Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

Effective Date: 11/01/1998, Docket: RP98-422-000, Status: Effective

Fourth Revised Sheet No. 223 Fourth Revised Sheet No. 223 : Effective

Superseding: Third Revised Sheet No. 223

RATE SCHEDULE SCT

SMALL CUSTOMER TRANSPORTATION SERVICE

1. AVAILABILITY

This Rate Schedule is available to:

(a) former Customers who as of October 31, 1992 were (i) Customers

under Rate Schedules CD-1, CD-2, DCQ and SGS or (ii) Customers

under Rate Schedule FT-1 as a result of conversion from Rate

Schedules CD-1, CD-2, DCQ and SGS, or;

(b) new Customers who as of May 18, 1992, purchased a firm sales

service from an interstate pipeline who in turn purchased a firm

sales service from Texas Eastern Transmission Corporation (here-

inafter called Pipeline) under Rate Schedules CD-1 or CD-2, or,

herein and Section 3.14 of the General Terms and Conditions; and

which in either case on or after June 1, 1993, have MDQs in the

aggregate under all of the following firm transportation Rate

Schedules CDS, FT-1 and SCT of 5,987 Dth or less, excluding any

quantities provided pursuant to facility expansions authorized by the

Commission in Docket No. CP88-180 (hereinafter called Customer), when

Customer and Pipeline have executed a service agreement for service

under Rate Schedule SCT. Such Service Agreement shall be in the form

contained in Pipeline's FERC Gas Tariff of which this Rate Schedule

SCT is a part. Service under this Rate Schedule is not available from

capacity subject to Rate Schedules LLFT, LLIT, VKFT and VKIT.

2. APPLICABILITY AND CHARACTER OF SERVICE

2.1 Transportation service hereunder will be firm, except as provided

herein and in Pipeline's General Terms and Conditions. Service under this

Rate Schedule constitutes one of the "no-notice" service options as that

term is used in Order No. 636 available from Pipeline.

2.2 A Customer executing a service agreement under this Rate Schedule

SCT has the right to make an election to convert its service in its

entirety from firm transportation service under this Rate Schedule to firm

transportation service under either Rate Schedule FT-1 or Rate Schedule CDS

by providing written notice of such election on or before June 1 of any

year. As part of such conversion, such converting Customer has the right

to reduce its MDQ to be applicable under such Rate Schedule CDS or FT-1

upon such written notice of its election to convert. Such conversion and

reduction shall be effective as of November 1 and each November 1 there-

after.

2.3 On any day Customer may receive up to 104% of its MDQ or 239 Dth

on any day, whichever is greater, for those Customers whose MDQ is between

3,115 and 5,987 Dth per day, or 479 Dth per day for those Customers whose