Document:

EX-10.3

 Exhibit 10.3 
 MIDCOAST ENERGY PARTNERS, L.P . 
 2013 LONG-TERM INCENTIVE PLAN

 SECTION 1. Purpose of the Plan. 
 This Midcoast Energy Partners, L.P. 2013 Long-Term Incentive Plan (the “Plan”) has been adopted by Midcoast Holdings, L.L.C., a Delaware limited liability company (the
“Company”), the general partner of Midcoast Energy Partners, L.P., a Delaware limited partnership (the “Partnership”). The Plan is intended to promote the interests of the Partnership and the Company by providing
incentive compensation awards denominated in or based on Units to Employees, Consultants and Directors to encourage superior performance. The Plan is also intended to enhance the ability of the Partnership, the Company and their Affiliates to
attract and retain the services of individuals who are essential for the growth and profitability of the Partnership, the Company and their Affiliates and to encourage them to devote their best efforts to advancing the business of the Partnership,
the Company and their Affiliates. 
 SECTION 2. Definitions. 

As used in the Plan, the following terms shall have the meanings set forth below: 

“Affiliate” means, with respect to any Person, any other Person that directly or indirectly through one or more
intermediaries controls, is controlled by or is under common control with, the Person in question. As used herein, the term “control” means the possession, direct or indirect, of the power to direct or cause the direction of the management
and policies of a Person, whether through ownership of voting securities, by contract or otherwise. 
 “ASC Topic
718” means Accounting Standards Codification Topic 718, Compensation – Stock Compensation, or any successor accounting standard. 
 “Award” means an Option, Restricted Unit, Phantom Unit, DER, Substitute Award, Unit Appreciation Right, Unit Award or Profits Interest Unit granted under the Plan. 

“Award Agreement” means the written or electronic agreement by which an Award shall be evidenced. 

“Board” means the board of directors or board of managers, as the case may be, of the Company. 

“Cause” means, unless otherwise set forth in an Award Agreement or other written agreement between the Company and the
applicable Participant, a finding by the Committee, before or after the Participant’s termination of Service, of: (i) any material failure by the Participant to perform the Participant’s duties and responsibilities under any written
agreement between the Participant and the Company or its Affiliate(s); (ii) any act of fraud, embezzlement, theft or misappropriation by the Participant relating to the Company, the 

 
Partnership or any of their Affiliates; (iii) the Participant’s commission of a felony or a crime involving moral turpitude; (iv) any gross negligence or intentional misconduct on
the part of the Participant in the conduct of the Participant’s duties and responsibilities with the Company or any Affiliate(s) of the Company or which adversely affects the image, reputation or business of the Company, the Partnership or
their Affiliates; or (v) any material breach by the Participant of any agreement between the Company or any of its Affiliates, on the one hand, and the Participant on the other. The findings and decision of the Committee with respect to such
matter, including those regarding the acts of the Participant and the impact thereof, will be final for all purposes. 

“Change in Control” means, and shall be deemed to have occurred upon one or more of the following events: 

(i) any “person” or “group” within the meaning of Sections 13(d) and 14(d)(2) of the Exchange Act,
other than the Company or an Affiliate of the Company (as determined immediately prior to such event), shall become the beneficial owner, by way of merger, acquisition, consolidation, recapitalization, reorganization or otherwise, of 50% or more of
the combined voting power of the equity interests in the Company or the Partnership or Enbridge Energy Partners LP or its general partner; 
 (ii) the limited partners of the Partnership approve, in one or a series of transactions, a plan of complete liquidation of the Partnership; 

(iii) the sale or other disposition by either the Company or the Partnership of all or substantially all of its assets in
one or more transactions to any Person other than the Company, the Partnership or an Affiliate of the Company or of the Partnership; 
 (iv) a transaction resulting in a Person other than the Company or an Affiliate of the Company (as determined immediately prior to such event) being the sole general partner of the Partnership; or

 (v) a Change of Control as defined in the Enbridge Inc. Performance Stock Unit Plan (2007), as amended
(2012). 
 Notwithstanding the foregoing, if a Change in Control constitutes a payment event with respect to any Award which
provides for the deferral of compensation and is subject to Section 409A, the transaction or event described in subsection (i), (ii), (iii) or (iv) above with respect to such Award must also constitute a “change in control
event,” as defined in Treasury Regulation §1.409A-3(i)(5), and as relates to the holder of such Award, to the extent required to comply with Section 409A. 
 “Code” means the Internal Revenue Code of 1986, as amended. 

“Committee” means the Board, except that it shall mean such committee of the Board as may be appointed by the Board to
administer the Plan, or as necessary to comply with applicable legal requirements or listing standards. 

“Consultant” means an individual who renders consulting services to the Company, the Partnership or any of their
Affiliates. 

  
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 “DER” means a distribution equivalent right, representing a contingent
right to receive an amount in cash, Units, Restricted Units and/or Phantom Units equal in value to the distributions made by the Partnership with respect to a Unit during the period such Award is outstanding. 

“Director” means a member of the board of directors or board of managers, as the case may be, of the Company, the
Partnership or any of their Affiliates who is not an Employee or a Consultant (other than in that individual’s capacity as a Director). 
 “Disability” means, unless otherwise set forth in an Award Agreement or other written agreement between the Company, the Partnership or one of their Affiliates and the applicable
Participant, as determined by the Committee in its discretion exercised in good faith, a physical or mental condition of a Participant that would entitle him or her to payment of disability income payments under the Company’s, the
Partnership’s or one of their Affiliates’ long-term disability insurance policy or plan, as applicable, for employees as then in effect; or in the event that a Participant is not covered, for whatever reason, under any such long-term
disability insurance policy or plan for employees of the Company, the Partnership or one of their Affiliates or the Company, the Partnership or one of their Affiliates does not maintain such a long-term disability insurance policy,
“Disability” means a total and permanent disability within the meaning of Section 22(e)(3) of the Code; provided, however, that if a Disability constitutes a payment event with respect to any Award which provides for the
deferral of compensation and is subject to Section 409A, then, to the extent required to comply with Section 409A, the Participant must also be considered “disabled” within the meaning of Section 409A(a)(2)(C) of the Code. A
determination of Disability may be made by a physician selected or approved by the Committee and, in this respect, Participants shall submit to an examination by such physician upon request by the Committee. 

“Employee” means an employee of the Company, the Partnership or any of their Affiliates. 

“Enbridge Board” means the board of directors of Enbridge Inc. 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

“Fair Market Value” means, as of any given date, the closing sales price on such date during normal trading hours (or,
if there are no reported sales on such date, on the last date prior to such date on which there were sales) of the Units on the New York Stock Exchange or, if not listed on such exchange, on any other national securities exchange on which the
Units are listed or on an inter-dealer quotation system, in any case, as reported in such source as the Committee shall select. If there is no regular public trading market for the Units, the Fair Market Value of the Units shall be determined by the
Committee in good faith and, to the extent applicable, in compliance with the requirements of Section 409A. 

“HRCC” means the Human Resources & Compensation Committee of the Enbridge Board or any successor committee
performing similar functions. 
 “Option” means an option to purchase Units granted pursuant to
Section 6(a) of the Plan. 
 “Other Unit-Based Award” means an award granted pursuant to Section 6(f)
of the Plan. 

  
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 “Participant” means an Employee, Consultant or Director granted an Award
under the Plan and any authorized transferee of such individual. 
 “Partnership Agreement” means the Agreement
of Limited Partnership of the Partnership, as it may be amended or amended and restated from time to time. 

“Person” shall have the meaning ascribed to such term in Section 3(a)(9) of the Exchange Act and used in
Sections 13(d) and 14(d) thereof, including a “group” as defined in Section 13(d) thereof. 

“Phantom Unit” means a notional interest granted under the Plan that, to the extent vested, entitles the Participant to
receive a Unit or an amount of cash equal to the Fair Market Value of a Unit, as determined by the Committee in its discretion. 

“Profits Interest Unit” means to the extent authorized by the Partnership Agreement, an interest in the Partnership that
is intended to constitute a “profits interest” within the meaning of the Code, Treasury Regulations promulgated thereunder, and any published guidance by the Internal Revenue Service with respect thereto. 

“Restricted Period” means the period established by the Committee with respect to an Award during which the Award
remains subject to forfeiture and is either not exercisable by or payable to the Participant, as the case may be. 

“Restricted Unit” means a Unit granted pursuant to Section 6(b) of the Plan that is subject to a Restricted Period.

 “Securities Act” means the Securities Act of 1933, as amended. 

“SEC” means the Securities and Exchange Commission, or any successor thereto. 

“Section 409A” means Section 409A of the Code and the Treasury Regulations and other interpretive guidance issued
thereunder, including without limitation any such regulations or other guidance that may be issued after the Effective Date (as defined in Section 9 below). 
 “Service” means service as an Employee, Consultant or Director. The Committee, in its sole discretion, shall determine the effect of all matters and questions relating to terminations of
Service, including, without limitation, the questions of whether and when a termination of Service occurred and/or resulted from a discharge for Cause, and all questions of whether particular changes in status or leaves of absence constitute a
termination of Service. The Committee, in its sole discretion, subject to the terms of any applicable Award Agreement, may determine that a termination of Service has not occurred in the event of (a) a termination where there is simultaneous
commencement by the Participant of a relationship with the Partnership, the Company or any of their Affiliates as an Employee, Director or Consultant or (b) a termination which results in a temporary severance of the service relationship.

 “Substitute Award” means an award granted pursuant to Section 6(g) of the Plan. 

  
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 “Unit” means a Class A Common Unit of the Partnership. 

“Unit Appreciation Right” or “UAR” means a contingent right that entitles the holder to receive the
excess of the Fair Market Value of a Unit on the exercise date of the UAR over the exercise price of the UAR. 
 “Unit
Award” means an award granted pursuant to Section 6(d) of the Plan. 
 SECTION 3. Administration.

 (a) The Plan shall be administered by the Committee, subject to subsection (b) below; provided, however,
that in the event that the Board is not also serving as the Committee, the Board, in its sole discretion, may at any time and from time to time exercise any and all rights and duties of the Committee under the Plan. The governance of the Committee
shall be subject to the charter, if any, of the Committee as approved by the Board. Subject to the terms of the Plan and applicable law, and in addition to other express powers and authorizations conferred on the Committee by the Plan, the Committee
shall have full power and authority to: (i) designate Participants; (ii) determine the type or types of Awards to be granted to a Participant; (iii) determine the number of Units to be covered by Awards; (iv) determine the terms
and conditions of any Award; (v) determine whether, to what extent, and under what circumstances Awards may be settled, exercised, canceled, or forfeited; (vi) interpret and administer the Plan and any instrument or agreement relating to
an Award made under the Plan; (vii) establish, amend, suspend, or waive such rules and regulations and appoint such agents as it shall deem appropriate for the proper administration of the Plan; and (viii) make any other determination and
take any other action that the Committee deems necessary or desirable for the administration of the Plan. The Committee may correct any defect or supply any omission or reconcile any inconsistency in the Plan or an Award Agreement in such manner and
to such extent as the Committee deems necessary or appropriate. Unless otherwise expressly provided in the Plan, all designations, determinations, interpretations, and other decisions under or with respect to the Plan or any Award shall be within
the sole discretion of the Committee, may be made at any time and shall be final, conclusive, and binding upon all Persons, including the Company, the Partnership, any of their Affiliates, any Participant and any beneficiary of any Participant.

