Central Kentucky Transmission Company

Original Volume No. 1

Effective Date: 05/01/2006, Docket: CP05- 48-002, Status: Effective

Original Sheet No. 30 Original Sheet No. 30 : Effective

GENERAL TERMS AND CONDITIONS

1. DEFINITIONS

1.1 "Billing Month" shall mean the period elapsed between consecutive

final monthly meter readings and, when referred to in terms of a calendar

month, shall mean that calendar month in which the majority of the Billing

Month occurs.

1.2 "Btu" shall mean the British thermal unit as defined by international

standards.

1.3 The words "Business Day" shall mean any weekday, excluding Federal

Banking and Seller Holidays.

1.4 "Central Clock Time" (C.T.) shall mean Central Standard Time

adjusted for Daylight Savings Time.

1.5 "Commission" shall mean the Federal Energy Regulatory Commission.

1.6 "Confirmations" shall mean the process of Transporter agreeing with

Interconnecting Operators on quantities that should flow at a location

based on nominations received by Transporter and the Interconnecting

Operator. Related confirmation terms are:

(a) "Confirming Party" shall mean the entity that Transporter shall

contact for confirmation of a quantity of gas with respect to a nomination

at a location. Confirming Parties include Interconnecting Operators or

upstream/downstream title holders.

(b) "Confirmation by Exception" (CBE) means that the Confirming

Parties agree that one party deems that all requests at a location are

confirmed by the other party (the CBE party) without response communication

from that party. The CBE party can take exception to the request by so

informing the other party within a mutually agreed upon time frame.

Confirming Party respond to a Request for Confirmation or initiate an

unsolicited Confirmation Response. Absent mutual agreement to the contrary,

Explicit Confirmation is the default confirmation methodology.