Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

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Effective Date: 05/29/1996, Docket: RP96-218-000, Status: Effective

First Revised Sheet No. 227 First Revised Sheet No. 227 : Effective

RATE SCHEDULE SCT

(Continued)

quantities delivered at the interconnection(s) with

Customer (less any storage service) for the twelve (12)

months ending with the billing month is less than 20%.

Such charge under 3.3(D) will be in lieu of charges under

3.3(A) and 3.3(B), herein. This Section 3.3(D) shall not

be applicable to those Customers electing to participate in

the CRPþ program pursuant to Section 3.8 of this Rate

Schedule.

The Reservation Charge for purposes of Section 3.3(A) shall be

calculated based on the Transportation Path Quantity specified in the

executed service agreement.

3.4 For Customers executing a service agreement for transportation

which is solely a backhaul transportation arrangement, Customer shall pay

Pipeline each month the sum of the following amounts:

(A) Reservation Charge:

The Reservation Charge Rate, as determined pursuant to

Section 3.1 herein, multiplied by the MDQ as specified in

the executed service agreement; and

(B) Monthly Usage Charge consisting of the sum of the following

daily charges:

(1) The Usage-1 Charge Rate, as determined pursuant to

Section 3.1 herein, multiplied by that portion of

the total quantity of gas deliveries on any day

pursuant to the executed service agreement, which is

not in excess of 110% of scheduled service levels

for such day.

(2) The Usage-2 Charge Rate, as set forth on Sheet No.

36, multiplied by that portion of the total quantity

of gas deliveries on any day pursuant to the

executed service agreement, which is in excess of

110% of scheduled service levels for such day and

less than 110% of Customer's maximum daily

contractual entitlement for such day.

(3) The Usage-3 Charge Rate, as set forth on Sheet No.

36, multiplied by that portion of the total quantity

of gas deliveries on any day pursuant to the

executed service agreement, which is in excess of

110% of Customer's maximum daily contractual

entitlement for such day.