Tuscarora Gas Transmission Company

First Revised Volume No. 1

Effective Date: 04/01/2009, Docket: RP09-08-000, Status: Effective

Original Sheet No. 138 Original Sheet No. 138

GENERAL TERMS AND CONDITIONS

26. CAPACITY RELEASE (Continued)

26.3 Preliminary Qualification.

Replacement Shippers are encouraged to pre-qualify in advance of any

postings on Transporter's EBB as credit requirements will take

differing amounts of time to process depending on the particular

financial profile of Replacement Shippers. The pre-qualification

process will authorize a pre-set maximum monthly financial exposure

level for the Replacement Shipper. Such exposure levels may be

adjusted by Transporter periodically re-evaluating a Replacement

Shipper's creditworthiness.

Releasing Shippers may exercise their option to waive the credit

requirements for any Replacement Shipper wishing to bid on a Parcel

posted by that Releasing Shipper. Such waiver must be made on a

nondiscriminatory basis. Transporter must be informed of such waiver

via the EBB before it will authorize such Replacement Shipper's

participation with respect to that particular Parcel. In this

instance, no pre-set maximum monthly financial exposure level is

applicable.

Should a Releasing Shipper waive the credit requirements for a

Replacement Shipper, the Releasing Shipper shall be liable for all

charges incurred by the Replacement Shipper in the event such

Replacement Shipper defaults on payment to Transporter for such

capacity release service.