Bill
Number: H. R. 1587
Short Title: Electric Energy Empowerment Act of 1999
Introduced: April 27, 1999
Sponsor: Congressman Cliff Stearns (R-FL)
Purpose: To encourage States to establish competitive retail
markets for electricity, to clarify the roles of the Federal Government and
the States in retail electricity markets, to remove certain Federal barriers
to competition, and for other purposes.
Summary: Amends the Federal Power Act (FPA) to empower the
States to order electric utilities within their jurisdiction to provide nondiscriminatory
open access through functionally unbundled transmission and local distribution
services to retail customers within their borders (retail wheeling). Prescribes
implementation guidelines. (Sec. 4) Encourages creation of Independent Transmission
System Operators to ensure that all sellers and buyers of electricity in the
United States have access to nondiscriminatory transmission services. (Sec.
5) Redefines "public utility" to include electric utility or Federal power
marketing agencies not otherwise subject to Federal Energy Regulatory Commission
jurisdiction (FERC), (thereby subjecting such entities to FERC open access
rules). (Sec. 6) Rescinds the requirement that new electric utility contracts
or obligations for the purchase or sale of electric energy or capacity be
conducted pursuant to the Public Utility Regulatory Policies Act of 1978 (PURPA).
Directs FERC to promulgate and enforce regulations to assure recovery by electric
utilities of all costs associated with purchases of electric energy or capacity
pursuant to PURPA prescriptions. Repeals the Public Utility Holding Company
Act of 1935. (Sec. 7) Mandates Federal and State access to such holding company
records as FERC and State commissions deem relevant to costs incurred by such
entities, and as appropriate for the protection of consumers with respect
to rates. Repeals FPA conflict of jurisdiction prescriptions. (Sec. 8) Grants
the consent of Congress for the formation and operation of the Electric Reliability
Council (ERC), a body composed of all electricity industry participants, to:
(1) provide the best technical electricity industry advice and recommendations
to FERC; and (2) submit an annual status report to the President, Congress,
and to FERC on the Nation's electric generation, transmission, and distribution
systems. Retains State regulatory authority regarding the safety and reliability
of electric utility or local distribution company facilities.
Bill
Number: H. R. 1828
Short Title: Comprehensive Electricity Competition Act
Introduced: May 17, 1999
Sponsor: Congressman Tom Bliley (R-VA)
Purpose: To provide for a more competitive electric power
industry, and for other purposes.
Summary: Title I: Retail Electric Service
- Amends the Public Utilities Regulatory Policies Act of 1978 (PURPA) to set
a specified date by which each electric energy distribution facility is required
to offer consumers open access to its facilities for electric energy sales
(retail competition requirement). (Sec. 101) Authorizes a State regulatory
authority to direct a distribution utility not to implement the retail competition
requirement if it finds that implementation would have a negative impact upon
a class of customers that cannot be reasonably mitigated. Authorizes a nonregulated
distribution utility on its own to make the same determination. Requires a
State regulatory authority or non- regulated distribution utility that: (1)
conducts a public proceeding before a distribution utility implements retail
competition to consider recovery of retail stranded costs if the utility has
taken reasonable steps to mitigate such costs (including assistance for former
electric utility workers unemployed as a result of retail competition implementation);
and (2) permits a charge to recover retail stranded costs to consider reducing
such charge on a consumer who uses electric energy produced on-site when the
charge results from the use of certain new on-site generation sources. Authorizes
any person to bring an action in State court against either a State regulatory
authority, distribution utility, or a nonregulated distribution utility for
noncompliance with this Act. (Sec. 102) Authorizes a State regulatory authority
to enjoin a distribution utility (and affiliate) located in the United States
over which it does not have ratemaking authority from selling electric energy
to electric consumers of a distribution facility covered by the notice of
retail competition, unless a notice of retail competition has been filed with
respect to the other distribution utility (reciprocity requirements). Grants
the same authority to a nonregulated distribution utility. (Sec. 103) Permits
a group of customers to acquire retail electric energy on an aggregate basis
if it is served by distribution utilities for which a State regulatory authority
or nonregulated distribution utility has filed a notice of retail competition.
Title II: Consumer Protection - Prescribes guidelines for
consumer information disclosure by an electric utility and attendant enforcement
by State and Federal agencies. (Sec. 202) Requires each State regulatory authority
or nonregulated distribution utility filing a notice of retail competition
to conduct a proceeding to determine whether to apply specified principles
for providing electric service to low-income residential consumers. (Sec.
203) Amends the Federal Trade Commission Act to direct the Federal Trade Commission
(FTC) to promulgate rules for: (1) verification of a retail electric customer's
selection of a retail electric supplier ("slamming"); and (2) obtaining retail
electric customer consent for the purchase of goods and services ("cramming").
Permits complementary State proceedings and remedies. (Sec. 204) Authorizes
the Secretary of Energy (The Secretary) to compile a database to provide residential
electric consumers with information to compare offers of various retail electric
suppliers. Directs the Secretary to develop a model code for: (1) regulation
of retail electric suppliers for the protection of electric consumers; and
(2) safety standards for electric facility workers. Title III: Facilitating
State and Regional Regulation - Amends the Federal Power Act (FPA)
to declare it does not preempt or otherwise affect any authority under State
or local municipal law to: (1) require unbundled transmission and local distribution
services for electric energy delivery directly to an ultimate consumer; or
(2) impose a delivery charge on such consumer's receipt of electric energy.
Retains the exclusive jurisdiction of the Federal Energy Regulatory Commission
(FERC) over unbundled transmission in interstate commerce. (Sec. 301) Authorizes
FERC to: (1) require public utilities and transmitting utilities to provide
open access transmission services; (2) permit recovery of stranded costs arising
from any requirement to provide open access transmission services; and (3)
require the transmission of electric energy to an ultimate consumer if a notice
of retail competition is in effect with respect to such consumer, or if a
distribution utility offers such consumer open access to its delivery facilities.
Prescribes guidelines for FERC's exercise of jurisdiction over rates, terms,
and conditions for transmission services provided by a non-public transmitting
utility. Permits the Secretary of Agriculture to participate or intervene
in any FERC proceeding that directly affects an electric utility whose loans
are made or guaranteed under the Rural Electrification Act of 1936 (REA).
(Sec. 302) Grants the consent of Congress to an interstate compact to establish
a regional transmission planning agency subject to specified FERC determinations.
