15 U.S.C. § 717 — Regulation of natural gas companies

Page 1186 TITLE 15—COMMERCE AND TRADE § 715l § 715l. Repealed. June 22, 1942, ch. 436, 56 Stat. 381 Section, acts Feb. 22, 1935, ch. 18, § 13, 49 Stat. 33; June 14, 1937, ch. 335, 50 Stat. 257; June 29, 1939, ch. 250, 53 Stat. 927, provided for expiration of this chapter on June 30, 1942. § 715m. Cooperation between Secretary of the In- terior and Federal and State authorities The Secretary of the Interior, in carrying out the Act of February 22, 1935, as amended (15 U.S.C., ch. 15A), is authorized to cooperate with Federal and State authorities. (June 25, 1946, ch. 472, § 3, 60 Stat. 307.) Editorial Notes REFERENCES IN TEXT Act of February 22, 1935, referred to in text, is act Feb. 22, 1935, ch. 18, 49 Stat. 30, popularly known as the ‘‘Hot Oil Act’’ and also as the ‘‘Connally Hot Oil Act’’, which is classified generally to this chapter. For com- plete classification of this Act to the Code, see Short Title note set out under section 715 of this title and Ta- bles. CODIFICATION Section was not enacted as a part of act Feb. 22, 1935, which comprises this chapter. Executive Documents DELEGATION OF FUNCTIONS Delegation of President’s authority to Secretary of the Interior, see note set out under section 715j of this title. CHAPTER 15B—NATURAL GAS Sec. 717. Regulation of natural gas companies. 717a. Definitions. 717b. Exportation or importation of natural gas; LNG terminals. 717b–1. State and local safety considerations. 717c. Rates and charges. 717c–1. Prohibition on market manipulation. 717d. Fixing rates and charges; determination of cost of production or transportation. 717e. Ascertainment of cost of property. 717f. Construction, extension, or abandonment of facilities. 717g. Accounts; records; memoranda. 717h. Rates of depreciation. 717i. Periodic and special reports. 717j. State compacts for conservation, transpor- tation, etc., of natural gas. 717k. Officials dealing in securities. 717l. Complaints. 717m. Investigations by Commission. 717n. Process coordination; hearings; rules of pro- cedure. 717o. Administrative powers of Commission; rules, regulations, and orders. 717p. Joint boards. 717q. Appointment of officers and employees. 717r. Rehearing and review. 717s. Enforcement of chapter. 717t. General penalties. 717t–1. Civil penalty authority. 717t–2. Natural gas market transparency rules. 717u. Jurisdiction of offenses; enforcement of li- abilities and duties. 717v. Separability. 717w. Short title. 717x. Conserved natural gas. Sec. 717y. Voluntary conversion of natural gas users to heavy fuel oil. 717z. Emergency conversion of utilities and other facilities. § 717. Regulation of natural gas companies (a) Necessity of regulation in public interest As disclosed in reports of the Federal Trade Commission made pursuant to S. Res. 83 (Seven- tieth Congress, first session) and other reports made pursuant to the authority of Congress, it is declared that the business of transporting and selling natural gas for ultimate distribution to the public is affected with a public interest, and that Federal regulation in matters relating to the transportation of natural gas and the sale thereof in interstate and foreign commerce is necessary in the public interest. (b) Transactions to which provisions of chapter applicable The provisions of this chapter shall apply to the transportation of natural gas in interstate commerce, to the sale in interstate commerce of natural gas for resale for ultimate public con- sumption for domestic, commercial, industrial, or any other use, and to natural-gas companies engaged in such transportation or sale, and to the importation or exportation of natural gas in foreign commerce and to persons engaged in such importation or exportation, but shall not apply to any other transportation or sale of nat- ural gas or to the local distribution of natural gas or to the facilities used for such distribution or to the production or gathering of natural gas. (c) Intrastate transactions exempt from provi- sions of chapter; certification from State commission as conclusive evidence The provisions of this chapter shall not apply to any person engaged in or legally authorized to engage in the transportation in interstate commerce or the sale in interstate commerce for resale, of natural gas received by such person from another person within or at the boundary of a State if all the natural gas so received is ul- timately consumed within such State, or to any facilities used by such person for such transpor- tation or sale, provided that the rates and serv- ice of such person and facilities be subject to regulation by a State commission. The matters exempted from the provisions of this chapter by this subsection are declared to be matters pri- marily of local concern and subject to regula- tion by the several States. A certification from such State commission to the Federal Power Commission that such State commission has regulatory jurisdiction over rates and service of such person and facilities and is exercising such jurisdiction shall constitute conclusive evidence of such regulatory power or jurisdiction. (d) Vehicular natural gas jurisdiction The provisions of this chapter shall not apply to any person solely by reason of, or with re- spect to, any sale or transportation of vehicular natural gas if such person is— (1) not otherwise a natural-gas company; or (2) subject primarily to regulation by a State commission, whether or not such State commission has, or is exercising, jurisdiction Page 1187 TITLE 15—COMMERCE AND TRADE § 717a over the sale, sale for resale, or transportation of vehicular natural gas. (June 21, 1938, ch. 556, § 1, 52 Stat. 821; Mar. 27, 1954, ch. 115, 68 Stat. 36; Pub. L. 102–486, title IV, § 404(a)(1), Oct. 24, 1992, 106 Stat. 2879; Pub. L. 109–58, title III, § 311(a), Aug. 8, 2005, 119 Stat. 685.) Editorial Notes AMENDMENTS 2005—Subsec. (b). Pub. L. 109–58 inserted ‘‘and to the importation or exportation of natural gas in foreign commerce and to persons engaged in such importation or exportation,’’ after ‘‘such transportation or sale,’’. 