Portland General Electric Company

Original Volume No. 1

Effective Date: 12/03/2003, Docket: RP04- 48-000, Status: Effective

Original Sheet No. 51 Original Sheet No. 51 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

12. PRIORITY OF SERVICE (Continued)

12.4 Curtailment Procedures. If Transporter determines on any day

that for any reason whatsoever, including reasons of force majeure, the

capacity of or demand on its system or any portion thereof is

insufficient to satisfy the requirements for scheduled service as set

forth in executed Service Agreements, Transporter shall curtail or

interrupt deliveries in accordance with the priorities set forth below,

to the extent necessary to maintain priority of service.

(a) Transporter shall first interrupt scheduled balancing

and/or overrun service and receipts or deliveries in excess

of firm entitlements under any Rate Schedule in this Tariff

on a pro rata basis in proportion to the contract demands or

Maximum Daily Quantities set forth in the applicable executed

Service Agreements;

(b) Transporter shall then interrupt all interruptible service

which is being provided at a rate less than the maximum rate

applicable to such service by rate being paid, from lowest to

highest. Service which is being provided at the same rate shall

be interrupted by Priority Date, from newest to oldest. Service

which is being provided at the same rate and which also has the

same Priority Date shall be interrupted on a pro-rata basis

based on Maximum Daily Quantity. In order to avoid interruption

based on rate, any Shipper who receives interruptible

transportation service at less than the maximum rate, may agree

in writing to pay a rate higher than the discounted rate, up to

the maximum rate, during interruption of service. The actual

rate charged, up to the specified rate, shall only be that rate

necessary to avoid interruption and would only be paid by

Shipper as long as necessary to avoid interruption of service by

rate;

which is being provided at the maximum rate applicable to such

service by Priority Date, from newest to oldest. Shippers

receiving interruptible service who are paying a Negotiated Rate

which exceeds the maximum rate will be considered for purposes

of this Section 12.4(c) to be paying the maximum rate.

Agreements having the same Priority Date shall be interrupted on

a pro-rata basis based on Maximum Daily Quantity;

(d) After interruption of services under (a), (b), and (c),

Transporter shall curtail all firm services on a pro rata basis

in proportion to the contract demands set

forth in the executed Service Agreements; and