(Sec. 303) Cites circumstances under which: (1) a State regulatory authority
and specified nonregulated distribution utilities may receive backup authority
from FERC to impose a charge upon an ultimate consumer's receipt of electric
energy; (2) FERC may order the establishment of an entity to independently
operate and control interconnected transmission facilities and generators,
and may order a transmitting utility to relinquish operating control over
its transmission facilities to such entity; and (4) designated Federal utilities
may participate in a regional transmission system operation. Title
IV: Public Benefits - Amends PURPA to establish a Joint Board which
shall establish a Public Benefits Fund upon petition of States and tribal
governments wishing to participate in a Federal program providing: (1) affordable
electricity service to low-income customers; (2) implementation of energy
conservation, efficiency, and management measures; (3) consumer education;
and (4) development of emerging electricity generation technologies. Prescribes
implementation guidelines, including mandatory payment of a public benefits
charge to a transmitting utility by each owner of an electric generating facility
whose capacity exceeds one megawatt. (Sec. 402) Sets a deadline by which a
retail electric supplier shall submit Renewable Energy Credits to the Secretary
equal to the required annual percentage of total electric energy sold by such
supplier to electric consumers in the calendar year (determined by the Secretary).
Prescribes implementation guidelines. (Sec. 403) Requires each retail electric
supplier to make net metering service available upon request to a retail electric
consumer served or solicited by such supplier. Authorizes State imposition
of: (1) additional requirements; and (2) a cap limiting the amount of net
metering available in the State. Retains State authority to require a retail
electric supplier to make net metering service available to a retail electric
consumer. (Sec. 404) Amends PURPA to repeal the requirement that an electric
utility enter into a new contract or obligation to purchase electric energy
from cogeneration and small power production facilities. (Sec. 405) Mandates
that a distribution utility allow interconnection with a facility if the facility
owner is located in such utility's service territory and complies with a final
Federal ruling governing such interconnection. (Sec. 406) Amends the REA to
authorize grants for the purpose of increasing energy efficiency, lowering
or stabilizing electric rates to end users, or providing or modernizing electric
facilities for certain local governmental or Indian tribal units. Authorizes
appropriations. (Sec. 407) Amends the Energy Policy Act of 1992 to direct
the Secretary to establish an Indian tribal assistance program to meet electricity
needs. Authorizes appropriations. (Sec. 408) Amends the Department of Energy
Organization Act (DOE Organization Act) to authorize the Secretary to establish
an Office of Indian Energy Policy and Programs. (Sec. 409) Authorizes appropriations
to DOE for financial assistance to the State of Alaska to ensure the availability
of adequate electrical power to the greater Ketchikan area, including the
construction of an intertie. Title V: Regulation of Mergers and Corporate
Structure - Repeals the Public Utility Holding Company Act of 1935.
Public Utility Holding Company Act of 1999- Prescribes procedural guidelines
for both FERC and State access to records of a holding company (including
subsidiaries, associates and affiliates) of a public utility or natural gas
company. (Sec. 501) Precludes such State access to any person that is a holding
company solely by reason of ownership of one or more qualifying facilities
under PURPA. Instructs FERC to promulgate a final rule to exempt specified
holding companies from such access requirements. Requires FERC to exempt any
person or transaction from such access requirements if it finds that regulation
of such person or transaction is irrelevant to the jurisdictional rates of
a public utility or natural gas company. Retains the jurisdiction of FERC
and State commissions to determine whether a public utility company or natural
gas company may recover in rates any costs of affiliate transactions. Declares
this Act inapplicable to: (1) the Government of the United States; (2) a State
or local government; and (3) a foreign governmental authority not operating
in the United States. Grants FERC certain FPA enforcement powers. Transfers
from the Securities and Exchange Commission (SEC) to FERC all books and records
that relate primarily to the functions vested in FERC by this Act. Authorizes
appropriations. Amends the FPA to repeal its conflict of jurisdiction guidelines.
(Sec. 502) Conditions electric company mergers and acquisitions upon prior
FERC authorization. Subjects generation facilities to FERC jurisdiction (excluding
entities with existing loans made or guaranteed under the REA of 1936). (Sec.
503) Requires FERC to order a public utility to submit a remedial action plan
to remedy market power if: (1) FERC determines that there are markets in which
a utility that owns or controls generation facilities has market power in
electric energy sales for resale in interstate commerce; or (2), pursuant
to State request for such an order, FERC determines that a generation facility-owning
or -controlling electric utility has market power in retail electric energy
sales in that State. Prescribes procedural guidelines. Title VI: Electric
Reliability - Amends the FPA to provide for the establishment and
enforcement of mandatory reliability standards to ensure the reliable operation
of the bulk-power system. Grants FERC jurisdiction over: (1) the electric
reliability organization; (2) all Affiliated Regional Reliability Entities
(entities to which authority has been delegated to enforce compliance with
reliability standards); (3) all system operators, and all users of the bulk-power
system for purposes of approving and enforcing compliance with standards in
the United States. Provides that, prior to the establishment of the Electric
Reliability Organization (Organization), any person (including the North American
Electric Reliability Council and its member Regional Reliability Councils)
may file a proposed reliability standard, guidance, or practice which, subject
to FERC approval, shall be mandatory and enforceable.(Sec. 601) Prescribes
procedural guidelines for FERC approval of: (1) applications competing for
status as the Electric Reliability Council; and (2) Organization standards.
Requires all users of the bulk-power system to comply with such standards.
Mandates that: (1) the Organization take all appropriate steps to gain recognition
in Canada and Mexico; and (2) the United States use its best efforts to enter
into international agreements with the governments of Canada and Mexico to
effectuate compliance with Organization standards, and to provide for the
effectiveness of the Organization's mission. Requires every system operator
to be a member of the electric reliability organization, and of any Affiliated
Regional Reliability Entity operating under an agreement applicable to the
region in which the system operator operates or is responsible for the operation
of a bulk-power system facility. Mandates compliance with the legal obligations
of: (1) the Federal power systems; (2) the TVA; (3) the Bureau of Reclamation
and the Corps of Engineers; and (4) Nuclear Regulatory Commission requirements.
Empowers the Organization to take disciplinary and enforcement action. Directs
the Organization to assess periodically the reliability and adequacy of the
inter-connected bulk-power system in North America, and to report its findings
and recommendations annually to FERC and to the Secretary. Provides for the
assessment and recovery of implementation and enforcement costs incurred by
the Organization and each Affiliated Regional Reliability Entity, respectively.
