Natural Gas Pipeline Company Of America

Seventh Revised Volume No. 1

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

Original Sheet No. 502 Original Sheet No. 502 : Pending

GENERAL TERMS AND CONDITIONS

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(2) Supply Realignment Costs shall not be assessed

against any specific Agreement held by any member of the Natural

Customer Group; provided, however, with respect to Wisconsin Natural

Gas Company, this statement is limited to Agreements formerly held

by Wisconsin Southern Gas Company or successor Agreements arising

out of such Agreements, and with respect to IES Utilities, Inc.,

this statement is limited to Agreements formerly held by Iowa

Southern Utilities Company and Iowa Electric Light and Power Company

or successor Agreements arising out of such Agreements; and

provided, further, that nothing herein shall preclude Natural from

seeking to assess, or shall prejudice any Natural Customer Group

member in objecting to an assessment of, the following:

(i) generally applicable charges, including

any amounts for recovery of Supply Realignment Costs, assessed on

any ITS Agreements, whether or not held by a Natural Customer Group

member; and

(ii) generally applicable charges to recover

Supply Realignment Costs assessed on new firm transportation

Agreement(s) of a Natural Customer Group member to the extent such

Agreement(s) would increase the total firm contract demand of such

Natural Customer Group member for transportation services on Natural

above the level of its aggregate firm contract demand for firm

transportation services on Natural in effect on December 1, 1993.

(e) (1) The Other Consenting Customers shall be

assessed the same Demand Surcharge as Natural Customer Group members

in any month, based on the following transportation billing

determinants which are fixed for a period of forty-eight (48) months

from December 1, 1993:

Associated Natural Gas Company 5,477

City of Nebraska City, Nebraska 4,100

Industrial Energy Applications, Inc. 2,744

The rate paid by the Other Consenting Customers shall be adjusted to

equal the effective rate paid by members of the Natural Customer

Group based on the reconciliation in Section 38.10(a). Natural

shall pay interest on any resulting refunds at the rate prescribed

in the Commission's Regulations at 18 C.F.R. Section 154.501(d).