[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1647 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 1647

                To provide for electricity emergencies.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 1, 2001

 Mr. Barton of Texas introduced the following bill; which was referred 
    to the Committee on Energy and Commerce, and in addition to the 
 Committee on Resources, for a period to be subsequently determined by 
the Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
                To provide for electricity emergencies.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Electricity 
Emergency Relief Act''.
    (b) Table of Contents.--

Sec. 1. Short title and table of contents.
Sec. 2. Definitions.
             TITLE I--GENERAL MEASURES FOR ELECTRIC ENERGY

Sec. 101. Demand management agreements clearinghouse.
Sec. 102. Price mitigation in western market through demand management 
                            incentives.
Sec. 103. Transmission constraints study.
Sec. 104. Path 15 transmission expansion.
Sec. 105. Tribal energy office.
Sec. 106. Federal transmission corridors.
Sec. 107. Guarantee of payment required for certain emergency power 
                            sales.
Sec. 108. Sale of transmission assets to State of California.
     TITLE II--FEDERAL ASSISTANCE AVAILABLE IN ELECTRIC EMERGENCIES

Sec. 201. Emergency conservation awareness.
Sec. 202. Preparation for electricity blackouts.
Sec. 203. Conservation at Federal facilities.
Sec. 204. Daylight savings time.
Sec. 205. PURPA contracts.
   TITLE III--FEDERAL ASSISTANCE AVAILABLE UPON A GOVERNOR'S REQUEST

Sec. 301. Hydroelectric power license conditions.
Sec. 302. Federal hydropower generation.
Sec. 303. Nox preconstruction requirements for new generation.
Sec. 304. Federal generation during State emergencies.
Sec. 305. Emergency generation.
Sec. 306. Regional transmission organization in western region.

SEC. 2. DEFINITIONS.

    The terms used in this Act have the same meanings as when used in 
the Federal Power Act (16 U.S.C. 791a and following), except as 
otherwise provided in this Act.

             TITLE I--GENERAL MEASURES FOR ELECTRIC ENERGY

SEC. 101. DEMAND MANAGEMENT AGREEMENTS CLEARINGHOUSE.

    (a) In General.--Not later than 30 days after the enactment of this 
Act, the Federal Energy Regulatory Commission shall establish a 
clearinghouse system to facilitate agreements between wholesale sellers 
of electric energy and wholesale purchasers who are willing to forego, 
for a specified period of time, the purchase of electric energy that 
they are entitled to purchase from the sellers pursuant to contractual 
agreements. The specified period of time concerned may include 
specified times of day or specified times of year.
    (b) Compensation Deemed Just and Reasonable.--The clearinghouse 
system established under this section shall provide for the sale at 
wholesale to other purchasers of the electric energy referred to in 
subsection (a). The Commission shall, by rule or order, provide that 
any reduced rate offered to a buyer as whole or partial compensation 
for that buyer's willingness to forego purchases shall be treated as 
just and reasonable for purposes of part II of the Federal Power Act.
    (c) Compensation for Foregone Purchases.--Compensation for a 
wholesale purchaser agreeing to forego a purchase as provided in this 
section, including financial and non-financial compensation, rebates or 
other types of compensation that meet such requirements as the 
Commission shall establish, shall not be deemed unlawful (as a rebate 
or preference or otherwise) under section 205(b) of the Federal Power 
Act (16 U.S.C. 824d(b)).
    (d) Date of Termination and Report.--
            (1) Date of termination; effect on existing agreements.--
        The authority of this section shall terminate on October 1, 
        2003. Such termination shall not affect any agreement entered 
        into pursuant to this section prior to the date of termination.
            (2) Report.--The Commission shall report to Congress by 
        January 1, 2003, on the effect of this section on the 
        availability of electricity and shall recommend whether the 
        authority of this section should be extended beyond the date of 
        termination.

SEC. 102. PRICE MITIGATION IN WESTERN MARKET THROUGH DEMAND MANAGEMENT 
              INCENTIVES.

