Title 16 › CHAPTER 12 — FEDERAL REGULATION AND DEVELOPMENT OF POWER › SUBCHAPTER II — REGULATION OF ELECTRIC UTILITY COMPANIES ENGAGED IN INTERSTATE COMMERCE › § 824j–1
The federal electricity regulator can make an unregulated transmitting utility let others use its high‑voltage transmission lines. An unregulated transmitting utility is an entity that owns or runs transmission lines that move electric power across state lines and fits a special legal category. The regulator can require such a utility to sell transmission service at rates like the ones it charges itself and on terms that are similar and not unfairly biased. Some utilities are exempt. Exemptions apply if the utility sells no more than 4,000,000 megawatt‑hours a year, does not own or operate transmission facilities needed for an interconnected grid, or meets other public‑interest criteria the regulator sets. Local distribution lines are not covered. If a complaint leads to a hearing and the regulator finds, more likely than not and after considering reliability rules, that an exemption harms grid reliability, the regulator must revoke the exemption. Public utility rate change rules apply to these utilities, and the regulator can send rates back for review. Requiring service here does not stop people from seeking service under other rules. The regulator cannot force a state or city to act if that would violate federal private‑activity bond tax rules, and it cannot force a utility to hand over control of its lines to a regional transmission organization.
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Reference
Citation
16 U.S.C. § 824j–1
Title 16, Conservation
Last Updated
Sep 22, 2026
Release point: 119-110