Florida Gas Transmission Company

Third Revised Volume No. 1

Effective Date: 03/01/1997, Docket: RP96-366-000, Status: Effective

Second Revised Sheet No. 140 Second Revised Sheet No. 140 : Superseded

Superseding: First Revised Sheet No. 140

GENERAL TERMS AND CONDITIONS (continued)

(f) "Delivery Point" shall be as defined in Section 1(m) of these

General Terms and Conditions, except that, when used in this

Section 17A, the definition shall exclude In-Line Transfer

Points.

(g) "Exempt Use" means a use of natural gas to serve Priority 1 or

Priority 2 requirements, as defined hereinafter, (regardless of

whether such gas is consumed directly or used to generate

electricity to serve such uses, if, unless otherwise specified,

there is no Alternate Fuel as defined in Section 17A2(a) above)

as certified by the Data Verification Committee ("DVC") and

served by firm transportation capacity on Transporter's system.

(h) "Exempt Shipper" or "ES" means any Shipper on Transporter's

system serving Exempt Uses with firm transportation capacity.

(i) "Firm Rate Schedules" means Transporter's firm transportation

rate schedules FTS-1, FTS-2, FTS-WD and SFTS.

(j) "Hospital" means a facility, the primary function of which is

delivering medical care to patients who remain at the facility.

Outpatient clinics or doctors' offices are not included in this

definition. Nursing homes and convalescent homes are included

in this definition.

(k) "NGPA" means the Natural Gas Policy Act of 1978.

(l) "Non-Exempt Use" means any use other than an Exempt Use.

(m) "Priority 1 Use" means any use of natural gas:

(i) in a residence, including apartment buildings and other

multi-unit dwellings, where gas is used predominantly for

residential purposes;

(ii) in a commercial establishment in amounts of less than 50

MMBtu on a peak day (as determined by the highest average

daily volume for a month in a twelve-