16 Usc 2602

16 USC 2602.pdf

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16 USC 2602

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Page 1985

§ 2602

TITLE 16—CONSERVATION

Mining, and sections 6801 to 6807 of Title 42, and enacting provisions set out as notes under sections 824, 824a,
824d, 825d, and 2621 of this title] may be cited as the
‘Public Utility Regulatory Policies Act of 1978’.’’

§ 2602. Definitions
As used in this Act, except as otherwise specifically provided—
(1) The term ‘‘antitrust laws’’ includes the
Sherman Antitrust Act (15 U.S.C. 1 and following), the Clayton Act (15 U.S.C. 12 and following), the Federal Trade Commission Act (15
U.S.C. 14[41] and following), the Wilson Tariff
Act (15 U.S.C. 8 and 9), and the Act of June 19,
1936, chapter 592 (15 U.S.C. 13, 13a, 13b, and
21A).
(2) The term ‘‘class’’ means, with respect to
electric consumers, any group of such consumers who have similar characteristics of electric energy use.
(3) The term ‘‘Commission’’ means the Federal Energy Regulatory Commission.
(4) The term ‘‘electric utility’’ means any
person, State agency, or Federal agency,
which sells electric energy.
(5) The term ‘‘electric consumer’’ means any
person, State agency, or Federal agency, to
which electric energy is sold other than for
purposes of resale.
(6) The term ‘‘evidentiary hearing’’ means—
(A) in the case of a State agency, a proceeding which (i) is open to the public, (ii)
includes notice to participants and an opportunity for such participants to present direct and rebuttal evidence and to cross-examine witnesses, (iii) includes a written decision, based upon evidence appearing in a
written record of the proceeding, and (iv) is
subject to judicial review;
(B) in the case of a Federal agency, a proceeding conducted as provided in sections
554, 556, and 557 of title 5; and
(C) in the case of a proceeding conducted
by any entity other than a State or Federal
agency, a proceeding which conforms, to the
extent appropriate, with the requirements of
subparagraph (A).
(7) The term ‘‘Federal agency’’ means an executive agency (as defined in section 105 of
title 5).
(8) The term ‘‘load management technique’’
means any technique (other than a time-ofday or seasonal rate) to reduce the maximum
kilowatt demand on the electric utility, including ripple or radio control mechanisms,
and other types of interruptible electric service, energy storage devices, and load-limiting
devices.
(9) The term ‘‘nonregulated electric utility’’
means any electric utility other than a State
regulated electric utility.
(10) The term ‘‘rate’’ means (A) any price,
rate, charge, or classification made, demanded, observed, or received with respect to
sale of electric energy by an electric utility to
an electric consumer, (B) any rule, regulation,
or practice respecting any such rate, charge,
or classification, and (C) any contract pertaining to the sale of electric energy to an electric
consumer.

