Reliant Energy Gas Transmission Company

Fifth Revised Volume No. 1

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Effective Date: 05/01/2002, Docket: RP02-196-001, Status: Effective

Second Revised Sheet No. 121 Second Revised Sheet No. 121 : Effective

Superseding: First Revised Sheet No. 121

RATE SCHEDULE NNTS

NO NOTICE TRANSPORTATION SERVICE

(continued)

5.2 If a Shipper qualifies as a Small Customer and so elects when

requesting service, in lieu of the two-part Reservation Fee and

Commodity Rate specified above, Shipper shall pay the one-part

currently effective Small Customer Commodity Rate shown in

Transporter's Statement of Effective Rates and Charges for

Transportation of Gas contained in this Tariff. Failure by a

Small Customer Shipper to first fully utilize its daily firm

entitlement to service hereunder prior to either tendering Gas for

transport under Rate Schedule IT or as a replacement Shipper

through released capacity or receiving Gas from another Shipper at

the Small Customer Shipper's Delivery Point(s) shall render the

Small Customer Shipper ineligible for the one-part rate. For

purposes hereof, a Small Customer shall be one which was

purchasing Gas under Transporter's superseded Rate Schedule G-2 on

May 18, 1992, to the extent its service entitlement hereunder

represents a conversion of its former firm bundled sales service

entitlement.

5.3 Shipper shall provide and Transporter shall retain Fuel Use and

LUFG in-kind in the percentages and in the manner described in

Transporter's Statement of Effective Rates and Charges for

Transportation of Gas contained in this Tariff; provided, however,

Transporter is entitled to assess a zero charge for Fuel Use and

Electric Power Costs for transactions that do not require the use

of compression on Transporter's system. Such transactions are

identified in Section 27.6 of Transporter's General Terms and

Conditions, and Transporter will assess a LUFG charge for these

transactions.

5.4 The rates charged for service hereunder shall be the applicable

maximum rates shown in Transporter's Tariff, as on file and in

effect from time to time. Said rates are subject to adjustment as

provided in the General Terms and Conditions.