Williston Basin Interstate Pipeline Co.

Second Revised Volume No. 1

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Effective Date: 01/01/1996, Docket: RP95-364-012, Status: Effective

Third Revised Sheet No. 350A Third Revised Sheet No. 350A : Effective

Superseding: Original Sheet No. 350A

GENERAL TERMS AND CONDITIONS (Continued)

39. TRANSITION COST RECOVERY MECHANISMS (Continued)

39.3.3.2 Annual Reservation Charge Surcharge

Reconciliation - This provision provides a

true-up mechanism to ensure that Transporter

neither overrecovers nor underrecovers the

costs included in the reservation charge

surcharges. On or before May 31 of each year,

Transporter shall recalculate the reservation

charge surcharges to take into account

revisions for the actual FERC published

interest rates during the recovery period

ending the preceding March 31 applied to

ninety (90) percent of the actual GSR Costs

paid by Transporter, reduced, as applicable,

to reflect interest owed by Transporter to

Applicable Firm Shippers on GSR Costs

collected from Applicable Firm Shippers during

such portion of the recovery period that such

GSR Costs had not been expended by

Transporter. Additionally, Transporter shall

calculate revisions to the reservation charge

(The rest of this sheet has been intentionally left blank.)