1. December 1-2, 2004 Energy Day Meetings 1 North American Energy Standards Board Wholesale Gas Quadrant Overview of Gas Day Standards December 2004

2. December 1-2, 2004 Energy Day Meetings 2 North American Energy Standards Board WGQ Overview of Gas Day The Gas Industry Standards Board (GISB), a precursor of the Wholesale Gas Quadrant, adopted a standard gas day in March 1996. Similarly, in December 1997, GISB adopted an intraday nomination schedule, which is based from gas day. Both sets of standards have been adopted by the FERC and incorporated by reference into federal orders.

3. December 1-2, 2004 Energy Day Meetings 3 North American Energy Standards Board WGQ Overview of Gas Day The three standards of most importance in discussing Gas Day are NAESB WGQ Standard Nos. 1.3.1, 1.3.2 and 1.3.41: NAESB WGQ Standard No. 1.3.1 Standard time for the gas day should be 9 a.m. to 9 a.m. (central clock time).

4. December 1-2, 2004 Energy Day Meetings 4 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (This is a six part standard): All Transportation Service Providers should support the following standard nomination cycles: (i) The Timely Nomination Cycle: 11:30 am for nominations leaving control of the nominating party; 11:45 am for receipt of nominations by the transporter; noon to send Quick Response; 3:30 pm for receipt of completed confirmations by transporter from upstream and downstream connected parties; 4:30 pm for receipt of scheduled quantities by shipper and point operator (central clock time on the day prior to flow).

5. December 1-2, 2004 Energy Day Meetings 5 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (Continued) (ii) The Evening Nomination Cycle: 6:00 pm for nominations leaving control of the nominating party; 6:15 pm for receipt of nominations by the transporter; 6:30 pm to send Quick Response; 9:00 pm for receipt of completed confirmations by transporter from upstream and downstream connected parties; 10:00 pm for Transportation Service Provider to provide scheduled quantities to affected shippers and point operators, and to provide scheduled quantities to bumped parties (notice to bumped parties), (central clock time on the day prior to flow).

6. December 1-2, 2004 Energy Day Meetings 6 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (continued) (ii) Scheduled quantities resulting from an Evening Nomination that does not cause another Service Requester on the subject Transportation Service Provider to receive notice that it is being bumped should be effective at 9:00 a.m. on gas day; and when an Evening Nomination causes another Service Requester on the subject Transportation Service Provider to receive notice that it is being bumped, the scheduled quantities should be effective at 9:00 a.m. on gas day.

7. December 1-2, 2004 Energy Day Meetings 7 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (continued) (iii) The Intraday 1 Nomination Cycle: 10:00 am for nominations leaving control of the nominating party; 10:15 am for receipt of nominations by the transporter; 10:30 am to send Quick Response; 1:00 pm for receipt of completed confirmations by transporter from upstream and downstream connected parties; 2:00 pm for Transportation Service Provider to provide scheduled quantities to affected shippers and point operators, and to provide scheduled quantities to bumped parties (notice to bumped parties), (central clock time on the gas day). Scheduled quantities resulting from Intraday 1 Nominations should be effective at 5:00 pm on gas day.

8. December 1-2, 2004 Energy Day Meetings 8 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (continued) (iv) (iv) The Intraday 2 Nomination Cycle: 5:00 pm for nominations leaving control of the nominating party; 5:15 pm for receipt of nominations by the transporter; 5:30 pm to send Quick Response; 8:00 pm for receipt of completed confirmations by transporter from upstream and downstream connected parties; 9:00 pm for Transportation Service Provider to provide scheduled quantities to affected shippers and point operators (central clock time on the gas day). Scheduled quantities resulting from Intraday 2 Nominations should be effective at 9:00 pm. on gas day. Bumping is not allowed during the Intraday 2 Nomination Cycle.

9. December 1-2, 2004 Energy Day Meetings 9 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (continued) (v) (v) For purposes of 1.3.2 ii, iii, and iv, "provide" shall mean, for transmittals pursuant to standards 1.4.x, receipt at the designated site, and for purposes of other forms of transmittal, it shall mean send or post.

10. December 1-2, 2004 Energy Day Meetings 10 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.2 (continued) (vi)

11. December 1-2, 2004 Energy Day Meetings 11 North American Energy Standards Board WGQ Overview of Gas Day NAESB WGQ Standard No. 1.3.41 The daily grid-wide synchronization times for scheduled flow are 9:00 a.m., 5:00 p.m., and 9:00 p.m.

12. December 1-2, 2004 Energy Day Meetings 12 North American Energy Standards Board WGQ Overview of Gas Day Bumping "Rules Firm transportation always "bumps" interruptible (scheduled or flowing), except in the Intraday 2 Cycle. Scheduled or flowing firm is never bumped, regardless of any respective "class" of the firm service involved. Bumped parties are notified via EDI, e-mail or web page (shipper's choice)