National Fuel Gas Supply Corporation

Third Revised Volume No. 1

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Effective Date: 08/24/1994, Docket: CP92-508-007, Status: Effective

Sub. Third Revised Sheet No. 236 Sub. Third Revised Sheet No. 236 : Superseded

Superseding: Sub. Second Revised Sheet No. 236

GENERAL TERMS AND CONDITIONS

23. Transportation and Storage Cost Adjustments ("TSCA") (Cont'd.)

23.6 Termination Provision

At such time as the provisions of this Section are terminated,

(i) any net credit balance in the Account No. 186 subaccount,

Unrecovered Transportation and Storage Cost, shall be refunded to

Buyers, or (ii) any net debit balance shall be due and payable by

Buyers.

Such refunds or payments shall be made by either debiting or

crediting a deferred account or by immediate cash refunds/direct

billing payments as may be directed by the Commission, or, in the

absence of direction from the Commission, cash refunds/direct

billing payments.

24. Revenue Flow Back

24.1 General

Transporter shall flow back the net revenues it receives from

its:

(a) W-1 and IT services to its EFT, FT, SS-1 and SS-2 customers;

and

(b) ISS, IAS, P-1 and IR-1, P-2 and IR-2 services to its ESS,

FSS, SS-1 and SS-2 customers.

24.2 Definition of Net Revenues

Net revenues are the annual revenues actually received by

Transporter for P-1, W-1, IR-1, P-2 and IR-2, IT, ISS and IAS

services, less:

(a) any GSR recoveries as provided for under Section 21.3 (b) of

this tariff as well as GRI and ACA costs included in those

services ("base revenues"); less,

(b) for IT service, 100 percent of the base revenues when they

are not greater than the product of 1.8 MMDth and the ap-

proved rate for IT service ("IT revenue credit"); or 10

percent of the base revenues to the extent they are greater

than the IT revenue credit; less,

(c) for P-1, W-1 and IR-1, P-2 and IR-2 services, 10 percent of

the base revenues; less,

(d) for ISS and IAS services, the variable costs of providing

such service.