K N Wattenberg Transmission LLC

Original Volume No. 1

Effective Date: 01/01/1996, Docket: TM96-2-117-000, Status: Effective

Second Revised Sheet No. 65 Second Revised Sheet No. 65 : Effective

Superseding: First Revised Sheet No. 65

General Terms and Conditions - continued

22. GAS RESEARCH INSTITUTE CHARGE PROVISIONS

a. PURPOSE

Transporter has joined with other gas enterprises in the formation

of and participation in the activities and financing of Gas

Research Institute (GRI), an Illinois not for profit corporation.

GRI has been organized for the purpose of sponsoring Research,

Development and Demonstration (RD&D) programs in the field of

natural and manufactured gas for the purpose of assisting all

segments of the gas industry in providing adequate, reliable,

safe, economic and environmentally acceptable gas service for the

benefit of gas consumers and the general public.

For the purpose of funding of GRI's approved expenditures, this

Section establishes a GRI Adjustment Charge to be applicable to

Transporter's Rate Schedules FT and IT, as set forth on Sheet No.

6 of Original Volume No. 1 of this FERC Gas Tariff; provided

however, such charge shall not be applicable to Shippers which are

interstate pipelines and which include in their rates a charge for

RD&D expenditures, or to Shippers which pay a charge for RD&D

expenditures to a third party in connection with third party

transportation of gas.

b. BASIS OF THE GRI ADJUSTMENT CHARGE

The Rate Schedules shall include an increment for a GRI Adjustment

Charge for RD&D. Such adjustment charge shall be that increment,

adjusted to Transporter's pressure base and heating value, if

required, which has been approved by