15USC717c

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15 USC 717c: Rates and charges
Text contains those laws in effect on February 24, 2016
From Title 15-COMMERCE AND TRADE
CHAPTER 15B-NATURAL GAS
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§717c. Rates and charges
(a) Just and reasonable rates and charges
All rates and charges made, demanded, or received by any natural-gas company for or in connection with
the transportation or sale of natural gas subject to the jurisdiction of the Commission, and all rules and
regulations affecting or pertaining to such rates or charges, shall be just and reasonable, and any such rate
or charge that is not just and reasonable is declared to be unlawful.
(b) Undue preferences and unreasonable rates and charges prohibited
No natural-gas company shall, with respect to any transportation or sale of natural gas subject to the
jurisdiction of the Commission, (1) make or grant any undue preference or advantage to any person or
subject any person to any undue prejudice or disadvantage, or (2) maintain any unreasonable difference in
rates, charges, service, facilities, or in any other respect, either as between localities or as between classes
of service.
(c) Filing of rates and charges with Commission; public inspection of schedules
Under such rules and regulations as the Commission may prescribe, every natural-gas company shall file
with the Commission, within such time (not less than sixty days from June 21, 1938) and in such form as the
Commission may designate, and shall keep open in convenient form and place for public inspection,
schedules showing all rates and charges for any transportation or sale subject to the jurisdiction of the
Commission, and the classifications, practices, and regulations affecting such rates and charges, together
with all contracts which in any manner affect or relate to such rates, charges, classifications, and services.
(d) Changes in rates and charges; notice to Commission
Unless the Commission otherwise orders, no change shall be made by any natural-gas company in any
such rate, charge, classification, or service, or in any rule, regulation, or contract relating thereto, except
after thirty days' notice to the Commission and to the public. Such notice shall be given by filing with the
Commission and keeping open for public inspection new schedules stating plainly the change or changes to
be made in the schedule or schedules then in force and the time when the change or changes will go into
effect. The Commission, for good cause shown, may allow changes to take effect without requiring the thirty
days' notice herein provided for by an order specifying the changes so to be made and the time when they
shall take effect and the manner in which they shall be filed and published.
(e) Authority of Commission to hold hearings concerning new schedule of rates
Whenever any such new schedule is filed the Commission shall have authority, either upon complaint of
any State, municipality, State commission, or gas distributing company, or upon its own initiative without
complaint, at once, and if it so orders, without answer or formal pleading by the natural-gas company, but
upon reasonable notice, to enter upon a hearing concerning the lawfulness of such rate, charge,
classification, or service; and, pending such hearing and the decision thereon, the Commission, upon filing
with such schedules and delivering to the natural-gas company affected thereby a statement in writing of its
reasons for such suspension, may suspend the operation of such schedule and defer the use of such rate,
charge, classification, or service, but not for a longer period than five months beyond the time when it would
otherwise go into effect; and after full hearings, either completed before or after the rate, charge,
classification, or service goes into effect, the Commission may make such orders with reference thereto as
would be proper in a proceeding initiated after it had become effective. If the proceeding has not been
concluded and an order made at the expiration of the suspension period, on motion of the natural-gas
company making the filing, the proposed change of rate, charge, classification, or service shall go into effect.
Where increased rates or charges are thus made effective, the Commission may, by order, require the

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natural-gas company to furnish a bond, to be approved by the Commission, to refund any amounts
ordered by the Commission, to keep accurate accounts in detail of all amounts received by reason of such
increase, specifying by whom and in whose behalf such amounts were paid, and, upon completion of the
hearing and decision, to order such natural-gas company to refund, with interest, the portion of such
increased rates or charges by its decision found not justified. At any hearing involving a rate or charge
sought to be increased, the burden of proof to show that the increased rate or charge is just and reasonable
shall be upon the natural-gas company, and the Commission shall give to the hearing and decision of such
questions preference over other questions pending before it and decide the same as speedily as possible.
(f) Storage services
(1) In exercising its authority under this chapter or the Natural Gas Policy Act of 1978 (15 U.S.C. 3301 et
seq.), the Commission may authorize a natural gas company (or any person that will be a natural gas
company on completion of any proposed construction) to provide storage and storage-related services at
market-based rates for new storage capacity related to a specific facility placed in service after August 8,
2005, notwithstanding the fact that the company is unable to demonstrate that the company lacks market
power, if the Commission determines that(A) market-based rates are in the public interest and necessary to encourage the construction of the
storage capacity in the area needing storage services; and
(B) customers are adequately protected.
(2) The Commission shall ensure that reasonable terms and conditions are in place to protect consumers.
(3) If the Commission authorizes a natural gas company to charge market-based rates under this
subsection, the Commission shall review periodically whether the market-based rate is just, reasonable, and
not unduly discriminatory or preferential.
(June 21, 1938, ch. 556, §4, 52 Stat. 822 ; Pub. L. 87–454, May 21, 1962, 76 Stat. 72 ; Pub. L. 109–58, title
III, §312, Aug. 8, 2005, 119 Stat. 688 .)

REFERENCES IN TEXT
The Natural Gas Policy Act of 1978, referred to in subsec. (f)(1), is Pub. L. 95–621, Nov. 9,
1978, 92 Stat. 3350 , as amended, which is classified generally to chapter 60 (§3301 et seq.) of
this title. For complete classification of this Act to the Code, see Short Title note set out under
section 3301 of this title and Tables.

AMENDMENTS
2005-Subsec. (f). Pub. L. 109–58 added subsec. (f).
1962-Subsec. (e). Pub. L. 87–454 inserted "or gas distributing company" after "State

commission", and struck out proviso which denied authority to the Commission to suspend the
rate, charge, classification, or service for the sale of natural gas for resale for industrial use only.

ADVANCE RECOVERY OF EXPENSES INCURRED BY NATURAL GAS COMPANIES FOR
NATURAL GAS RESEARCH, DEVELOPMENT, AND DEMONSTRATION PROJECTS
Pub. L. 102–104, title III, Aug. 17, 1991, 105 Stat. 531 , authorized Federal Energy
Regulatory Commission, pursuant to this section, to allow recovery, in advance, of expenses by
natural-gas companies for research, development and demonstration activities by Gas
Research Institute for projects on use of natural gas in motor vehicles and on use of natural gas
to control emissions from combustion of other fuels, subject to Commission finding that benefits,
including environmental benefits, to both existing and future ratepayers resulting from such
activities exceed all direct costs to both existing and future ratepayers, prior to repeal by Pub. L.
102–486, title IV, §408(c), Oct. 24, 1992, 106 Stat. 2882 .

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