Florida Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 11/01/1995, Docket: RP95-103-004, Status: Effective

Original Sheet No. 184D Original Sheet No. 184D : Superseded

GENERAL TERMS AND CONDITIONS

(continued)

4. If the determinations reflected in Annual Report filed pursuant

to (3) above result in either: (i) a net cost balance in the

Balancing Tool Account of one hundred thousand dollars

($100,000) or more; or (ii) the Overall Net Cash Balance being

equal to a net cost balance of five thousand dollars ($5,000) or

more, Transporter shall, concurrently with the filing of the

Annual Report, make a limited Section 4 tariff filing to

increase the penalties for non-compliance with the mechanisms

recorded in the Balancing Tools Account in order to increase

future net revenues recorded in such Account.

20. PRE-GRANTED ABANDONMENT AND RIGHT OF FIRST REFUSAL

A. Pre-Granted Abandonment

1. Subject to the provisions in Section (2) below, service shall

expire and shall automatically be abandoned upon contract

termination under (i) any firm transportation service agreement

with a primary term of less than one (1) year, and (ii) any

interruptible transportation agreement regardless of term.

Termination and abandonment of any firm transportation service

agreement with a term of one (1) year or longer shall be

governed by the provisions of Sections 20B and C.

2. The term of service under any firm transportation service

agreement existing as of November 2, 1992 may be extended

pursuant to the provision of any unilateral rollover provision

contained in the service agreement as of that date. For

purposes hereof, "unilateral rollover provision" shall mean

those provisions giving Shipper the unilateral right to extend

the service agreement and such term shall not mean any provision

which requires both parties to agree to an extension nor a

provision which gives Transporter the right to terminate the

Service Agreement.

Shipper and Transporter may, by mutual agreement, include a

rollover provision in a firm transportation service agreement

subsequent to November 2, 1992 in a form different from that set

out in Subsection 20C. However, Transporter is not obligated to

offer or agree to any rollover provisions, other than as set out

in Section 20C. To the extent that Transporter offers or agrees

to any such provision, it must do so on a not unduly

discriminatory basis.