Panhandle Eastern Pipe Line Company

First Revised Volume No. 1

Effective Date: 01/23/1999, Docket: RP99-192-000, Status: Effective

First Revised Sheet No. 46 First Revised Sheet No. 46 : Superseded

Superseding: Substitute Original Sheet No. 46

RATE SCHEDULE SCT (Continued)

SMALL CUSTOMER TRANSPORTATION SERVICE

3.1 Transmission Charge

If Shipper designates a Point(s) of Receipt or a Point(s)

of Delivery on the transmission portion of Panhandle's

system, the applicable Transmission Charge shall be the

product of the actual Quantity of Gas delivered during the

Month up to Shipper's MDCQ times the applicable

Transmission commodity rates per Dt. as set forth on the

effective Tariff Sheet No. 6. If both the Point(s) of

Receipt and the Point(s) of Delivery are located within

the Field Zone, the applicable rates shall be as set forth

on the effective Tariff Sheet No. 6 for service within the

Field Zone only; if both the Point(s) of Receipt and

Point(s) of Delivery are located within the Market Zone,

the applicable rates shall be as set forth on the

effective Tariff Sheet No. 6 for service within the Market

Zone only; if the Point(s) of Receipt and the Point(s) of

Delivery are located in different zones, the applicable

rates shall be derived by adding the effective rates for

service in the Field Zone and the Market Zone.

3.2 Gathering Charge

If Shipper designates a primary Point(s) of Receipt or a

Point(s) of Delivery on the Gathering portion of

Panhandle's system or utilizes the Gathering portion of

Panhandle's system for firm service hereunder, Shipper

shall pay a Gathering charge which shall be the product of

the actual Quantity of Gas delivered during the Month

times the applicable commodity rate per Dt. as set forth

on the effective Tariff Sheet No. 6.

If Shipper designates a Point(s) of Receipt on the

Gathering portion of Panhandle's system as a secondary

Point(s) of Receipt pursuant to Section 10.3(c) of the

General Terms and Conditions, the otherwise applicable

charges shall also include the Gathering commodity rate

per Dt. as set forth on the effective Tariff Sheet No. 6.