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TARIFF FOR GAS SERVICE TXU GAS COMPANY
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<br />CHEDULE: Transportation Terms and Conditions
<br /> 33
<br /> Pipeline/Distribution
<br />ABLE TO: Entire System !DATE:REVISION: 0
<br />I EFFECTIVE DATE:
<br /> ~ PAGE:Icl2
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<br /> 1. Capitalized Terms
<br /> Capitalized terms contained in these Pipeline/Distribution Transportation Terms and Conditions
<br /> are defined in Company's General Trar~sportation Contrac~ Terms and Conditions
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<br /> 2. Subiect Matter
<br /> Subject to the terms and conditions of the applicable Transportation Agreement, Company will
<br /> receive Gas from Customer (or its designee) at the Receipt Point(s), will transport such Gas, and will
<br /> deliver such Gas to Customer (or its designee) at the Delivery Point(s), provided such gas ~s ultimateiy
<br /> used at Customer's industrial facilities or power plant, unless otherwtse agreed by Company, In no event
<br /> will the transportation provided under any Transportation Agreement be used to satisfy any part of
<br /> Customer's needs that could be classified as "Commercial," under Company's customer classification
<br /> criteria, unless otherwise agreed by Company.
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<br /> 3, Priority of Service
<br /> (a) Interruptible Service. Company's receipt and delivery of all gas quantities under the
<br /> applicable Transportation Agreement will be on a wholly interruptible basis and subject to: (i) the most
<br /> efficient and economic utilization of Company's pipeline capacity as determined by Company in ~ts sole
<br /> discretion, (ii) pipeline capacity necessary to serve existing or future sales customers under tariffs filed
<br /> with applicable regulatory authorities, (iii) the provisions of Company's curtailment program approved by
<br /> the applicable Regulatory Authority, and (iv) the other terms and conditions contained in the applicable
<br /> Transportation Agreement.
<br /> (b) Curtailment and Interruption. When notified by Transporter to do so, Customer will
<br /> curtail, interrupt, reduce, limit, terminate, or discontinue the use of Gas transported under the applicable
<br /> Transportation Agreement in conformity with the service priority provided for herein. In the event of any
<br /> curtailment, interruption, reduction, limitation, termination, or discontinuation of service under any
<br /> Transportation Agreement, Company personnel may enter Customer's premises and physically turn off
<br /> the Gas or reduce the quantity of Gas serving Customer's industrial facilities or power plant, and no one
<br /> other than Company's personnel will thereafter be permitted to increase the quantity of Gas or turn the
<br /> Gas back on.
<br /> (c) Customer's Indemnification in Event of Curtailment or Interruption, Customer assumes
<br />any and all risks, includir*g, but not limited to, lost profits, damaged or destroyed facilities, lost or
<br />damaged production, damaged or destroyed machinery and/or equipment, and the failure of a facility of
<br />Customer and/or Customer's business due to a curtailment, interruption, reduction, limitation, termination,
<br />or discontinuation of Customer's transportation under any Transportation Agreement. Customer will
<br />indemnify and hold Company harmless from and against any and all damages, costs, losses, and
<br />expenses (including reasonable attorneys' fees) that may be sustained by Customer due to any
<br />claim, demand, suit, or action brought against Company (whether or not the claim, demand, suit,
<br />or action is found to be valid) by any person or entity arising out of, resulting from, or connected,
<br />in whole or in part, with, a curtailment, interruption, reduction, limitation, termination, or
<br />discontinuation of the transportation of Gas under the terms of any Transportation Agreement.
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<br />4. Plant Protection Service and Firm Electric Load Quantities
<br /> (a) If Customer is an Industrial Customer, then Customer may elect to recetve Plant
<br />Protection transportation quantities during each Day during the term of any Transportation Agreement by
<br />specifying the applicable Plant Protection Quantity in the applicable Transportation Agreement.
<br />Customer will pay to Company, for Plant Protection transpo~ation service, a monthly charge calculated by
<br />multiplying the Plant Protection Quantity specified in the applicable Transportation Agreement times the
<br />number of Days in the billing Month times the Monthly Charge in the first block, entitled "First 0 MMBtu to
<br />1,500 MMBtu," under Rate Schedule T - Transportation effective where the Delivery Point is located,
<br />whether such quantities of Gas are actually transported by Customer or not. The term "Plant Protection'
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