16 Usc 824

§ 824

TITLE 16—CONSERVATION

(5) that are not located in whole or in part
on any Indian reservation, a conservation system unit (as defined in section 3102(4) of this
title), or segment of a river designated for
study for addition to the Wild and Scenic Rivers System.
(c) Election of State licensing
In the case of nonqualifying project works
that would be a qualifying project works but for
the fact that the project has been licensed (or
exempted from licensing) by the Commission
prior to November 9, 2000, the licensee of such
project may in its discretion elect to make the
project subject to licensing and regulation by
the State of Alaska under this section.
(d) Project works on Federal lands
With respect to projects located in whole or in
part on a reservation, a conservation system
unit, or the public lands, a State license or exemption from licensing shall be subject to—
(1) the approval of the Secretary having jurisdiction over such lands; and
(2) such conditions as the Secretary may
prescribe.
(e) Consultation with affected agencies
The Commission shall consult with the Secretary of the Interior, the Secretary of Agriculture, and the Secretary of Commerce before
certifying the State of Alaska’s regulatory program.
(f) Application of Federal laws
Nothing in this section shall preempt the application of Federal environmental, natural resources, or cultural resources protection laws
according to their terms.
(g) Oversight by the Commission
The State of Alaska shall notify the Commission not later than 30 days after making any significant modification to its regulatory program.
The Commission shall periodically review the
State’s program to ensure compliance with the
provisions of this section.
(h) Resumption of Commission authority
Notwithstanding subsection (a) of this section,
the Commission shall reassert its licensing and
regulatory authority under this subchapter if
the Commission finds that the State of Alaska
has not complied with one or more of the requirements of this section.
(i) Determination by the Commission
(1) Upon application by the Governor of the
State of Alaska, the Commission shall within 30
days commence a review of the State of Alaska’s
regulatory program for water-power development to determine whether it complies with the
requirements of subsection (a) of this section.
(2) The Commission’s review required by paragraph (1) shall be completed within 1 year of initiation, and the Commission shall within 30 days
thereafter issue a final order determining
whether or not the State of Alaska’s regulatory
program for water-power development complies
with the requirements of subsection (a) of this
section.
(3) If the Commission fails to issue a final
order in accordance with paragraph (2) the State

Page 1260

of Alaska’s regulatory program for water-power
development shall be deemed to be in compliance with subsection (a) of this section.
(June 10, 1920, ch. 285, pt. I, § 32, as added Pub. L.
106–469, title V, § 501, Nov. 9, 2000, 114 Stat. 2037.)
REFERENCES IN TEXT
The Endangered Species Act, referred to in subsec.
(a)(1), probably means the Endangered Species Act of
1973, Pub. L. 93–205, Dec. 28, 1973, 87 Stat. 884, as amended, which is classified generally to chapter 35 (§ 1531 et
seq.) of this title. For complete classification of this
Act to the Code, see Short Title note set out under section 1531 of this title and Tables.
The Fish and Wildlife Coordination Act, referred to
in subsec. (a)(1), (3)(C), is act Mar. 10, 1934, ch. 55, 48
Stat. 401, as amended, which is classified generally to
sections 661 to 666c of this title. For complete classification of this Act to the Code, see Short Title note
set out under section 661 of this title and Tables.

SUBCHAPTER II—REGULATION OF ELECTRIC UTILITY COMPANIES ENGAGED IN
INTERSTATE COMMERCE
SUBCHAPTER REFERRED TO IN OTHER SECTIONS
This subchapter is referred to in sections 803, 824a–3
of this title; title 42 section 7172; title 43 section 1761.