(Sec. 602) Amends the DOE Organization Act to direct the Secretary to establish
an Electricity Outage Investigation Board to investigate and report to the
Secretary on a major bulk-power system failure in the United States to determine
its causes, and to recommend actions to minimize the possibility of such future
failures. (Sec. 603) Amends PURPA to authorize the Secretary to call and chair
a meeting of State representatives to discuss provision of additional transmission
capacity and related regional concerns. Title VII: Environmental Protection
- Instructs the Administrator of the Environmental Protection Agency, in specified
circumstances, to establish and administer an oxide of nitrogen (NOx) allowance
cap and trade program in all States in which an NOx emission source is located.
Prescribes program implementation guidelines. Title VIII: Federal
Power Systems - Subtitle A: Tennessee Valley Authority
- Amends the FPA to encompass within its jurisdiction the transmission facilities
and transmission of electric energy and necessary associated services of:
(1) the Tennessee Valley Authority; (2) the Bonneville Power Administration;
(3) the Western Area Power Administration; and (4) the Southwestern Power
Administration. (Sec. 803) Amends the Tennessee Valley Authority Act to: (1)
subject the TVA to Federal antitrust laws; (2) authorize TVA wholesale sales
of electric power to any person; (3) proscribe specified TVA retail sales;
and (4) mandate renegotiation of long-term TVA power contracts with distributors.
(Sec. 806) Amends the FPA to instruct FERC to promulgate certain regulations
governing TVA's recovery of stranded costs resulting from wholesale or retail
competition. Amends the TVA Authority Act to mandate that amounts recovered
as stranded cost recovery charges be used to pay down TVA debt; but prohibits
payments for additions to TVA generating capacity. Subtitle B: Bonneville
Power Administration - Amends the FPA to prescribe procedural guidelines
under which FERC shall provide for the imposition of surcharges for transmission
services over the Bonneville Transmission System in order for the Bonneville
Administrator to meet certain statutory cost recovery requirements. Subtitle
C: Western Area Power Administration and Southwestern Area Power Administration
- Prescribes procedural guidelines under which FERC shall provide for the
imposition of surcharges for transmission services over the Transmission System
of the Western Area Power Administration, and Southwestern Area Power Administration,
respectively, in order for such Administrations to meet certain statutory
cost recovery requirements. Title IX: Other Regulatory Provisions
- Amends Federal bankruptcy law to: (1) grant priority status to obligations
to comply with, and claims resulting from compliance with, Nuclear Regulatory
Commission (NRC) regulations or orders governing the decontamination and decommissioning
of licensed nuclear power reactors; and (2) prohibit discharge of such obligations
and claims under State or Federal bankruptcy law. (Sec. 902) Amends the DOE
Organization Act to instruct the Administrator of the Energy Information Administration
to collect and publish information regarding the impact of wholesale and retail
competition upon the electric power industry. (Sec. 904) Eliminates the mandate
for antitrust review by the NRC with respect to license applications to construct
or operate a commercial utilization or production facility. (Sec. 906) Amends
the DOE Organization Act to direct the Secretary to issue a report comparing
the impact of wholesale and retail competition on the efficiency of new and
existing electric generating facilities.
Bill
Number: H.R. 2050
Short Title: Ratepayer Protection Act of 1999, Public
Utility Holding Company Act of 1999, and Electric Consumers' Power To Choose
Act of 1999
Introduced: June 8, 1999
Sponsor: Congressman Steve Largent (R-OK)
Purpose: To provide consumers with a reliable source of
electricity and a choice of electric providers, and for other purposes.
Summary: Title I: Consumer Choice and Competition
for Electric Utilities - Amends the Public Utility Regulatory Policies
Act of 1978 (PURPA) to set forth statutory parameters for retail electric
competition. (Sec. 101) Sets a deadline by which each State may elect to require
retail electric competition in accordance with prescriptions under this Act
for every regulated and nonregulated local distribution company providing
local distribution service. Prescribes implementation guidelines. Exempts
regulated and nonregulated companies that have: (1) adopted a plan providing
open access to local distribution facilities for retail electric suppliers
seeking to make retail sales to all classes of retail customers; and (2) have
notified the Federal Energy Regulatory Commission (FERC)accordingly. Cites
circumstances under which a State (and a nonregulated electric utility) may
prohibit a distribution facility from selling to retail electric consumers
energy that is generated by non-competitive facilities in another State (i.e.
no retail reciprocity). Permits acquisition of retail electric energy on an
aggregate basis by an entity acting on behalf of a group of customers if notice
of retail competition has been filed. Denies Federal courts jurisdiction for
actions regarding retail competition (except for Supreme Court review). Declares
the retail reciprocity provisions applicable to: (1) any foreign person or
electric utility which is a citizen of a signatory to the North American Free
Trade Agreement; and (2) electric energy imports. Prescribes privacy guidelines
governing consumer proprietary information. (Sec.102) Amends the Federal Power
Act (FPA) to provide for the establishment and enforcement of mandatory reliability
standards to ensure the reliable operation of the bulk-power system. Grants
FERC, for purposes of approving and enforcing compliance with such standards,
jurisdiction over: (1) the Electric Reliability Organization; (2) all affiliated
regional reliability entities (entities to which authority has been delegated
to enforce compliance with reliability standards); (3) all system operators;
and (4) all users of the bulk-power system. Provides that, prior to the establishment
of the Electric Reliability Organization (Organization), any person (including
the North American Electric Reliability Council and its member Regional Reliability
Councils) may file a proposed reliability standard, guidance, or practice
which, subject to FERC approval, shall be mandatory and enforceable. Prescribes
procedural guidelines for FERC approval of: (1) applications competing for
status as the Electric Reliability Council; and (2) Organization standards.
Requires all users of the bulk-power system to comply with such standards.