 (b) To the extent permitted by applicable law and the rules of any securities exchange on which the Units are
listed, quoted or traded, the Board or Committee may from time to time delegate to a committee of one or more members of the Board or one or more officers of the Company the authority to grant or amend Awards or to take other administrative actions
pursuant to Section 3(a); provided, however, that in no event shall an officer of the Company be delegated the authority to grant awards to, or amend awards held by, the following individuals: (i) individuals who are subject to
Section 16 of the Exchange Act, or (ii) officers of the Company (or Directors) to whom authority to grant or amend Awards has been delegated hereunder; provided further, that any delegation of administrative authority shall only be
permitted to the extent that it is permissible under applicable provisions of the Code and applicable securities laws and the rules of any securities exchange on which the Units are listed, quoted or traded. Any delegation hereunder shall be subject
to such restrictions and limitations as the Board or Committee, as applicable, specifies at the time of such delegation, and the Board or Committee,  

  
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as applicable, may at any time rescind the authority so delegated or appoint a new delegatee. At all times, the delegatee appointed under this Section 3(b) shall serve in such capacity at
the pleasure of the Board and the Committee. 
 (c) For so long as the Company is an Affiliate of Enbridge Inc., (i) Awards
proposed to be granted by the Committee under the Plan shall first be presented to the HRCC (who may make recommendations with respect thereto to the Enbridge Board) in accordance with regular compensation oversight processes, and (ii) any
Award to be granted under the Plan to a Participant shall only be granted by the Committee following a recommendation by the HRCC or the Enbridge Board to grant such award. 
 SECTION 4. Units. 
 (a) Limits on Units Deliverable. Subject to
adjustment as provided in Section 4(c), the number of Units that may be delivered with respect to Awards under the Plan is [                    
(            )]. If any Award is forfeited, cancelled, exercised, paid, or otherwise terminates or expires without the actual delivery of Units pursuant to such Award (for the avoidance of
doubt, the grant of Restricted Units is not a delivery of Units for this purpose unless and until such Restricted Units vest and any restrictions placed upon them under the Plan lapse), the Units subject to such Award that are not actually delivered
pursuant to such Award shall again be available for Awards under the Plan. To the extent permitted by applicable law and securities exchange rules, Substitute Awards and Units issued in assumption of, or in substitution for, any outstanding awards
of any entity acquired in any form of combination by the Partnership or any Affiliate thereof shall not be counted against the Units available for issuance pursuant to the Plan. There shall not be any limitation on the number of Awards that may be
paid in cash. 
 (b) Sources of Units Deliverable Under Awards. Any Units delivered pursuant to an Award shall consist,
in whole or in part, of Units acquired in the open market, from the Partnership, any Affiliate thereof or any other Person, or Units otherwise issuable by the Partnership, or any combination of the foregoing, as determined by the Committee in its
discretion. 
 (c) Anti-dilution Adjustments. 

(i) Equity Restructuring. With respect to any “equity restructuring” event (within the meaning of ASC
Topic 718) that could result in an additional compensation expense to the Company or the Partnership pursuant to the provisions of ASC Topic 718 if adjustments to Awards with respect to such event were discretionary, the Committee shall equitably
adjust the number and type of Units covered by each outstanding Award and the terms and conditions, including the exercise price and performance criteria (if any), of such Award to equitably reflect such event and shall adjust the number and type of
Units (or other securities or property) with respect to which Awards may be granted under the Plan after such event. With respect to any other similar event that would not result in an ASC Topic 718 accounting charge if the adjustment to Awards with
respect to such event were subject to discretionary action, the Committee shall have complete discretion to adjust Awards and the number and type of Units (or other securities or property) with respect to which Awards may be granted under the Plan
in such manner as it deems appropriate with respect to such other event. 

  
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 (ii) Other Changes in Capitalization. In the event of any non-cash
distribution, Unit split, combination or exchange of Units, merger, consolidation or distribution (other than normal cash distributions) of Partnership assets to unitholders, or any other change affecting the Units of the Partnership, other than an
“equity restructuring,” the Committee may make equitable adjustments, if any, to reflect such change with respect to (A) the aggregate number and kind of Units that may be issued under the Plan; (B) the number and kind of Units
(or other securities or property) subject to outstanding Awards; (C) the terms and conditions of any outstanding Awards (including, without limitation, any applicable performance targets or criteria with respect thereto); and (D) the grant
or exercise price per Unit for any outstanding Awards under the Plan. 
 SECTION 5. Eligibility. 

Any Employee, Consultant or Director shall be eligible to be designated a Participant and receive an Award under the Plan; provided,
however, that for so long as the Company is an Affiliate of Enbridge Inc., unless otherwise determined by the Enbridge Board or HRCC, Directors and Consultants who are not also Employees shall not be eligible to receive Awards under the Plan.

 SECTION 6. Awards. 
 (a) Options and UARs. The Committee shall have the authority to determine the Employees, Consultants and Directors to whom Options and/or UARs shall be granted, the number of Units to be covered by
each Option or UAR, the exercise price therefor, the Restricted Period and other conditions and limitations applicable to the exercise of the Option or UAR, including the following terms and conditions and such additional terms and conditions, as
the Committee shall determine, that are not inconsistent with the provisions of the Plan. Options which are intended to comply with Treasury Regulation Section 1.409A-1(b)(5)(i)(A) and UARs which are intended to comply with Treasury Regulation
Section 1.409A-1(b)(5)(i)(B) or, in each case, any successor regulation, may be granted only if the requirements of Treasury Regulation Section 1.409A-1(b)(5)(iii), or any successor regulation, are satisfied. Options and UARs that are
otherwise exempt from or compliant with Section 409A may be granted to any eligible Employee, Consultant or Director. 
 (i) Exercise Price. The exercise price per Unit purchasable under an Option or subject to a UAR shall be determined by the Committee at the time the Option or UAR is granted but, except with
respect to a Substitute Award, may not be less than the Fair Market Value of a Unit as of the date of grant of the Option or UAR. 
 (ii) Time and Method of Exercise. The Committee shall determine the exercise terms and any applicable Restricted Period with respect to an Option or UAR, which may include, without limitation,
provisions for accelerated vesting upon the achievement of specified performance goals and/or other events, and the method or 

  
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methods by which payment of the exercise price with respect to an Option or UAR may be made or deemed to have been made, which may include, without limitation, cash, check acceptable to the
Company, withholding Units having a Fair Market Value on the exercise date equal to the relevant exercise price from the Award, a “cashless” exercise through procedures approved by the Company, or any combination of the foregoing methods.

 (iii) Exercise of Options and UARs on Termination of Service. Each Option and UAR Award Agreement
shall set forth the extent to which the Participant shall have the right to exercise the Option or UAR following a termination of the Participant’s Service. Unless otherwise determined by the Committee, if the Participant’s Service is
terminated for Cause, the Participant’s right to exercise the Option or UAR shall terminate as of the start of business on the effective date of the Participant’s termination. Unless otherwise determined by the Committee, to the extent the
Option or UAR is not vested and exercisable as of the termination of Service, the Option or UAR shall terminate when the Participant’s Service terminates. 
 (iv) Term of Options and UARs. The term of each Option and UAR shall be stated in the Award Agreement, provided that the term shall be no more than ten (10) years from the date of grant
thereof. 
 (b) Restricted Units and Phantom Units. The Committee shall have the authority to determine the Employees,
Consultants and Directors to whom Restricted Units and/or Phantom Units shall be granted, the number of Restricted Units or Phantom Units to be granted to each such Participant, the applicable Restricted Period, the conditions under which the
Restricted Units or Phantom Units may become vested or forfeited and such other terms and conditions, including, without limitation, restrictions on transferability, as the Committee may establish with respect to such Awards. 

(i) Payment of Phantom Units. The Committee shall specify, or permit the Participant to elect in accordance with
the requirements of Section 409A, the conditions and dates or events upon which the cash or Units underlying an award of Phantom Units shall be issued, which dates or events shall not be earlier than the date on which the Phantom Units vest and
become nonforfeitable and which conditions and dates or events shall be subject to compliance with Section 409A (unless the Phantom Units are exempt therefrom). 

(ii) Vesting of Restricted Units. Upon or as soon as reasonably practicable following the vesting of each
Restricted Unit, subject to satisfying the tax withholding obligations of Section 8(b), the Participant shall be entitled to have the restrictions removed from his or her Unit certificate (or book-entry account, as applicable) so that the
Participant then holds an unrestricted Unit. 
 (c) DERs. The Committee shall have the authority to determine the
Employees, Consultants and/or Directors to whom DERs are granted, whether such DERs are tandem or separate Awards, whether the DERs shall be paid directly to the Participant, be credited to a 

  
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bookkeeping account (with or without interest in the discretion of the Committee), any vesting restrictions and payment provisions applicable to the DERs, and such other provisions or
restrictions as determined by the Committee in its discretion, all of which shall be specified in the applicable Award Agreements. Distributions in respect of DERs shall be credited as of the distribution dates during the period between the date an
Award is granted to a Participant and the date such Award vests, is exercised, is distributed or expires, as determined by the Committee. Such DERs shall be converted to cash, Units, Restricted Units and/or Phantom Units by such formula and at such
time and subject to such limitations as may be determined by the Committee. Tandem DERs may be subject to the same or different vesting restrictions as the tandem Award, or be subject to such other provisions or restrictions as determined by the
Committee in its discretion. Notwithstanding the foregoing, DERs shall only be paid in a manner that is either exempt from or in compliance with Section 409A. 
 (d) Unit Awards. Awards of Units may be granted under the Plan (i) to such Employees, Consultants and/or Directors and in such amounts as the Committee, in its discretion, may select, and
(ii) subject to such other terms and conditions, including, without limitation, restrictions on transferability, as the Committee may establish with respect to such Awards. 

(e) Profits Interest Units. Any Award consisting of Profits Interest Units may be granted to an Employee, Consultant or Director
for the performance of services to or for the benefit of the Partnership (i) in the Participant’s capacity as a partner of the Partnership, (ii) in anticipation of the Participant becoming a partner of the Partnership, or
(iii) as otherwise determined by the Committee. At the time of grant, the Committee shall specify the date or dates on which the Profits Interest Units shall vest and become nonforfeitable, and may specify such conditions to vesting as it deems
appropriate. Profits Interest Units shall be subject to such restrictions on transferability and other restrictions as the Committee may impose. 
 (f) Other Unit-Based Awards. Other Unit-Based Awards may be granted under the Plan to such Employees, Consultants and/or Directors as the Committee, in its discretion, may select. An Other
Unit-Based Award shall be an award denominated or payable in, valued in or otherwise based on or related to Units, in whole or in part. The Committee shall determine the terms and conditions of any Other Unit-Based Award. Upon vesting, an Other
Unit-Based Award may be paid in cash, Units (including Restricted Units) or any combination thereof as provided in the Award Agreement. 
 (g) Substitute Awards. Awards may be granted under the Plan in substitution of similar awards held by individuals who become Employees, Consultants or Directors as a result of a merger,
consolidation or acquisition by the Partnership or an Affiliate of another entity or the assets of another entity. Such Substitute Awards that are Options or UARs may have exercise prices less than the Fair Market Value of a Unit on the date of the
substitution if such substitution complies with Section 409A and other applicable laws and securities exchange rules. 

(h) General. 

