Phillips Gas Pipeline Company

First Revised Volume No. 1

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Effective Date: / / , Docket: RS92- 47-001, Status: Effective

Original Sheet No. 58 Original Sheet No. 58 : Superseded

21. CAPACITY RELEASE PROGRAM

21.1 Purpose: This Section 21 sets forth the specific terms and

conditions applicable to the implementation by PGPL of

a Capacity Release Program on its interstate pipeline

system.

21.2 Definitions: For the purposes of this Section 21, the

following definitions will apply to Capacity Releases.

(a) Releasing Shipper: A firm Shipper or Replacement

Shipper under an executed Service Agreement

subject to Part 284 of the Commission's regulations

who intends to have PGPL post to the Electronic

Bulletin Board ("EBB") all or any portion of its

firm service to be released to a Replacement

Shipper, or to a Prearranged Replacement Shipper

through a prearranged capacity release transaction,

or which has released its firm service.

(b) Replacement Shipper: A Shipper which has

contracted for service with PGPL subject to Part

284 of the Commission's regulations to utilize a

Releasing Shipper's released firm service for a

specified period of time. Replacement Shippers

must meet all of the terms and conditions of

PGPL's tariff as required of any other Shipper.

(c) Potential Replacement Shipper: A Shipper which

desires to acquire released firm capacity.

(d) Prearranged Replacement Shipper: A party who

desires to contract directly for or who has

contracted directly for capacity which is subject to

Part 284 of the Commission's regulations and who

has agreed to the terms of a capacity release

transaction directly with a Releasing Shipper, which

terms a Releasing Shipper posts to the EBB or

provides to PGPL for posting to the EBB.

Prearranged Replacement Shippers must meet all

of the terms and conditions of PGPL's tariff as

required of any other shipper.