§837b Contract Terms and Conditions for Use of Electric Energy Outside Pacific Northwest

Summary

Contracts that sell or trade extra federal hydroelectric power for use outside the Pacific Northwest must let the Secretary stop deliveries with up to 60 days' notice if those deliveries would keep him from meeting the power needs of Pacific Northwest customers. Buyers must promise not to rely on that power for loads that would suffer serious harm if deliveries stopped within 60 days, and they must accept responsibility if harm happens. Power a non-Federal utility sends from plants in the Pacific Northwest to serve its own nearby outside-but-adjacent service area (not including areas added after August 31, 1964) is not counted as power sent outside the Pacific Northwest. Power that can be saved at federal hydro plants and has no current local demand may be sent outside only on a temporary basis. If later needed for Pacific Northwest customers, the buyer must return all or part of that energy at times the Secretary sets, except during the buyer’s daily peak periods. Contracts for extra peaking capacity must let the Secretary end the deal with up to 60 months' notice and must let the buyer provide or return the energy needed for peaks (not during daily peak periods). When figuring a non-Federal utility’s Pacific Northwest needs, the Secretary will ignore any hydro power the utility sent outside the region that could have been saved for local use; the Secretary can only replace what would otherwise be surplus.