§15503 — Title 49 Transportation | U.S. Code

Summary

The Board can order a pipeline carrier to use specific rates, classifications, rules, or practices if, after a full hearing, it finds the carrier’s current ones break the law. The Board may set those rates or rules itself, including using methods that try to mimic a market price for a stand‑alone pipeline. The Board can also order the carrier to stop the unlawful conduct. Once the Board sets a rate, classification, rule, or practice, the carrier must not publish, charge, or collect a different rate and must follow what the Board ordered. The Board can start this process because of a complaint. A complaint must give all the facts and reasons and must be sworn (made under oath).

Title 49, §15503

Transportation — Source: USLM XML via OLRC

(a)When the Board, after a full hearing, decides that a rate charged or collected by a pipeline carrier for transportation subject to this part, or that a classification, rule, or practice of that carrier, does or will violate this part, the Board may prescribe the rate, classification, rule, or practice to be followed. In prescribing the rate, classification, rule, or practice, the Board may utilize rate reasonableness procedures that provide an effective simulation of a market-based price for a stand alone pipeline. The Board may order the carrier to stop the violation. When a rate, classification, rule, or practice is prescribed under this subsection, the affected carrier may not publish, charge, or collect a different rate and shall adopt the classification and observe the rule or practice prescribed by the Board.

(b)When prescribing a rate, classification, rule, or practice for transportation or service by a pipeline carrier, the Board shall consider, among other factors—

(1)the effect of the prescribed rate, classification, rule, or practice on the movement of traffic by that carrier;

(2)the need for revenues that are sufficient, under honest, economical, and efficient management, to let the carrier provide that transportation or service; and

(3)the availability of other economic transportation alternatives.

(c)The Board may begin a proceeding under this section on complaint. A complaint under this section must contain a full statement of the facts and the reasons for the complaint and must be made under oath.

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

Provisions similar to those in this section were contained in section 10704 of this title prior to the general amendment of this subtitle by Pub. L. 104–88, § 102(a).

Statutory Notes and Related Subsidiaries

Effective Date

Section effective Jan. 1, 1996, except as otherwise provided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title.

§15503 Authority and Criteria: Rates, Classifications, Rules, and Practices Prescribed by Board