[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1284 Introduced in Senate (IS)]
106th CONGRESS
1st Session
S. 1284
To amend the Federal Power Act to ensure that no State may establish,
maintain, or enforce on behalf of any electric utility an exclusive
right to sell electric energy or otherwise unduly discriminate against
any consumer who seeks to purchase electric energy in interstate
commerce from any supplier.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 24, 1999
Mr. Nickles introduced the following bill; which was read twice and
referred to the Committee on Energy and Natural Resources
_______________________________________________________________________
A BILL
To amend the Federal Power Act to ensure that no State may establish,
maintain, or enforce on behalf of any electric utility an exclusive
right to sell electric energy or otherwise unduly discriminate against
any consumer who seeks to purchase electric energy in interstate
commerce from any supplier.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Electric Consumer Choice Act''.
SEC. 2. FINDINGS.
The Congress finds that--
(1) the opportunity for all consumers to purchase electric
energy in interstate commerce from the supplier of choice is
essential to a dynamic, fully integrated and competitive
national market for electric energy;
(2) the establishment, maintenance or enforcement of
exclusive rights to sell electric energy and other State action
which unduly discriminates against any consumer who seeks to
purchase electric energy in interstate commerce from the
supplier of its choice constitutes an unwarranted and
unacceptable discrimination against and burden on interstate
commerce;
(3) in today's technologically driven marketplace there is
no justification for the discrimination against and burden
imposed on interstate commerce by exclusive rights to sell
electric energy or other State action which unduly
discriminates against any consumer who seeks to purchase
electric energy in interstate commerce from the supplier of its
choice; and
(4) the electric energy transmission and local distribution
facilities of all of the Nation's utilities are essential
facilities for the conduct of a competitive interstate retail
market in electric energy in which all consumers have the
opportunity to purchase electric energy in interstate commerce
from the supplier of their choice.
SEC. 3. DECLARATION OF PURPOSE.
The purpose of this act is to ensure that nothing in the Federal
Power Act or any other Federal law exempts or protects from Article I,
Section 8, Clause 3 of the Constitution of the United States exclusive
rights to sell electric energy or any other State actions which unduly
discriminate against any consumer who seeks to purchase electric energy
in interstate commerce from the supplier of its choice.
SEC. 4. SCOPE OF STATE AUTHORITY UNDER THE FEDERAL POWER ACT.
Section 201 of the Federal Power Act (16 U.S.C. 824) is amended by
adding at the end the following--
``(h) Notwithstanding any other provision of this section, nothing
in this Part or any other federal law shall be construed to authorize a
State to--
``(1) establish, maintain, or enforce on behalf of any
electric utility an exclusive right to sell electric energy;
or,
``(2) otherwise unduly discriminate against any consumer
who seeks to purchase electric energy in interstate commerce
from any supplier.''.
SEC. 5. ACCESS TO TRANSMISSION AND LOCAL DISTRIBUTION FACILITIES.
No supplier of electric energy, who would otherwise have a right of
access to a transmission or local distribution facility because such
facility is an essential facility for the conduct of interstate
commerce in electric energy, shall be denied access to such facility or
precluded from engaging in the retail sale of electric energy on the
grounds that such denial or preclusion is authorized or required by
State action establishing, maintaining, or enforcing an exclusive right
to sell, transmit, or locally distribute electric energy.
SEC. 6. STATE AUTHORITY TO IMPOSE RECIPROCITY REQUIREMENTS.
Part II of the Federal Power Act (16 U.S.C. 824) is amended by
adding at the end the following:
``SEC. 215. STATE AUTHORITY TO IMPOSE RECIPROCITY REQUIREMENTS.
``A State or state commission may prohibit an electric utility from
selling electric energy to an ultimate consumer in such State if such
electric utility or any of its affiliates owns or controls transmission
or local distribution facilities and is not itself providing unbundled
local distribution service in a State in which such electric utility
owns or operates a facility used for the generation of electric
energy.''.
SEC. 7. REPEAL OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935.
The Public Utility Holding Company Act of 1935 (15 U.S.C. 79a et
seq.) is repealed, effective on and after the enactment of this Act.
SEC. 8. PROSPECTIVE REPEAL OF SECTION 210 OF THE PUBLIC UTILITY
REGULATORY POLICIES ACT OF 1978.
(a) New Contracts.--No electric utility shall be required to enter
into a new contract or obligation to purchase or to sell electricity or
capacity under section 210 of the Public Utility Regulatory Policies
Act of 1978 (16 U.S.C. 824a-3).
(b) Existing Rights and Remedies.--Nothing in this section affects
the rights or remedies of any party with respect to the purchase or
sale of electricity or capacity from or to a facility determined to be
a qualifying small power production facility or a qualifying
cogeneration facility under section 210 of the Public Utility
Regulatory Policies Act of 1978 (16 U.S.C. 824a-3) under any contract
or obligation to purchase or to sell electricity or capacity in effect
on the date of enactment of this Act, including the right to recover
the costs of purchasing the electricity or capacity.
SEC. 9. SAVINGS CLAUSE.
Nothing in this Act shall be construed to--
(1) authorize the Federal Energy Regulatory Commission to
regulate retail sales or local distribution of electric energy
or otherwise expand the jurisdiction of the Commission, or,
(2) limit the authority of a State to regulate retail sales
and local distribution of electric energy in a manner
consistent with article I, section 8, clause 3 of the
Constitution of the United States.
SEC. 10. EFFECTIVE DATES.
Section 5 and the amendment made by section 4 of this Act take
effect on January 1, 2002. The amendment made by section 6 of this Act
takes effect on the date of enactment of this Act.
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