  
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 (i) Award Agreements. Each Award shall be evidenced in either an
individual Award Agreement or within a separate plan, policy, agreement or other written document, which shall reflect any vesting conditions or restrictions imposed by the Committee covering a period of time specified by the Committee and shall
also contain such terms, conditions and limitations as shall be determined by the Committee in its sole discretion. Where signature or electronic acceptance of the Award Agreement by the Participant is required, any such Awards for which the Award
Agreement is not signed or electronically accepted shall be forfeited. 
 (ii) Forfeitures. Except as
otherwise provided in the terms of an Award Agreement, upon termination of a Participant’s Service for any reason during an applicable Restricted Period, all outstanding, unvested Awards held by such Participant shall be automatically forfeited
by the Participant. The Committee may, in its discretion, waive in whole or in part such forfeiture with respect to any such Award; provided, that any such waiver shall be effective only to the extent that such waiver will not cause any Award
intended to satisfy the requirements of Section 409A to fail to satisfy such requirements. 
 (iii)
Awards May Be Granted Separately or Together. Awards may, in the discretion of the Committee, be granted either alone or in addition to, in tandem with, or in substitution for any other Award granted under the Plan or any award granted under
any other plan of the Company or any Affiliate. Awards granted in addition to or in tandem with other Awards or awards granted under any other plan of the Company or any Affiliate may be granted either at the same time as or at a different time from
the grant of such other Awards or awards. 
 (iv) Limits on Transfer of Awards. 

(A) Except as provided in paragraph (C) below, each Option and UAR shall be exercisable only by the Participant
during the Participant’s lifetime, or by the person to whom the Participant’s rights shall pass by will or the laws of descent and distribution. 
 (B) Except as provided in paragraph (C) below, no Award and no right under any such Award may be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by a Participant
other than by will or the laws of descent and distribution and any such purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance shall be void and unenforceable against the Company, the Partnership or any Affiliate.

 (C) The Committee may provide in an Award Agreement or in its discretion that an Award may, on such terms
and conditions as the Committee may from time to time establish, be transferred by a Participant without consideration to any “family member” of the Participant, as defined in the instructions to use of the Form S-8 Registration Statement
under the Securities Act, as applicable, or any other transferee specifically approved by the Committee 

  
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after taking into account any state, federal, local or foreign tax and securities laws applicable to transferable Awards. In addition, vested Units may be transferred to the extent permitted by
the Partnership Agreement and not otherwise prohibited by the Award Agreement or any other agreement or policy restricting the transfer of such Units. 
 (v) Term of Awards. Subject to Section 6(a)(iv) above, the term of each Award, if any, shall be for such period as may be determined by the Committee. 

(vi) Unit Certificates. Unless otherwise determined by the Committee or required by any applicable law, rule or
regulation, neither the Company nor the Partnership shall deliver to any Participant certificates evidencing Units issued in connection with any Award and instead such Units shall be recorded in the books of the Partnership (or, as applicable, its
transfer agent or equity plan administrator). All certificates for Units or other securities of the Partnership delivered under the Plan and all Units issued pursuant to book entry procedures pursuant to any Award or the exercise thereof shall be
subject to such stop-transfer orders and other restrictions as the Committee may deem advisable under the Plan or the rules, regulations, and/or other requirements of the SEC, any securities exchange upon which such Units or other securities are
then listed, and any applicable federal or state laws, and the Committee may cause a legend or legends to be inscribed on any such certificates or book entry to make appropriate reference to such restrictions. 

(vii) Consideration for Grants. To the extent permitted by applicable law, Awards may be granted for such
consideration, including services, as the Committee shall determine. 
 (viii) Delivery of Units or other
Securities and Payment by Participant of Consideration. Notwithstanding anything in the Plan or any Award Agreement to the contrary, subject to compliance with Section 409A, the Company shall not be required to issue or deliver any
certificates or make any book entries evidencing Units pursuant to the exercise or vesting of any Award, unless and until the Board or the Committee has determined, with advice of counsel, that the issuance of such Units is in compliance with all
applicable laws, regulations of governmental authorities and, if applicable, the requirements of any securities exchange on which the Units are listed or traded, and the Units are covered by an effective registration statement or applicable
exemption from registration. In addition to the terms and conditions provided herein, the Board or the Committee may require that a Participant make such reasonable covenants, agreements, and representations as the Board or the Committee, in its
discretion, deems advisable in order to comply with any such laws, regulations, or requirements. Without limiting the generality of the foregoing, the delivery of Units pursuant to the exercise or vesting of an Award may be deferred for any period
during which, in the good faith determination of the Committee, the Company is not reasonably able to obtain or deliver Units pursuant to such Award without violating applicable law or the applicable rules or regulations of any governmental agency
or authority or securities exchange. No Units or other securities shall be delivered pursuant to any Award until payment in full of any amount required to be paid pursuant to the Plan or the applicable Award Agreement (including, without limitation,
any exercise price or tax withholding) is received by the Company. 

  
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 SECTION 7. Amendment and Termination; Certain Transactions. 

Except to the extent prohibited by applicable law: 
 (a) Amendments to the Plan. Except as required by applicable law or the rules of the principal securities exchange, if any, on which the Units are traded and subject to Section 7(b) below, the
Board or the Committee may amend, alter, suspend, discontinue, or terminate the Plan in any manner at any time for any reason or for no reason without the consent of any partner, Participant, other holder or beneficiary of an Award, or any other
Person. The Board shall obtain securityholder approval of any Plan amendment to the extent necessary to comply with applicable law or securities exchange listing standards or rules. 

(b) Amendments to Awards. Subject to Section 7(a) above, the Committee may waive any conditions or rights under, amend any
terms of, or alter any Award theretofore granted, provided that no change, other than pursuant to Section 7(c) below, in any Award shall materially reduce the rights or benefits of a Participant with respect to an Award without the consent of
such Participant. 
 (c) Actions Upon the Occurrence of Certain Events. Upon the occurrence of a Change in Control, any
transaction or event described in Section 4(c) above, any change in applicable laws or regulations affecting the Plan or Awards hereunder, or any change in accounting principles affecting the financial statements of the Company or the
Partnership, the Committee, in its sole discretion, without the consent of any Participant or holder of an Award, and on such terms and conditions as it deems appropriate, may take any one or more of the following actions: 

(i) provide for either (A) the termination of any Award in exchange for a payment in an amount, if any, equal to the
amount that would have been attained upon the exercise of such Award or realization of the Participant’s rights under such Award (and, for the avoidance of doubt, if as of the date of the occurrence of such transaction or event, the Committee
determines in good faith that no amount would have been payable upon the exercise of such Award or realization of the Participant’s rights, then such Award may be terminated by the Company without payment) or (B) the replacement of such
Award with other rights or property selected by the Committee in its sole discretion having an aggregate value not exceeding the amount that could have been attained upon the exercise of such Award or realization of the Participant’s rights had
such Award been currently exercisable or payable or fully vested; 
 (ii) provide that such Award be assumed by
the successor or survivor entity, or a parent or subsidiary thereof, or be exchanged for similar options, rights or awards covering the equity of the successor or survivor, or a parent or subsidiary thereof, with appropriate adjustments as to the
number and kind of equity interests and prices; 

  
 -12-

 (iii) make adjustments in the number and type of Units (or other securities
or property) subject to outstanding Awards, the number and kind of outstanding Awards, the terms and conditions of (including the exercise price), and/or the vesting and performance criteria included in, outstanding Awards; 

(iv) provide that such Award shall vest or become exercisable or payable, notwithstanding anything to the contrary in the
Plan or the applicable Award Agreement; and 
 (v) provide that the Award cannot be exercised or become payable
after such event and shall terminate upon such event. 
 Notwithstanding the foregoing, (i) with respect to an above event that
constitutes an “equity restructuring” that would be subject to a compensation expense pursuant to ASC Topic 718, the provisions in Section 4(c) above shall control to the extent they are in conflict with the discretionary provisions
of this Section 7, provided, however, that nothing in this Section 7(c) or Section 4(c) above shall be construed as providing any Participant or any beneficiary of an Award any rights with respect to the “time value,”
“economic opportunity” or “intrinsic value” of an Award or limiting in any manner the Committee’s actions that may be taken with respect to an Award as set forth in this Section 7 or in Section 4(c) above; and
(ii) no action shall be taken under this Section 7 which shall cause an Award to result in taxation under Section 409A, to the extent applicable to such Award. 

SECTION 8. General Provisions. 
 (a) No Rights to Award. No Person shall have any claim to be granted any Award under the Plan, and there is no obligation for uniformity of treatment of Participants, including the treatment upon
termination of Service. The terms and conditions of Awards need not be the same with respect to each recipient. 
 (b) Tax
Withholding. Unless other arrangements have been made that are acceptable to the Company, the Company or any Affiliate thereof is authorized to deduct or withhold, or cause to be deducted or withheld, from any Award, from any payment due or
transfer made under any Award, or from any compensation or other amount owing to a Participant the amount (in cash or Units, including Units that would otherwise be issued pursuant to such Award or other property) of any applicable taxes payable in
respect of an Award, including its grant, its exercise, the lapse of restrictions thereon, or any payment or transfer thereunder or under the Plan, and to take such other action as may be necessary in the opinion of the Company to satisfy its
withholding obligations for the payment of such taxes. In the event that Units that would otherwise be issued pursuant to an Award are used to satisfy such withholding obligations, the number of Units which may be so withheld or surrendered shall be
limited to the number of Units which have a Fair Market Value on the date of withholding equal to the aggregate amount of such liabilities based on the minimum statutory withholding rates for federal, state, local and foreign income tax and payroll
tax purposes that are applicable to such supplemental taxable income. 

  
 -13-

 (c) No Right to Employment or Services. The grant of an Award shall not be construed
as giving a Participant the right to be retained in the employ of the Company, the Partnership or any of their Affiliates, or continue to serve as a Consultant or a Director, as applicable. Furthermore, the Company, the Partnership and/or an
Affiliate thereof may at any time dismiss a Participant from employment or consulting free from any liability or any claim under the Plan, unless otherwise expressly provided in the Plan, any Award Agreement or other written agreement between any
such entity and the Participant. 
 (d) No Rights as Unitholder. Except as otherwise provided herein, a Participant shall
have none of the rights of a unitholder with respect to Units covered by any Award unless and until the Participant becomes the record owner of such Units. 
 (e) Section 409A. To the extent that the Committee determines that any Award granted under the Plan is subject to Section 409A, the Award Agreement evidencing such Award shall be drafted
with the intention to include the terms and conditions required by Section 409A. To the extent applicable, the Plan and Award Agreements shall be interpreted in accordance with Section 409A. Notwithstanding any provision of the Plan to the
contrary, in the event that following the Effective Date (as defined in Section 9 below), the Committee determines that any Award may be subject to Section 409A, the Committee may adopt such amendments to the Plan and the applicable Award
Agreement, adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), and/or take any other actions that the Committee determines are necessary or appropriate to preserve the intended tax treatment
of the Award, including without limitation, actions intended to (i) exempt the Award from Section 409A, or (ii) comply with the requirements of Section 409A; provided, however, that nothing herein shall create any
obligation on the part of the Committee, the Partnership, the Company or any of their Affiliates to adopt any such amendment, policy or procedure or take any such other action, nor shall the Committee, the Partnership, the Company or any of their
Affiliates have any liability for failing to do so. Notwithstanding any provision in the Plan to the contrary, the time of payment with respect to any Award that is subject to Section 409A shall not be accelerated, except as permitted under
Treasury Regulation Section 1.409A-3(j)(4). Notwithstanding any provision of this Plan to the contrary, if a Participant is a “specified employee” within the meaning of Section 409A as of the date of such Participant’s
termination of Service and the Company determines that immediate payment of any amounts or benefits under this Plan would cause a violation of Section 409A, then any amounts or benefits which are payable under this Plan upon the
Participant’s “separation from service” within the meaning of Section 409A that: (i) are subject to the provisions of Section 409A; (ii) are not otherwise exempt under Section 409A; and (iii) would
otherwise be payable during the first six-month period following such separation from service, shall be paid, without interest, on the first business day next following the earlier of: (1) the date that is six months and one day following the
date of termination; or (2) the date of the Participant’s death. Each payment or amount due to a Participant under this Plan shall be considered a separate payment, and a Participant’s entitlement to a series of payments under this
Plan is to be treated as an entitlement to a series of separate payments. 
 (f) Lock-Up Agreement. Each Participant
shall agree, if so requested by the Company or the Partnership and any underwriter in connection with any public offering of securities of the Partnership or any Affiliate, not to directly or indirectly offer, sell, contract to

  
 -14-

 
sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant for the sale of or otherwise dispose of or transfer any Units held by it
for such period, not to exceed one hundred eighty (180) days following the effective date of the relevant registration statement filed under the Securities Act in connection with such public offering, as such underwriter shall specify
reasonably and in good faith. The Company or the Partnership may impose stop-transfer instructions with respect to securities subject to the foregoing restrictions until the end of such 180-day period. Notwithstanding the foregoing, the 180-day
period may be extended for up to such number of additional days as is deemed necessary by such underwriter or the Company or Partnership to continue coverage by research analysts in accordance with FINRA Rule 2711 or any successor rule. 