    (a) Reduced Consumption Incentives.--Not later than 30 days after 
the date of enactment of this Act, the Commission shall implement a 
program that authorizes any electric consumer of any electric utility 
within the Western Systems Coordinating Council to sell at market 
prices an amount of electric load the electric consumer is willing to 
forego equal to a portion of either of the following:
            (1) The total amount of electric load which such consumer 
        is entitled to consume under contract or applicable regulation.
            (2) Where the amount the consumer is entitled to consume is 
        not specifically limited by contract or regulation, the total 
        amount of electric load the consumer would otherwise reasonably 
        be expected to consume, as determined by the Commission.
Such foregone load may be sold for a period not to exceed the term of 
the electric consumer's entitlement to the consumption and may be sold 
to either (A) the electric utility serving the electric consumer, or 
(B) any other electric utility or Federal Power Marketing Agency as 
defined in section 3(19) of the Federal Power Act. For any sales 
referred to in subparagraph (B), the electric utility shall make 
available to the purchaser of the foregone electric load an amount of 
electric energy equal to the foregone load. For any sale of foregone 
load under this section, the electric utility of the consumer shall 
receive the full amount of the contract price or rate under applicable 
regulation to which such electric utility would otherwise be entitled 
for the foregone load. The program authorized by this subsection shall 
remain in effect until October 2003. Any agreement entered into 
pursuant to this section before such date shall remain valid 
thereafter.
    (b) Effect on Other State and Federal Laws.--No agreement to sell, 
or sale, of foregone electric load under this section shall be treated 
as a sale or resale of electric energy for purposes of the Federal 
Power Act (16 U.S.C 792 and following) or the the Public Utility 
Regulatory Policies Act of 1978 (16 U.S.C. 2602). No person shall be 
treated as an electric utility company for purposes of the Public 
Utility Holding Company Act (15 U.S.C. 79a and following) solely by 
reason of any such agreement or sale. Nothing in this section shall be 
construed to permit a retail consumer of electricity to choose its 
supplier of electricity.
    (c) Definition.--As used in this section, the terms ``electric 
consumer'' and ``electric utility'' shall have the meanings provided by 
section 3 of the Public Utility Regulatory Policies Act of 1978 (16 
U.S.C. 2602).

SEC. 103. TRANSMISSION CONSTRAINTS STUDY.

    The Secretary of Energy and the Federal Energy Regulatory 
Commission shall undertake a joint study of electric power transmission 
congestion and develop a plan to relieve constraints that reduce the 
efficiency of the transmission of electric power within the various 
regions of the country and with Canadian and Mexican electric 
transmission systems. The Secretary and the Commission shall submit a 
report to Congress within 6 months after the enactment of this Act, 
containing the findings and recommendations of the joint study.

SEC. 104. PATH 15 TRANSMISSION EXPANSION.

    (a) In General.--The Administrator of the Western Area Power 
Administration System (hereinafter in this section referred to as 
``WAPA'') is authorized to expand WAPA's transmission system to remove 
the PATH 15 constraint. All costs of such expansion shall be recovered 
on behalf of the United States by WAPA from transmission fees imposed 
by WAPA on transmission of electric energy or from the sale of 
ownership interests in such transmission facilities. WAPA shall offer 
to all electric utilities on a not unduly discriminatory or 
preferential basis the expanded electric power transmission capacity 
made available as provided in this section.
    (b) Authorization.--There is authorized to be appropriated not more 
than $220,000,000 to carry out this subsection.

SEC. 105. TRIBAL ENERGY OFFICE.

    (a) Establishment.-- There shall be within the Department of Energy 
an Office of Tribal Energy to be headed by a Director, who shall be 
appointed by the Secretary.
    (b) Duties and Responsibilities.--It shall be the duty and 
responsibility of the Director to--
            (1) promote tribal energy efficiency;
            (2) advise the Secretary with respect to the development of 
        energy resources on tribal land, including renewable energy, 
        electricity power plants and transmission lines, oil and gas, 
        hydropower, and coal;
            (3) assist Indian tribes that support development of energy 
        resources on tribal land, providing energy information and 
        technical assistance to such tribes; and
            (4) coordinate with the Department of the Interior and 
        Bureau of Indian Affairs on development on energy resources on 
        tribal lands.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary to carry out this section.
    (b) Table of Contents.--The table of contents for such Act is 
amended by adding the following new item at the end of the items 
relating to title II:

``Sec. 213. Office of Tribal Energy.''.

