
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 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.
