Reliant Energy Gas Transmission Company

Fifth Revised Volume No. 1

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Effective Date: 10/01/2002, Docket: RP02-439-000, Status: Effective

First Revised Sheet No. 189 First Revised Sheet No. 189 : Effective

Superseding: Original Sheet No. 189

RATE SCHEDULE PS

POOLING SERVICE

(continued)

and accept nominated and scheduled outgoing Pool Transfer

quantities in a manner such that Undersupplies are maintained in

the outgoing Pool ("in-whole" basis). Transporter shall not be

required to accept predetermined allocation methodologies for Pool

Transfers nor separately provide or transmit allocations to Pool

Managers relating to Pool Transfers. In the event of a

curtailment, as provided in Section 10 of the General Terms and

Conditions of this Tariff, Transporter will curtail nominated and

scheduled Pool Transfers prior to curtailments of physical

deliveries to Transporter.

2.4 Imbalances. Imbalances in a Pool are calculated by determining

the difference between total aggregated receipts into the Pool and

the total deliveries allocated out of such Pool. In the event of

Oversupplies or Undersupplies in a given Pool, the Service

Agreement under which the pooling service is rendered will have an

Imbalance for each individual Pooling Area, as applicable.

Monthly Imbalances for different Pooling Areas under Pool

Manager's Service Agreement may be offset against one another if

Pool Manager pays a fee or charge as described in Section

5.7(c)(ii)(3) of Transporter's General Terms and Conditions, and

otherwise complies with the requirements of such sub-section.

Pool Managers can resolve Imbalances during the Month by revising

nominations, subject to the availability of capacity and

operational conditions. Any Imbalance remaining at the end of a

Month shall be cashed-out in accordance with the provisions of

Section 5.7(c)(ii) of Transporter's General Terms and Conditions.

2.5 Performance. Transporter shall not have any liability to a Pool

Manager or any other Shipper as a result of Transporter's reliance

on the performance by a Pool Manager of its obligations hereunder,

and each Pool Manager shall indemnify Transporter from and against

any and all losses, damages, expenses, claims, actions or

proceedings threatened, incurred or initiated as a result of

Transporter's reliance on such performance.

2.6 Creditworthiness. Pool Managers or potential Pool Managers shall

be required to comply with the provisions of Section 14 of the

General Terms and