SEC. 106. FEDERAL TRANSMISSION CORRIDORS.

    The Secretary of Energy, in consultation with Federal land managing 
agencies, is authorized and directed to establish electric power 
transmission corridors across Federal lands, after conducting a study 
of the need for transmission expansion and determining that siting of 
transmission facilities on Federal land is necessary or appropriate to 
promote transmission of electric energy in interstate commerce. The 
Department of Energy shall be the lead agency for conducting 
environmental review of the establishment of such corridors for 
purposes of the National Environmental Policy Act of 1969. The 
Secretary of Energy is authorized to be a party to any proceeding 
regarding electric power transmission siting on Federal lands. For 
purposes of this section, the term ``Federal land managing agencies'' 
means the Bureau of Land Management, the United States Forest Service, 
the United States Fish and Wildlife Service, the National Park Service, 
and the Department of Defense.

SEC. 107. GUARANTEE OF PAYMENT REQUIRED FOR CERTAIN EMERGENCY POWER 
              SALES.

    Notwithstanding any other provision of law, neither the Secretary 
of Energy, the Commission, any other officer or agency in the Executive 
branch, nor any court may issue an order that requires a seller of 
electric energy or natural gas to sell, on or after the date of 
enactment of this Act, electric energy or natural gas to a purchaser 
unless there is a guarantee that is sufficient, as determined by the 
Commission, to ensure that the seller will be paid the full purchase 
price when due.

SEC. 108. SALE OF TRANSMISSION ASSETS TO STATE OF CALIFORNIA.

    Notwithstanding section 201(f) of the Federal Power Act (16 U.S.C. 
824b(f)), if the State of California, or any entity established by the 
State, owns or operates transmission facilities acquired from any 
public utility subject to the jurisdiction of the Commission, the 
State, or such entity, shall be subject to the jurisdiction of the 
Commission under part II of such Act with respect to such facilities to 
the same extent and in the same manner as would be the public utility 
from which such transmission facilities were acquired.

     TITLE II--FEDERAL ASSISTANCE AVAILABLE IN ELECTRIC EMERGENCIES

SEC. 201. EMERGENCY CONSERVATION AWARENESS.

    The Secretary of Energy, in consultation and coordination with 
affected States, is authorized and directed to conduct an emergency 
awareness campaign to promote conservation in geographic areas where 
demand for electric energy is expected to exceed available supplies. 
Such campaign shall use broadcast, print, and other media as 
appropriate to raise public awareness of the likelihood and 
consequences of electric energy shortages and to promote specific 
actions to reduce consumption of electric energy for non-essential 
purposes during periods of peak demand.

SEC. 202. PREPARATION FOR ELECTRICITY BLACKOUTS.

    The Secretary of Energy, in consultation and coordination with the 
Director of the Federal Emergency Management Agency, is authorized and 
directed to make preparations to handle emergency situations caused by 
widespread electric energy blackouts. Such preparations shall include 
each of the following specific actions:
            (1) Establishing an office in States in which electric 
        energy blackouts are expected to occur.
            (2) Conducting an educational campaign preparing the public 
        for electric energy blackouts.
            (3) Preparing an emergency plan ready to provide immediate 
        assistance during blackouts, including coordination with 
        police, fire and safety agencies to address emergency 
        situations resulting from electric energy blackouts.

SEC. 203. CONSERVATION AT FEDERAL FACILITIES.

    (a) Requirement.--If an electricity emergency is in effect in a 
State pursuant to a declaration by the Governor of the State, each 
Federal agency shall apply electricity conservation measures to its 
Federal buildings in use in a State so that the electricity consumption 
per gross square foot of its Federal buildings in use in the State 
during any period for the duration of the electricity emergency is at 
least 10 percent less than the electricity consumption per gross square 
foot of its Federal buildings in use in the State during the comparable 
period of the last year during which that comparable period did not 
occur during an electricity emergency.
    (b) Expiration.--This section shall not apply after October 1, 
2003.