(g) Compliance with Laws. The Plan, the granting and vesting of Awards under the Plan and the issuance and delivery of Units and
the payment of money under the Plan or under Awards granted or awarded hereunder are subject to compliance with all applicable federal, state, local and foreign laws, rules and regulations (including but not limited to state, federal and foreign
securities law and margin requirements), the rules of any securities exchange or automated quotation system on which the Units are listed, quoted or traded, and to such approvals by any listing, regulatory or governmental authority as may, in the
opinion of counsel for the Company or the Partnership, be necessary or advisable in connection therewith. Any securities delivered under the Plan shall be subject to such restrictions, and the Person acquiring such securities shall, if requested by
the Company or the Partnership, provide such assurances and representations to the Company or the Partnership as the Company or the Partnership may deem necessary or desirable to assure compliance with all applicable legal requirements. To the
extent permitted by applicable law, the Plan and Awards granted or awarded hereunder shall be deemed amended to the extent necessary to conform to such laws, rules and regulations. In the event an Award is granted to or held by a Participant who is
employed or providing services outside the United States, the Committee may, in its sole discretion, modify the provisions of the Plan or of such Award as they pertain to such Participant to comply with applicable foreign law or to recognize
differences in local law, currency or tax policy. The Committee may also impose conditions on the grant, issuance, exercise, vesting, settlement or retention of Awards in order to comply with such foreign law and/or to minimize the Company’s or
the Partnership’s obligations with respect to tax equalization for Participants employed outside their home country. 
 (h)
Governing Law. The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall be determined in accordance with the laws of the State of Delaware without regard to its conflicts of laws principles.

 (i) Severability. If any provision of the Plan or any Award is or becomes, or is deemed to be, invalid, illegal, or
unenforceable in any jurisdiction or as to any Person or Award, or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable law or, if
it cannot be construed or deemed amended without, in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, Person or Award and the remainder of the Plan
and any such Award shall remain in full force and effect. 

  
 -15-

 (j) Other Laws. The Committee may refuse to issue or transfer any Units or other
consideration under an Award if, in its sole discretion, it determines that the issuance or transfer of such Units or such other consideration might violate any applicable law or regulation, the rules of the principal securities exchange on which
the Units are then traded, or entitle the Partnership or an Affiliate to recover the same under Section 16(b) of the Exchange Act, and any payment tendered to the Company by a Participant, other holder or beneficiary in connection with the
exercise of such Award shall be promptly refunded to the relevant Participant, holder or beneficiary. 
 (k) No Trust or Fund
Created. Neither the Plan nor any Award shall create or be construed to create a trust or separate fund of any kind or a fiduciary relationship between the Company, the Partnership or any of their Affiliates, on the one hand, and a Participant
or any other Person, on the other hand. To the extent that any Person acquires a right to receive payments pursuant to an Award, such right shall be no greater than the right of any general unsecured creditor of the Partnership or any participating
Affiliate of the Partnership. 
 (l) No Fractional Units. No fractional Units shall be issued or delivered pursuant to
the Plan or any Award, and the Committee shall determine whether cash, other securities, or other property shall be paid or transferred in lieu of any fractional Units or whether such fractional Units or any rights thereto shall be canceled,
terminated, or otherwise eliminated. 
 (m) Headings. Headings are given to the Sections and subsections of the Plan
solely as a convenience to facilitate reference. Such headings shall not be deemed in any way material or relevant to the construction or interpretation of the Plan or any provision hereof. 

(n) No Guarantee of Tax Consequences. None of the Board, the Committee, the Company or the Partnership provides or has provided
any tax advice to any Participant or any other Person or makes or has made any assurance, commitment or guarantee that any federal, state, local or other tax treatment will (or will not) apply or be available to any Participant or other Person.

 (o) Clawback. To the extent required by applicable law or any applicable securities exchange listing standards, or as
otherwise determined by the Committee, Awards and amounts paid or payable pursuant to or with respect to Awards shall be subject to the provisions of any clawback policy implemented by the Company or the Partnership, which clawback policy may
provide for forfeiture, repurchase and/or recoupment of Awards and amounts paid or payable pursuant to or with respect to Awards. Notwithstanding any provision of this Plan or any Award Agreement to the contrary, the Company and the Partnership
reserve the right, without the consent of any Participant, to adopt any such clawback policies and procedures, including such policies and procedures applicable to this Plan or any Award Agreement with retroactive effect. 

(p) Unit Retention Policy. The Committee may provide in its sole and absolute discretion, subject to applicable law, that any
Units received by a Participant in connection with an Award granted hereunder shall be subject to a unit ownership, unit retention or other policy restricting the sale or transfer of units, as the Committee may determine to adopt, amend or terminate
in its sole discretion from time to time. 

  
 -16-

 (q) Limitation of Liability. No member of the Board or the Committee or Employee to
whom the Board or the Committee has delegated authority in accordance with the provisions of Section 3 of this Plan shall be liable for anything done or omitted to be done by him or her by any member of the Board or the Committee or by any
Employee in connection with the performance of any duties under this Plan, except for his or her own willful misconduct or as expressly provided by statute. 
 (r) Facility Payment. Any amounts payable hereunder to any Person under legal disability or who, in the judgment of the Committee, is unable to manage properly his or her financial affairs, may be
paid to the legal representative of such Person, or may be applied for the benefit of such Person in any manner that the Committee may select, and the Partnership, the Company and all of their Affiliates shall be relieved of any further liability
for payment of such amounts. 
 SECTION 9. Term of the Plan. 

The Plan shall be effective on the date on which the Plan is adopted by the Board (the “Effective Date”) and shall
continue until the date terminated by the Board. However, any Award granted prior to such termination, and the authority of the Board or the Committee to amend, alter, adjust, suspend, discontinue, or terminate any such Award or to waive any
conditions or rights under such Award, shall extend beyond such termination date. The Plan shall, within twelve (12) months after the date of the Board’s initial adoption of the Plan, be submitted for approval by a majority of the
outstanding Units of the Partnership entitled to vote. 

  
 -17-EX-10.7

 Exhibit 10.7 

AMENDED AND RESTATED ALLOCATION AGREEMENT 

THIS AGREEMENT is dated             , 2013. 

BETWEEN: 
 ENBRIDGE INC., a corporation
incorporated under the laws of Canada (the “Parent”); 
 AND: 

ENBRIDGE ENERGY PARTNERS, L.P., a limited partnership formed under the laws of the State of Delaware (“EEP”); 

AND: 
 ENBRIDGE INCOME FUND HOLDINGS INC.,
a corporation incorporated under the laws of the Province of Alberta (“EIFH”); 
 AND: 

MIDCOAST ENERGY PARTNERS, L.P., a limited partnership formed under the laws of the State of Delaware (“MEP”) 

(the Parent, EEP, EIFH, and MEP are referred to herein collectively as the “Enbridge Entities” or the
“parties” and individually as an “Enbridge Entity” or “party”). 
 WHEREAS: 

 

	A.	The Parent, EEP and EIFH (the “original parties or individually an “original party”) and MEP, along with their respective Related Entities, participate in various consolidated insurance
programs; 

  

	B.	On December 31, 2012 the original parties entered into an Allocation Agreement (the “Original Allocation Agreement”) to provide for a method of equitable allocation, as between each of the original
parties, of any insurance proceeds resulting from claims which exceed the total coverage limit of any insurance program within a coverage year based on the amount of premiums an original party contributed towards an insurance program; and

  

	C.	The original parties agree that it is appropriate to amend and restate the Original Allocation Agreement to add MEP as an Enbridge Entity. 

NOW THEREFORE THIS AGREEMENT WITNESSES THAT, for good and valuable consideration, the receipt and sufficiency of which is acknowledged by each of the parties
to this Agreement, the parties hereto agree to amend and restate the Original Allocation Agreement as set forth in this Agreement. 

 ARTICLE 1 

INTERPRETATION 
  

	1.1	Definitions. 

 The following terms will have the following meanings: 

 

	 	(a)	“Agreement” means this agreement, including its recitals and schedules, as amended from time to time; 

  

	 	(b)	“Allocated Recovery” has the meaning defined in Schedule “A” hereto; 

  

	 	(c)	“Business Day” means any day that is not a Saturday, Sunday or statutory holiday in the Province of Alberta or the State of Texas; 

 

	 	(d)	“Claim” means any remediation, repair, loss, restoration, replacement, or similar matter with respect to an Eligible Event and/or a proceeding, investigation, suit, action, hearing, inquiry,
arbitration, alternative dispute resolution mechanism or procedure initiated against an Enbridge Entity or its Related Entity, the substance of which is covered by applicable policies under the relevant Insurance Coverage Program, during a Coverage
Year; 

  

	 	(e)	“Claims Examiner” has the meaning defined in Section 4.1(1); 

  

	 	(f)	“Coverage Year” means, in respect of any Insurance Coverage Program, the effective term of such Insurance Coverage Program; 

 

	 	(g)	“Eligible Event” means any event, occurrence or other incident suffered by or in connection with an Enbridge Entity or its Related Entity, the substance of which is covered by an Insurance Coverage
Program during a Coverage Year; 

  

	 	(h)	“Insurance Cost Allocation Percentage” means in respect of the Enbridge Entities, the percentage of the cost of an Insurance Coverage Program being paid by an Enbridge Entity and its Related Entities
during a Coverage Year; 

  

	 	(i)	“Insurance Coverage Program” means a policy or group of policies providing a particular type of insurance coverage under the Insurance Programs, including, for example, general liability, onshore
property and business interruption, onshore terrorism, U.S. workers compensation and employers liability, U.S. automobile liability, directors’ and officers’ liability, Canadian automobile liability, aviation liability, fiduciary liability
and crime insurance and any other type of insurance coverage program which the Parent may procure on a consolidated basis from time to time; 

  

	 	(j)	“Insurance Programs” means the consolidated insurance programs composed of various Insurance Coverage Programs procured by the Parent for the Enbridge Entities and their respective Related Entities;

  

	 	(k)	“Insurance Risk Management” means the insurance risk management group of the Parent; 

  
 - 2 - 

	 	(l)	“Loss Amount” means the aggregate costs and expenses which an Enbridge Entity or its Related Entity has paid out with respect to a Claim and/or is reasonably expected to incur to resolve a Claim or
Claims under an Insurance Coverage Program in a particular Coverage Year; 

  

	 	(m)	“Net Change” has the meaning defined in Schedule “A”; 

  

	 	(n)	“New Methodology” has the meaning defined in Section 9.6(3); 

  

	 	(o)	“Notice of Dispute” has the meaning defined in Section 8.1; 

  

	 	(p)	“Qualified Allocated Coverage” has the meaning defined in Schedule “A” hereto; 

  

	 	(q)	“Related Entity” means any entity over which an Enbridge Entity exercises control, direction or management, directly or indirectly, through one or more intermediaries and that participates in the
Insurance Programs, provided that in the case of the Parent, Related Entity will exclude EEP, EIFH, MEP and their respective Related Entities; 

  

	 	(r)	“Senior Management” means the Vice-President of the Parent with responsibility for management of the Insurance Programs and who reports to the Chief Financial Officer, or such other officer as is
designated by the Chief Financial Officer; 

  

	 	(s)	“Total Coverage Limit” means the aggregate limit of coverage under an Insurance Coverage Program during a Coverage Year; 

 

	 	(t)	“True-Up Loss Amount” has the meaning defined in Section 3.1; 

  

	 	(u)	“Updated Allocated Recovery” has the meaning defined in Schedule “A” hereto; 

  

	 	(v)	“Verified Loss Amount” has the meaning defined in Section 2.1(6); and 

  

	 	(w)	“Verified True-Up Loss Amount” has the meaning defined in Section 3.1. 

