Pine Prairie Energy Center, LLC

Original Volume No. 1

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Effective Date: 02/20/2009, Docket: RP09-237-000, Status: Pending

First Revised Sheet No. 114 First Revised Sheet No. 114

Superseding: Original Sheet No. 114

GENERAL TERMS AND CONDITIONS

(Continued)

CAPACITY RELEASE

Any Customer under Rate Schedules FSS, FP or FL may seek to

release to others any or all of its firm service entitlements on a

full Day or an intraday basis, on a permanent or a temporary

basis, and on a firm or recallable basis, subject to the following

terms and conditions:

4.1 Notice of Offer. A Customer offering to release firm

service entitlements shall post the terms of its proposed release

on PPEC's Internet Web Site by the posting deadline as determined

pursuant to Section 4.3 herein. If Customer is unable to post

such information on PPEC's Internet Web Site, Customer shall

notify PPEC via the Internet Web Site of the terms of its offer,

by the posting deadline as determined pursuant to Section 4.3

herein, and PPEC will post this information on the Internet Web

Site. The Customer may propose a designated Pre-arranged

Replacement Customer to which the capacity would be released.

Offers shall be binding unless written or electronic notice of

withdrawal is received by PPEC prior to the close of the

applicable bid period; provided, however, such withdrawal shall

only be valid if such Customer has an unanticipated requirement

for such capacity and no minimum bid has been made. The notice

must contain the reason for withdrawal which PPEC shall post on

the Internet Web Site. The offer shall contain the following

minimum information:

(a) Customer's legal name and the name/title of

individual who has authorized the offer to release;

(b) PPEC's Storage Service Agreement number;

(c) A description of the capacity to be released,

including the Maximum Storage Quantity, Maximum Park Quantity or

Maximum Loan Quantity, as applicable, and the Maximum Daily

Receipt Quantity, the Maximum Daily Delivery Quantity, the Maximum

Daily Injection Quantity, and the Maximum Daily Withdrawal

Quantity and the associated Point(s) of Receipt and Point(s) of

Delivery (Replacement Customer may request changes to such Receipt

and Delivery Point(s) subject to the proposed release and subject

to the daily quantity limitations described in Section 4.2 below);

(d) The proposed effective date and term of the

release;

(e) The identity of any designated Pre-arranged

Replacement Customer (pursuant to Section 4.4), a statement as to

whether the Pre-arranged Replacement Customer is an asset manager

(as defined by FERC regulations at 18 C.F.R. 284.8(h)(3)) or

marketer participating in a state-regulated retail access program

(as defined by FERC regulations at 18 C.F.R. 284.8(h)(4)), and

the full terms of such pre-arranged release;

(f) The method to be applied in evaluating bids,

allocating capacity and breaking ties, as described below;

(g) Whether, to what extent, and the conditions

pursuant to which capacity will be subject to recall for a full

Day or a partial Day; if recallable, (1) whether the Releasing

Customer's recall notification must be provided exclusively on a

Business Day, and (2) any reput methods and rights associated with

returning the previously released capacity to the Replacement

Customer;