Mandates that: (1) the Organization take all appropriate steps to gain recognition
in Canada and Mexico; and (2) the United States use its best efforts to enter
into international agreements with the governments of Canada and Mexico to
effectuate compliance with Organization standards, and to provide for the
effectiveness of the Organization's mission. Requires every system operator
to be a member of the Electric Reliability Organization, and of any affiliated
regional reliability entity operating under an agreement applicable to the
region in which the system operator operates or is responsible for the operation
of a bulk-power system facility. Empowers the Organization to take disciplinary
and enforcement action. Directs the Organization to assess periodically the
reliability and adequacy of the interconnected bulk-power system in North
America, and to report its findings and recommendations annually to FERC and
to the Secretary of Energy. Provides for the assessment and recovery of implementation
and enforcement costs incurred by the Organization and each affiliated regional
reliability entity, respectively. Presumes to be in compliance with Federal
anti-trust laws those activities undertaken by the Organization, an affiliated
regional reliability entity, or members of those entities pursuant to this
Act. (Sec. 103) Mandates that a local distribution utility allow interconnection
with a facility if the facility owner is an electric customer which is provided
local distribution service and complies with a final Federal ruling governing
such interconnection. (Sec. 104) Requires the Federal Trade Commission (FTC)
to promulgate, in consultation with selected Federal agencies, mandatory electric
supplier information disclosures governing any electric supplier with a capacity
in excess of five megawatts that sells electric energy. Prescribes mandatory
disclosures. Prescribes guidelines governing FERC mitigation of electric utility
market power domination resulting in electric energy prices that exceed the
prices that would be charged in a fully competitive market. Authorizes the
States to prescribe additional requirements. Directs the FTC to establish
and enforce rules governing unfair trade practices with respect to: (1) selection
by a retail electric customer of a retail electric supplier ("slamming");
and (2) express consent by a retail electric customer for the purchase of
goods and services ("cramming"). (Sec. 107) Amends the FPA to declare it does
not preempt or otherwise affect any authority under State or local municipal
law to: (1) require unbundled transmission and local distribution services
for electric energy delivery directly to an ultimate consumer; or (2) impose
a delivery charge on such consumer's receipt of electric energy. Retains the
exclusive jurisdiction of FERC over unbundled transmission in interstate commerce.
Authorizes FERC to: (1) require public utilities and transmitting utilities
to provide open access transmission services; (2) permit recovery of stranded
costs arising from any requirement to provide open access transmission services;
and (3) require the transmission of electric energy to an ultimate consumer
if a notice of retail competition is in effect with respect to such consumer,
or if a distribution utility offers such consumer open access to its delivery
facilities. Requires FERC to issue an order requiring the transmission of
electric energy upon application of either an Indian tribe, or a Department
of Defense military base facility, regardless of whether a notice of retail
competition has been filed. Authorizes a State regulatory authority, a transmitting
utility; or a local distribution company to apply to FERC for a determination
whether a particular facility used for the transportation of electric energy
located in the State is: (1) a local distribution facility subject the State
regulatory authority; or (2) a transmission facility subject to FERC. (Sec.
108) Cites circumstances under which: (1) FERC may order the establishment
of an entity to independently operate and control interconnected transmission
facilities and generators, and may order a transmitting utility to relinquish
operating control over its transmission facilities to such entity; and (2)
designated Federal utilities may participate in a regional transmission system
operation. (Sec. 109) Repeals FPA wheeling provisions pertaining to: (1) the
Columbia River Transmission System; and (2)the Electric Reliability Council
of Texas (ERCOT). (Sec. 110) Conditions electric company mergers and acquisitions
upon prior FERC authorization. Subjects generation facilities to FERC jurisdiction.
(Sec. 111) Grants the consent of Congress to an interstate compact to establish
a regional transmission planning agency subject to specified FERC determinations.
(Sec. 112) Expresses the sense of Congress that: (1) every consumer should
have access to electric energy at reasonable, affordable rates; and (2) FERC
and the States should ensure that competition does not result in the loss
of service to rural, residential, or low-income consumers. (Sec. 114) Directs
FERC to study and report to Congress on the extent to which retail electric
customers of certain local distribution companies benefit from adoption of
retail electric competition. Title II: Provisions Respecting the Public
Utility Holding Company Act of 1935 - Public Utility Holding Company
Act of 1999 - Repeals the Public Utility Holding Company Act of 1935, except
with respect to a holding company system whose subsidiary public-utility company
provides retail electric or gas service in two or more States whose regulatory
authority has not: (1) provided notice of retail competition in accordance
with statutory guidelines; or (2) required distribution utilities to provide
open access service over their distribution facilities. (Sec. 204) Prescribes
procedural guidelines for both FERC and State access to records of a public
utility or natural gas holding company (including subsidiaries, associates
and affiliates). (Sec. 205) Precludes such State access to any person that
is a holding company solely by reason of ownership of one or more qualifying
facilities under PURPA. (Sec. 206) Instructs FERC to promulgate a final rule
to exempt specified holding companies from such access requirements. Requires
FERC to exempt any person or transaction from such access requirements if
it finds that regulation of such person or transaction is irrelevant to the
jurisdictional rates of a public utility or natural gas company. (Sec. 207)
Retains the jurisdiction of FERC and State commissions to determine whether
a public utility company or natural gas company may recover in rates any costs
of affiliate transactions. (Sec. 208) Declares this Act inapplicable to: (1)
the United States; (2) a State or its political subdivision; and (3) a foreign
governmental authority not operating in the United States. (Sec. 210) Grants
FERC certain FPA enforcement powers. (Sec. 213) Transfers from the Securities
and Exchange Commission to FERC all books and records that relate primarily
to the functions vested in FERC by this Act. (Sec. 214) Authorizes appropriations.
(Sec. 215) Amends the FPA to repeal its conflict of jurisdiction guidelines.
Title III: Provisions Respecting the Public Utility Regulatory Policies
Act of 1978 - Ratepayer Protection Act of 1999 - Amends the Public
Utility Regulatory Policies Act of 1978 to declare that after enactment of
this Act, no electric utility shall be required to enter into a new contract
or obligation to purchase or sell electric energy or capacity pursuant to
PURPA provisions governing cogeneration and small power production. (Sec.
304) Directs FERC to promulgate and enforce regulations to assure that no
utility shall be required to absorb the costs (thus allowing a utility to
recover all costs) associated with electric energy or capacity purchases from
a qualifying facility executed before enactment of this Act, to the extent
that the utility cannot otherwise reasonably mitigate such costs. Provides
that such regulations shall be treated as a rule enforceable under the FPA.