§ 824. Declaration of policy; application of subchapter
(a) Federal regulation of transmission and sale
of electric energy
It is declared that the business of transmitting
and selling electric energy for ultimate distribution to the public is affected with a public interest, and that Federal regulation of matters relating to generation to the extent provided in
this subchapter and subchapter III of this chapter and of that part of such business which consists of the transmission of electric energy in
interstate commerce and the sale of such energy
at wholesale in interstate commerce is necessary in the public interest, such Federal regulation, however, to extend only to those matters
which are not subject to regulation by the
States.
(b) Use or sale of electric energy in interstate
commerce
(1) The provisions of this subchapter shall
apply to the transmission of electric energy in
interstate commerce and to the sale of electric
energy at wholesale in interstate commerce, but
except as provided in paragraph (2) shall not
apply to any other sale of electric energy or deprive a State or State commission of its lawful
authority now exercised over the exportation of
hydroelectric energy which is transmitted
across a State line. The Commission shall have
jurisdiction over all facilities for such transmission or sale of electric energy, but shall not
have jurisdiction, except as specifically provided
in this subchapter and subchapter III of this
chapter, over facilities used for the generation
of electric energy or over facilities used in local
distribution or only for the transmission of electric energy in intrastate commerce, or over facilities for the transmission of electric energy
consumed wholly by the transmitter.
(2) The provisions of sections 824i, 824j, and
824k of this title shall apply to the entities de-

Page 1261

TITLE 16—CONSERVATION

scribed in such provisions, and such entities
shall be subject to the jurisdiction of the Commission for purposes of carrying out such provisions and for purposes of applying the enforcement authorities of this chapter with respect to
such provisions. Compliance with any order of
the Commission under the provisions of section
824i or 824j of this title, shall not make an electric utility or other entity subject to the jurisdiction of the Commission for any purposes
other than the purposes specified in the preceding sentence.
(c) Electric energy in interstate commerce
For the purpose of this subchapter, electric
energy shall be held to be transmitted in interstate commerce if transmitted from a State and
consumed at any point outside thereof; but only
insofar as such transmission takes place within
the United States.
(d) ‘‘Sale of electric energy at wholesale’’ defined
The term ‘‘sale of electric energy at wholesale’’ when used in this subchapter, means a sale
of electric energy to any person for resale.
(e) ‘‘Public utility’’ defined
The term ‘‘public utility’’ when used in this
subchapter and subchapter III of this chapter
means any person who owns or operates facilities subject to the jurisdiction of the Commission under this subchapter (other than facilities
subject to such jurisdiction solely by reason of
section 824i, 824j, or 824k of this title).
(f) United States, State, political subdivision of a
State, or agency or instrumentality thereof
exempt
No provision in this subchapter shall apply to,
or be deemed to include, the United States, a
State or any political subdivision of a State, or
any agency, authority, or instrumentality of
any one or more of the foregoing, or any corporation which is wholly owned, directly or indirectly, by any one or more of the foregoing, or
any officer, agent, or employee of any of the
foregoing acting as such in the course of his official duty, unless such provision makes specific
reference thereto.
(g) Books and records
(1) Upon written order of a State commission,
a State commission may examine the books, accounts, memoranda, contracts, and records of—
(A) an electric utility company subject to its
regulatory authority under State law,
(B) any exempt wholesale generator selling
energy at wholesale to such electric utility,
and
(C) any electric utility company, or holding
company thereof, which is an associate company or affiliate of an exempt wholesale generator which sells electric energy to an electric
utility company referred to in subparagraph
(A),
wherever located, if such examination is required for the effective discharge of the State
commission’s regulatory responsibilities affecting the provision of electric service.
(2) Where a State commission issues an order
pursuant to paragraph (1), the State commission
shall not publicly disclose trade secrets or sensitive commercial information.

