Texas Eastern Transmission Corporation

Sixth Revised Volume No. 1

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Effective Date: 02/18/1996, Docket: RP96-117-000, Status: Effective

Fifth Revised Sheet No. 627 Fifth Revised Sheet No. 627 : Effective

Superseding: Fourth Revised Sheet No. 627

GENERAL TERMS AND CONDITIONS

(Continued)

by the Commission to be refunded shall be refunded

to such Customers within sixty (60) days after the

date of the Commission order requiring such

refunds on the same basis as allocated in Section

15.2(C)(2)(a) for the time period during which the

Gas Supply Realignment Costs were allocated. Such

refunds shall include carrying charges calculated

in accordance with Section 154.403(c)(7) of the

Commission's Regulations from the date of payment

by the Customer to the refund date. Any Gas

Supply Realignment Costs actually incurred and

deemed recovered from Customers under Rate

Schedules PTI, IT-1, ISS-1, LLIT and VKIT shall be

credited to the Gas Supply Realignment Costs to be

included in the rates for Rate Schedules PTI, IT-

1, LLIT and VKIT in the next quarterly filing.

(3) Within sixty (60) days from July 1 of each year

following the Implementation Date, Pipeline shall file

a statement with the Commission reflecting:

(a) the aggregate amount of Gas Supply Realignment

Costs incurred and allocated to be collected

during the twelve (12) months ending June 30 of

such year from Rate Schedules PTI, IT-1, LLIT and

VKIT;

(b) the aggregate amount of Gas Supply Realignment

Costs deemed collected during the twelve (12)

months ending June 30 of such year by Pipeline

under Rate Schedules PTI, IT-1, ISS-1, LLIT and

VKIT as determined pursuant to Section 15.2(C)(4).

Pipeline shall have the option at any time after

twenty-four (24) months from July 1, 1993 to file to

recover any Gas Supply Realignment Costs unrecovered

through its Rate Schedule PTI, IT-1, LLIT and VKIT

rates through an alternate mechanism.