Trunkline Gas Company

First Revised Volume No. 1

Effective Date: 05/11/1996, Docket: RP96-208-000, Status: Effective

Third Revised Sheet No. 229 Third Revised Sheet No. 229 : Effective

Superseding: Second Revised Sheet No. 229

GENERAL TERMS AND CONDITIONS

(Continued)

25.TAKE OR PAY SETTLEMENT COST SURCHARGE (Continued)

The amount of the TOP Volumetric Surcharge shall be as stated

in Tariff Sheet Nos. 6 through 10A of First Revised Volume No.

1 and various Tariff Sheets of Original Volume No. 2 of

Trunkline's FERC Gas Tariff.

(B)Reports

In compliance with the Commission's Order approving the

settlement in Docket No. RP91-54-000 issued August 2, 1991,

Trunkline will file an annual report on January 31 each year

until the conclusion of the volumetric surcharge recovery

period, when a final report will be filed with the Commission.

Each report will show the recoveries of principal and interest

and the remaining balance in the Volumetric Surcharge Account

for the twelve months ended the previous October 31.

25.7 Refunds by Trunkline

If the balance of Buyer's or Shipper's portion of TOP Settlement

Costs is negative Trunkline shall refund the balance to Buyer or

Shipper in a lump sum within thirty (30) days after final

Commission order approving this Section 25. The refund shall

include carrying charges up to the date Trunkline makes refunds

using the applicable interest rates specified by Section

154.501(d) of the Commission's Regulations.

25.8 Reservations

If the cost recovery procedures herein are made applicable to a

Buyer/Shipper which has filed a petition for review of the orders

of the Commission approving the provisions of this Section 25 or

to a Buyer/Shipper that has intervened in such review proceeding

in support of such petition, the right of Trunkline to assess such

additional charges as may be necessary to assure that Trunkline

may recover the fully allocated share of the costs encompassed by

this Section 25 and applicable carrying costs from such party as

may result from any such litigation is reserved and the right of

Trunkline to use such means of collection of such costs from such

a party is also reserved.