Reliant Energy Gas Transmission Company

Fourth Revised Volume No. 1

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Effective Date: 11/01/1998, Docket: RP99- 68-000, Status: Effective

Orignal Sheet No. 205B Orignal Sheet No. 205B : Superseded

GENERAL TERMS AND CONDITIONS

(continued)

(1) Transporter did not conduct

the confirmation;

(2) The upstream confirming party

did not conduct the confirmation;

(3) The upstream service requester

did not have the Gas or submit

the nomination;

(4) The downstream confirming party did

not conduct the confirmation; and

(5) The downstream service requester

did not have the market or submit

the nomination.

(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.

Nominations received after the nomination

deadline(s) for a Day will be scheduled after

the nominations received before the nomination

deadline(s) for such Day. 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.