Texas Eastern Transmission, L P

Seventh Revised Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 03/14/2010, Docket: RP10-375-000, Status: Effective

Third Revised Sheet No. 297B Third Revised Sheet No. 297B

Superseding: Second Revised Sheet No. 297B

RATE SCHEDULE MLS-1

(Continued)

rate(s). In the event a rate other than the applicable maximum rate(s), but not less

than the applicable minimum rate(s) is agreed upon, such rate shall be applicable for

the period agreed upon by Customer and Pipeline.

3.2 For Customers electing firm service, Pipeline shall charge and Customer shall pay

Pipeline for transportation service under this Rate Schedule each month the sum of the

following amounts:

(A) The Reservation Charge Rate, as determined pursuant to Section 3.1 herein,

multiplied by the MDQ, and

(B) The Usage-2 Charge Rate, as set forth on the Statement of Rates for Rate Schedule

MLS-1, multiplied by that portion of the total quantity of gas deliveries on any

day pursuant to the executed service agreement, which is in excess of 110% of

scheduled service levels for such day.

3.3 Customers electing interruptible service shall pay Pipeline each month a Monthly Usage

Charge consisting of the sum of the following daily charges:

(A) The Usage-1 Charge Rate, as determined pursuant to Section 3.1 herein, multiplied

by that portion of the total quantity of gas deliveries on any day pursuant to

the executed service agreement, which is not in excess of 110% of scheduled

service levels for such day.

(B) The Usage-2 Charge Rate, as set forth on the Statement of Rates for Rate Schedule

MLS-1, multiplied by that portion of the total quantity of gas deliveries on any

day pursuant to the executed service agreement, which is in excess of 110% of

scheduled service levels for such day..

3.4 Except as provided in Section 3.5 of this Rate Schedule, in the event Pipeline fails to

deliver on any one day at least 95% of the quantity of gas requested to be delivered by

Pipeline at Point(s) of Delivery which Pipeline is obligated to deliver on a firm basis

at such Point(s) of Delivery on such day up to the MDQ, the Reservation Charge shall be

decreased by the amount of the Reservation Charge Adjustment (as set forth on the

currently effective Statement of Rates for Rate Schedule MLS-1 of Pipeline's FERC Gas

Tariff, Volume No. 1) multiplied by the quantity of gas not delivered up to the lesser

of the total quantity of gas requested and not delivered, or the MDQ. Such Reservation

Charge Adjustment shall be discounted in the case of an executed service agreement

containing a discounted Reservation Charge Rate in the same proportion such Reservation

Charge Rate is discounted from the maximum Reservation Charge Rate.

3.5 Pipeline shall not be obligated to adjust the Reservation Charge pursuant to Section

3.4 when Pipeline's failure to deliver on any one day at least 95% of the quantity of

gas requested by Customer to be delivered at Point(s) of Delivery which gas Pipeline is

obligated to deliver on a firm basis at such Point(s) of Delivery on such day up to the

MDQ:

(A) is the result of the conduct of Customer or the downstream operator of the

facilities at the Point of Delivery;

(B) is the result of Pipeline having operational flow orders in effect on such day;

(C) is the result, during the period from May 1 through November 1 of any year, of

Pipeline performing routine operational maintenance and repair;

(D) is the result of Pipeline performing at anytime repair and maintenance of its

facilities to comply with applicable regulatory requirements, or

(E) occurs either (1) within ten (10) days following a force majeure event as

contemplated by Section 17.1 of the General Terms and Conditions, or (2) prior to

the date Pipeline has or should have, in the exercise of due diligence, overcome

the force majeure event, whichever occurs first.