Reliant Energy Gas Transmission Company

Fifth Revised Volume No. 1

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Effective Date: 06/01/2002, Docket: RP00-482-003, Status: Effective

Third Revised Sheet No. 204 Third Revised Sheet No. 204 : Effective

Superseding: Second Revised Sheet No. 204

RATE SCHEDULE SBS

SHORT-TERM BALANCING SERVICE

1. AVAILABILITY:

This Rate Schedule is available to any party (hereinafter referred to as

Shipper) that requests short-term Imbalance resolution service on an

interruptible, self-implementing basis from Transporter when:

(a) Transporter determines that Transportation service may be rendered

pursuant to either Subparts B or G of Part 284 of the Commission's

Regulations;

(b) Transporter has received a complete request for service, via

electronic means using the Internet unless Transporter otherwise

agrees, containing the items listed commencing on Sheet No. 467 of

this Tariff;

(c) Shipper has, or on the effective date of service hereunder will

have, in effect a Service Agreement for transportation under Rate

Schedule FT, HFT, IT, PHS (wheeling) or PS;

(d) Transporter has reviewed the request and determined that excess

capacity may exist from time to time to perform the interruptible

service requested; and

(e) Shipper and Transporter have either executed a Service Agreement,

or an amendment to an existing Service Agreement, for

transportation service under Rate Schedule FT, HFT, IT or PS in

the applicable form commencing on Sheet No. 477 of this Tariff

which provides for interruptible short-term balancing service as

an adjunct to such transportation service via electronic means

using the Internet unless Transporter otherwise agrees.

2. APPLICABILITY AND CHARACTER OF SERVICE:

2.1 This Rate Schedule shall apply to the short-term advance of Gas by

Shipper or Transporter, and the subsequent delivery or return

thereof, pursuant to a Service Agreement executed by Transporter

and Shipper providing for such services on an interruptible basis,

in conjunction with transportation services, up to the Maximum

Advance Delivery and/or Advance Receipt Quantities, or such

greater quantities agreed to by Transporter, and subject to the

provisions of the Service Agreement and the General Terms and

Conditions of this Tariff.