Reliant Energy Gas Transmission Company

Fifth Revised Volume No. 1

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Effective Date: 12/01/2002, Docket: RP03- 60-000, Status: Effective

Second Revised Sheet No. 308 Second Revised Sheet No. 308 : Effective

Superseding: First Revised Sheet No. 308

GENERAL TERMS AND CONDITIONS

(continued)

5.5 Delivery Nominations and Scheduling (continued)

(d) Scheduling: Unless the Confirming Parties have agreed to

Confirmation by Exception, Transporter will initiate

confirmation of a delivery nomination from the entity which

controls the facilities immediately downstream of the

Delivery Point, and such entity shall provide confirmation

in accordance with the above specified deadlines.

Transporter will not be obligated to schedule a nomination

if the applicable downstream entity does not confirm it in

time to allow Transporter to schedule such nomination within

the time requested by Shipper. Nominations received after

the nomination deadline(s) for a given period will be

scheduled after the nominations received before such

deadline(s). Transporter shall have no obligation to

schedule nominations which do not have consistent and

verifiable corresponding receipt nominations. Nominations

which cannot be confirmed with the party which controls the

facilities immediately downstream of the Delivery Point will

not be scheduled. Nominations for a Day will be scheduled

until all the available firm capacity, interruptible

capacity at maximum applicable rates and interruptible

capacity requested at selectively discounted rates

acceptable to Transporter has been utilized. Scheduling

will not be delayed, nor will capacity be reserved, for

nominations that cannot be readily confirmed with the

party which controls the facilities immediately downstream

of the Delivery Point.