Trunkline Gas Company

First Revised Volume No. 1

Effective Date: 09/01/1993, Docket: RS92- 25-005, Status: Effective

Sub Original Sheet No. 230 Sub Original Sheet No. 230 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

26. SETTLEMENT DIRECT BILL SURCHARGE

26.1 Purpose

This Section 26 establishes Settlement Direct Bill Surcharges

as the means by which Trunkline shall recover certain costs and

amounts agreed to be paid by affected customers in a

Stipulation and Agreement (Settlement) filed in Trunkline Gas

Co., Docket No. RP87-15-000, et al.; Trunkline LNG Co., Docket

No. RP92-122-000; Trunkline Gas Co., Docket No. RP92-123-000;

Trunkline Gas Co., Docket No. RP92-124-000; Trunkline Gas Co.,

Docket No. RP92-126-000; Trunkline LNG Co., Docket Nos. RP81-

85-000, et al.; Trunkline LNG Co., Docket Nos. CP87-418-000, et

al.; Mississippi River Transmission Corp., Docket No. CP84-348-

000; Trunkline Gas Co., Docket Nos. RP89-160-000, et al.;

Trunkline Gas Co., Docket No. RP92-165-000 (NOT CONSOLIDATED),

and approved by Order of the Federal Energy Regulatory

Commission.

26.2 Applicability

This Section 26 is applicable to Buyers served under

Trunkline's Former Tariff sales Rate Schedules P-1, P-2, R-1,

R-2, G-1, G-2, SG-1 and SG-2 as stated on Tariff Sheet Nos. 16

and 17 and to those affected Shippers, also identified therein,

who are bound by the Settlement identified in Section 26.1

hereof.

26.3 Definition

The following defines certain terms as they are used in this

Section 26:

(A) Settlement Direct Bill Surcharge shall mean the amounts

specified on Tariff Sheet Nos. 16 and 17 for each Buyer

and affected Shipper identified therein.

(B) Electronic Funds Transfer shall mean payments or refunds

made/effected via wire transfer (Fedwire, CHIPS, or Bank

Book Entry) or Automated Clearinghouse (ACH).

26.4 Recovery of Settlement Direct Bill Surcharge Amounts

Trunkline shall recover from Buyer or affected Shipper

identified on Sheet Nos. 16 and 17 the Settlement Direct Bill

Surcharge Amounts in the manner prescribed in Section 26.5.