Texas Eastern Transmission, L P

Seventh Revised Volume No. 1

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

Third Revised Sheet No. 351 Third Revised Sheet No. 351

Superseding: Second Revised Sheet No. 351

RATE SCHEDULE PAL

(Continued)

2.6 Pipeline shall not be obligated to add any facilities or expand the capacity of its

pipeline system in any manner in order to provide Park Service and/or Loan Service to

Customer pursuant to this Rate Schedule. Pipeline is free to contract at any time with

other parties for new storage or transportation services (whether firm or interruptible)

and/or new service under this Rate Schedule without liability to Customer for any

resulting interruption or reduction of service hereunder.

3. RATE

3.1 The applicable rates for service hereunder are set forth in the currently effective

Statement of Rates for Rate Schedule PAL of this FERC Gas Tariff and hereby incorporated

herein. The rates in this Rate Schedule are subject to adjustment pursuant to Section 15

of Pipeline's General Terms and Conditions. Unless Pipeline and Customer agree in

writing upon a rate for service provided hereunder, the rate applicable to a Customer for

service hereunder shall be the applicable maximum rate(s) as set forth on the effective

Statement of Rates for Rate Schedule PAL. In the event a rate less than the applicable

maximum rate(s) and 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 Pipeline shall submit and Customer shall pay a monthly invoice reflecting the sum of all

Daily Charges for each Day during the applicable Month that PAL service is provided to

the Customer by Pipeline. The Daily Charges shall be the product of the Quantities of

Gas in Customer's PAL account for each separate Park and Loan transaction and the maximum

or mutually agreed upon rate.

4. NOMINATIONS AND SCHEDULING OF RECEIPTS AND DELIVERIES

4.1 If Customer desires parking and loaning service of Natural Gas on any Day under this Rate

Schedule, Customer shall submit a nomination to Pipeline in accordance with Section 4 of

Pipeline's General Terms and Conditions. Customer shall nominate the agreed upon park or

loan quantities and term at the PAL Point(s) of Transaction specified in Exhibit(s) A to

the Customer's PAL Service Agreement. Such nominated quantities and term shall be

subject to confirmation by Pipeline. Pipeline shall schedule the quantities nominated

hereunder in accordance with Section 4 of Pipeline's General Terms and Conditions.

4.2 The park or loan Quantity of Gas in Customer's account on any Day shall not exceed the

MPQ and/or the MLQ set forth in Exhibit(s) A to the Customer's PAL Service Agreement, as

applicable. Pipeline shall reject any nomination if Customer nominates quantities when

the balance(s) in Customer's account exceeds the specified MPQ and/or MLQ or when giving

effect to the nomination would result in a balance(s) in Customer's account in excess of

the specified MPQ and/or MLQ.

4.3 PAL services shall be provided on an interruptible basis. Interruption of PAL services

may include decreasing, temporarily suspending, or discontinuing the receipt or delivery

of Gas if Pipeline in its reasonable discretion determines that such decrease, suspension

or discontinuance is necessary to prevent the impairment of reliable service or when a

higher priority service so requires. Nothing in this rate schedule shall limit

Pipeline's right to take action pursuant to Section 4 of the General Terms and Conditions

of this tariff.