Texas Gas Transmission, LLC

Third Revised Volume No. 1

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Effective Date: 09/15/2008, Docket: RP08-392-000, Status: Effective

Original Sheet No. 2104 Original Sheet No. 2104 GENERAL TERMS AND CONDITIONS Section 9 (Cont'd) 9.3 Adjustments of Demand Charge 9.3.1 Allowable Variation in Contract Demand On any day in which Customer requires deliveries of the contract demand, the deliveries shall be subject to an allowable variation of two (2) percent either above or below said Contract Demand because of the inability of Texas Gas and Customer to maintain precise control over rates of flow and the quantity of natural gas delivered. At the end of each month there shall be determined for each day on which Customer required delivery of the Contract Demand, the amount by which actual deliveries of gas exceeded or were less than the Contract Demand due to the allowable variation in delivery of the Contract Demand, and then the net amount by which deliveries during all such days of the month exceeded or were less than the Contract Demand shall be determined. The demand charge otherwise payable hereunder shall be increased by an amount equal to the daily portion of the monthly demand rate multiplied by any net excess deliveries so determined or decreased by the amount equal to the daily portion of the monthly demand rate multiplied by any net deficiency so determined. The daily portion of the monthly demand rate is set forth on currently effective Sheet No. 21 of this tariff. 9.3.2 For Impairment of Deliveries If Texas Gas declares force majeure, pursuant to Section 25.5 of the General Terms and Conditions of Texas Gas' FERC Gas Tariff, which renders it unable to perform service for Customer under any Firm Rate Schedule either in whole or part, then Customer shall be relieved of its obligation to pay demand charges for that part of its Contract Demand affected by such force majeure event until the force majeure event is remedied. If Texas Gas declares such force majeure or if, due to any cause other than the allowable variation in the delivery of the Contract Demand, Texas Gas fails or is unable to deliver during any one or more days in any month the quantity of gas which Customer desires to take, up to the Contract Demand, or if Customer shall refuse to accept delivery as permitted by Section 3 of the General Terms and Conditions of this tariff, then the demand charge as otherwise computed under the applicable Rate Schedule shall be reduced by an amount which shall be equal to the daily portion of the monthly demand rate multiplied by the difference between the quantity of gas actually delivered during said day or days and the quantity desired by Customer during said day or days.