Alabama-Tennessee Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 09/01/1993, Docket: RS92- 27-007, Status: Effective

Second Revised Sheet No. 27 Second Revised Sheet No. 27 : Superseded

Superseding: FIRST REVISED SHEET NO. 27

RATE SCHEDULE FT (continued)

5.3 Incidental Charges: In addition to the charges pursuant to

Sections 5.1 and 5.2 of this Rate Schedule, Transporter

shall charge Shipper an amount to recoup the amount of tax

levied pursuant to the Alabama Utility Gross Receipts Tax

as recognized in the Commission's June 30, 1989 order in

Alabama-Tennessee Natural Gas Co., Docket Nos. CP88-269-

004, et al., which have not been previously paid by

Shipper, which Transporter incurs in rendering service

hereunder. Transporter shall not use the amounts so

collected in establishing its general system rates. The

applicable Incidental Charges shall be stated in the FT

Contract.

5.4 Imbalance Charge: In addition to the charges in Sections

5.1, 5.2 and 5.3, Transporter may charge Shipper an

Imbalance Charge as provided in Section 3 of the General

Terms and Conditions of Transporter's FERC Gas Tariff.

5.5 Allocated Take-or-Pay Charge: If applicable, Transporter

shall charge Shipper each month the direct billed amount of

allocated take-or-pay charges and volumetric surcharge as

shown on the currently effective Tariff Sheet No. 4A.

5.6 Transition Cost: If applicable, Transporter shall charge

Shipper each month the amount of transition cost, as

determined pursuant to Section 33 of the General Terms and

Conditions of Transporter's FERC Gas Tariff.

5.7 Upstream Transition Costs: If applicable, Transporter

shall charge Shipper the pro rata pass through on an "as

billed" basis, of certain upstream costs billed to

Transporter including, without limitation, upstream

transition costs.

5.8 IT Revenue Credit: If applicable, Transporter shall credit

the pro rata portion of IT revenue credits as provided

under Section 35 of the General Terms and Conditions of

Transporter's FERC Gas Tariff.