SEC. 204. DAYLIGHT SAVINGS TIME.

    (a) Authority.--
            (1) In general.--Notwithstanding the Act of March 19, 1918 
        (15 U.S.C. 261-264), if the legislature of any of the States of 
        California, Nevada, Oregon, or Washington makes a finding that 
        adjusting the standard time is necessary to help alleviate an 
        electricity crisis, the legislature of such State may make any 
        adjustments to the standard time, on a statewide basis, as it 
        considers necessary.
            (2) Subsequent state authority.--The legislature of any 
        State referred to in paragraph (1) may make the same adjustment 
        made by any other State that has acted under paragraph (1), 
        without making the finding required by that paragraph.
    (b) Standard Time.--For the purposes of the Act of March 19, 1918 
(15 U.S.C. 261-264), adjusted time implemented pursuant to subsection 
(a) of this section shall be considered the standard time in those 
States where it is in effect.
    (c) Expiration.--The authority to have adjusted time in effect 
pursuant to subsection (a) shall expire after December 31, 2003.

SEC. 205. PURPA CONTRACTS.

    (a) Nonpayment for Power.--Within 60 days after the enactment of 
this subsection, the Commission shall revise the rules under section 
210 of the Public Utility Regulatory Policies Act of 1978 to provide 
that if--
            (1) the owner or operator of a qualifying small power 
        production facility, or qualifying cogeneration facility, as 
        defined in the Public Utility Regulatory Policies Act of 1978 
        (16 U.S.C. 824a-3), has sold electric energy pursuant to a 
        contract under this section to an electric utility, and
            (2) such owner or operator has not been paid for such 
        energy within the payment period provided in the contract,
such owner or operator may suspend so much of the contract as requires 
the power and energy from the facility to be sold to such electric 
utility. During any such suspension, such owner or operator may sell 
the electric energy covered by such contract to any other person or any 
other party designated to receive such power or energy.
    (b) Termination.--A suspension under this subsection shall 
terminate on the first day of the contract month after which the 
utility pays for the electric energy received from the qualifying small 
power production facility or qualifying cogeneration facility concerned 
except as otherwise provided in a judicial resolution of the contract 
dispute or in a negotiated resolution between the parties.
    (c) Other Services.--During any suspension under this subsection, 
the electric utility shall provide such transmission, interconnection, 
and distribution services as may be necessary to deliver electric 
energy from the qualifying small power production facility, or 
qualifying cogeneration facility, to the purchaser or to another 
transmission system from which the purchaser may obtain delivery of the 
electric energy, subject to the requirements of the Federal Power Act 
relating to transmission services.
    (d) Interconnection.--Nothing in this subsection shall affect the 
obligation of an electric utility to interconnect with a qualifying 
small power production facility or qualifying cogeneration facility or 
to provide electric energy to such facility at rates that meet the 
requirements of section 210(c) of the Public Utility Regulatory 
Policies Act of 1978 pursuant to the rules of the Commission. Where a 
qualifying facility exercises its rights under this section, the 
electric utility party to the power purchase contract shall maintain 
interconnection services unimpeded and without interruption.
    (e) Sunset.--This section shall cease to apply on October 1, 2003.

   TITLE III--FEDERAL ASSISTANCE AVAILABLE UPON A GOVERNOR'S REQUEST

SEC. 301. HYDROELECTRIC POWER LICENSE CONDITIONS.

    The Commission shall promulgate a standard article under section 10 
of the Federal Power Act (16 U.S.C. 803) in order to permit increased 
generation at licensed hydroelectric facilities to assist in 
alleviating any electric supply, generating, or system reliability 
emergency that has been declared by the Governor of the State in which 
such facilities are located. Any licensee may include such article in a 
license issued under Part II of such Act, including any license issued 
before the enactment of this Act. Such standard article shall provide 
that, if the Governor submits a request for such action to the 
licensee, upon notice to the Commission and after consultation with the 
relevant resource agencies, the licensee may operate with a temporary 
modification or suspension of any minimum flow requirement or other 
operational requirement of the license during such emergency. Such 
temporary modification or suspension shall not continue for more than 2 
years.

