Gulf South Pipeline Company L P

Sixth Revised Volume No. 1

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Effective Date: 05/14/2010, Docket: RP10-601-000, Status: Effective

First Revised Sheet No. 3300 First Revised Sheet No. 3300

Superseding: Original Sheet No. 3300

GENERAL TERMS AND CONDITIONS

Section 26

26. ANNUAL CHARGE ADJUSTMENT CLAUSE (ACA)

26.1 Purpose

Annual charges are assessed against gas pipelines by the FERC

under 18 C.F.R. Part 382 of the FERC's Regulations prior to each

fiscal year in order to cover the cost of the operation of the

FERC. For the purpose of recovering annual charges, assessed

Gulf South by the FERC, this Section 26 establishes pursuant to

Section 154.402 of the FERC's Regulations an ACA unit rate to be

applicable to quantities transported under Gulf South's Rate

Schedules identified in Section 26.2. This ACA unit rate is in

addition to any amounts otherwise payable to Gulf South under

said Rate Schedules. Gulf South does not intend to recover any

annual charges recorded in FERC Account No. 928 in a Section 4

rate case while this Section 26 is in effect. Gulf South however

reserves the right to cancel this Section 26 and change to the

Section 4 rate case recovery method at a future date.

26.2 Rate Schedules Subject to ACA

The ACA unit rate shall be applicable to all of Gulf South's rate

schedules in this Sixth Revised Volume No. 1, and the applicable

rate schedules in Original Volume No. 2 of this FERC Gas Tariff.

26.3 Basis of the Annual Charge Adjustment

The rate schedules specified in Section 26.2 hereof shall include

an increment for an Annual Charge Adjustment (ACA) for the fiscal

year October 1 through September 30. Such increment shall be the

unit charge, adjusted to Gulf South's pressure base and heating

value, if required, which has been established by the FERC. The

ACA charge shall be applied to the commodity component of

transportation rates.