ANNEXURE 1

TRANSITIONAL RULES

1. INTRODUCTION

1.1 Phase 1

1.2 Phase 2

1.3 Definitions

2. PROCEDURES DURING PHASE 1 OF THE NETWORK CODE

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1 INTRODUCTION

1.1 Phase 1

1.1.1 For the purposes of these Transitional Rules “Phase 1” will mean the period commencing 15
September 2008 until the first day of Phase 2.

1.1.2 Commencing Day one of Phase 1, the Network Code will come into effect in the manner
described in Rule 2.

1.2 Phase 2

1.2.1 For the purposes of these Transitional Rules “Phase 2” will mean the period commencing 1 April
2009.

1.2.2 On Day one of Phase 2, those sections of the Network Code not already brought into effect during
Phase 1 will be brought into effect and those sections of the Network Code which are amended
by these Transitional Rules shall apply in the manner stated in the Network Code.

1.3 Definitions

Words and expressions used in these Transitional Rules shall, unless otherwise herein defined,
have the meanings as specified in the Network Code.

2 PROCEDURES DURING PHASE 1 OF THE NETWORK CODE

During Phase 1 the following terms and conditions contained in the Network Code shall be
amended in the following manner:

The Failure to Notify Charges under paragraph 4.2 of Section C, the Metering Performance
Charges under paragraph 3.2.7 of Section K, the Shrinkage Factor Charges under paragraph 1.4.2
of Section L, the Transporter Incentive Payments under paragraph 7.2 of Section E and the
Transporter Rebate Payments under paragraph 7.3 of Section E shall be set at zero on the first day
of Phase 1.

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