Valero Interstate Transmission Company

First Revised Volume No. 1

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Effective Date: 11/01/1991, Docket: GT91- 42-000, Status: Effective

Original Sheet No. 12 Original Sheet No. 12 : Superseded

RATE SCHEDULE ITS-1

Interruptible Transportation Service

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(continued)

(b) Shipper shall pay Vitco each month as follows:

(1) For transportation of gas in Vitco's transmission system

only, Shipper shall within thirty (30) days after Shipper's

receipt of Vitco's statement therefor, pay Vitco an amount equal

to the product of the ITS-1-T Commodity rate, as set forth on

Sheet 7 of Vitco's FERC Gas Tariff, First Revised Volume No. 1, or

such portion of such rate as Vitco and Shipper shall have agreed

upon in Shipper's executed service agreement, which portion shall

be not more than the maximum nor less than the minimum set forth

in Vitco's Schedule of Rates times the number of MMBtu of gas

shown on Vitco's statement.

(2) For transportation of gas in Vitco's gathering system

only, Shipper shall within thirty (30) days after Shipper's

receipt of Vitco's statement therefor, pay Vitco an amount equal

to the product of the ITS-1-G Commodity rate, as set forth on

Sheet 7 of Vitco's FERC Gas Tariff, First Revised Volume No. 1, or

such portion of such rate as Vitco and Shipper shall have agreed

upon in Shipper's executed service agreement, which portion shall

be not more than the maximum nor less than the minimum set forth

in Vitco's Schedule of Rates times the number of MMBtu of gas

shown on Vitco's statement.

(3) For transportation of gas in Vitco's gathering and

transmission systems, Shipper shall within thirty (30) days after

Shipper's receipt of Vitco's statement therefor, pay Vitco an

amount equal to the product of the ITS-1-GT Commodity rate, as

set forth on Sheet 7 of Vitco's FERC Gas Tariff, First Revised

Volume No. 1, or such portion of such rate as Vitco and Shipper

shall have agreed upon in Shipper's executed service agreement,

which portion shall be not more than the maximum nor less than the

minimum set forth in Vitco's Schedule of Rates times the number

of MMBtu of gas shown on Vitco's statement.

(c) In addition to the amounts charged under Paragraph 3(b) above,

Vitco shall retain a percent of all gas received (such gas called

"Retained Gas") by Vitco from Shipper hereunder for company fuel

use and unaccounted for gas. Such percentage shall apply to gas

received on an MMBtu basis and shall be an amount of company fuel

use and unaccounted for gas up to 1.5 percent of gas received for

transportation.