Transcolorado Gas Transmission Company LLC

Second Revised Volume No. 1

Effective Date: 12/28/2007, Docket: RP08-167-000, Status: Effective

Original Sheet No. 127 Original Sheet No. 127 : Effective

RATE SCHEDULE PALS

6.5 TransColorado may from time to time and at any time, upon twenty-

four (24) hours verbal or written notice, subject to any provisions on

discounting in the PALS Agreement or PALS RO, charge any individual Shipper

for service under this Rate Schedule PALS a rate which is lower than the

applicable maximum rate set forth in this Tariff; provided, however, that such

rate charged may not be less than the applicable minimum rate for service

under Rate Schedule PALS set forth in this Tariff. Unless otherwise agreed in

the PALS Agreement or PALS RO, TransColorado may at any time further change

such rate (subject to any restrictions as to maximum or minimum rates set out

in this Tariff, the PALS Agreement and/or PALS RO) upon twenty-four (24)

hours' verbal notice to Shipper, which notice shall be confirmed in writing.

Such notification shall specifically state the effective date of such rate

change and the quantity of gas so affected. TransColorado shall file with

FERC any and all reports as required by FERC's Regulations with respect to the

institution or discontinuance of any discount.

6.6 All revenues and gas in kind collected by TransColorado as a

result of providing service under this Rate Schedule PALS shall be retained by

TransColorado unless TransColorado has otherwise explicitly agreed on a

different disposition of such amounts. Where crediting or refund mechanisms

apply under other provision(s) of this Tariff or pursuant to effective FERC

orders or settlements, such mechanisms shall supersede this Section to the

extent necessary to carry out such provision(s).