Maritimes & Northeast Pipeline, L.L.C.

First Revised Volume No. 1

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Effective Date: 08/01/2010, Docket: RP10-775-000, Status: Effective

Seventh Revised Sheet No. 261 Seventh Revised Sheet No. 261

Superseding: Sixth Revised Sheet No. 261

GENERAL TERMS AND CONDITIONS

(continued)

10. ACTION ALERTS AND OPERATIONAL FLOW ORDERS (continued)

against any claims of responsibility. However, Pipeline shall

use reasonable efforts to minimize any such costs or damages.

10.10 Customers: As a point of clarification, any reference in this

Section 10 to a Customer includes both Pipeline's

transportation Customers, TABS Party and OBA Parties.

11. BALANCING

11.1 Imbalance Resolution Procedures. Customer shall have the

responsibility to maintain as nearly as practicable an equal

balance between quantities of Gas received at the Point(s) of

Receipt, adjusted for appropriate Fuel Retainage Quantity, and

quantities of Gas delivered each Month. If Customer does not

maintain an equal balance between quantities of Gas received at the

Point(s) of Receipt, adjusted for appropriate Fuel Retainage

Quantity, and quantities of Gas delivered, the resulting contract

imbalance will be handled in accordance with the provisions of this

Section 11 to eliminate contract imbalances accumulated during the

Month and to provide added incentives to Customers to comply with

their monthly balancing responsibilities.

(a) Contract Imbalance

(1) Service Agreements. A contract imbalance for a Service

Agreement shall be the difference between actual

quantities of gas received at the Point(s) of Receipt

less appropriate Fuel Retainage Quantity, and actual

quantities of gas delivered during the Month under the

Service Agreement. To the extent Customer is utilizing

service provided at a meter with an OBA Party, Customer's

confirmed nomination quantities at that meter will be

used as the actual quantity for purposes of calculating

the imbalance level in accordance with Section 11.1(b)

below.

(2) Operational Balancing Agreements. The contract imbalance

for an OBA Party shall be based on the difference between

total actual quantities of Gas received or delivered

through the affected meter and the total aggregated

confirmed nomination quantities for that meter, which

shall be used as the actual quantities of Gas received or

delivered for purposes of Section 11.1(b) below.