SEC. 302. FEDERAL HYDROPOWER GENERATION.

    (a) Bonneville Power Administration.--During any period (not in 
excess of 2 years) during which an electricity emergency is in effect 
in a State pursuant to a declaration by the Governor of the State, if 
the governors of each State within the Pacific Northwest (as defined in 
section 3(14) of the Pacific Northwest Power Planning and Conservation 
Act) request the Administrator of the Bonneville Power Administration 
to authorize hydropower facilities providing electric power to the 
Administration to maximize electric generation at such facilities, the 
Administrator may authorize such generation.
    (b) Bureau of Reclamation.--During any period (not in excess of 2 
years) during which an electricity emergency is in effect in a State 
pursuant to a declaration by the Governor of the State, in order to 
provide electric power generation, if the Governor of such State so 
requests, the Secretary of the Interior, acting through the 
Commissioner of the Bureau of Reclamation, may authorize the maximum 
electric generation at hydroelectric facilities operated by the Bureau.
    (c) Waiver.--Whenever the Administrator of the Bonneville Power 
Administration or the Commissioner of the Bureau of Reclamation 
authorizes maximum generation pursuant to this subsection at any 
facility, such authorization shall waive the application of any 
restriction or constraint under any Federal law, plan, rule, or order 
(including any court order issued before the date of the enactment of 
this Act pursuant to any Federal law) that would otherwise apply to the 
operation of the facility concerned, including any dam, powerplant, or 
other facility under the administrative jurisdiction of the 
Administrator or Commissioner, wherever located.
    (d) No Judicial Review.--A waiver under this section shall not be 
subject to judicial review.

SEC. 303. NO<INF>X</INF> PRECONSTRUCTION REQUIREMENTS FOR NEW 
              GENERATION.

    During any period (not in excess of 2 years) during which an 
electricity emergency is in effect in a State pursuant to a declaration 
by the Governor of the State, if the Governor submits a request for 
such action to the Administrator of the Environmental Protection 
Agency, the Administrator may waive, for not more than a one year 
period, for new electric generation units located in that State, the 
requirements of section 111 of the Clean Air Act relating to oxides of 
nitrogen and the preconstruction requirements relating to oxides of 
nitrogen applicable to such units under applicable implementation plan 
provisions in effect in that State. At the expiration of such waiver, 
such units shall be required to meet all such requirements. Whenever 
the Administrator receives a Governor's request for a waiver under this 
section, the Administrator shall make a determination regarding such 
request within 45 days from the date on which such request is received.

SEC. 304. FEDERAL GENERATION DURING STATE EMERGENCIES.

    (a) Definition.--For purposes of this section, the term ``qualified 
Federal electric generation facility'' means any electric generation 
facility (other than a hydroelectric power generation facility) owned 
or operated by a department, agency, or instrumentality of the United 
States and located in a State in which an electricity emergency has 
been declared as provided in this section. Such term includes backup 
generators and portable generators.
    (b) Authorization of Generation.--During any period (not in excess 
of 2 years) during which an electricity emergency is in effect in a 
State pursuant to a declaration by the Governor of the State, if the 
Governor submits a request for such action to the Secretary of Energy, 
the Secretary may authorize any department, agency, or instrumentality 
of the United States that owns or operates a qualified Federal electric 
generation facility, to generate electric energy for consumption by 
such department, agency, or instrumentality or for sales to such State 
for local distribution in the State to assist in relieving emergency 
electric power shortages if reimbursement is assured by the recipient 
of such power or by a State government.

SEC. 305. EMERGENCY GENERATION.

