No. 250 : Effective

Superseding: Second Revised Sheet No. 250

GENERAL TERMS AND CONDITIONS

18. FERC ANNUAL CHARGE ADJUSTMENT

18.1 General

Company, from time to time, shall adjust the rates for Funding Services as

specified in Section 18 hereof, to reflect the annual charge assessed Company

by the Federal Energy Regulatory Commission (Annual Charge) pursuant to Order

No. 472 or any other superseding or related rule or order.

18.2 Funding Services

Funding Services shall include all transportation services under Rate Schedules

in Volume No. 1 of Company's FERC Gas Tariff, and all transportation services

for interstate pipelines, intrastate pipelines, distribution companies, or for

ultimate consumers under Rate Schedules in Volume No. 2 of Company's FERC Gas

Tariff.

18.3 Filing of Annual Charge Rate Adjustment

The effective rates for Funding Services under Rate Schedules in Volume No. 1

of Company's FERC Gas Tariff shall be the Rate After Adjustments for each

applicable Rate Schedule shown on Company's effective Summary of Rates and

Charges reflecting the Current Annual Charge Rate Adjustment under this

Section 18.

18.4 Effective Date of Adjustment

The Effective Date of Adjustment for each Annual Charge Rate Adjustment filed

pursuant to this Section 18 shall be October 1 of each year. The Annual Charge

Rate Adjustment shall become effective on the Effective Date of Adjustment

without suspension or refund obligation.

18.5 Filing Procedures

At least thirty days prior to the Effective Date of Adjustment, Company shall

file with the Federal Energy Regulatory Commission and post revised Tariff

sheets reflecting the Current Annual Charge Rate Adjustment.