Florida Gas Transmission Company

Third Revised Volume No. 1

Effective Date: 08/01/1999, Docket: RP99-367-000, Status: Effective

Third Revised Sheet No. 125 Third Revised Sheet No. 125 : Superseded

Superseding: Second Revised Sheet No. 125

GENERAL TERMS AND CONDITIONS

(continued)

alleviate operating conditions which threaten the integrity of

Transporter's system.

4. To the extent actual receipts vary from scheduled receipts at a

point of receipt for which Transporter has entered into an OBA,

Shippers utilizing such point of receipt shall not be subject to

receipt point imbalance provisions pursuant to Section 14 of the

General Terms and Conditions, but will be responsible for any

charges incurred by Transporter under the OBA.

5. Transporter will post a notice on the Electronic Bulletin Board by

8:00 A.M. Central Time on the working day prior to the receipt gas

day during which Transporter plans to take OBA payback gas

indicating the quantity and receipt point location of such planned

OBA payback. To the extent the receipt point is constrained,

Transporter will permit a firm shipper utilizing such point as a

primary firm receipt point to move a quantity from the point of

the planned OBA payback to another receipt point for the duration

of the payback, and during such period such shipper shall be

accorded a scheduling priority in accordance with Section

10.C.2.(a.1).

B. Predetermined Allocation Statements (PDA)

Any PDAs established by an upstream Interconnecting Party must be

submitted to Transporter in writing or by electronic communications

following the GISB Standards before the first day of the allocation

period in which the PDA is to be effective. To the extent

interconnecting party submits a PDA by electronic communication,

Transporter shall send a Quick Response, as such term has been defined

by GISB, confirming the receipt of such PDA. The PDA shall specify how

any underage or overage from the confirmed quantity is to be allocated

at a contract or such lower level of detail which is provided on the

nomination level. The PDA methods shall include ranked, pro rata,

percentage, swing, and operator provided value, as such terms are used

in the GISB Standards and the PDA methods shall be available at any

receipt point except those covered by on OBA. The PDA may require new

allocation detail as nomination changes occur. Transporter shall be

entitled to rely exclusively on an effective PDA in allocating gas

received at a point and the interconnect party holds Transporter

harmless against actions taken and allocations made in reliance upon

such PDA. No retroactive changes to a PDA may be made unless

Transporter and all affected parties agree in writing.