Natural Gas Pipeline Company Of America

Seventh Revised Volume No. 1

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Effective Date: 04/18/2008, Docket: RP08-319-000, Status: Effective

Original Sheet No. 294 Original Sheet No. 294 : Pending

GENERAL TERMS AND CONDITIONS

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Shipper submits the offer. The reserve price matrix in the resulting

open season will include an entry for the specific term in the offer by

the Shipper initiating the open season. Otherwise, Natural can establish

all parameters of the open season to the same extent as set out in

Section 5.1(c)(1) or Section 5.1(c)(2), as applicable. Requests for a

Shipper-Initiated Open Season may not include a Negotiated Rate or

Negotiated Rate Formula.

(7) SPREADSHEETS Contemporaneous with posting of

an open season, Natural shall make available (subject only to reasonable

user requirements) electronic spreadsheets setting out the analyses

which will be used to determine the winning bid(s), in a format which

will allow the user to calculate net present value.

(8) CONDITIONS ON REQUESTS AND BIDS This

subsection sets out conditions applicable to all requests and bids for

firm capacity. Natural shall reject any request or bid for service

which may detrimentally impact the operational integrity of Natural's

system (if Natural rejects a bid or request on this basis, it will

provide a written explanation of the operational basis for this action);

which does not satisfy all the terms of an applicable posting and/or

does not provide all the information required by the posting; which

contains terms and conditions other than those in Natural's Tariff

and/or an applicable posting; which would not constitute a valid request

under the applicable rate schedule (it being understood that a bid

cannot be rejected for incompleteness if all information required by the

bid form and the applicable posting has been provided); or is in any way

inconsistent with Natural's Tariff and/or an applicable posting. Any

Shipper wishing to bid in an open season or submit a request for

capacity must satisfy the creditworthiness requirements in Section 16 of

these General Terms and Conditions prior to submitting a bid or request.

A Shipper cannot bid for or request services which exceed its pre-

qualified level of creditworthiness. Natural shall process - and

encourages - applications from potential bidders or requesters seeking

prequalification for bids or requests they may make in the future.

Credit applications shall be completed in full with all information

required to establish creditworthiness under the credit criteria

included in Natural's rate schedule covering the applicable service.

Should a potential bidder or requester fail to satisfy such credit

criteria, it may still qualify by providing a prepayment, letter of

credit, security interest or guarantee satisfactory to Natural as

further set forth in Section 16 of these General Terms and Conditions.

Based on Natural's continuing review of a Shipper's financial records,

Natural shall have the right to amend a Shipper's line of credit and

lower or increase the quantity and term.