Southern Natural Gas Company

Original Volume No. 2

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Effective Date: 02/03/1991, Docket: RP90-139-004, Status: Effective

First Sub. Sixteenth Rev. Sheet No. 397 First Sub. Sixteenth Rev. Sheet No. 397 : Effective

Superseding: Fifteenth Revised Sheet No. 397

RATE SCHEDULE X-43 (Continued)





Section A. Transco agrees to pay Southern during each month a

transporation charge as follows:


(1) A Demand Charge:

Fixed amount per month for the operation and

maintenance of metering facilities at the

Delivery Point. $90.00


(2) A Commodity Charge:

Per 1,000 cubic feet at 14.73 psia of gas

redelivered at the Redelivery Point 29.2› 1/


Section B. Transco agrees that Southern shall, without further agreement

by Transco, have the right to change this Commodity Charge and to file notices

of such change with the Federal Energy Regulatory Commission pursuant to

Section IV of the Natural Gas Act from time to time whenever, in Southern's

judgment, such change is necessary to assure it of just and reasonable rates

under the provisions of the Natural Gas Act.

Likewise, Southern shall, on each one year anniversary of the effective

date of this Agreement, have the right, upon receiving any necessary Federal

Energy Regulatory Commission authorization therefor, to change the amount of

the aforesaid Demand Charge to reflect increases or decreases, as the case may

be, in the cost of operation and maintenance of metering facilities at the

Delivery Point.


Section C. On or before the 25th day of each calendar month, Transco

shall make payment to Southern for the transportation service provided during

the preceding calendar month.


Section D. Should Transco fail to pay any amount due by the last day of

the month following the month in which the transportation service was rendered,

interest thereon shall accrue at the rate equal to the prime rate then being

charged by The Chase Manhatton Bank, N.A., from the date then due until paid.

If any such failure continues for 60 days, Southern may suspend deliveries of

gas, but the exercise of such right shall be in addition to any other remedy

available to Southern.


1/ Revised Charge: Winter 27.7› Summer 16.7›

Plus the ACA unit charge and the volumetric Take-or-Pay Surcharge which are

set forth in Sections 21 and 22, respectively, of Southern's FERC Gas

Tariff, Sixth Revised Volume Number 1.