Enbridge Pipelines (AlaTenn) L. L. C.

FOURTH REVISED VOLUME NO. 1

Effective Date: 03/01/2003, Docket: RP00-401-003, Status: Effective

First Revised Sheet No. 122 First Revised Sheet No. 122 : Effective

Superseding: Original Sheet No. 122

GENERAL TERMS AND CONDITIONS (continued)

(a) Monthly Imbalances -

(i) Non-Winter Period (April - October) Imbalances -

Provided that Shipper has not been notified by

Transporter that its imbalances are creating an

operational problem on Transporter's system, and the

continuation of the imbalance is endangering service

to other Shippers, Transporter shall notify and post,

pursuant to Section 3.7(b) herein the imbalance for

netting and/or trading. If a trade is not made,

Shipper shall have until the end of the following

month to eliminate its imbalance with no penalty. If

Shipper does not eliminate such imbalance by the end

of the following month or has been notified by

Transporter that its imbalance is creating an

operational problem, such imbalance shall be Cashed-

out pursuant to the provisions of Section 3.7(c)

herein.

(ii) Winter Period (November - March) Imbalances -

Provided that Shipper has not been notified by

Transporter that its imbalances are creating an

operation problem on its system, and the continuation

of the imbalance is endangering service to other

Shippers, and Shipper is not able to trade its

imbalance pursuant to the provisions of Transporter's

imbalance netting and trading service as provided

under Section 3.7(b) herein, and Transporter and the

applicable Shipper have not mutually agreed to an

alternate method, each month Transporter and Shipper

shall Cash-Out any imbalance between deliveries and

scheduled nominations at the Delivery Point(s) as

provided under Section 3.7(c) herein. Transporter

shall divide the monthly imbalance by the sum of all

scheduled nominations for all days of the month to

determine the percentage monthly imbalance for the

purpose of the Cash-Out as set forth hereinafter.