Tuscarora Gas Transmission Company

First Revised Volume No. 1

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Effective Date: 07/01/2009, Docket: RP09-926-000, Status: Effective

First Revised Sheet No. 54 First Revised Sheet No. 54

Superseding: Original Sheet No. 54

GENERAL TERMS AND CONDITIONS

2. DEFINITION OF TERMS (continued)

2.15 Dekatherm or Dth [NAESB WGQ Standard 1.3.14]. The standard quantity for

nominations, confirmations and scheduling is dekatherms per gas day in

the United States, gigajoules per gas day in Canada and gigacalories per

gas day in Mexico. (For reference 1 dekatherm = 1,000,000 Btu's; 1

gigajoule =1,000,000,000 joules; and 1 gigacalorie = 1,000,000,000

calories.) For commercial purposes, the standard conversion factor

between dekatherms and gigajoules is 1.055056 gigajoules per dekatherm

and between dekatherms and gigacalories is 0.251996 gigacalories per

dekatherm. The standard Btu is the International Btu, which is also

called Btu(IT); the standard joule is the joule specified in the SI

system of units. See Footnote 1

2.16 Bid Period. The period of time during which a Shipper may bid to

contract for a parcel which has been posted as unsubscribed capacity or

as available for release by a Releasing Shipper.

2.17 Recourse Rate. The term Recourse Rate shall mean the applicable maximum

rate that would apply to a service but for the negotiated rate

flexibility allowed under Section 32 of these General Terms and

Conditions.

2.18 Negotiated Rate. The term Negotiated Rate shall mean a rate (including

a Negotiated Rate Formula) that Transporter and a Shipper have agreed

will be charged for service under Rate Schedule FT, LFS, IT, or PL

where, for all or a portion of the contract term, one or more of the

individual components of such rate may exceed the maximum rate, or less

than the minimum rate, for such component set forth in Transporter's

tariff for the given service. Any Agreement entered into after the

effective date of this subsection which provides for a rate under Rate

Schedule FT, LFS, IT, or PL other than the applicable maximum rate shall

contain a provision setting out the mutual agreement of the parties as

to whether the pricing terms represent a discounted rate or a negotiated

rate.

2.19 Negotiated Rate Formula. The term Negotiated Rate Formula shall mean a

rate formula that Transporter and a Shipper have agreed will apply to

service under a specific contract under Rate Schedule FT, LFS, IT, or PL

which results in a rate where, for all or a portion of the contract

term, one or more of the individual components of such rate may exceed

the maximum rate, or may be less than the minimum rate, for such

component set forth in Transporter's tariff for the given service.

Footnote 1 - The International Btu is specified for use in the gas

measurement standards of the American Gas Association, the American

Petroleum Institute, the Gas Processors Association and the American Society

for Testing Materials. For non-commercial purposes, these associations note

that the exact conversion factor is 1.05505585262 Gigajoules per Dekatherm.