Pacific Interstate Transmission Company

Original Volume No. 1

Effective Date: 10/01/1981, Docket: GT97- 67-000, Status: Effective

Original Sheet No. 101 Original Sheet No. 101 : Effective

GENERAL TERMS AND CONDITIONS

1. DEFINITIONS

The following terms, when used in this FERC Gas Tariff, Original Volume No.

1 or a Service Agreement, shall have the following respective meanings:

1.1 The term "accumulated deferred income taxes" shall mean the total of

the balances in Account Nos. 281, 282 and 283, less the balance in

Account No. 190.

1.2 The term "billing month" shall mean the period beginning at 8:00 A.M.,

Mountain Standard Time, on the first day of a calendar month (except

that the first billing month with respect to any Buyer shall begin with

the first day of service to that Buyer) and ending 8:00 A.M., Mountain

Standard Time, on the first day of the next succeeding calendar month.

1.3 The term "Btu" shall mean British thermal unit.

1.4 The term "Buyers" shall mean, at anytime, the Persons which have

entered into Service Agreements with Seller which are then in effect;

and the term "Buyer" shall mean one of such Persons.

1.5 The term "calendar year" shall mean the period from 8:00 A.M., Mountain

Standard Time, on January 1 of any year to 8:00 A.M., Mountain Standard

Time, on January 1 of the next succeeding year.

1.6 The term "Cost of Service" relative to a billing month shall mean the

amount determined for such billing month pursuant to Section 4 of Rate

Schedule CQS-1.

1.7 The term "day" shall mean a period of 24 consecutive hours beginning

and ending at 8:00 A.M., Mountain Standard Time, or such other period

of time as parties may agree. The reference date for any day shall be

the date of the beginning of such day.

1.8 The term "Federal Energy Regulatory Commission" shall mean the Federal

Energy Regulatory Commission of the United States of America or any

other tribunal which may hereafter exercise the functions now exercised

by that Commission with respect to regulation of gas pipelines.

1.9 The term "gas" shall mean natural gas, manufactured, artificial or

synthetic gas, or any mixture or combination thereof.

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