Title IV: Federal Power Marketing Administrations and Tennessee Valley
Authority - Subtitle A: Tennessee Valley Authority
- Repeals FPA provisions relating to: (1) interconnection or wheeling orders
that result in sales or delivery outside the Tennessee Valley Region; and
(2) equitability within territory restricted electric systems. (Sec. 402)
Amends the Tennessee Valley Authority Act of 1933 to repeal restrictions placed
upon the Tennessee Valley Authority (TVA) to sell or deliver power beyond
the area for which it was the primary source of power on July 1, 1957. (Sec.
403) Prohibits TVA sales of electric energy to an end use or retail customer
that did not have a purchase contract for services to specific facilities
on the date of enactment of this Act. Sets forth prerequisites under which
sales of TVA wholesale electric energy and services for use outside the Tennessee
Valley Region are: (1) restricted to excess electric energy; and (2) subject
to FPA and FERC rules and regulations. (Sec. 404) Prohibits TVA acquisition
of any new major generating resource: (1) unless financial arrangements have
been made to ensure that the customer on whose behalf such acquisition has
been made has committed to pay the full costs of the resource; and (2) that
it reasonably expects will necessitate use of its authority to recover certain
nonrecoverable costs. (Sec. 405) Mandates that TVA and its distributors renegotiate
existing long-term contracts with respect to: (1) remaining term; (2) length
of termination notice; (3) amount of electric energy that distributors may
purchase from non-TVA suppliers, including access to the TVA transmission
system; and (4) stranded costs recovery. (Sec. 406) Subjects TVA electric
energy transmission and local distribution to the jurisdiction of FERC and
the FPA. Mandates FERC approval as a prerequisite to any significant TVA transmission
plant investment. Permits any municipality or cooperative organization that
is a customer of TVA electric energy to: (1) avoid TVA regulatory authority
regarding the rates or terms of its resales of electric energy for profit;
and (2) replace TVA oversight authority with that of its own governing body.
Amends PURPA to redefine "State regulatory authority" so as to remove TVA
as a State agency with ratemaking authority over sales of electric energy
by any electric utility (thus terminating TVA jurisdiction under PURPA). (Sec.
408) Directs FERC to promulgate regulations governing recovery of stranded
costs imposed on TVA by either a departing power customer, or by a departing
transmission customer. Mandates that such regulations shield customers that
did not impose stranded costs upon TVA from liability for paying them on behalf
of other customers. Conditions TVA recovery of stranded costs upon FERC approval.
Precludes FERC from imposing stranded cost recovery charges after FY 2007,
without the consent of the person against whom such charges are assessed.
Mandates that any TVA stranded costs recovery charges be unbundled from other
rates and stated separately on the customer's bill. (Sec. 409) Proscribes
TVA participation in a FERC-regulated regional transmission planning agency
that would require it, or combined users of TVA's transmission system, to
pay a disproportionate share of agency costs. (Sec. 410) Places TVA within
Federal antitrust purview. (Sec. 411) Mandates that TVA offer its local distribution
facilities for sale pursuant to FERC prescriptions. Permits TVA customers
to elect retention of such facilities, but precludes inclusion of the costs
of such facilities in TVA transmission rates. Proscribes TVA construction
of facilities designed to operate at less than 35 kilovolts. Subtitle
B: Bonneville Power Administration - Amends the FPA to prescribe
procedural guidelines under which FERC shall provide for the imposition of
surcharges for transmission services over the Bonneville Transmission System
in order for the Bonneville Administrator to meet certain statutory cost recovery
requirements. (Sec. 426) Subjects the Bonneville Power Administration to Federal
antitrust jurisdiction. Subtitle C: Other Power Marketing Administrations
- Instructs the Secretary of Energy to promulgate procedural guidelines governing
the accounting principles and requirements of the Western, Southwestern, and
Southeastern Power Administrations, including compliance and administrative
reconciliation. (Sec. 433) Sets parameters for participation by the Federal
power marketing administrations in a FERC-approved and regulated regional
transmission planning agency. Subjects such administrations to Federal antitrust
jurisdiction. Title V: Renewable Energy - Amends PURPA to
set a deadline by which the Administrator of the Energy Information Administration
in the Department of Energy shall publicize the estimated percentage of total
domestic electric energy generation to be supplied by renewable energy during
calendar year 2004. (Sec. 501) Sets a deadline by which a retail electric
supplier shall submit to the Secretary Renewable Energy Credits equal to a
certain annual percentage of total electric energy sold to electric consumers
in the calendar year. Prescribes implementation guidelines. (Sec. 502) Requires
each retail electric supplier to make net metering service available upon
request to a retail electric consumer served or solicited by such supplier.
Authorizes State imposition of: (1) additional requirements; and (2) a cap
limiting the amount of net metering available in the State. Retains State
authority to require a retail electric supplier to make net metering service
available to a retail electric consumer. Title VI: Provisions Relating
to the Internal Revenue Code - Amends the Internal Revenue Code to
extend for five years the tax credit for producing electricity from renewable
resources. (Sec. 602) Allows a credit against tax for: (1) certain qualified
energy efficiency improvements; (2) construction of new energy efficient homes;
and (3) combined heat and power system property. (Sec. 605) Redefines "private
business use" to exclude open access transactions with respect to an electric
output facility owned by a governmental unit. Permits certain bond issuers
to make an irrevocable election to terminate certain tax-exempt financing
for electric output facilities.
Bill
Number: H.R. 2602
Short Title: National Electricity Interstate Transmission
Reliability Act
Introduced: July 22, 1999
Sponsor: Congressman Albert Wynn (D-MD)
Purpose: To amend the Federal Power Act with respect to
electric reliability and oversight, and for other purposes.