§ 824

(3) Any United States district court located in
the State in which the State commission referred to in paragraph (1) is located shall have
jurisdiction to enforce compliance with this subsection.
(4) Nothing in this section shall—
(A) preempt applicable State law concerning
the provision of records and other information; or
(B) in any way limit rights to obtain records
and other information under Federal law, contracts, or otherwise.
(5) As used in this subsection the terms ‘‘affiliate’’, ‘‘associate company’’, ‘‘electric utility
company’’, ‘‘holding company’’, ‘‘subsidiary
company’’, and ‘‘exempt wholesale generator’’
shall have the same meaning as when used in
the Public Utility Holding Company Act of 1935
[15 U.S.C. 79 et seq.].
(June 10, 1920, ch. 285, pt. II, § 201, as added Aug.
26, 1935, ch. 687, title II, § 213, 49 Stat. 847; amended Pub. L. 95–617, title II, § 204(b), Nov. 9, 1978, 92
Stat. 3140; Pub. L. 102–486, title VII, § 714, Oct. 24,
1992, 106 Stat. 2911.)
REFERENCES IN TEXT
The Public Utility Holding Company Act of 1935, referred to in subsec. (g)(5), is title I of act Aug. 26, 1935,
ch. 687, 49 Stat. 838, as amended, which is classified generally to chapter 2C (§ 79 et seq.) of Title 15, Commerce
and Trade. For complete classification of this Act to
the Code, see section 79 of Title 15 and Tables.
AMENDMENTS
1992—Subsec. (g). Pub. L. 102–486 added subsec. (g).
1978—Subsec. (b). Pub. L. 95–617, § 204(b)(1), designated
existing provisions as par. (1), inserted ‘‘except as provided in paragraph (2)’’ after ‘‘in interstate commerce,
but’’, and added par. (2).
Subsec. (e). Pub. L. 95–617, § 204(b)(2), inserted ‘‘(other
than facilities subject to such jurisdiction solely by
reason of section 824i, 824j, or 824k of this title)’’ after
‘‘under this subchapter’’.
TRANSFER OF FUNCTIONS
Federal Power Commission terminated and its functions with regard to establishment, review, and enforcement of rates and charges for transmission or sale
of electric energy, including determinations on construction work in progress under this subchapter transferred to Federal Energy Regulatory Commission by
sections 7172(a)(1)(B) and 7293 of Title 42, The Public
Health and Welfare.
Executive and administrative functions of Federal
Power Commission, with certain reservations, transferred to Chairman of such Commission, with authority
vested in him to authorize their performance by any officer, employee, or administrative unit under his jurisdiction, by Reorg. Plan No. 9 of 1950, §§ 1, 2, eff. May 24,
1950, 15 F.R. 3175, 64 Stat. 1265, set out as a note under
section 792 of this title.
STATE AUTHORITIES; CONSTRUCTION
Nothing in amendment by Pub. L. 102–486 to be construed as affecting or intending to affect, or in any way
to interfere with, authority of any State or local government relating to environmental protection or siting
of facilities, see section 731 of Pub. L. 102–486, set out
as a note under section 79 of Title 15, Commerce and
Trade.
PRIOR ACTIONS; EFFECT ON OTHER AUTHORITIES
Section 214 of Pub. L. 95–617 provided that:
‘‘(a) PRIOR ACTIONS.—No provision of this title [enacting sections 823a, 824i to 824k, 824a–1 to 824a–3 and

§ 824a

TITLE 16—CONSERVATION

825q–1 of this title, amending sections 796, 824, 824a,
824d, and 825d of this title and enacting provisions set
out as notes under sections 824a, 824d, and 825d of this
title] or of any amendment made by this title shall
apply to, or affect, any action taken by the Commission before the date of the enactment of this Act [Nov.
9, 1978].
‘‘(b) OTHER AUTHORITIES.—No provision of this title
[enacting sections 823a, 824i to 824k, 824a–1 to 824a–3 and
825q–1 of this title, amending sections 796, 824, 824a,
824d, and 825d of this title and enacting provisions set
out as notes under sections 824a, 824d, and 825d of this
title] or of any amendment made by this title shall
limit, impair or otherwise affect any authority of the
Commission or any other agency or instrumentality of
the United States under any other provision of law except as specifically provided in this title.’’
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 839e of this title;
title 15 section 79z–5a.