  

	1.2	References 

 Any reference in this Agreement to a designated “Article”,
“section”, “paragraph” or other subdivision is a reference to the designated Article, section, paragraph or other subdivision of this Agreement; the words “herein”, “hereof” and “hereunder” and other
words of similar import refer to this Agreement as a whole and not to any particular Article, section, paragraph or other subdivision of this Agreement. 
  

	1.3	Headings 

 The headings used in and the organization of this Agreement are solely for convenience of
reference and will not in any way affect, limit, amplify or modify the terms hereof and will not be construed in any way in the interpretation hereof to be part of this Agreement. 

  
 - 3 - 

	1.4	Non-limiting 

 The word “including”, when following any general statement, will be construed to
refer to all other things that could reasonably fall within the scope of such general statement, whether or not non-limiting language (such as “without limitation”) is used with reference thereto. 

 

	1.5	Gender and Number 

 Words importing the masculine gender include the feminine and neuter genders and
words in the singular include the plural, and vice versa. 
  

	1.6	Schedules 

 The following are the Schedules to the Agreement: 

 

					
	Schedule “A”	 	-	    	Procedures for Determining Recovery (Part I and Part II)
	Schedule “B”	 	-	    	Illustration (Part I and Part II),

 Part I of each Schedule applies to Allocated Recoveries and Part II of each Schedule applies to Updated Allocated Recoveries.

 ARTICLE 2 
 LOSS
AMOUNTS 
  

	2.1	Application of the Agreement 

  

	 	(1)	Insurance Risk Management will determine, in its sole discretion, whether the Total Coverage Limit is likely to be exceeded as a result of Claims by two or more Enbridge Entities (themselves or on behalf of respective
Related Entities, as applicable). 

  

	 	(2)	Upon making the determination in Section 2.1(1), Insurance Risk Management will seek the approval of Senior Management with respect to such determination and the application of this Agreement. 

 

	 	(3)	Upon receiving written approval by Senior Management confirming application of this Agreement, Insurance Risk Management will immediately notify the Enbridge Entities (who will be responsible for notifying their
respective Related Entities, if applicable). Such notification will: (i) specify which Claim or Claims have the potential to result in the Total Coverage Limit being exceeded; (ii) include the particulars of one or more Claims Examiners
including the designation of which Claims Examiner will act as the main contact in the event there are more than one; and (iii) contain a request for confirmation of a Loss Amount and preparation and delivery by the relevant Enbridge Entity of
a report in connection with such Loss Amount. 

  

	 	(4)	Upon receiving such notification, each Enbridge Entity will prepare a report in connection with its Loss Amount (including a list of materials and information used in confirming its Loss Amount). Such Enbridge Entity
will consult with its Related Entities, as applicable, in connection with the review of information and preparation of the materials required to provide a report in connection with its Loss Amount. 

 

	 	(5)	The Enbridge Entities will promptly deliver confirmation of Loss Amounts, together with the report used to prepare such Loss Amounts, to Insurance Risk Management and to the relevant Claims Examiner. 

  
 - 4 - 

	 	(6)	Each Loss Amount will contain adequate detail in order to allow the Claims Examiner(s) to evaluate the quantum and reasonableness of the Loss Amount. All Loss Amounts are subject to final verification by such Claims
Examiner(s) (each a “Verified Loss Amount”). 

  

	 	(7)	The Enbridge Entities and their Related Entities, as applicable, will cooperate in providing any additional documentation requested by Insurance Risk Management and/or any Claims Examiner(s). 

 

	 	(8)	In the event of application of this Agreement, this Agreement will have effect from the date hereof regardless of whether the Coverage Year in respect of any Insurance Coverage Program precedes the date of this
Agreement. 

 ARTICLE 3 

TRUE-UP LOSS AMOUNTS 
  

	3.1	Preparation and Delivery of True-Up Loss Amounts 

 Each Enbridge Entity will be responsible for updating
any Loss Amount to ensure it remains accurate. Unless Insurance Risk Management has notified the Enbridge Entities that this Agreement no longer has application for a particular Coverage Year (in the event the Total Coverage Limit is no longer
exhausted), the relevant Enbridge Entity will prepare and deliver confirmation of a true-up Loss Amount (each, an “True-Up Loss Amount”) reflecting such fluctuations, and a report in connection therewith, to Insurance Risk
Management and the Claims Examiner quarterly, on a calendar basis. Such Enbridge Entity will consult with their Related Entities, if applicable, in connection with preparation of such True-Up Loss Amount. In the event the Parent determines, acting
reasonably, that a True-Up Loss Amount and/or Verified True-Up Loss Amount is not materially different than the Loss Amount and/or Verified Loss Amount, as applicable, it may elect to not have the methodology set forth in Article 5.2 apply to such
True-Up Loss Amount and will notify the Claims Examiner and relevant Enbridge Entity accordingly. All True-Up Loss Amounts are subject to final verification by the Claims Examiner(s) (each a “Verified True-Up Loss Amount”). 

ARTICLE 4 
 CLAIMS
EXAMINERS 
  

	4.1	Appointment 

  

	 	(1)	Insurance Risk Management will appoint one or more properly qualified independent third parties to act as claims examiners with respect to Insurance Coverage Programs (each a “Claims Examiner”) to carry
out the duties described in this Agreement. In appointing a Claims Examiner, Insurance Risk Management may use any selection process it deems appropriate from time to time. Insurance Risk Management will have the right to replace, suspend and/or
terminate any Claims Examiner in its sole discretion. 

  

	 	(2)	Each Claims Examiner will execute a consulting agreement with the Parent with respect to its appointment and acknowledging the terms and conditions of this Agreement. In the event two or more Claims Examiners are
appointed with respect to a particular Coverage Year for an Insurance Coverage Program, such Claims Examiners will execute a joint consulting agreement. A consulting agreement may contain additional duties and responsibilities of the Claims
Examiner(s), along with procedures with respect to engaging experts and other professional advisors in discharging such duties and responsibilities. In addition, each consulting agreement will specify the fee arrangements with the Claims
Examiner(s). Each Enbridge Entity (itself or on behalf of its Related Entities, as applicable) will be responsible for reimbursing the Parent for its respective portion of Claims Examiners’ fee based on its Allocated Recovery and/or Updated
Allocated Recovery. 

  
 - 5 - 

	4.2	Basic Responsibilities 

 Claims Examiners will be responsible for the following duties in addition to any
other duties Insurance Risk Management may deem appropriate from time to time: 
  

	 	(a)	reviewing all available material and information with respect to a Claim (including results from any investigations or reports conducted to date with respect to a Claim) and establishing the applicable policy or
policies providing insurance coverage under an Insurance Coverage Program for a Claim; 

  

	 	(b)	periodically update the Loss Amount, Verified Loss Amount, True-Up Loss Amount and/or Verified True-Up Loss Amount to reflect payments made by an Enbridge Entity with respect to a Claim; 

 

	 	(c)	assisting an Enbridge Entity or Related Entity in preparing confirmation of its Loss Amount and True-Up Loss Amount, and the reports delivered in connection therewith; 

 

	 	(d)	reviewing all necessary documentation to establish the eligibility and accuracy of Loss Amounts and/or True-Up Loss Amounts and preparing Verified Loss Amounts and/or Verified True-Up Loss Amounts in connection
therewith; 

  

	 	(e)	validating the accuracy of existing insurable claim amounts under Policies that are under review by the insurer, including amounts which have been partially paid for by insurers the balance of which remain outstanding;

  

	 	(f)	recording details of proceeds remitted by an Enbridge Entity (on behalf of itself or a Related Entity, as applicable) under Section 7.1 and providing such records to Insurance Risk Management on a quarterly basis;

  

	 	(g)	calculating the Allocated Recovery and/or Updated Allocated Recovery with respect to a Verified Loss Amount and/or Verified True-Up Loss Amount in accordance with Schedule “A”; 

 

	 	(h)	preparing summary reports outlining recovery eligibility for Claims under an Insurance Coverage Program for a Coverage Year. Insurance proceeds received by an Enbridge Entity or its Related Entities, as applicable,
prior to the application of this Agreement being triggered under Section 2.1 with respect to Claims that have been resolved for a Coverage Year will be taken into account by the Claims Examiner(s) in determining eligible amounts for recovery;
and 

  

	 	(i)	reconciling and updating summary reports with final dispositions of Claims by Enbridge Entities or their respective Related Entities and/or insurer or insurers under the relevant Insurance Coverage Program.

  
 - 6 - 

	4.3	Reporting to Insurance Risk Management 

  

	 	(1)	Each Claims Examiner will deliver any findings, including calculations with respect to Allocated Recoveries, Updated Allocated Recoveries and Net Changes, and/or reports prepared in connection with its duties herein to
Insurance Risk Management, within a reasonable amount of time given the nature of the Claim, amount of Loss Amount and/or True-Up Loss Amount (and reports delivered by the Enbridge Entities in connection therewith) and taking into account all events
that have transpired since initiation of a Claim and/or receipt of a Loss Amount or True-Up Loss Amount. 

  

	 	(2)	Each Enbridge Entity is responsible (on its own behalf and on behalf of its Related Entities, as applicable) for notifying Insurance Risk Management and the relevant Claims Examiner(s) of any payments made on account of
a Claim. 

 ARTICLE 5 

METHODOLOGY FOR DETERMINING RECOVERY 
  

	5.1	Methodology for Determining Allocated Recovery 

  

	 	(1)	On a quarterly basis, the Claims Examiner(s) will calculate the Allocated Recovery for an Enbridge Entity’s Verified Loss Amount or Verified True-Up Loss Amount by using each Enbridge Entity’s Qualified
Allocated Coverage and the Total Coverage Limit to re-allocate any unutilized amount of coverage in accordance with the specific processes set forth in Schedule “A”. 

 

	 	(2)	The maximum amount of proceeds each Enbridge Entity is entitled to recover (itself or on behalf of its Related Entities, as applicable) with respect to Claims under an Insurance Coverage Program will be equal to the sum
of the Qualified Allocated Coverage plus any applicable re-allocated coverage. In no event will the Allocated Recovery for an Enbridge Entity exceed the sum of its Verified Loss Amounts. 

 

	 	(3)	The Allocated Recovery is subject to change as a result of Verified True-Up Loss Amounts and Updated Allocated Recoveries. 

