Reliant Energy Gas Transmission Company

Fourth Revised Volume No. 1

Effective Date: 04/01/1998, Docket: RP98- 85-000, Status: Effective

Third Revised Sheet No. 280 Third Revised Sheet No. 280 : Effective

Superseding: Second Revised Sheet No. 280

GENERAL TERMS AND CONDITIONS

(continued)

bid provided Transporter receives electronic notice

thereof prior to the close of the bid period. Once a

bid is withdrawn, that bidder may only submit a new

bid pursuant to that release offer if it is at a

higher rate than the withdrawn bid. Releasing Shipper

shall not be allowed to extend the original bid period

or the original pre-arranged release match period,

without first posting a new release.

(b) Transporter shall evaluate the bids in accordance with

the provisions of this section and determine the best

bid in accordance with the above timeline, if

applicable. If capacity offered for release remains

after determination of the best bid and the releasing

Shipper does not specify another method for

disposition of such capacity, then Transporter will

determine from among the remaining qualifying bids the

next best bid and proceed in the same manner until all

the offered capacity has been awarded to approved

bidders submitting qualifying bids. Transporter also

expects to implement procedures whereby a replacement

Shipper may utilize electronic means to enter into a

Service Agreement.