This Rate for Firm Distribution Transportation Service (FDTS) for the transportation of natural gas on a firm basis by the Company is available for any Zone A or Zone B Customer, 1) who has arranged for a supply of natural gas from a supplier other than the Company, 2) whose gas requirements during the most recent calendar year average at least 50 Dth per day, and 3) new customers who certify in writing that their gas requirements will average at least 50 Dth per day (Qualifying Customer). Initially available for a two-year term unless otherwise extended by the Company.

The Company reserves the right to limit the total level of FDTS service available if it determines, in its sole discretion, that it is unable operationally or administratively to accommodate additional FDTS.

FDTS shall be a firm delivery service involving the movement of gas through the Company's transmission and distribution facilities on a daily nominated basis, subject to the imbalance tolerances included in the Daily Imbalance Cash-out Provisions Rider applicable to this Rate Schedule.

A Qualifying Customer electing FDTS shall do so for an initial term of two (2) years. Thereafter, availability of FDTS shall be subject to a determination by the Company to extend service hereunder.

As a condition for receiving service under FDTS, Qualifying Customer shall be required to execute a service agreement for FDTS.

The FDTS Service Agreement shall, among other things, specify the maximum daily contract quantity (MDQ) and annual contract quantity (ACQ) of gas to be transported; the Qualifying Customer's assignment of upstream capacity, if applicable; and the mutually agreeable receipt points(s) on the Company's system at which Qualifying Customer's nominations will be accepted for delivery by the Company. The Qualifying Customer may also be required to specify in the Service Agreement the maximum hourly quantities of gas to be transported.