§ 824a. — Interconnection and coordination of facilities; emergencies; transmission to foreign countries.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 16USC824a]
TITLE 16--CONSERVATION
CHAPTER 12--FEDERAL REGULATION AND DEVELOPMENT OF POWER
SUBCHAPTER II--REGULATION OF ELECTRIC UTILITY COMPANIES ENGAGED IN
INTERSTATE COMMERCE
Sec. 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 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 electric supply within the United States or
would impede or tend to impede the coordination in the public interest
of facilities subject to the jurisdiction of the Commission. The
Commission may by its order grant such application in whole or in part,
with such modifications and upon such terms and conditions as the
Commission may find necessary or appropriate, and may from time to time,
after opportunity for hearing and for good cause shown, make such
supplemental orders in the premises as it may find necessary or
appropriate.
(f) Transmission or sale at wholesale of electric energy; regulation
The ownership or operation of facilities for the transmission or
sale at wholesale of electric energy which is (a) generated within a
State and transmitted from the State across an international boundary
and not thereafter transmitted into any other State, or (b) generated in
a foreign country and transmitted across an international boundary into
a State and not thereafter transmitted into any other State, shall not
make a person a public utility subject to regulation as such under other
provisions of this subchapter. The State within which any such
facilities are located may regulate any such transaction insofar as such
State regulation does not conflict with the exercise of the Commission's
powers under or relating to subsection (e) of this section.
(g) Continuance of service
In order to insure continuity of service to customers of public
utilities, the Commission shall require, by rule, each public utility
to--
(1) report promptly to the Commission and any appropriate State
regulatory authorities any anticipated shortage of electric energy
or capacity which would affect such utility's capability of serving
its wholesale customers,
(2) submit to the Commission, and to any appropriate State
regulatory authority, and periodically revise, contingency plans
respecting--
(A) shortages of electric energy or capacity, and
(B) circumstances which may result in such shortages, and
(3) accommodate any such shortages or circumstances in a manner
which shall--
(A) give due consideration to the public health, safety, and
welfare, and
(B) provide that all persons served directly or indirectly
by such public utility will be treated, without undue prejudice
or disadvantage.
(June 10, 1920, ch. 285, pt. II, Sec. 202, as added Aug. 26, 1935, ch.
687, title II, Sec. 213, 49 Stat. 848; amended Aug. 7, 1953, ch. 343, 67
Stat. 461; Pub. L. 95-617, title II, Sec. 206(a), Nov. 9, 1978, 92 Stat.
3141.)
Amendments
1978--Subsec. (g). Pub. L. 95-617 added subsec. (g).
1953--Subsec. (f). Act Aug. 7, 1953, added subsec. (f).
Effective Date of 1978 Amendment
Section 206(b) of Pub. L. 95-617 provided that: ``The amendment made
by subsection (a) [adding subsec. (g) of this section] shall not affect
any proceeding of the Commission pending on the date of the enactment of
this Act [Nov. 9, 1978] or any case pending on such date respecting a
proceeding of the Commission.''
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 and interconnection,
under this section, of facilities for generation, transmission, and sale
of electric energy, other than emergency interconnection, 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, Secs. 1, 2, eff. May 24, 1950, 15 F.R. 3175,
64 Stat. 1265, set out as a note under section 792 of this title.
Delegation of Functions
Functions of President respecting certain facilities constructed and
maintained on United States borders delegated to Secretary of State, see
Ex. Ord. No. 11423, Aug. 16, 1968. 33 F.R. 11741, set out as a note
under section 301 of Title 3, The President.
Performance of Functions Respecting Electric Power and Natural Gas
Facilities Located on United States Borders
For provisions relating to performance of functions by Secretary of
Energy respecting electric power and natural gas facilities located on
United States borders, see Ex. Ord. No. 10485, Sept. 8, 1953, 18 F.R.
5397, as amended by Ex. Ord. No. 12038, Feb. 3, 1978, 43 F.R. 4957, set
out as a note under section 717b of Title 15, Commerce and Trade.
Section Referred to in Other Sections
This section is referred to in sections 824a-1, 824a-2, 824a-4 of
this title; title 42 section 7172.
