Pacific Gas Transmission Company

Second Revised Volume No. 1

Effective Date: 10/01/1997, Docket: TM98-1-86-000, Status: Effective

Fourteenth Revised Sheet No. 7 Fourteenth Revised Sheet No. 7 : Superseded

Superseding: Thirteenth Revised Sheet No. 7

STATEMENT OF EFFECTIVE RATES AND CHARGES APPLICABLE TO

RATE SCHEDULES IN FERC GAS TARIFF SECOND REVISED VOLUME NO. 1

(Continued)

Notes:

(a) In accordance with Paragraph 3 of the General Terms

and Conditions of this tariff, all Shippers that are

not members of GRI shall pay a GRI funding unit

adjustment. The commodity adjustment shall be

$0.0088 per Dth. The reservation adjustment for

high load factor Shippers shall be $0.260 per Dth

and for low load factor Shippers shall be $0.160 per

Dth.

(b) In accordance with Paragraph 2 of the General Terms

and Conditions of this tariff, all Shippers shall

pay an ACA unit adjustment of $0.0022 per Dth. This

adjustment shall be in addition to the Commodity

Rate(s) specified above.

compressor station fuel, line loss, and other

utility purposes, plus other unaccounted for gas

used in the operation of PGT's combined pipeline

system in an amount equal to the sum of the current

fuel and line loss percentage and the fuel and line

loss percentage surcharge in accordance with

Paragraph 23 of this tariff, multiplied by the

distance in pipeline miles transported from the

receipt point to the delivery point multiplied by

the transportation quantities of gas delivered to

Shipper under these rate schedules. The current

fuel and line loss percentage shall be adjusted each

month between the maximum rate of 0.0041% per Dth

per pipeline mile and the minimum of 0.0000% per Dth

per mile. The fuel and line loss percentage

surcharge is 0.0007% per Dth per pipeline mile. No

fuel use charges will be assessed for backhaul

service.