K N Interstate Gas Transmission Co.

Second Revised Volume No. 1-B

Effective Date: 11/01/1994, Docket: RP94-397-002, Status: Effective

Sub. First Revised Sheet No. 29 Sub. First Revised Sheet No. 29 : Superseded

Superseding: Original Sheet No. 29

GENERAL TERMS AND CONDITIONS FOR SERVICES - continued

16.3 CAPACITY CURTAILMENT

a. Whenever the capability of Transporter's system, due to any

cause whatsoever, is such that Transporter is unable to

receive, transport or deliver the quantity of gas which all

customers served by Transporter require, including injection

of gas into storage facilities, then receipts,

transportation and deliveries will be curtailed as specified

below.

b. The order of transportation priority for purposes of

interruption, from lowest to highest, is as follows:

(1) Interruptible service overrun

(2) Firm service overrun

(3) Interruptible service

(4) Secondary Firm service

(5) Secondary Firm service within a primary path

(6) Primary Firm service, including no-notice

c. Whenever the capacity of all or a portion of Transporter's

system or system segment, due to any cause, is such that

Transporter is unable to serve all Shippers receiving

interruptible services, service to Shippers receiving

transportation and storage service on an interruptible basis

shall be interrupted or reduced in the order of priorities

set forth above, with all services under (1) being

interrupted or reduced first, all services under (2) second,

all services under (3) being interrupted or reduced third,

and all services under (4) fourth, all services under (5)

fifth and all services under (6) sixth last. When

interruption or reduction is necessary within any one of the

interruptible service categories above, Shippers receiving

service at a lower rate will be interrupted before those

Shippers receiving service at a higher rate. Should any

Shippers have equal priority based on rate paid, available

capacity shall be allocated pro rata based on accepted

nominations.