(11) The term ‘‘ratemaking authority’’
means authority to fix, modify, approve, or
disapprove rates.
(12) The term ‘‘rate schedule’’ means the
designation of the rates which an electric utility charges for electric energy.
(13) The term ‘‘sale’’ when used with respect
to electric energy includes any exchange of
electric energy.
(14) The term ‘‘Secretary’’ means the Secretary of Energy.
(15) The term ‘‘State’’ means a State, the
District of Columbia, and Puerto Rico.
(16) The term ‘‘State agency’’ means a State,
political subdivision thereof, and any agency
or instrumentality of either.
(17) The term ‘‘State regulatory authority’’
means any State agency which has ratemaking authority with respect to the sale of
electric energy by any electric utility (other
than such State agency), and in the case of an
electric utility with respect to which the Tennessee Valley Authority has ratemaking authority, such term means the Tennessee Valley Authority.
(18) The term ‘‘State regulated electric utility’’ means any electric utility with respect to
which a State regulatory authority has ratemaking authority.
(19) The term ‘‘integrated resource planning’’ means, in the case of an electric utility,
a planning and selection process for new energy resources that evaluates the full range of
alternatives, including new generating capacity, power purchases, energy conservation and
efficiency, cogeneration and district heating
and cooling applications, and renewable energy resources, in order to provide adequate
and reliable service to its electric customers
at the lowest system cost. The process shall
take into account necessary features for system operation, such as diversity, reliability,
dispatchability, and other factors of risk; shall
take into account the ability to verify energy
savings achieved through energy conservation
and efficiency and the projected durability of
such savings measured over time; and shall
treat demand and supply resources on a consistent and integrated basis.
(20) The term ‘‘system cost’’ means all direct
and quantifiable net costs for an energy resource over its available life, including the
cost of production, distribution, transportation, utilization, waste management, and
environmental compliance.
(21) The term ‘‘demand side management’’
includes load management techniques.
(Pub. L. 95–617, § 3, Nov. 9, 1978, 92 Stat. 3119;
Pub. L. 102–486, title I, § 111(d), Oct. 24, 1992, 106
Stat. 2796.)
REFERENCES IN TEXT
This Act, referred to in text, is Pub. L. 95–617, Nov. 9,
1978, 92 Stat. 3117, as amended, known as the Public
Utility Regulatory Policies Act of 1978. For complete
classification of this Act to the Code, see Short Title
note set out under section 2601 of this title and Tables.
The Sherman Antitrust Act (15 U.S.C. 1 and following), referred to in par. (1), is act July 2, 1890, ch. 647,
26 Stat. 209, as amended, which enacted sections 1 to 7
of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note
set out under section 1 of Title 15 and Tables.

§ 2603

TITLE 16—CONSERVATION

The Clayton Act (15 U.S.C. 12 and following), referred
to in par. (1), is act Oct. 15, 1914, ch. 323, 38 Stat. 730,
as amended, which is classified generally to sections 12,
13, 14 to 19, 21, and 22 to 27 of Title 15, Commerce and
Trade, and sections 52 and 53 of Title 29, Labor. For further details and complete classification of this Act to
the Code, see References in Text note set out under section 12 of Title 15 and Tables.
The Federal Trade Commission Act (15 U.S.C. 14 and
following), referred to in par. (1), is act Sept. 26, 1914,
ch. 311, 38 Stat. 717, as amended, which is classified generally to subchapter I (§ 41 et seq.) of chapter 2 of Title
15, Commerce and Trade. For complete classification of
this Act to the Code, see section 58 of Title 15 and
Tables.
The Wilson Tariff Act (15 U.S.C. 8 and 9), referred to
in par. (1), is sections 73 to 77 of act Aug. 27, 1894, ch.
349, 28 Stat. 570. Sections 73 to 76 enacted sections 8 to
11 of Title 15, Commerce and Trade. Section 77 of said
Act was not classified to the Code. For complete classification of this Act to the Code, see Short Title note
under section 8 of Title 15 and Tables.
Act of June 19, 1936, chapter 592 (15 U.S.C. 13, 13a, 13b,
and 21A), referred to in par. (1), is act June 19, 1936, ch.
592, 49 Stat. 1526, popularly known as the Robinson-Patman Antidiscrimination Act and also as the RobinsonPatman Price Discrimination Act, which enacted sections 13a, 13b, and 21a of Title 15, Commerce and Trade,
and amended section 13 of Title 15. For complete classification of this Act to the Code, see Short Title note
set out under section 13 of Title 15 and Tables.
CODIFICATION
This section was not enacted as part of title I of Pub.
L. 95–617 which comprises this chapter.
AMENDMENTS
1992—Pars. (19) to (21). Pub. L. 102–486 added pars. (19)
to (21).

