Reliant Energy Gas Transmission Company

Fifth Revised Volume No. 1

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

First Revised Sheet No. 447 First Revised Sheet No. 447 : Effective

Superseding: Original Sheet No. 447

GENERAL TERMS AND CONDITIONS

(continued)

23. TRANSITION COSTS RECOVERY MECHANISM (continued)

23.4 Exit Fee.

Transporter shall have the right to collect as part of an exit fee

any remaining unrecovered purchased gas costs pursuant to Section

23.1 above, the GSR Costs, stranded costs and new facilities

costs, upstream firm interstate transportation costs and other

amounts related to services provided to Shippers, as Transporter

and Shipper may agree.

23.5 IT Revenue Credit to Firm Transportation.

The maximum reservation charge under Rate Schedules FT and NNTS

shall be adjusted by the IT Revenue Credit, which shall be

determined by dividing the FT Excess Revenue Share (discussed at

Section 23.2(b)(iv) above) by the total annual contract demand

under Rate Schedules FT and NNTS (i.e., total Contract Demands and

Contract Delivery Demands multiplied by twelve) in effect on

January 1 of the Accrual Period as set out in Section 23.2(b)(iv).

The IT Revenue Credit shall be calculated to include interest on

the appropriate amounts, in accordance with Section 154.501 of the

Commission's regulations. The appropriate amount of FT Excess

Revenue Share, if any, will be determined in accordance with the

provisions of Section 23.2(b)(iv). Interest on such FT Excess

Revenue Share will accrue from the end of its Accrual Period to

the effective date of the IT Revenue Credit. Transporter shall

file to make the IT Revenue Credit effective each May 1 for the

next succeeding twelve Month period.

23.6 Excess ISS Revenues/Remaining ISS Costs.