Florida Gas Transmission Company

Third Revised Volume No. 1

Effective Date: 10/04/1996, Docket: RP96-380-000, Status: Effective

First Revised Sheet No. 190 First Revised Sheet No. 190 : Superseded

Superseding: Original Sheet No. 190

GENERAL TERMS AND CONDITIONS

(continued)

Further, nothing in this section shall prevent Transporter from

contesting an application for service filed pursuant to Section

7(a) of the Natural Gas Act. Transporter reserves the right to

seek a waiver of the policy set forth herein, for good cause

shown, during any proceeding before the Commission instituted

under Section 7 of the Natural Gas Act.

3. On a not unduly discriminatory basis, Transporter may agree to

pay for all or part of the cost incurred by Transporter for the

modification or construction of taps, valves, measurement

equipment, laterals, or other facilities required at receipt or

delivery point(s) to effectuate the receipt from, or delivery

to, Shipper of natural gas, as requested hereunder, when the

construction or modification of such facilities is economically

beneficial to Transporter. Notice of any such construction

subsidy shall be posted on Transporter's Electronic Bulletin

Board for a period of third (30) days following any such

agreement.

For the purposes of determining whether a project to receive or

deliver gas for Shipper is economically beneficial to

Transporter, Transporter will evaluate each prospective project,

on a not unduly discriminatory basis, based upon, among other

criteria, the cost of the facilities to be constructed for such

Shipper by Transporter, the incremental operating and

maintenance expenses and/or administrative and general expenses

which would be attributable to the facilities, and the revenues

which Transporter estimates will be generated as a result of

constructing and/or modifying such facilities.

E. Execution of Service Agreements

Upon a determination by Transporter that sufficient capacity exists

to provide a requested firm service under 21B or 21C, Transporter

will tender to the requesting Shipper a Service Agreement in the form

contained in Transporter's FERC Gas Tariff for the requested service.

Shipper must execute and return such Service Agreement to Transporter

within thirty (30) days of receipt. Failure to so return the

executed Service Agreement shall result in Shipper's forfeit of its

allocation of capacity under 21B. Any forfeited allocation of

capacity shall be reallocated pursuant to the procedures contained

herein.