§824 Declaration of Policy; Application of Subchapter

Summary

Makes the federal government responsible for regulating the transmission of electricity across state lines and the wholesale sale of electricity that is sent between states. The Federal Energy Regulatory Commission (FERC) has authority over the facilities used for those interstate transmissions and wholesale sales, but not over things the states already regulate, nor over most power plants, local distribution systems, or transmission that stays inside one state or is used only by the sender. Notwithstanding subsection (f), the provisions of sections 824b(a)(2), 824e(e), 824i, 824j, 824j–1, 824k, 824o, 824o–1, 824p, 824q, 824r, 824s, 824t, 824u, and 824v apply to the entities named in them, and FERC can enforce those provisions; following an order under those sections does not make a utility fully subject to FERC for other purposes. Defines a few key things in one line each: electric energy in interstate commerce — power sent from one State and used in another (only inside the U.S.); sale of electric energy at wholesale — a sale to someone who will resell the power; public utility — a person who owns or runs facilities that FERC can regulate under this law (with listed exceptions). The United States, a State, local governments, certain rural electric cooperatives (those financed under the Rural Electrification Act or selling under 4,000,000 megawatt-hours per year), and wholly owned agencies or their officers are not covered unless the law names them. A State commission can order and inspect books and records of a utility it regulates, related exempt wholesale generators, and certain affiliates when needed, but must protect trade secrets; a federal district court in that State can enforce these orders, and doing so does not override state law or other rights to get records. Terms like “affiliate” and “exempt wholesale generator” use the meanings from the Public Utility Holding Company Act of 2005.