Trailblazer Pipeline Company

Fourth Revised Volume No. 1

Effective Date: 12/28/2007, Docket: RP08-168-000, Status: Effective

Original Sheet No. 257 Original Sheet No. 257 : Effective

GENERAL TERMS AND CONDITIONS

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under this Section 40.6 to the extent the Operational Flow Order

requires action beyond Shipper's contract limits under its Agreement

with Trailblazer or if Shipper has complied within a reasonable range,

which range will be specified in the Operational Flow Order. Penalties

under this Section 40.6(f) shall be calculated as follows:

Imbalance Level Penalty (Greater of)

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0% - 5% $0

Greater than 5% - 10% $0.25/Dth or 12.5% x AMIP

Greater than 10% - 20% $0.50/Dth or 25% x AMIP

Greater than 20% - 50% $1.00/Dth or 50% x AMIP

Greater than 50% $2.00/Dth or 100% x AMIP

The AMIP shall be calculated in accordance with Section 15.3(c) of

these General Terms and Conditions.

(g) Within ninety (90) days after an Operational Flow Order

has been lifted. Trailblazer will submit to the Commission a report

which describes the specific operational factors which caused the

Operational Flow Order to be issued and to be lifted.

40.7 CRITICAL TIME

(a) Trailblazer shall advise Shippers on its system if it

is declaring a Critical Time and shall specify the nature of the

situation creating the Critical Time.

(b) A Critical Time may be declared (1) when the total

physical receipts to all or a portion of the system are approaching or

expected to approach, a level that is in excess of the total physical

deliveries; (2) when the total physical deliveries from all or a

portion of the system are approaching or expected to approach, a level

that is in excess of the total physical receipts; (3) when system

pressure on one or more pipeline segments is falling and approaching a

level or is expected to fall and approach a level that is at or below

the minimum that Trailblazer considers necessary for system integrity

or to fulfill its firm contractual obligations; (4) when system

pressure is rising and approaching a level or is expected to rise and

approach a level that is at or above the maximum pressure at which

Trailblazer's facilities may be safely operated; or (5) at other times

when Trailblazer is unable or anticipates it may not be able to