  

	5.2	Methodology for Determining Updated Allocated Recovery 

  

	 	(1)	On a quarterly basis, a relevant Claims Examiner(s) will be responsible for calculating the Updated Allocated Recovery based on the Verified True-Up Loss Amount in accordance with the specific processes set forth in
Schedule “A” which will reflect any Net Change. In no event will the Updated Allocated Recovery for an Enbridge Entity exceed the sum of its Verified True-Up Loss Amounts. 

 

	 	(2)	In the event an Enbridge Entity has incurred a Net Change in a negative amount, such Net Change will be dealt with in accordance with Section 7.1(3). 

 

	5.3	Illustration 

 By way of illustration, Schedule “B” sets forth an example of the specific
processes set forth in Schedule “A” to determine Allocated Recovery and Updated Allocated Recovery using the Enbridge Entities and a illustrative Insurance Coverage Program. 

  
 - 7 - 

	5.4	Deductions and Non-Insurable Loss 

 Each Enbridge Entity or Related Entity, as applicable, is solely
responsible for satisfying any deductibles or other like amounts in accordance with the terms of the applicable Insurance Coverage Program and such amounts will not form part of the Allocated Recovery or Updated Allocated Recovery. Furthermore, in
no event will Loss Amounts, Verified Loss Amounts, True-Up Loss Amounts or Verified True-Up Loss Amounts include costs or expenses incurred or reasonably expected to be incurred in connection with non-insurable losses. 

 

	5.5	Reporting to Enbridge Entities 

 On a quarterly basis Insurance Risk Management will be responsible for
delivering the reports and/or findings of Claims Examiners, along with calculations of the Allocated Recovery and/or Updated Allocated Recovery, to the applicable Enbridge Entity. Each Enbridge Entity will be solely responsible for delivering a copy
of the foregoing materials to the affected Related Entities, if applicable. 
  

	5.6	Periodic Review 

 From time to time, Senior Management will review the terms and conditions of this
Agreement in order to determine if any changes need to be made to better reflect the intent of the Agreement. 
 ARTICLE 6 

COVENANTS 
  

	6.1	Covenants 

 Each Enbridge Entity covenants and agrees that it will: 

 

	 	(1)	keep adequate records with respect to any Claims, Loss Amounts and/or True-Up Loss Amounts (including reports prepared in connection with Loss Amounts and/or True-Up Loss Amounts) for a period of 6 years following the
resolution of a Claim to which such materials relate; 

  

	 	(2)	notify Insurance Risk Management with particulars of a Claim as soon as reasonably practicable; 

  

	 	(3)	prepare and deliver Loss Amounts and/or True-Up Loss Amounts, including reports in connection therewith, in accordance with this Agreement as soon as reasonably practicable; 

 

	 	(4)	apply the principles of this Agreement amongst its Related Entities including taking all necessary steps to cause its Related Entities to follow the principles of this Agreement; 

 

	 	(5)	cooperate with the Parent, including Senior Management and Insurance Risk Management, and the Claims Examiner(s) after submitting a Claim, Loss Amount and/or True-Up Loss Amount, including providing books, records and
other information related to such Claims, Loss Amount and/or True-Up Loss Amount (including materials used in preparing reports delivered in connection with a Loss Amount or True-Up Loss Amount) and providing reasonable assistance to the relevant
Claims Examiner(s) in the calculation of Verified Loss Amounts, Verified True-Up Loss Amounts, Allocated Recoveries and/or Updated Allocated Recoveries, if so requested. 

  
 - 8 - 

 ARTICLE 7 

RECOVERY OF INSURANCE PROCEEDS 
  

	7.1	Distribution 

  

	 	(1)	To the extent an Enbridge Entity or any of its Related Entities receives insurance proceeds directly from an insurer under an Insurance Coverage Program, the affected Enbridge Entity will notify Insurance Risk
Management and the relevant Claims Examiner immediately. 

  

	 	(2)	On a quarterly basis, the relevant Claims Examiner will direct the affected Enbridge Entity, if applicable, to remit all or a portion of the proceeds it (or its Related Entity) has received pursuant to
Section 7.1(1) to other Enbridge Entities in accordance with their Allocated Recoveries and/or Updated Allocated Recoveries and the applicable entity will comply with such direction within 10 Business Days. 

 

	 	(3)	In the event the Claims Examiner(s) determines (in accordance with the specific processes set forth in Schedule “A”) that an Enbridge Entity has an Updated Allocated Recovery resulting in a negative Net
Change, such Enbridge Entity will forthwith and in any event, within 10 Business Days, distribute any amounts received (by it or its Related Entities, as applicable) in excess of the Updated Allocated Recovery to other Enbridge Entities as directed
by the Claims Examiner. 

  

	 	(4)	The Claims Examiners and Insurance Risk Management will use reasonable commercial efforts to ensure the distribution and re-distribution of insurance proceeds in connection with partial or full resolutions of Claims is
completed accurately based on Allocated Recoveries and/or Updated Allocated Recoveries. Furthermore, the Claims Examiners and Insurance Risk Management will keep internal records reflecting outstanding amounts under Allocated Recoveries and/or
Updated Allocated Recoveries for each Enbridge Entity, as applicable. 

 ARTICLE 8 

DISPUTE RESOLUTION 
  

	8.1	Arbitration 

 An Enbridge Entity will have up to 30 Business Days following the final determination of
all Claims under an Insurance Coverage Program in a Coverage Year and distribution of insurance proceeds pursuant to Allocated Recoveries and/or Updated Allocated Recoveries in connection therewith to provide a notice disputing any matter arising
under this Agreement, including the determination of Verified Loss Amounts and/or Verified True-Up Loss Amounts and/or calculations of Allocated Recoveries and/or Updated Allocated Recoveries (each a “Notice of Dispute”). A Notice
of Dispute will set forth in reasonable detail the particulars of the dispute, and each Enbridge Entity will have the right to consult with Senior Management and the relevant Claims Examiner(s) to discuss such Notice of Dispute. If the parties are
unable to reach an agreement with respect to the disputes set forth in the Notice of Dispute, such dispute may be submitted to binding arbitration by the Enbridge Entity and settled by arbitration in accordance with the provisions of this
Section 8.1. Such arbitration will be carried out by a single arbitrator. In the event the parties are unable to agree upon an arbitrator within 20 Business Days after delivery of the Notice of Dispute, any of them may make application to the
Alberta Queen’s Bench for an arbitrator to be appointed pursuant to the Arbitration Act (Alberta). An arbitrator appointed pursuant to this Section 8.1 will review the Notice of Dispute, and may review verification procedures

  
 - 9 - 

 
with respect to Verified Loss Amounts and/or Verified True-Up Loss Amounts and calculations with respect to Allocated Recoveries and Updated Allocated Recoveries. To the extent matters under
review by the arbitrator involve decisions of the Claims Examiner(s), the arbitrator will conduct a de novo review without deference to the findings of such Claims Examiner(s) and will apply a standard of correctness. Any decision of the
arbitrator made with respect to, a dispute set forth in the Notice of Dispute or with respect to any aspect of, or any matter related to, an arbitration hereunder (including the location of the arbitration) will be made solely by the arbitrator. The
arbitrator will conduct the arbitration proceedings in relation to the dispute set forth in the Notice of Dispute before such arbitrator as set out herein and otherwise in accordance with the applicable rules of the Arbitration Act (Alberta).
All decisions of the arbitrator with respect to a dispute, other than procedural decisions will: (i) be rendered in writing if an award is made and will state the reasons on which any award is based; and (ii) promptly be provided to each
party. The decision of an arbitrator appointed under this Section 8.1 will be final and binding upon the parties and not subject to appeal. The parties agree that this Section 8.1 will be valid, enforceable and irrevocable 

ARTICLE 9 
 MISCELLANEOUS

  

	9.1	Notice 

 Any demand, notice or other communication to be given in connection with the
Agreement must be given in writing and will be given by personal delivery or by electronic means of communication addressed to the recipient as follows: 
  

			
	To the Parent:
	
	Insurance Risk Management
	425 - 1 Street S.W.	  	
	Calgary, AB T2P 3L8	  	
		
	Attention:	  	Jody Balko, VP, Enterprise Risk and Investor Relations
	Facsimile No.:	  	(403) 231-5780
	Email:	  	jody.balko@enbridge.com
	
	To EEP:
		
	1100 Louisiana Street	  	
	Suite 3300	  	
	Houston, TX 77002	  	
		
	Attention:	  	Chris Kaitson, Vice President - Law and Assistant Secretary
	Facsimile No.:	  	(713) 821-2229
	Email:	  	chris.kaitson@enbridge.com
		
	To EIFH:	  	
	
	3000, 425 - 1st Street SW
	Calgary, AB T2P 3L8	  	

  
 - 10 - 

			
	Attention:	  	Debra Poon, Corporate Secretary
	Facsimile:	  	(403) 231-7380
	Email:	  	debra.poon@enbridge.com

  

			
	To MEP:
	
	1100 Louisiana Street
	Suite 3300
	Houston, TX 77002
		
	Attention:	  	Chris Kaitson, Vice President - Law and Assistant Secretary
	Facsimile No.:	  	(713) 821-2229
	Email:	  	chris.kaitson@enbridge.com

 or to such other street address, individual or electronic communication number or address as may be designated by notice given
by either party to the other. Any demand, notice or other communication given by personal delivery will be conclusively deemed to have been given on the day of actual delivery thereof and, if given by electronic communication, on the day of
transmittal thereof if given during the normal business hours of the recipient and on the Business Day during which such normal business hours next occur if not given during such hours on any day. 

 

	9.2	Waiver 

 Nothing in this Agreement shall constitute a waiver of privilege by any Enbridge Entity or its
Related Entities. In fulfilling their obligations under this Agreement, each party will take appropriate steps necessary to preserve privilege and any actions or discussions taken in connection with this Agreement shall not vitiate privilege. Each
Enbridge Entity, its Related Entities, Insurance Risk Management and the Claims Examiners will hold information provided in connection with the application of this Agreement in the strictest of confidence and will not disclose to anyone or use for
any purpose any confidential information concerning this Agreement, other than for the purpose of fulfilling the terms of this Agreement. 
  

	9.3	Time 

 Time will be of the essence of this Agreement and will remain of the essence notwithstanding the
extension of any of the dates hereunder. 
  

	9.4	Governing Law 

 This Agreement and all matters arising hereunder will be governed by and construed in
accordance with the laws of the Province of Alberta and the laws of Canada applicable therein. 
  

	9.5	Entire Agreement 

 This Agreement, the Insurance Programs and the agreements, instruments and other
documents entered into pursuant to this Agreement (including consulting agreements entered into between the Parent and each Claims Examiner) set forth the entire agreement and understanding of the parties with respect to the

  
 - 11 - 

 
matters set forth herein and supersede all prior agreements and understandings among the parties with respect to the matters herein and there are no oral or written agreements, promises,
warranties, terms, conditions, representations or collateral agreements whatsoever, express or implied, other than those contained in this Agreement. Notwithstanding the foregoing, nothing contained in this Agreement will limit, narrow or otherwise
affect any stand-alone insurance policy an Enbridge Entity currently has or may obtain and/or maintain in the future. 
  

	9.6	Amendment 

  

	 	(1)	Subject to Section 9.6(2) and Section 9.6(3), this Agreement may be altered or amended only by an agreement in writing signed by the Enbridge Entities. 

 

	 	(2)	The Parent may, acting reasonably, amend this Agreement without the consent of the other Enbridge Entities to: 

  

	 	(a)	remove any conflicts or other inconsistencies which may exist between any terms of this Agreement and any provisions of any applicable law or regulation; 

 

	 	(b)	make any change or correction in this Agreement which is of a typographical nature or is required to cure or correct any ambiguity or defective or inconsistent provision, clerical omission, mistake or manifest error
contained therein; and 

  

	 	(c)	bring this Agreement into conformity with applicable laws, rules and policies of governmental authorities. 

