Valero Interstate Transmission Company

First Revised Volume No. 2

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

Original Sheet No. 13 Original Sheet No. 13 : Superseded

PURCHASED GAS ADJUSTMENT CLAUSE

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(continued)

(f.) The Unrecovered Purchased Gas Cost Amortization Rate

("Surcharge Rate"): shall be determined by dividing (1)

the deferrals accumulated in the current subaccount(s) of

Account No. 191 at the end of Vitco's applicable deferral

period by (2) the estimated sales volumes for the 12 month

period beginning on Vitco's annual PGA effective date. The

resulting amortization rate is set out on Sheet No. 6 under

caption "Surcharge Adjustment". Provided however that the

balance of the accumulated deferrals in (f)(1) herein is

subject to the three percent (3%) assessment of past

performance test specified in Section 154.306 of the

Commission Regulations.