Midwestern Gas Transmission Company

SECOND REVISED VOLUME NO. 1

Effective Date: 12/01/1994, Docket: RP95-100-000, Status: Effective

First Revised Sheet No. 103 First Revised Sheet No. 103 : Effective

Superseding: Original Sheet No. 103

GENERAL TERMS AND CONDITIONS

2. Determination of Demand Surcharges

The effective rates for Affected Services shall be the Demand Rate Surcharge

for each Shipper served under the Affected Services determined pursuant to this

Article XXIII and shown on the Summary of Rates and Charges of Volume No. 1 of

Transporter's FERC Gas Tariff.

2.1 Effective Date of Surcharge and Surcharge Period: The effective date of

Surcharge for each Demand Rate Surcharge filed pursuant to this Article

XXIII shall be July 1 and January 1 of each year. The Demand Rate

Surcharge for each surcharge period shall become effective on the

effective date of surcharge. The initial surcharge period shall be from

July 1, 1992 through December 31, 1992. Subsequent surcharge periods

shall be the six months commencing January 1, or July 1 during which the

Demand Surcharge shall be effective.

2.2 Filing Procedure: At least thirty days prior to the effective date of

surcharge, Transporter shall file with the Commission and post, as

defined in Section 154.16 of the Commission's Regulations, revised Tariff

Sheets to Volume No. 1 of Transporter's FERC Gas Tariff reflecting the

Demand Rate Surcharge to be effective for each Shipper (and those former

Shippers who are affected pursuant to Section 5 of this Article XXIII.

3. Demand Rate Surcharge

The Demand Rate Surcharge for each surcharge period shall be determined for

each Shipper served by Transporter's Affected Services by multiplying (a) the

total amount of Tennessee surcharges to be assessed to Transporter during the

surcharge period and (b) Shipper's Allocation Percentage; provided, any Shipper

may elect to make a lump sum payment of its balance in lieu of paying the

extended Demand Surcharge.