Hardy Storage Company, LLC

Original Volume No. 1

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Effective Date: 04/01/2007, Docket: CP05-150-003, Status: Effective

Original Sheet No. 141 Original Sheet No. 141 : Effective

GENERAL TERMS AND CONDITIONS (Cont'd)

19. PENALTIES

The penalties set forth in this Section apply to the HSS and IHSS Rate

Schedules, unless otherwise indicated in this Section or in individual Rate

Schedules.

19.1 Failure to Comply with OFOs. If Customer fails to comply with an

OFO issued by Seller pursuant to Section 17 (Operational Flow Orders) of the

General Terms and Conditions, a penalty of $5.00 per Dth per day shall be

assessed on all quantities taken or delivered in violation of that OFO.