Exhibit 10.09 (a)

               EQUITABLE RESOURCES, INC. AND SUBSIDIARIES

                 Short-Term Incentive Compensation Plan
                       Administrative Procedures

1. For each plan calendar year 1/, the Compensation Committee
   (Committee) shall determine:

       Participants eligible for awards,

       Estimated maximum awards for each participant; and

       An estimate of the maximum incentive fund required
       based on the aggregate estimated maximum awards for
       the participants for that year.

2. Each participant's estimated maximum award shall be
   allocated to various performance segments. Objectives
   and/or goals shall be established for each performance
   segment consistent with Equitable Resources' business
   plan. In determining actual incentive awards for each
   participant for the plan calendar year, each performance
   segment shall be expressed in a range of dollars from
   zero to a maximum as determined by the Committee.

3. Following the close of the plan calendar year and after
   adjusting the estimated maximum awards to reflect the
   actual salaries earned by each participant during the plan
   calendar year, each participant's performance shall be
   evaluated resulting in a recommended award for each
   participant.

   The Committee and the Chief Executive Officer shall review
   the recommended awards to ensure that each participant's
   performance is objectively and consistently evaluated.
________________

   1/ The plan calendar year is the calendar year, except for
the initial year which is applicable to the six months ending
December 31, 1984.




4. Following the publication of the Company's consolidated
   financial statements for the calendar year, the incentive
   fund shall be determined based upon the Company's
   financial performance (measured by the rate of return that
   net income bears to average capitalization 2/ for the
   year). In no event will the incentive fund exceed 2.5
   percent of net income. In addition, return on
   capitalization goals should be assessed annually to
   preserve consistency with peer companies' performance
   opportunities.

   Should the Company's financial performance be less than
   the minimum rate of return as determined by the Committee,
   there shall be no incentive fund for that plan calendar
   year and no incentive awards shall be authorized.

   Should the Company's financial performance be equal to or
   higher than the minimum rate of return as determined by
   the Committee, the sum of the recommended awards shall be
   compared to the incentive fund.

       Should the sum of the recommended awards be less than
       or equal to the incentive fund, then the recommended
       award shall be the actual incentive award for each
       participant.

       Should the sum of the recommended awards exceed the
       incentive fund, each participant's actual incentive
       award shall be derived by reducing the participant's
       recommended award by the percentage which the sum of
       the recommended awards exceed the incentive fund.

   The Committee, after reviewing these procedures, shall
   authorize the actual incentive award for each participant.
___________

   2 / Effective with the plan calendar year 1986, rate of
return will be measured by average capitalization in lieu of
average stockholders' equity. Average capitalization is
defined as the average balance, as of the beginning and
end of the calendar year, applicable to the capitalization
and short-term  loans for construction in current liabilities
as recorded in the certified consolidated balance sheet of
Equitable Resources, Inc.

   5.  The actual incentive award shall be paid to each
       participant at such time and in such periodic amount
       as the Committee shall, from time to time, determine,
       provided however, that in no event shall the payments
       extend beyond twenty-four(24) months from the date
       the Committee authorizes the actual incentive awards.

   6.  The actual incentive award, once authorized by the
       Committee, may be subsequently revoked should the
       participant's employment with the Company terminate;
       provided however, that upon normal retirement or
       death, all authorized actual incentive awards become
       due and payable; and provided further, that
       revocation shall not be applicable where the
       participant's termination of employment is caused
       directly or indirectly by a change in control of the
       Company. (Change in control of the Company is defined
       as the acquisition of 10 percent or more of the
       Company's outstanding voting shares and/or a change
       in the majority of the Board of Directors as a result
       of a cash tender offer or exchange offer, merger or
       other business combination, sale of assets or
       contested election, or any combination of these
       transactions without the prior consent of the Board
       of Directors.)

   7.  The Company's Short-Term Incentive Compensation Plan
       may be cancelable at the discretion of the Board of
       Directors, but such cancellation shall not affect
       actual incentive awards previously authorized.



January 18, 1988