  

	 	(3)	Upon providing at least 60 days written notice prior to the end of a Coverage Year, the Parent may amend, acting reasonably, the methodology and specific processes set forth in Article 5 and Schedule A hereto (the
“New Methodology”) in connection with a new Coverage Year to better reflect the intent of this Agreement. Each Enbridge Entity is responsible for communicating any changes contemplated in this Section 9.6(3) to its Related
Entities, as applicable. Upon receiving notice of any such amendment by the Parent, each Enbridge Entity may remain bound by this Agreement or may elect, upon providing written notice to the Parent prior to the commencement of such new Coverage
Year, to terminate this Agreement with respect to an Insurance Coverage Program that will use the New Methodology. 

  

	9.7	Termination 

 In the event that an Enbridge Entity provides notice to terminate this Agreement pursuant
to Section 9.6(3), such Enbridge Entity will no longer participate in the Insurance Programs effective on the earlier of: (i) 90 days following the date the Enbridge Entity provides such notice; or (ii) the date on which the Enbridge
Entity establishes an independent insurance program. 
  

	9.8	Further Assurances 

 The principles in this Agreement are meant to apply to each Related Entity and any
company in which a Related Entity has an insurable interest, including, where a Related Entity acts in a joint venture capacity and has any responsibilities with respect to obtaining and/or maintaining insurance. Accordingly, each of the Enbridge
Entities will, and will cause its Related Entities to, upon reasonable request by Insurance Risk Management, do, execute and deliver all further assurances, acts and documents for the purpose of evidencing and giving full force and effect to the
covenants, agreements and provisions in this Agreement. 

  
 - 12 - 

	9.9	Binding Effect 

 This Agreement will enure to the benefit of and be binding upon the successors and
permitted assigns of the parties, as applicable. 
  

	9.10	Independent Legal Advice 

 Each of the Enbridge Entities acknowledges that it has read and understands
the terms and conditions of this Agreement and acknowledges and agrees that it has had the opportunity to seek independent legal advice before execution of this Agreement and that, if it did avail itself of such opportunity prior to entering into
this Agreement, it did so voluntarily. Each of the Enbridge Entities further agrees that any failure to obtain independent legal advice will not be used by it as a defence to the enforcement of its obligations under this Agreement. 

 

	9.11	Counterparts 

 This Agreement may be executed in any number of counterparts, each of which will be deemed
to be an original and all of which taken together will be deemed to constitute one and the same instrument. 
  

	9.12	Electronic Execution 

 Delivery of an executed signature page to this Agreement by any party by
electronic transmission will be as effective as delivery of a manually executed copy of this Agreement by such party. 
 [signature page
follows] 

  
 - 13 - 

 IN WITNESS WHEREOF the Enbridge Entities have executed this Agreement on the date first above written. 

 

			
	ENBRIDGE INC.
		
	Per:	 	  

		 	Authorized Signatory
		
	Per:	 	  

		 	Authorized Signatory
	
	ENBRIDGE ENERGY PARTNERS, L.P.,
		
	By:	 	ENBRIDGE ENERGY MANAGEMENT, L.L.C., as delegate of its general partner, ENBRIDGE ENERGY COMPANY, INC.,
		
	Per:	 	  

		 	Authorized Signatory
	
	ENBRIDGE INCOME FUND HOLDINGS INC.
		
	Per:	 	  

		 	Authorized Signatory
	
	MIDCOAST ENERGY PARTNERS, L.P.
		
	By:	 	MIDCOAST HOLDINGS, L.L.C., its general partner

							
				
	Per:	 	  
	 		 	
		 	Authorized Signatory	 		 	

  
 - 14 - 

 SCHEDULE “A” 

PROCEDURES FOR DETERMINING RECOVERY 

Part I – Allocated Recovery 
 The following is
the procedure for calculating the Allocated Recovery for affected Enbridge Entities. For ease of reference, Schedule “B” contains an example using numerical figures with respect to such procedures. 

 

	1.	Determine the qualified allocated coverage (the “Qualified Allocated Coverage”) for each Enbridge Entity, as applicable, with respect to a Claim by multiplying such Enbridge Entity’s Insurance Cost
Allocation Percentage by the Total Coverage Limit. Notwithstanding the foregoing, in no event will the maximum amount of coverage attributed to an Enbridge Entity exceed the aggregate Verified Loss Amounts in respect of such Enbridge Entity.

  

	2.	Determine the aggregate unutilized allocated coverage (the “Unutilized Allocated Coverage”) by subtracting the aggregate Qualified Allocated Coverage from the Total Coverage Limit. 

 

	3.	If the Unutilized Allocated Coverage is greater than 0, proceed to determine the re-allocated unutilized coverage (the “Re-Allocated Unutilized Coverage”) for each Enbridge Entity if such Enbridge
Entity’s Qualified Allocated Coverage is less than its aggregate Verified Loss Amounts by multiplying the Enbridge Entity’s Insurance Cost Allocation Percentage (as adjusted after excluding any Enbridge Entity whose Qualified Allocated
Coverage is more than its aggregate Verified Loss Amounts) by the Unutilized Allocated Coverage. Notwithstanding the foregoing, in no event will sum of the Qualified Allocated Coverage and the Re-Allocated Unutilized Coverage for any Enbridge Entity
be in an amount greater than the aggregate Verified Loss Amounts in respect of such Enbridge Entity. 

  

	4.	Determine the remaining unutilized coverage (the “Remaining Unutilized Coverage”) by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage from the
Total Coverage Limit. 

  

	5.	If the Remaining Unutilized Coverage is greater than 0, proceed to determine the first additional re-allocated unutilized coverage (the “First Additional Re-Allocated Unutilized Coverage”) for each
Enbridge Entity if such Enbridge Entity’s Qualified Allocated Coverage and Re-Allocated Unutilized Coverage are less, in aggregate, than its aggregate Verified Loss Amounts by multiplying such Enbridge Entity’s Insurance Cost Allocation
Percentage (as adjusted after excluding any Enbridge Entity whose Qualified Allocated Coverage taken together with its Re-Allocated Unutilized Coverage is more than its aggregate Verified Loss Amounts) by the Unutilized Allocated Coverage.
Notwithstanding the foregoing, in no event will the sum of the Qualified Allocated Coverage, the Re-Allocated Unutilized Coverage and the First Additional Re-Allocated Unutilized Coverage for any Enbridge Entity be in an amount greater than the
aggregate Verified Loss Amounts in respect of such Enbridge Entity. 

  

	6.	Determine the remaining unutilized coverage (the “Remaining Unutilized Coverage”) by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage and the
First Additional Re-allocated Unutilized Coverage from the Total Coverage Limit. 

	7.	If the Remaining Unutilized Coverage is greater than 0, proceed to determine the second additional re-allocated unutilized coverage (the “Second Additional Re-Allocated Unutilized Coverage”) for each
Enbridge Entity if such Enbridge Entity’s Qualified Allocated Coverage and Re-Allocated Unutilized Coverage and First Additional Re-Allocated Unutilized Coverage are less, in aggregate, than its aggregate Verified Loss Amounts by multiplying
such Enbridge Entity’s Insurance Cost Allocation Percentage (as adjusted after excluding any Enbridge Entity whose Qualified Allocated Coverage taken together with its Re-Allocated Unutilized Coverage and First Additional Re-Allocated
Unutilized Coverage is more than its aggregate Verified Loss Amounts) by the Unutilized Allocated Coverage. Notwithstanding the foregoing, in no event will the sum of the Qualified Allocated Coverage, the Re-Allocated Unutilized Coverage and the
First Additional Re-Allocated Unutilized Coverage and Second Additional Re-Allocated Unutilized Coverage for any Enbridge Entity be in an amount greater than the aggregate Verified Loss Amounts in respect of such Enbridge Entity. 

 

	8.	Confirm the Remaining Unutilized Coverage is Zero by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage and the aggregate First Additional Re-Allocated Unutilized
Coverage and the aggregate Second Additional Re-Allocated Coverage from the Total Coverage Limit. 

  

	9.	Determine the allocated recovery (the “Allocated Recovery”) for each Enbridge Entity with respect to its aggregate Verified Loss Amounts by totalling the sum of such Enbridge Entity’s Qualified
Allocated Coverage, Re-Allocated Unutilized Coverage and First Additional Re-Allocated Unutilized Coverage and Second Additional Re-Allocated Unutilized Coverage. 

  
 A-2 

 Part II – Updated Allocated Recovery 

In the event Verified True-Up Loss Amounts are prepared, the specific processes described in Part I of this Schedule “A” shall be used to determine
Qualified Allocated Coverage, Unutilized Allocated Coverage and Remaining Unutilized Coverage using Verified True-Up Loss Amounts in place of Verified Loss Amounts. 
  

	1.	Determine the qualified allocated coverage (the “Qualified Allocated Coverage”) for each Enbridge Entity, as applicable, with respect to a Claim by multiplying such Enbridge Entity’s Insurance Cost
Allocation Percentage by the Total Coverage Limit. Notwithstanding the foregoing, in no event will the maximum amount of coverage attributed to an Enbridge Entity exceed the aggregate Verified True-Up Loss Amounts in respect of such Enbridge Entity.

  

	2.	Determine the aggregate unutilized allocated coverage (the “Unutilized Allocated Coverage”) by subtracting the aggregate Qualified Allocated Coverage from the Total Coverage Limit. 

 

	3.	If the Unutilized Allocated Coverage is greater than 0, proceed to determine the re-allocated unutilized coverage (the “Re-Allocated Unutilized Coverage”) for each Enbridge Entity if such Enbridge
Entity’s Qualified Allocated Coverage is less than its aggregate Verified True-Up Loss Amounts by multiplying the Enbridge Entity’s Insurance Cost Allocation Percentage (as adjusted after excluding any Enbridge Entity whose Qualified
Allocated Coverage is more than its aggregate Verified True-Up Loss Amounts) by the Unutilized Allocated Coverage. Notwithstanding the foregoing, in no event will sum of the Qualified Allocated Coverage and the Re-Allocated Unutilized Coverage for
any Enbridge Entity be in an amount greater than the aggregate Verified True-Up Loss Amounts in respect of such Enbridge Entity. 

  

	4.	Determine the remaining unutilized coverage (the “Remaining Unutilized Coverage”) by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage from the
Total Coverage Limit. 

  

	5.	If the Remaining Unutilized Coverage is greater than 0, proceed to determine the first additional re-allocated unutilized coverage (the “First Additional Re-Allocated Unutilized Coverage”) for each
Enbridge Entity if such Enbridge Entity’s Qualified Allocated Coverage and Re-Allocated Unutilized Coverage are less, in aggregate, than its aggregate Verified True-Up Loss Amounts by multiplying such Enbridge Entity’s Insurance Cost
Allocation Percentage (as adjusted after excluding any Enbridge Entity whose Qualified Allocated Coverage taken together with its Re-Allocated Unutilized Coverage is more than its aggregate Verified True-Up Loss Amounts) by the Unutilized Allocated
Coverage. Notwithstanding the foregoing, in no event will the sum of the Qualified Allocated Coverage, the Re-Allocated Unutilized Coverage and the First Additional Re-Allocated Unutilized Coverage for any Enbridge Entity be in an amount greater
than the aggregate Verified True-Up Loss Amounts in respect of such Enbridge Entity. 

