Texas Gas Transmission Corporation

First Revised Volume No. 2-A

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Effective Date: 10/03/1993, Docket: RP93-189-000, Status: Effective

1 / Sheet No. 116 1 / Sheet No. 116 : Effective

Superseding: Original Sheet No. 116

GENERAL TERMS AND CONDITIONS

(Continued)

23.4 Determination of the Commodity TOP Surcharge.

Transporter shall determine the Commodity TOP

Charges to be applicable for the Commodity TOP

Surcharge Recovery Period of October 1, 1993,

through September 30, 1994, by the following

procedure:

(a) The Commodity TOP Charge for the Commodity

TOP Surcharge Recovery Period shall be

based on fifty percent (50%) of the total

TOP Settlement Payments, including applica-

ble interest. Transporter shall then cal-

culate an annual interest amount using the

then effective Commission prescribed inter-

est rate on the unamortized commodity TOP

balance for each month of the Commodity TOP

Srucharge Recovery Period. The sum of the

annual commodity TOP amount and the in-

terest amount shall be divided by through-

put based upon the most recent 12 months of

actual available data, to determine the

Commodity TOP Surcharge which is set forth

on Sheet No. 14 of this tariff, as well as

Sheet Nos. 10, 10A, 11, 11A, and 11B of

Original Volume No. 1.

(b) At the end of the Commodity TOP Surcharge

Recovery Period, Transporter shall recalcu-

late the interest amounts that would have

accrued under the actual Commission pre-

scribed interest rates in effect during

such period and shall reflect any over or

under collections of interest as described

in Section 23.4(c) below.

(c) At the end of the recovery period, Texas

Gas will calculate the TOP settlement costs

recovered through the commodity surcharge

by summing the actual volume of throughput

for each month of the recovery period times

the then currently effective surcharge rate

for such month. To the extent this sum