Enbridge Pipelines (AlaTenn) L. L. C.

FOURTH REVISED VOLUME NO. 1

Effective Date: 09/01/2005, Docket: RP05-442-000, Status: Effective

Third Revised Sheet No. 117 Third Revised Sheet No. 117 : Effective

Superseding: Second Revised Sheet No. 117

GENERAL TERMS AND CONDITIONS (continued)

(o) Discounting Policy: (i) In the event that Transporter agrees

to discount its rate to Shipper below Transporter’s maximum

rate under Transporter’s Rate Schedules, the following

discount terms may be reflected on the applicable Service

Contracts and will apply without the discount constituting a

material deviation from Transporter’s applicable pro forma

Service Contracts; provided, however, that any such

discounted rates set forth below shall be between the

minimum and maximum rates applicable to the service provided

under the applicable Rate Schedule. Transporter and Shipper

may agree that a specified discounted rate will apply under

the following conditions:

(a)to specified quantities under Shipper’s Service

Contract(s);

(b)to specified quantities above or below a certain level

or all quantities if quantities exceed a certain

level;

(c)in a specified relationship to quantities actually

transported (i.e., that the Reservation Rate will be

adjusted in a specified relationship to quantities

actually transported);

(d)to specified quantities during specified periods of

time or during specified periods of the year;

(e)to specified quantities at specific Receipt Point(s)

or Delivery Point(s) or other geographical locations;

(f)to production reserves committed or dedicated by

Shipper; and/or

(g)that a specific discounted rate is based on published

index prices for specific Receipt Point(s) and/or

Delivery Point(s) or other agreed-upon published

pricing reference points (such discounted rate may be

based upon the differential between published prices

or arrived at by formula). Any agreement containing

such discounted rate shall specify the rate

component(s) to be discounted (i.e., Reservation Rate