  

	6.	Determine the remaining unutilized coverage (the “Remaining Unutilized Coverage”) by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage and the
aggregate First Additional Re-Allocated Unutilized Coverage from the Total Coverage Limit. 

  

	7.	 If the Remaining Unutilized Coverage is greater than 0, proceed to determine the Second additional re-allocated unutilized coverage (the
“Second Additional Re-Allocated Unutilized Coverage”) for each Enbridge Entity if such Enbridge Entity’s Qualified Allocated Coverage and Re-Allocated Unutilized Coverage and First Additional Re-Allocated Unutilized Coverage
are 

  
 A-3 

	 	
less, in aggregate, than its aggregate Verified True-Up Loss Amounts by multiplying such Enbridge Entity’s Insurance Cost Allocation Percentage (as adjusted after excluding any Enbridge
Entity whose Qualified Allocated Coverage taken together with its Re-Allocated Unutilized Coverage and First Additional Re-Allocated Unutilized Coverage is more than its aggregate Verified True-Up Loss Amounts) by the Unutilized Allocated Coverage.
Notwithstanding the foregoing, in no event will the sum of the Qualified Allocated Coverage, the Re-Allocated Unutilized Coverage and the First Additional Re-Allocated Unutilized Coverage and Second Additional Re-Allocated Unutilized Coverage for
any Enbridge Entity be in an amount greater than the aggregate Verified True-Up Loss Amounts in respect of such Enbridge Entity. 

  

	8.	Confirm the Remaining Unutilized Coverage is Zero by subtracting the aggregate Qualified Allocated Coverage and the aggregate Re-Allocated Unutilized Coverage and the aggregate First Additional Re-Allocated Unutilized
Coverage and the aggregate Second Additional Re-Allocated Unutilized Coverage from the Total Coverage Limit. 

  

	9.	Determine the updated allocated recovery (the “Updated Allocated Recovery”) for each Enbridge Entity with respect to its aggregate Verified True-Up Loss Amounts by totalling the sum of such Enbridge
Entity’s Qualified Allocated Coverage, Re-Allocated Unutilized Coverage and First Additional Re-Allocated Unutilized Coverage and Second Additional Re-Allocated Unutilized Coverage. 

 

	10.	Determine the net change in each Enbridge Entity’s Allocated Recovery by subtracting the Allocated Recovery from the Updated Allocated Recovery (the “Net Change”). 

  
 A-4 

 SCHEDULE “B” 

ILLUSTRATION 
 Part I –
Allocated Recovery 
  

					
	Insurance Coverage Program	  	-	  	 Liability

	Total Coverage Limit	  	-	  	 $685 million

	Coverage Year	  	-	  	 May 2013 - April 2014

  

			
	 Business
	  	Verified Loss Amounts
	 EEP
	  	$200 million
	 EIFH
	  	$150 million
	 Parent
	  	$220 million
	 MEP
	  	$120 million
		  	  

	 Total
	  	$690 million ($5 million
over Total Coverage
Limit)
		  	  

  

	1.	Determine Qualified Allocated Coverage. 

  

																			
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	 	  	Total
Coverage
Limit	 	  	 	 	  	Qualified Allocated
Coverage
	 EEP
	  	 	25	% 	 				  				  				  	$171 million
	 EIFH
	  	 	8	% 	 	 	X	  	  				  	 	=	  	  	$55 million
	 Parent
	  	 	58	% 	 				  	$	685 million	  	  				  	$397 million but capped at $220 million
	 MEP
	  	 	9	% 	 				  				  				  	$62 million

  

	2.	Determine Unutilized Allocated Coverage by subtracting the aggregate Qualified Allocated Coverage from the Total Coverage Limit. 

  

	
	 $685 million - ($171 million + $55 million + $220 million + $62 million) = $177 million

	3.	Determine the Re-Allocated Unutilized Coverage. 

  

																			
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	 	  	Unutilized
Allocated Coverage	 	  	 	 	  	Re-Allocated
Unutilized
Coverage
	 EEP
	  	 	60	% 	 	 	X	  	  	$	177 million	  	  	 	=	  	  	$106 million but capped at $29 million
	 EIFH
	  	 	19	% 	 				  				  				  	$33 million
	 MEP
	  	 	21	% 	 				  				  				  	$38 million

  

	4.	Determine the Remaining Unutilized Coverage, if any. 

 $685 million - ($171 million + $55
million + $220 million + $62 million) - ($29 million + $33 million + $38 million) = $77 million 
  

	5.	Determine the First Additional Re-Allocated Coverage 

  

																			
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	 	  	Unutilized
Allocated Coverage	 	  	 	 	  	First Additional
Re-Allocated Unutilized
Coverage
	 EIFH
	  	 	47	% 	 	 	X	  	  				  	 	=	  	  	$36 million
	 MEP
	  	 	53	% 	 				  	$	77 million	  	  				  	$41 million but capped at $20 million

  

	6.	Determine the Remaining Unutilized Coverage, if any. 

 $685 million - ($171 million + $55
million + $220 million + $62 million) - ($29 million + $33 million + $38 million) - ($36 million + $20 million) = $21 million 
  

	7.	Determine Second Additional Re-Allocated Coverage: 

  

																					
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	 	  	Unutilized
Allocated Coverage	 	  	 	 	  	Second Additional
Re-Allocated Unutilized
Coverage	 
	 EIFH
	  	 	100	% 	 	 	X	  	  	$	21 million	  	  	 	=	  	  	$	21 million	  

  

	8.	Determine the Remaining Unutilized Coverage, if any. 

 $685 million - ($171 million + $55
million + $220 million + $62 million) - ($29 million + $33 million + $38 million) - ($36 million + $20 million) - $21 million = 0 million 

	9.	Determine the Allocated Recovery. 

  

																											
	 Enbridge Entity
	  	Qualified
Allocated
Coverage	 	  	 	  	Re-allocated
Unutilized
Coverage	 	  	 	  	First
Additional
Re-Allocated
Unutilized
Coverage	 	  	Second
Additional
Re-Allocated
Unutilized
Coverage	 	  	 	  	Total Allocated
Recovery	 
	 EEP
	  	$	171 million	  	  		  	$	29 million	  	  		  	 	Nil	  	  	 	Nil	  	  		  	$	200 million	  
	 EIFH
	  	$	55 million	  	  	+	  	$	33 million	  	  	+	  	$	36 million	  	  	$	21 million	  	  	=	  	$	145 million	  
	 Parent
	  	$	220 million	  	  		  	 	Nil	  	  		  	 	Nil	  	  	 	Nil	  	  		  	$	220 million	  
	 MEP
	  	$	62 million	  	  		  	$	38 million	  	  		  	$	20 million	  	  	 	Nil	  	  		  	$	120 million	  

 Part II – Updated Allocated Recovery 

The following builds on the example in the first illustration with respect to the specific processes set forth in Schedule “A” with respect to
calculating the Updated Allocated Recovery. 
  

							
	 Enbridge Entity
	  	Verified Loss
Amounts	 	  	Verified True-Up Loss
Amounts
	 EEP
	  	$	200 million	  	  	$220 million
	 EIFH
	  	$	150 million	  	  	$110 million
	 Parent
	  	$	220 million	  	  	$200 million
	 MEP
	  	$	120 million	  	  	$165 million
		  	  
	  
	 	  	  

	 Total
	  	$	690 million	  	  	$695 million ($10 million over
Total Coverage Limit)
		  	  
	  
	 	  	  

  

	1.	Determine Qualified Allocated Coverage. 

  

															
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	  	Total
Coverage
Limit	 	  	 	  	Qualified Allocated
Coverage
	 EEP
	  	 	25	% 	 		  				  		  	$171 million
	 EIFH
	  	 	8	% 	 	X	  				  	=	  	$55 million
	 Parent
	  	 	58	% 	 		  	$	685 million	  	  		  	$397 million but capped at $200 million
	 MEP
	  	 	9	% 	 		  				  		  	$62 million

  

	2.	Determine Unutilized Allocated Coverage by subtracting the aggregate Qualified Allocated Coverage from the Total Coverage Limit. 

$685 million - ($171 million + $55 million + $200 million + $62 million) = $197 million 

 3. Determine the Re-Allocated Unutilized Coverage. 

 

															
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	  	Unutilized
Allocated
Coverage	 	  	 	  	Re-Allocated
Unutilized
Coverage
	 EEP
	  	 	60	% 	 	X	  	$	197 million	  	  	=	  	$118 million but capped at $49 million
	 EIFH
	  	 	19	% 	 		  				  		  	$38 million
	 MEP
	  	 	21	% 	 		  				  		  	$42 million

 4. Determine the Remaining Unutilized Coverage, if any. 

$685 million - ($171 million + $55 million + $200 million + $62 million) - ($49 million + $38 million + $42 million) = $68 million 

5. Determine the First Additional Re-Allocated Coverage 
  

													
	 Enbridge Entity
	  	Insurance Cost
Allocation Percentage	 	 	 	  	Unutilized
Allocated Coverage	 	  	First Additional
Re-Allocated Unutilized
Coverage
	 EIFH
	  	 	47	% 	 	X	  	$	68 million	  	  	$32 million but capped at $17 million
	 MEP
	  	 	53	% 	 		  				  	$36 million

 6. Determine the Remaining Unutilized Coverage, if any. 

$685 million - ($171 million + $55 million + $200 million + $62 million) - ($49 million + $38 million + $42 million) - ($17 million + $36
million) = $15 million 
 7. Determine Second Additional Re-Allocated Coverage: 
  

															
	 Enbridge Entity
	  	Insurance Cost
Allocation
Percentage	 	 	 	  	Unutilized
Allocated Coverage	 	  	Second Additional
Re-Allocated Unutilized
Coverage	 
	 MEP
	  	 	100	% 	 	X	  	$	15 million	  	  	$	15 million	  

 8. Determine the Remaining Unutilized Coverage, if any. 

$685 million - ($171 million + $55 million + $200 million + $62 million) - ($49 million + $38 million + $42 million) - ($17 million + $36
million) - $15 million = 0 million 
 9. Determine the Updated Allocated Recovery. 

 

																											
	 Enbridge Entity
	  	Qualified
Allocated
Coverage	 	  	 	  	Re-allocated
Unutilized
Coverage	 	  	 	  	First
Additional
Re-Allocated
Unutilized
Coverage	 	  	Second
Additional
Re-Allocated
Unutilized
Coverage	 	  	 	  	Total Allocated
Recovery	 
	 EEP
	  	$	171 million	  	  		  	$	49 million	  	  		  	 	Nil	  	  	 	Nil	  	  		  	$	220 million	  
	 EIFH
	  	$	55 million	  	  	+	  	$	38 million	  	  	+	  	$	17 million	  	  	 	Nil	  	  	=	  	$	110 million	  
	 Parent
	  	$	200 million	  	  		  	 	Nil	  	  		  	 	Nil	  	  	 	Nil	  	  		  	$	200 million	  
	 MEP
	  	$	62 million	  	  		  	$	42 million	  	  		  	$	36 million	  	  	$	15 million	  	  		  	$	155 million	  

 10. Determine the Net Change. 
  

													
	 Enbridge Entity
	  	Allocated
Recovery	 	  	Updated
Allocated
Recovery	 	  	Net Change	 
	 EEP
	  	$	200 million	  	  	$	220 million	  	  	$	20 million	  
	 EIFH
	  	$	145 million	  	  	$	110 million	  	  	(-$	35 million)	  
	 Parent
	  	$	220 million	  	  	$	200 million	  	  	(-$	20 million)	  
	 MEP
	  	$	120 million	  	  	$	155 million	  	  	(+$	35 million)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00222-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00222-of-00352.parquet"}]]