National Fuel Gas Supply Corporation

Fourth Revised Volume No. 1

Effective Date: 10/14/2004, Docket: RP04-591-000, Status: Effective

Second Revised Sheet No. 409 Second Revised Sheet No. 409 : Effective

Superseding: First Revised Sheet No. 409

GENERAL TERMS AND CONDITIONS

19. ANNUAL CHARGES ADJUSTMENT CLAUSE

19.1 Purpose

For the purpose of funding the Annual Charges assessed against

Seller by the Commission or any successor agency, this Section

establishes an Annual Charge Adjustment Clause ("ACA") pursuant to

18 CFR Section 154.402 to be applicable to Seller's Rate Schedules

EFT, FT, FST, FT-S, SS-1, SS-2, IT, FSS, ESS, ISS, IAS, X-10, X-51,

and X-54.

19.2 Basis of the ACA

The rate schedules specified in Section 19.1 hereof shall include

an increment for the ACA. Such charge shall be that increment,

adjusted to Seller's pressure base and heating value, if required,

which has been approved by the Commission orders approving the

Annual Charges. The ACA shall be reflected on Sheet Nos. 8, 9, 10

and 11 of this Tariff and in First Revised Volume No. 2, where

applicable.

19.3 Filing Procedure

The notice period and proposed effective date of the filings

pursuant to this Section 19 shall be the same as those permitted

under Commission Order Nos. 472 and 472-A, unless a lesser notice

period and different effective date is allowed by valid Commission

order.

19.4 Intent

Seller intends to fund the Annual Charges assessed against it by

the Commission or any successor agency pursuant to 18 CFR Section

154.402 through this Section 19. If this Section 19 is approved by

the Commission, Seller does not intend to recover such Annual

Charges recorded in FERC Account No. 928 through a general rate

case filing under Section 4 of the Natural Gas Act.