Summary: Amends the Federal Power Act to provide for the
establishment and enforcement of mandatory reliability standards to ensure
the reliable operation of the bulk-power system. Grants the Federal Energy
Regulatory Commission (FERC) jurisdiction, for purposes of approving and enforcing
compliance with standards in the United States, over: (1) the electric reliability
organization; (2) all Affiliated Regional Reliability Entities (entities to
which authority has been delegated to enforce compliance with reliability
standards); (3) all system operators; and (4) all users of the bulk-power
system. Provides that, prior to the establishment of the Electric Reliability
Organization (Organization), any person (including the North American Electric
Reliability Council and its member Regional Reliability Councils) may file
a proposed reliability standard, guidance, or practice which, subject to FERC
approval, shall be mandatory and enforceable. Prescribes procedural guidelines
for FERC approval of: (1) applications competing for status as the Electric
Reliability Council; and (2) Organization standards. Requires all users of
the bulk-power system to comply with such standards. Mandates that: (1) the
Organization take all appropriate steps to gain recognition in Canada and
Mexico; and (2) the United States use its best efforts to enter into international
agreements with the Governments of Canada and Mexico to effectuate compliance
with Organization standards and to provide for the effectiveness of the Organization's
mission. Requires every system operator to be a member of the electric reliability
organization and of any Affiliated Regional Reliability Entity operating under
an agreement applicable to the region in which the system operator operates
or is responsible for the operation of a bulk-power system facility. Empowers
the Organization to take disciplinary and enforcement action. Directs the
Organization to assess periodically the reliability and adequacy of the inter-connected
bulk-power system in North America, and to report its findings and recommendations
annually to FERC and to the Secretary. Provides for the assessment and recovery
of implementation and enforcement costs incurred by the Organization and each
Affiliated Regional Reliability Entity.
Bill
Number: H.R. 2734
Short Title: Community Choice for Electricity Act of 1999
Introduced: August 5, 1999
Sponsor: Congressman Sherrod Brown (D-OH)
Purpose: To allow local government entities to serve as
nonprofit aggregators of electricity services on behalf of their citizens.
Summary: Permits a customer group, or any entity (including
a unit of State or local government) acting on behalf of such group, to acquire
retail electric energy on an aggregate basis if the customer group is served
by one or more local distribution companies subject to retail competition.
Amends the Public Utility Regulatory Policies Act of 1978 to declare that
any State that permits a retail electric consumers group to choose among competing
electric energy suppliers shall also permit any general purpose local government
unit (or group of such units acting together) to offer to act as purchasing
agent for consumers' group purchasers in order to purchase electric energy
on an aggregate basis (community choice aggregation). Prescribes implementation
guidelines. Requires any State that has deregulated retail sales of electricity
to permit local governments to exercise local franchise powers. Excludes from
the purview of this Act: (1) non-participating municipal electric utilities
and non-participating rural electric cooperatives; and (2) States that have
adopted retail competition prior to the date of enactment of this Act. Allows
subsequent regulations implementing any State law adopting retail competition
to pertain to an opt-out aggregation plan as it may be undertaken by a general
purpose local government unit.
Bill
Number: H.R. 2944
Short Title: Electricity Competition and Reliability Act
Introduced: September 24, 1999
Sponsor: Congressman Joe Barton (R-TX)
Purpose: To promote competition in electricity markets and
to provide consumers with a reliable source of electricity, and for other
purposes.
Summary: Title I: Open Transmission Access
- Amends the Federal Power Act (FPA) to declare that Federal regulation of
electric energy transmission and sales: (1) does not affect State or municipality
authority to require either retail electric competition or unbundled transmission
and local distribution service for the delivery of electric energy directly
to a retail electric consumer; (2) includes the unbundled transmission of
electric energy sold at retail; and (3) does not extend to bundled retail
sale of electric energy, the local distribution service component of any unbundled
retail electric energy sale, or any retail sale component of unbundled retail
electric energy sales which are each subject to State regulation. (Sec. 102)
Authorizes the Federal Energy Regulatory Commission (FERC) to: (1) require
transmitting utilities to provide transmission services on a nondiscriminatory
basis; (2) authorize recovery of stranded costs arising from such requirement;
and (3) mandate electric energy transmission directly to retail electric consumers
served by local distribution facilities that are subject to open access. Repeals
State regulatory authority over the wholesale transmission or sale of certain
electric energy that crosses international borders but is not subsequently
transmitted into other States. (Sec. 103) Sets a deadline by which each transmitting
utility shall either establish or join a regional transmission organization.
Permits the Federal transmitting utilities (Tennessee Valley Authority, Bonneville
Power Administration, Southwestern Power Administration, and Western Area
Power Administration) to participate in such an organization. Prescribes standards
and other requirements for such organizations. Directs FERC to encourage incentive
transmission pricing policies for approved organizations. (Sec. 104) Grants
the consent of Congress to compacts among the States to establish regional
transmission siting agencies. (Sec. 105) Permits FERC to mandate that a transmitting
utility expand or improve its facilities for electric energy transmission
in interstate commerce, subject to the National Environmental Policy Act of
1969 and all other applicable State and Federal laws. Title II: Electric
Reliability - Grants FERC regulatory jurisdiction over the electric
reliability organization (organized pursuant to this Act), all affiliated
regional reliability entities, all system operators, and all users of the
bulk-power system for purposes of enforcing compliance with this Act. Sets
forth procedural guidelines for establishment of a FERC- approved electric
reliability organization (ERO) whose function shall be to develop and enforce
standards for an adequate level of reliability of the bulk-power system. Prescribes
implementation guidelines. (Sec. 201) Requires the ERO to take all appropriate
steps to gain recognition in Canada and Mexico. Requires the United States
to use its best efforts to enter into an agreement with such countries to
provide for effective compliance with organization standards. Mandates system
operator membership in such electric reliability organization, and in the
appropriate affiliated regional reliability entity. Mandates annual ERO status
reports regarding system reliability and adequacy. Empowers the ERO to take
disciplinary and enforcement action. Title III: Consumer Protection
- Directs the Federal Trade Commission (FTC) to promulgate rules governing:
(1) mandatory disclosure by any retail or wholesale electric vendor to either
electric consumers or purchasers; (2) retail electric energy consumer privacy;
and (3) unfair trade practices in connection with retail consumer selection
of a retail electric supplier ("slamming") and consent for the purchase of
goods and services ("cramming"). (Sec. 304) Expresses the sense of Congress
that: (1) every retail electric consumer should have access to electric energy
at reasonable and affordable rates; and (2) the States should ensure that
retail electric competition does not result in the loss of service to rural,
residential, or low-income consumers. Title IV: Mergers -
Amends the FPA to subject to FERC approval electric company mergers and disposition
of properties (including a holding company in a holding company system that
includes an electric utility company). (Sec. 402) Amends the Atomic Energy
Act of 1954 to repeal the requirement that the Nuclear Regulatory Commission
forward license applications for certain utilization or production facilities
to the Attorney General for antitrust review. Title V: Promoting Competition
- Subtitle A: Retail Reciprocity - Amends the Federal Power
Act to declare that sales by retail electric energy suppliers (including suppliers
located in a foreign country that is a signatory to the North American Free
Trade Agreement) are subject to open access (retail reciprocity). Subtitle
B: Public Utility Holding Company Act of 1935 - Repeals the Public
Utility Holding Company Act of 1935. (Sec. 513) Prescribes procedural guidelines
for both FERC and State access to records of a public utility or natural gas
holding company (including associates and affiliates). (Sec. 515) Instructs
FERC to promulgate a final rule to exempt specified holding companies from
such access requirements. Requires FERC to exempt any person or transaction
from such access requirements if it finds that regulation of such person or
transaction is irrelevant to the jurisdictional rates of a public utility
or natural gas company. (Sec. 516) Retains the jurisdiction of FERC and State
commissions to determine whether a public utility company or natural gas company
may recover in rates certain costs of an associate company. (Sec. 517) Declares
this Act inapplicable to: (1) the United States; (2) a State or its political
subdivision; and (3) a foreign governmental authority not operating in the
United States. (Sec. 519) Grants FERC certain FPA enforcement powers. (Sec.
