CNG Transmission Corporation

Second Revised Volume No. 1

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Effective Date: 08/01/1999, Docket: RP99-441-000, Status: Effective

Third Revised Sheet No. 289 Third Revised Sheet No. 289 : Superseded

Superseding: Sub. Second Revised Sheet No. 289

GENERAL TERMS AND CONDITIONS

Requesting and Scheduling Service

11A.5. Allocation of Receipts and Deliveries.

A. Prior to allocation of actual gas flow among nominated

services, Pipeline must receive a predetermined

allocation from the upstream or downstream custody

transfer party, consistent with the most current form

of PDA from Pipeline's EBB, for flowing gas supply.

There is no need to submit PDAs where Pipeline has an

operational balancing agreement in effect for a point.

A PDA at the city gate delivery points where Pipeline

is providing service under Rate Schedule FTNN must be

consistent with Section 6.3, above. Only one PDA

methodology is to be applied per allocation period.

B. At points where it interconnects with other pipelines,

Pipeline shall determine the flow of gas in accordance

with Operational Balancing Agreements (OBAs) between

Pipeline and the other pipeline, as applicable. At

city gate Delivery Points where Pipeline provides

service under Rate Schedule FTNN, Pipeline shall

determine the flow of gas in accordance with Section

6.3, above. At all other points, Pipeline shall

determine the flow of gas in accordance with

Predetermined Allocations (PDAs) among Customers

behind such points, as provided by the operator of

such points. PDAs will be either ranked, pro rata,

percentage, swing, or operator provided value. These

determinations shall be made to the extent that such

OBAs or PDAs are in effect and made known to Pipeline

after or during confirmation and before the start of

the Day. Pipeline will provide indication of its

receipt of a PDA that has been submitted

electronically, within 15 minutes. Based on scheduled

nominations, Pipeline will adjust receipts from the

party designated by the PDA, who shall be subject to

applicable imbalance provisions of this Tariff. If an

operator provides no PDA, Pipeline will resort to pro

rata allocation of variations between scheduled

nominations and actual gas flow.

C. Absent deliberate omission or misrepresentation or

mutual mistake of fact, the time limit for disputes of

allocations shall be six months from the date of the

initial month-end allocation, with a three-month

rebuttal period; provided, however, that parties'

statutory or contractual rights shall not be

diminished by this Section 11A.5.C.