Midwestern Gas Transmission Company

Third Revised Volume No. 1

Effective Date: 02/01/2009, Docket: RP09-280-000, Status: Effective

Sixth Revised Sheet No. 264 Sixth Revised Sheet No. 264

Superseding: Fifth Revised Sheet No. 264

GENERAL TERMS AND CONDITIONS

21. CAPACITY RELEASE (Continued)

21.13 Billing (Continued)

(b) The Releasing Shipper shall receive a demand credit equaling the demand

charges for which Company has invoiced the Replacement Shipper. The

demand charges for the purposes of this Section consist of the base demand

rate, and all applicable surcharges. For releases made on a volumetric

basis, the demand charges shall equal the daily demand rate multiplied by

the volumes actually transported by the Replacement Shipper plus all

applicable surcharges. A Releasing Shipper paying a discounted rate shall

be entitled to receive any revenues from the release of its capacity that

exceed the amount of the applicable surcharges.

21.14 Further Conditions on Release of Transportation Rights

(a) Persons participating in this release program agree to be bound by and

shall comply with the terms and conditions of this Tariff, and all

applicable Commission rules, orders and regulations.

(b) All terms and conditions in all Release Requests must be

non-discriminatory, objectively stated, and applicable to all Bidders.

shall be the remaining term of the Releasing Shipper's Transportation

Service Agreement.

(d) For releases with a term of more than one year, or for releases with a

term of one year or less that will take effect more than one year from the

date Releasing Shipper notifies the Company of the release, the Bid for a

volumetric release shall not exceed the daily demand rate for the released

capacity. Such rate for volumetric releases only applies to the demand

portion of the rate; the Replacement Shipper will also be liable for all

usage charges. The rates for all other releases with a term of more than

one year, or for releases with a term of one year or less that will take

effect more than one year from the date Releasing Shipper notifies the

Company of the release shall be the applicable demand rate and commodity

rate, as well as all other applicable rates, charges and surcharges set

forth in this Tariff, notwithstanding any discount to such rates, charges

or surcharges then in effect for the Releasing Shipper.

(e) All terms and conditions of all releases must be consistent with the terms

and conditions of the Releasing Shipper's Service Agreement and with this

Tariff, including the provisions on nominations and scheduling of service

and curtailment of service.

(f) Company shall not be obligated to deliver in excess of the total daily

contract quantity of the release as a result of NAESB WGQ Standard 5.3.55.

[5.3.57/v1.7]