522) Transfers from the Securities and Exchange Commission to FERC all books
and records that relate primarily to the functions vested in FERC by this
Act. (Sec. 524) Amends the FPA to repeal its conflict of jurisdiction guidelines.
Subtitle C: Public Utility Regulatory Policies Act of 1978
- Amends the Public Utility Regulatory Policies Act of 1978 (PURPA) to declare
that, upon enactment of this Act, no electric utility shall be required to
enter into a new contract or obligation to purchase or sell electric energy
or capacity pursuant to PURPA provisions governing cogeneration and small
power production. (Sec. 532) Directs FERC to promulgate and enforce regulations
to assure that no utility shall be required to absorb the costs associated
with electric energy or capacity purchases from a qualifying facility executed
prior to enactment of this Act (thus assuring such utilities recovery of all
costs associated with such purchases). Provides that such regulations shall
be treated as a rule enforceable under the FPA. Subtitle D: Additional
Provisions Promoting Competition - Permits acquisition of retail
electric energy on an aggregate basis by a group of retail electric consumers,
or any entity acting on behalf of such group, if the group is served by local
distribution companies whose facilities are subject to open access. (Sec.
542) Requires a local distribution company to allow its retail electric consumers
who are certain small-sized power generation facilities to interconnect with
its facilities. Title VI: Federal Electric Utilities - Subtitle
A: Tennessee Valley Authority - Amends the FPA to repeal: (1) hearing,
notice and review procedures relating to interconnection or wheeling orders
that result in electric power sales or delivery outside the Tennessee Valley
Region; and (2) guidelines governing equitability within territory restricted
electric systems (transmission within the Tennessee Valley Region). (Sec.
602) Amends the Tennessee Valley Authority Act of 1933 to repeal restrictions
placed upon the Tennessee Valley Authority (TVA) to sell or deliver power
beyond the area for which it was the primary source of power on July 1, 1957.
(Sec. 603) Specifies circumstances under which TVA may: (1) sell electric
power at retail; and (2) sell excess electric power at wholesale for use outside
the Tennessee Valley Region. (Sec. 605) Mandates that TVA and its distributors
renegotiate existing long-term contracts with respect to: (1) remaining term;
(2) length of termination notice; (3) amount of electric energy that distributors
may purchase from non-TVA suppliers, including access to the TVA transmission
system; and (4) stranded costs recovery. (Sec. 606) Subjects TVA transmission
and local distribution of electric power to FPA jurisdiction to the same extent
as a public utility transmission of electric power in interstate commerce
is subject to such jurisdiction. (Sec. 607) Permits a distributor to elect
to avoid certain TVA regulatory authority regarding certain future wholesale
sales of electric power by the TVA. Amends PURPA to redefine "State regulatory
authority" so as to remove TVA as a State agency with ratemaking authority
over sales of electric energy by any electric utility. Replaces TVA regulatory
authority over distributors with that of the distributor's own governing body.
(Sec. 608) Prescribes procedural guidelines for FERC approval of TVA plans
for recovery of its stranded costs. Bars TVA use of such recovered proceeds
to pay for additions to TVA's generating capacity. Mandates that the annual
TVA management report to Congress include: (1) long-range financial plans;
(2) source of funds used for TVA capacity additions; and (3) reduction of
publicly-held TVA debt. (Sec. 609) Subjects the TVA to Federal antitrust jurisdiction.
Subtitle B: Bonneville Power Administration - Subjects to
the regulatory purview of the FPA the Bonneville Transmission System (the
System), including the transmission of electric energy and the provision of
necessary associated services over such System. (Sec. 623) Prescribes procedural
guidelines for FERC approval of proposals initiated by the Bonneville Administrator
(Administrator) to place a surcharge on transmission rates to meet certain
statutory cost recovery requirements. (Sec. 624) Bars the Bonneville Power
Administration (BPA) from selling electric energy or capacity to any retail
electric consumer that was not under contract for the purchase of electric
energy on October 1, 1998. (Sec. 625) Amends the Pacific Northwest Electric
Power Planning and Conservation Act to restrict the acquisition of new major
BPA generating resources to: (1) FERC determination of customer payment-in-full
for such resources; and (2) BPA determination that no surcharge will be required
in connection with such acquisition. (Sec. 626) Subjects the BPA to Federal
antitrust jurisdiction. Subtitle C: Other Power Marketing Administrations
- Mandates that rates and charges made by each Federal power marketing administration
(PMA) shall be the lowest possible that will recover all costs incurred by
the United States for the production of electric energy sold by such PMAs.
Defines PMAs, under this subtitle, to mean the Western Area Power Administration,
the Southwestern Power Administration, and the Southeastern Power Administration.
Grants FERC modification powers with respect to proposed rates submitted by
any PMA, including terms and conditions of sale. (Sec. 633) Subjects PMA transmission
of electric energy to FPA regulatory jurisdiction. (Sec. 634) Directs FERC
to promulgate guidelines governing the accounting principles and requirements
of the PMAs, including compliance and administrative reconciliation. (Sec.
635) Subjects each PMA to Federal antitrust laws with respect to sales of
electric energy and capacity and the operation of its transmission system.
Title VII: Environmental Provisions - Amends the Energy Policy
Act of 1992 to direct the Secretary of Energy to make incentive payments to
the owner or operator of a qualified renewable energy facility for electric
energy generated and sold. Prescribes implementation guidelines. (Sec. 702)
Requires each retail electric supplier to make net metering service available
upon request to a retail electric consumer served or solicited by such supplier.