§ 2603. Relationship to antitrust laws
Nothing in this Act or in any amendment
made by this Act affects—
(1) the applicability of the antitrust laws to
any electric utility or gas utility (as defined
in section 3202 of title 15), or
(2) any authority of the Secretary or of the
Commission under any other provision of law
(including the Federal Power Act [16 U.S.C.
791a et seq.] and the Natural Gas Act [15 U.S.C.
717 et seq.]) respecting unfair methods of competition or anticompetitive acts or practices.
(Pub. L. 95–617, § 4, Nov. 9, 1978, 92 Stat. 3120.)
REFERENCES IN TEXT
This Act, referred to in text, is act Pub. L. 95–617,
Nov. 9, 1978, 92 Stat. 3117, as amended, known as the
Public Utility Regulatory Policies Act of 1978. For
complete classification of this Act to the Code, see
Short Title note set out under section 2601 of this title
and Tables.
The Federal Power Act, referred to in par. (2), is act
June 10, 1920, ch. 285, 41 Stat. 1063, as amended, which
is classified generally to chapter 12 (§ 791a et seq.) of
this title. For complete classification of this Act to the
Code, see section 791a of this title and Tables.
The Natural Gas Act, referred to in par. (2), is act
June 21, 1938, ch. 556, 52 Stat. 821, as amended, which is
classified generally to chapter 15B (§ 717 et seq.) of Title
15, Commerce and Trade. For complete classification of
this Act to the Code, see section 717w of Title 15 and
Tables.
CODIFICATION
This section was not enacted as part of title I of Pub.
L. 95–617 which comprises this chapter.

Page 1986

SUBCHAPTER I—RETAIL REGULATORY
POLICIES FOR ELECTRIC UTILITIES
§ 2611. Purposes
The purposes of this chapter are to encourage—
(1) conservation of energy supplied by electric utilities;
(2) the optimization of the efficiency of use
of facilities and resources by electric utilities;
and
(3) equitable rates to electric consumers.
(Pub. L. 95–617, title I, § 101, Nov. 9, 1978, 92 Stat.
3120.)
REFERENCES IN TEXT
This chapter, referred to in text, was in the original
‘‘this title’’, meaning title I (§ 101 et seq.) of Pub. L.
95–617, Nov. 9, 1978, 92 Stat. 3120, which enacted subchapters I to IV of this chapter and section 6808 of Title
42, The Public Health and Welfare, and amended sections 6802 to 6807 of Title 42. For complete classification
of title I to the Code, see Tables.

§ 2612. Coverage
(a) Volume of total retail sales
This chapter applies to each electric utility in
any calendar year, and to each proceeding relating to each electric utility in such year, if the
total sales of electric energy by such utility for
purposes other than resale exceeded 500 million
kilowatt-hours during any calendar year beginning after December 31, 1975, and before the immediately preceding calendar year.
(b) Exclusion of wholesale sales
The requirements of this chapter do not apply
to the operations of an electric utility, or to
proceedings respecting such operations, to the
extent that such operations or proceedings relate to sales of electric energy for purposes of
resale.
(c) List of covered utilities
Before the beginning of each calendar year,
the Secretary shall publish a list identifying
each electric utility to which this chapter applies during such calendar year. Promptly after
publication of such list each State regulatory
authority shall notify the Secretary of each
electric utility on the list for which such State
regulatory authority has ratemaking authority.
(Pub. L. 95–617, title I, § 102, Nov. 9, 1978, 92 Stat.
3121.)
REFERENCES IN TEXT
This chapter, referred to in text, was in the original
‘‘this title’’, meaning title I (§ 101 et seq.) of Pub. L.
95–617, Nov. 9, 1978, 92 Stat. 3120, which enacted subchapters I to IV of this chapter and section 6808 of Title
42, The Public Health and Welfare, and amended sections 6802 to 6807 of Title 42. For complete classification
of title I to the Code, see Tables.

§ 2613. Federal contracts
Notwithstanding the limitation contained in
section 2612(b) of this title, no contract between
a Federal agency and any electric utility for the
sale of electric energy by such Federal agency
for resale which is entered into or renewed after
November 9, 1978, may contain any provision


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