Centerpoint Energy - Mississippi River

Third Revised Volume No. 1

Effective Date: 04/17/2005, Docket: RP05-231-001, Status: Effective

Third Revised Sheet No. 226B Third Revised Sheet No. 226B : Effective

Superseding: Second Revised Sheet No. 226B

GENERAL TERMS AND CONDITIONS

(Continued)

19. MRT'S RIGHT TO CHANGE RATES AND TERMS OF SERVICE

19.1 MRT shall have the unilateral right to file with any appropriate

regulatory authority and make changes effective in (1) the rates and charges

applicable under MRT's rate schedule(s), including both the level and design

of such rates and charges; and (2) the applicable terms of service for any

rate schedule or any other portion of this tariff. MRT agrees that any

Customer may protest or contest the aforementioned filings, or may seek

authorization from duly constituted regulatory authorities, for such

adjustment to MRT's existing tariff as may be found necessary to assure that

its provisions are just and reasonable.

19.2 Negotiated Rates and Recourse Rates. Notwithstanding anything to

the contrary contained in this tariff, MRT and Customer may negotiate and

agree upon a rate for service under any rate schedule contained in this

tariff. ("Negotiated Rate," as further defined below), and such Negotiated

Rate shall apply to MRT's provision of such service according to that

agreement. MRT's maximum rate as shown on MRT's Statement of Effective Rates

and Charges for a particular service ("Recourse Rate") is available for any

Customer that does not desire to negotiate a rate with MRT for that service.

A Negotiated Rate shall mean a rate for service, the individual

components of which may exceed the maximum reservation charge, if applicable,

or usage charge, as stated on MRT's Statement of Effective Rates and Charges

for that service. With respect to a Negotiated Rate which, when calculated on

a 100% load factor basis, exceeds MRT's Recourse Rate for that service, for

purposes of allocation of capacity pursuant to Section 8 of the General Terms

and Conditions of MRT's tariff, Customers shall be considered to have paid the

Recourse Rate. For purposes of bid evaluations that lead to an award of

capacity, MRT will award capacity pursuant to Section 5.9(e) of the General

Terms & Conditions of MRT's tariff. For purposes of exercising rights to

continue service pursuant to Section 15 of the General Terms and Conditions of

MRT's tariff, the highest rate that a Customer must match if it desires to

retain all or a portion of its capacity and continue to receive firm service

under the same Rate Schedule beyond the expiration date of such Long-Term Firm

Agreement is the Recourse Rate applicable to such service.