    (a) Definition.--The term ``high electricity emergency day'' means, 
for any State, a day on which a State agency determines that rolling 
electric blackouts are imminent and--
            (1) in the case of California, during which a Stage III 
        Emergency has been declared by the California Independent 
        System Operator; or
            (2) in the case of any other State, a similar emergency has 
        been declared by an appropriate State agency in such other 
        State.
    (b) Expedited Approval for Emergency Generation Provisions.--The 
Administrator of the Environmental Protection Agency shall expedite the 
consideration and approval of State implementation plan amendments 
submitted to the Administrator by a State under the Clean Air Act to 
provide the emergency generation authority described in subsection (c) 
or (d) of this section. Whenever the Administrator receives a proposed 
plan amendment under this section, the Administrator shall make a 
determination regarding such amendment within 45 days from the date on 
which such amendment is received.
    (c) NO<INF>X</INF> Waiver Authority for Natural Gas-Fired 
Generation--Any State in which high electricity emergency days may 
occur may submit a State implementation plan amendment to the 
Administrator of the Environmental Protection Agency under the Clean 
Air Act pursuant to this subsection. Under such amendment, the Governor 
of the State may temporarily waive all emission limitations in effect 
under such plan, including any limitations set forth in a permit, 
regarding emissions of oxides of nitrogen from natural gas fired 
electric power generation facilities in that State to permit additional 
generation on any high electricity emergency day or any portion of such 
a day. Such waiver may be issued only during a period (not in excess of 
2 years) during which an electricity emergency is in effect in a State 
pursuant to a declaration by the Governor of the State. Such temporary 
waiver shall not authorize any emission source to disconnect or cease 
using any emission control device used to control emissions of oxides 
of nitrogen. No such temporary waiver may remain in effect for a period 
longer than 6 consecutive months.
    (d) Emergency Generation for Private Use.--Any State in which high 
electricity emergency days may occur may submit a State implementation 
plan amendment to the Administrator of the Environmental Protection 
Agency under the Clean Air Act pursuant to this subsection. Under such 
amendment, if the Governor of the State has declared an electricity 
emergency in the State, the Governor may issue an order waiving, during 
any high electricity emergency day or portion thereof, any otherwise 
applicable requirements of the plan that would have the effect or 
prohibiting or limiting the operation by any person or entity or class 
or category thereof in such State of any type of electric energy 
generation, using any type of fuel available, if such electric energy 
is consumed only by the person or entity generating it. Such waiver 
shall not authorize any emission source to disconnect or cease using 
any emission control device used to control emissions of any air 
pollutant (within the meaning of the Clean Air Act). Each such order 
shall expire 6 months after the date of issuance.
    (e) Effect on Air Quality.--The Administrator of the Environmental 
Protection Agency may approve a plan amendment described in subsection 
(c) or (d) of this section only if the Administrator determines that 
such amendment will not increase the net emissions of any air pollutant 
in any affected air quality region and that the amendment otherwise 
meets the requirements of the Clean Air Act.
    (f) Stay or Injunctions Prohibited.--No stay or injunction may be 
issued by any court under section 304 of the Clean Air Act against the 
Administrator of a State regarding the submission or approval of a plan 
amendment referred to in this section.

SEC. 306. REGIONAL TRANSMISSION ORGANIZATION IN WESTERN REGION.

    (a) In General.--After notice and an opportunity for a hearing, the 
Federal Energy Regulatory Commission shall establish a regional 
transmission organization for the region covered by the Western Systems 
Coordinating Council if 10 or more of the Governors of the 14 States 
covered in whole or in part by the Western Systems Coordinating Council 
sign a petition submitted by one or more of such Governors requesting 
the Commission to establish such organization.
    (b) Federal Transmission Facilities.--The Bonneville Power 
Administration and the Western Area Power Administration are each 
authorized and required to participate in a regional transmission 
organization established under this section. Each other entity 
(including municipally owned entities and cooperatives) owning or 
operating transmission facilities within the region covered by the 
Western Systems Coordinating Council shall participate in any such 
organization. Notwithstanding any other law, participation may include 
delegation of operation and control of the transmission system 
concerned to a regional transmission organization or other method of 
participation, under terms and conditions the power marketing 
administration concerned determines necessary or appropriate, including 
being bound by operational and other orders of the regional 
transmission organization and by the results of arbitration of disputes 
with the organization or with other participants.
    (c) State Authority not Affected.--Nothing in this section affects 
the authority of States to regulate transmission facility maintenance, 
planning, siting, and other utility functions.
    (d) Sunset.--No regional transmission authority established under 
this section shall be required to continue to operate after the date 3 
years after the regional transmission organization is established.
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