Tuscarora Gas Transmission Company

Original Volume No. 1

Effective Date: 01/20/2004, Docket: RP00-487-001, Status: Effective

First Revised Sheet No. 89 First Revised Sheet No. 89 : Effective

Superseding: Alternate Original Sheet No. 89

GENERAL TERMS AND CONDITIONS

30. DISCOUNTS

30.1 In the event that Tuscarora agrees to discount its maximum rates

under Rate Schedules FT, IT or PL, Tuscarora and Shipper may

agree to the types of discounts specified herein without such

discounts constituting a material deviation from Tuscarora's pro

forma service agreement. Tuscarora and Shipper may agree that a

specified discounted rate will apply: (i) only to specified

quantities under the service agreement; (ii) only if specified

quantities are achieved or only with respect to quantities below

a specified level; (iii) only during specified periods of the

year or for a specifically defined period; (iv) only to specified

points, combination of points, markets, transportation paths or

other defined geographic area(s); and/or (v) only in a specified

relationship to the quantities actually delivered (i.e., that the

reservation charge will be adjusted in a specified relationship

to quantities actually delivered). Notwithstanding the

foregoing, no discounted rate shall be less than the applicable

minimum rate.

30.2 If Tuscarora has agreed to a discount with a Shipper receiving

service under a service agreement pursuant to Part 284 of the

Commission's Regulations and the discount is limited to specific

Point(s) of Receipt or Delivery or both, the Shipper may request

that such discount apply to service under such transportation

agreement at a different Point of Receipt or Delivery accessible

under said service agreement at which Tuscarora and the Shipper

have not specifically agreed to the discounted rate. There is a

rebuttable presumption that such discount shall apply at the

requested point if Tuscarora at the time of the request is

granting discounts to other similarly situated Shipper(s)

receiving service utilizing that point. However, Tuscarora can

rebut this presumption by demonstrating that the proposed service

to the Shipper is not similarly situated to the service receiving

a discount at the requested point. Regardless of the discount

granted by Tuscarora to any similarly situated Shipper at such

requested point, if Shipper is granted a discount for service at

the requested point pursuant to this Section 30.2, Shipper shall

pay the higher of its contractual discount rate or the discount

rate provided to another Shipper utilizing the requested point.