Tennessee Gas Pipeline Company

FIFTH REVISED VOLUME NO. 1

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Effective Date: 08/01/2009, Docket: RP09-737-000, Status: Effective

Ninth Revised Sheet No. 355 Ninth Revised Sheet No. 355

Superseding: Eighth Revised Sheet No. 355

GENERAL TERMS AND CONDITIONS (continued)

If, upon test, any measuring equipment shall be found to be inaccurate by an

amount exceeding two percent, at a recording corresponding to the average hourly

rate of flow for the period since the last preceding test, then any previous

recordings of such equipment shall be corrected to zero error for any period

which is known definitely, but in case the period is not known or agreed upon,

such correction shall be for a period extending over one-half of the time

elapsed since the date of the last test, not exceeding a correction period of

sixteen days.

6. Correction of metering errors--failure of meters: In the event a meter is out

of service, or registering inaccurately, the volume of gas delivered shall be

determined:

(a) by using the registration of any check meter or meters, if installed

and accurately registering, or, in the absence of (a);

(b) by correcting the error if the percentage of error is ascertainable by

calibration, tests, or mathematical calculation, or in the absence of

both (a) and (b);

(c) by estimating the quantity of the delivery by use of deliveries during

periods under similar conditions when the meter was registering

accurately.

7. Correction of metering errors - adjustments: A measurement data correction

shall become a prior period adjustment (PPA) after the fifth (5th) business day

following the production month.

NAESB Standard 2.3.14 (Version 1.8) states: Measurement data corrections should

be processed within 6 months of the production month with a 3-month rebuttal

period. This standard shall not apply in the case of deliberate omission or

misrepresentation or mutual mistake of fact. Parties' other statutory or

contractual rights shall not otherwise be diminished by this standard.

8. Preservation of metering records: Transporter, Shipper and Operator shall each

preserve for a period of at least one year all test data, charts and other

similar records.

V. INVOICING

1. Monthly invoicing date: NAESB Standard 3.3.14 (Version 1.8) states: The

imbalance statement should be rendered prior to or with the invoice, and the

transportation invoice should be prepared on or before the 9th business day

after the end of the production month. Rendered is defined as postmarked, time-

stamped, and delivered to the designated site.

Invoices may be rendered by mail or electronic communication. Transporter may

render separate invoices for demand charges, commodity charges and cash-out

charges.

2. Right of examination: Both Transporter and Shipper shall have the right to

examine at any reasonable time the applicable books and records (or portions

thereof) of the other, necessary to verify the accuracy of any statement made

under or pursuant to the provisions of the gas service contract. Upon receipt

of a request, the requestee will either send the relevant information to the

requestor or will provide the requestor the right to review such information in

the requestee's offices.