§ 824a. Interconnection and coordination of facilities; emergencies; transmission to foreign
countries
(a) Regional districts; establishment; notice to
State commissions
For the purpose of assuring an abundant supply of electric energy throughout the United
States with the greatest possible economy and
with regard to the proper utilization and conservation of natural resources, the Commission
is empowered and directed to divide the country
into regional districts for the voluntary interconnection and coordination of facilities for the
generation, transmission, and sale of electric energy, and it may at any time thereafter, upon
its own motion or upon application, make such
modifications thereof as in its judgment will
promote the public interest. Each such district
shall embrace an area which, in the judgment of
the Commission, can economically be served by
such interconnection and coordinated electric
facilities. It shall be the duty of the Commission
to promote and encourage such interconnection
and coordination within each such district and
between such districts. Before establishing any
such district and fixing or modifying the boundaries thereof the Commission shall give notice
to the State commission of each State situated
wholly or in part within such district, and shall
afford each such State commission reasonable
opportunity to present its views and recommendations, and shall receive and consider such
views and recommendations.
(b) Sale or exchange of energy; establishing
physical connections
Whenever the Commission, upon application of
any State commission or of any person engaged
in the transmission or sale of electric energy,
and after notice to each State commission and
public utility affected and after opportunity for
hearing, finds such action necessary or appropriate in the public interest it may by order direct a public utility (if the Commission finds
that no undue burden will be placed upon such
public utility thereby) to establish physical connection of its transmission facilities with the facilities of one or more other persons engaged in
the transmission or sale of electric energy, to
sell energy to or exchange energy with such persons: Provided, That the Commission shall have

Page 1262

no authority to compel the enlargement of generating facilities for such purposes, nor to compel such public utility to sell or exchange energy when to do so would impair its ability to
render adequate service to its customers. The
Commission may prescribe the terms and conditions of the arrangement to be made between
the persons affected by any such order, including the apportionment of cost between them and
the compensation or reimbursement reasonably
due to any of them.
(c) Temporary connection and exchange of facilities during emergency
During the continuance of any war in which
the United States is engaged, or whenever the
Commission determines that an emergency exists by reason of a sudden increase in the demand for electric energy, or a shortage of electric energy or of facilities for the generation or
transmission of electric energy, or of fuel or
water for generating facilities, or other causes,
the Commission shall have authority, either
upon its own motion or upon complaint, with or
without notice, hearing, or report, to require by
order such temporary connections of facilities
and such generation, delivery, interchange, or
transmission of electric energy as in its judgment will best meet the emergency and serve
the public interest. If the parties affected by
such order fail to agree upon the terms of any
arrangement between them in carrying out such
order, the Commission, after hearing held either
before or after such order takes effect, may prescribe by supplemental order such terms as it
finds to be just and reasonable, including the
compensation or reimbursement which should
be paid to or by any such party.
(d) Temporary connection during emergency by
persons without jurisdiction of Commission
During the continuance of any emergency requiring immediate action, any person engaged
in the transmission or sale of electric energy
and not otherwise subject to the jurisdiction of
the Commission may make such temporary connections with any public utility subject to the
jurisdiction of the Commission or may construct
such temporary facilities for the transmission of
electric energy in interstate commerce as may
be necessary or appropriate to meet such emergency, and shall not become subject to the jurisdiction of the Commission by reason of such
temporary connection or temporary construction: Provided, That such temporary connection
shall be discontinued or such temporary construction removed or otherwise disposed of upon
the termination of such emergency: Provided further, That upon approval of the Commission permanent connections for emergency use only
may be made hereunder.
(e) Transmission of electric energy to foreign
country
After six months from August 26, 1935, no person shall transmit any electric energy from the
United States to a foreign country without first
having secured an order of the Commission authorizing it to do so. The Commission shall issue
such order upon application unless, after opportunity for hearing, it finds that the proposed
transmission would impair the sufficiency of