Norteño Pipeline Company

First Revised Volume No. 1

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Effective Date: 04/01/1996, Docket: CP96- 81-007, Status: Effective

Original Sheet No. 225 Original Sheet No. 225 : Superseded

GENERAL TERMS AND CONDITIONS

1. DEFINITIONS:

1.1 Alternative Receipt and Delivery Points - Those

Receipt and Delivery Points specified in Exhibit

"C" of a Shipper's Transportation Service

Agreement, which a Shipper may request from time

to time pursuant to Section 15.6(f) of those

General Terms and Conditions.

1.2 Billing Month - The term "Billing Month" shall

mean the period beginning at 12:01 AM Central

Standard Time on the first day of a calendar month

and ending at 12:01 AM Central Standard Time on

the first day of the next succeeding calendar

month.

1.3 BTU- The term "BTU" shall mean British Thermal

Unit.

1.4 Buyer - The term "Buyer" shall mean any of

Norte¤o's customers authorized to receive gas

sales service under any of the Sales Rate

Schedules pursuant to an executed service

agreement.

1.5 Commission or FERC - The terms "Commission" or

"FERC" shall mean The Federal Energy Regulatory

Commission, or successor agency.

1.6 Cost of Service - The term "Cost of Service" shall

mean the sum of the costs incurred by Norte¤o in

providing the services defined herein, including,

but not limited to, operation and maintenance

expenses, taxes other than income taxes,

depreciation, depletion and amortization, income

taxes and a reasonable return on Norte¤o's net

investment in assets utilized to provide the

services. Only for sales service will the term

"cost of service" include purchased gas costs.

1.7 Day - The term "Day" shall mean a period of 24

consecutive hours, beginning at 12:01 AM Central

Standard Time.