Texas Gas Transmission Corporation

First Revised Volume No. 2-A

Effective Date: 11/01/1993, Docket: RP93-106-001, Status: Suspended

Sub First Revised Sheet No. 129 Sub First Revised Sheet No. 129 : Suspended

Superseding: Original Sheet No. 129

GENERAL TERMS AND CONDITIONS

(Continued)

29. Capacity Releasing Program

29.1 Purpose - This Section 29 sets forth the specific

terms and conditions applicable to the implementation

by Pipeline of a Capacity Release Program, on its

interstate pipeline system, as required by Section

284.243 of the Commission's Regulations. Existing

Customers may release and assign their capacity in

Pipeline only under this Section 29.

29.2 Applicability - This Section 29 is applicable to any

Customer who has executed a Part 284 service agreement

with Pipeline under Rate Schedule FT, including any

Customer who has executed a standby service agreement

pursuant to Section 2.3 of the GN Rate Schedule.

29.3 General Terms and Conditions Applicable to Capacity

Release

(a) Quantity, Scheduling, Right of Recall,

Contingent Bids

(i) Releasing Customers may release and

assign all capacity held under a particu-

lar service agreement, a percentage of

such capacity or a segment of such capac-

ity. Releasing Customers may release and

assign percentages of capacity to several

different Replacement Customers.

(ii) Regardless of the percentage or portion

of capacity released and assigned, the

Releasing Customer remains liable for the

reservation charges (and any surcharges

related thereto) applicable to the

Releasing Customer's service agreement

with Pipeline. However, Releasing

Customer will not be liable for any

penalties, imbalances or commodity

charges and surcharges thereon, incurred

by the Replacement Customer.