Authorizes State imposition of: (1) additional requirements; and (2) a cap
limiting the amount of net metering available in the State. Retains State
authority to require a retail electric supplier to make net metering service
available to a retail electric consumer. Title VIII: Provisions Relating
to Internal Revenue Code - Amends the Internal Revenue Code (IRC)
to include among the sources of allowable income received or accrued by tax-exempt
mutual or cooperative electric companies any revenues received from non-members
for qualified open access activities. (Sec. 802) Amends the IRC, with respect
to tax-exempt bond financing of certain electric facilities, to define "private
business use" to exclude open access transactions with respect to an electric
output facility owned by a governmental unit. Permits certain bond issuers
to make an irrevocable election to terminate certain tax-exempt financing
for electric output facilities. (Sec. 803) Revises IRC rules for nuclear decommissioning
costs to increase the amount permitted to be paid into the Nuclear Decommissioning
Reserve Fund. (Sec. 804) Revises prescriptions governing renewable energy
tax credits to: (1) expand the definition of qualified facility to include
a facility using wind to produce electricity; and (2) deny a credit against
tax for electricity sold to utilities under certain contracts. Title
IX: Miscellaneous Provision - Instructs the Secretary of Energy to
report to Congress on the extent to which actions taken by the States have
removed regulatory and statutory barriers to interstate commerce in electric
energy.
Bill
Number: H.R. 4881
Short Title: Electric Reliability 2000 Act
Introduced: July 18, 2000
Sponsor: Congressman Adam Smith (D-WA)
Purpose: To benefit electricity consumers by promoting the
reliability of the bulk-power system.
Summary: Amends the Federal Power Act to provide for the
establishment and enforcement of mandatory reliability standards to ensure
the reliable operation of the bulk-power system. Grants the Federal Energy
Regulatory Corporation (FERC) jurisdiction, for purposes of approving and
enforcing compliance with standards in the United States, over: (1) the electric
reliability organization; (2) all Affiliated Regional Reliability Entities
(entities to which authority has been delegated to enforce compliance with
reliability standards); (3) all system operators; and (4) all users of the
bulk-power system. Provides that, prior to the establishment of the Electric
Reliability Organization (Organization), any person (including the North American
Electric Reliability Council and its member Regional Reliability Councils)
may file a proposed reliability standard, guidance, or practice which, subject
to FERC approval, shall be mandatory and enforceable. Prescribes procedural
guidelines for FERC approval of: (1) applications competing for status as
the Electric Reliability Council; and (2) Organization standards. Requires
all users of the bulk-power system to comply with such standards. Mandates
that: (1) the Organization take all appropriate steps to gain recognition
in Canada and Mexico; and (2) the United States use its best efforts to enter
into international agreements with the governments of Canada and Mexico to
effectuate compliance with Organization standards, and to provide for the
effectiveness of the Organization's mission. Requires every system operator
to be a member of the Organization and of any Affiliated Regional Reliability
Entity operating under an agreement applicable to the region in which the
system operator operates or is responsible for the operation of a bulk-power
system facility. Empowers the Organization to take disciplinary and enforcement
action. Directs the Organization to assess periodically the reliability and
adequacy of the inter-connected bulk-power system in North America, and to
report its findings and recommendations annually to FERC and to the Secretary.
Provides for the assessment and recovery of implementation and enforcement
costs incurred by the Organization and each Affiliated Regional Reliability
Entity, respectively. Sets forth antitrust defenses for activities undertaken
by the Organization, its members, or members of an affiliated regional reliability
entity. Instructs FERC to establish a regional advisory body on the petition
of the Governors of at least two-thirds of the States within a region that
have more than one-half of their electrical loads served within the region.
Restricts such body to the 48 contiguous States.
Bill
Number: H.R. 4941
Short Title: National Electric Reliability Act
Introduced: July 24, 2000
Sponsor: Congressman Albert Wynn (D-MD)
Purpose: To amend the Federal Power Act to provide for the
reliability of the electric power transmission system in the United States,
and for other purposes.
Summary: Amends the Federal Power Act to provide for the
establishment and enforcement of mandatory reliability standards to ensure
the reliable operation of the bulk-power system. Grants the Federal Energy
Regulatory Corporation (FERC) jurisdiction, for purposes of approving and
enforcing domestic compliance with standards controlling: (1) the electric
reliability organization; (2) all Affiliated Regional Reliability Entities
(entities to which authority has been delegated to enforce compliance with
reliability standards); (3) all system operators; and (4) all users of the
bulk-power system. Provides that, prior to the establishment of the Electric
Reliability Organization (Organization), any person (including the North American
Electric Reliability Council and its member Regional Reliability Councils)
may file a proposed reliability standard, guidance, or practice which, subject
to FERC approval, shall be mandatory and enforceable. Prescribes procedural
guidelines for FERC approval of: (1) applications competing for status as
the Electric Reliability Council; and (2) Organization standards. Requires
all users of the bulk-power system to comply with such standards. Mandates
that: (1) the Organization take all appropriate steps to gain recognition
in Canada and Mexico; and (2) the United States use its best efforts to enter
into international agreements with the governments of Canada and Mexico to
effectuate compliance with Organization standards, and to provide for the
effectiveness of the Organization's mission. Requires every system operator
to be a member of the electric reliability organization, and of any Affiliated
Regional Reliability Entity operating under an agreement applicable to the
region in which the system operator operates or is responsible for the operation
of a bulk-power system facility. Empowers the Organization to take disciplinary
and enforcement action. Directs the Organization to assess periodically the
reliability and adequacy of the inter-connected bulk-power system in North
America, and to report its findings and recommendations annually to FERC and
to the Secretary. Provides for the assessment and recovery of implementation
and enforcement costs incurred by the Organization and each Affiliated Regional
Reliability Entity, respectively. Directs the Commission to establish a regional
advisory body on the petition of at least two-thirds of the States within
a region that have more than one-half of their electric loan served within
the region. Authorizes a regional advisory body to provide advice to the electric
reliability organization, an affiliated regional reliability entity, or the
Commission on: (1) the governance of an existing or proposed affiliated regional
reliability entity; and (2) whether an organization standard, entity rule,
variance, or assessment fees proposed to apply within the region is just,
reasonable, not unduly discriminatory or preferential, and in the public interest.
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