Tennessee Gas Pipeline Company

FIFTH REVISED VOLUME NO. 1

Effective Date: 06/15/1994, Docket: RP94-187-000, Status: Effective

Original Sheet No. 155D Original Sheet No. 155D : Effective

RATE SCHEDULE IT-X

INTERRUPTIBLE TRANSPORTATION SERVICE

(with Hourly Scheduling Flexibility) (continued)

5.2 New Facilities Charge: In addition to the charges pursuant to Section

5.1 of this Rate Schedule, Transporter shall charge Shipper an amount to

recoup the cost of facilities constructed at the Shipper's request in

order to provide Hourly Scheduling Flexibility Service under this Rate

Schedule. Transporter shall not use the amounts so collected as either

revenues or costs in establishing its general system rates. The

applicable New Facilities Charge shall be stated in the Transportation

Contract.

5.3 Incidental Charges: In addition to the charges pursuant to Sections 5.1

and 5.2 of this Rate Schedule, Transporter shall charge Shipper an

amount to reimburse Transporter for any filing or similar fees, which

have not been previously paid by Shipper, which Transporter incurs in

rendering service hereunder. Transporter shall not use the amounts so

collected as revenues or costs in establishing its general system rates.

The applicable Incidental Charges shall be stated in the Transportation

Contract.

5.4 Fuel and Losses: Shipper shall furnish the quantity of gas required for

fuel and losses associated with rendering service pursuant to this Rate

Schedule. The quantity of gas retained by Transporter for fuel and

losses shall be equal to the quantity of gas scheduled for delivery to

Transporter multiplied by the applicable percentage shown in the Summary

of Rates and Charges in Transporter's effective Tariff for the receipt

and delivery zones applicable to the service; provided, however, for

service that is rendered entirely by displacement, Shipper shall furnish

only that quantity of gas associated with losses as shown in the Summary

of Rates and Charges. Upon mutual agreement of Transporter and Shipper,

Transporter shall furnish during any month gas required for fuel and

losses and charge for such gas as a cash out of imbalances at the

applicable receipt points in the 0-5% range under Rate Schedule LMS.