1992—Subsec. (d). Pub. L. 102–486 added subsec. (d). 1954—Subsec. (c). Act Mar. 27, 1954, added subsec. (c). Statutory Notes and Related Subsidiaries TERMINATION OF FEDERAL POWER COMMISSION; TRANSFER OF FUNCTIONS The Federal Power Commission was terminated, and its functions, personnel, property, funds, etc., were transferred to Secretary of Energy (except for certain functions which were transferred to the Federal Energy Regulatory Commission) by sections 7151(b), 7171(a), 7172(a), 7291, and 7293 of Title 42, The Public Health and Welfare. STATE LAWS AND REGULATIONS Pub. L. 102–486, title IV, § 404(b), Oct. 24, 1992, 106 Stat. 2879, provided that: ‘‘The transportation or sale of nat- ural gas by any person who is not otherwise a public utility, within the meaning of State law— ‘‘(1) in closed containers; or ‘‘(2) otherwise to any person for use by such person as a fuel in a self-propelled vehicle, shall not be considered to be a transportation or sale of natural gas within the meaning of any State law, regu- lation, or order in effect before January 1, 1989. This subsection shall not apply to any provision of any State law, regulation, or order to the extent that such provision has as its primary purpose the protection of public safety.’’ EMERGENCY NATURAL GAS ACT OF 1977 Pub. L. 95–2, Feb. 2, 1977, 91 Stat. 4, authorized Presi- dent to declare a natural gas emergency and to require emergency deliveries and transportation of natural gas until the earlier of Apr. 30, 1977, or termination of emergency by President and provided for antitrust pro- tection, emergency purchases, adjustment in charges for local distribution companies, relationship to Nat- ural Gas Act, effect of certain contractual obligations, administrative procedure and judicial review, enforce- ment, reporting to Congress, delegation of authorities, and preemption of inconsistent State or local action. Executive Documents EXECUTIVE ORDER NO. 11969 Ex. Ord. No. 11969, Feb. 2, 1977, 42 F.R. 6791, as amend- ed by Ex. Ord. No. 12038, Feb. 3, 1978, 43 F.R. 4957, which delegated to the Secretary of Energy the authority vested in the President by the Emergency Natural Gas Act of 1977 except the authority to declare and termi- nate a natural gas emergency, was revoked by Ex. Ord. No. 12553, Feb. 25, 1986, 51 F.R. 7237. PROCLAMATION NO. 4485 Proc. No. 4485, Feb. 2, 1977, 42 F.R. 6789, declared that a natural gas emergency existed within the meaning of section 3 of the Emergency Natural Gas Act of 1977, set out as a note above, which emergency was terminated by Proc. No. 4495, Apr. 1, 1977, 42 F.R. 18053, formerly set out below. PROCLAMATION NO. 4495 Proc. No. 4495, Apr. 1, 1977, 42 F.R. 18053, terminated the natural gas emergency declared to exist by Proc. No. 4485, Feb. 2, 1977, 42 F.R. 6789, formerly set out above. § 717a. Definitions When used in this chapter, unless the context otherwise requires— (1) ‘‘Person’’ includes an individual or a cor- poration. (2) ‘‘Corporation’’ includes any corporation, joint-stock company, partnership, association, business trust, organized group of persons, whether incorporated or not, receiver or re- ceivers, trustee or trustees of any of the fore- going, but shall not include municipalities as hereinafter defined. (3) ‘‘Municipality’’ means a city, county, or other political subdivision or agency of a State. (4) ‘‘State’’ means a State admitted to the Union, the District of Columbia, and any orga- nized Territory of the United States. (5) ‘‘Natural gas’’ means either natural gas unmixed, or any mixture of natural and artifi- cial gas. (6) ‘‘Natural-gas company’’ means a person engaged in the transportation of natural gas in interstate commerce, or the sale in inter- state commerce of such gas for resale. (7) ‘‘Interstate commerce’’ means commerce between any point in a State and any point outside thereof, or between points within the same State but through any place outside thereof, but only insofar as such commerce takes place within the United States. (8) ‘‘State commission’’ means the regu- latory body of the State or municipality hav- ing jurisdiction to regulate rates and charges for the sale of natural gas to consumers within the State or municipality. (9) ‘‘Commission’’ and ‘‘Commissioner’’ means the Federal Power Commission, and a member thereof, respectively. (10) ‘‘Vehicular natural gas’’ means natural gas that is ultimately used as a fuel in a self- propelled vehicle. (11) ‘‘LNG terminal’’ includes all natural gas facilities located onshore or in State waters that are used to receive, unload, load, store, transport, gasify, liquefy, or process natural gas that is imported to the United States from a foreign country, exported to a foreign coun- try from the United States, or transported in interstate commerce by waterborne vessel, but does not include— (A) waterborne vessels used to deliver nat- ural gas to or from any such facility; or (B) any pipeline or storage facility subject to the jurisdiction of the Commission under section 717f of this title. (June 21, 1938, ch. 556, § 2, 52 Stat. 821; Pub. L. 102–486, title IV, § 404(a)(2), Oct. 24, 1992, 106 Stat. 2879; Pub. L. 109–58, title III, § 311(b), Aug. 8, 2005, 119 Stat. 685.) Editorial Notes AMENDMENTS 2005—Par. (11). Pub. L. 109–58 added par. (11).