-CITE-


    16 USC Sec. 837b                                             01/26/98

-EXPCITE-


    TITLE 16 - CONSERVATION


    CHAPTER 12F - PACIFIC NORTHWEST CONSUMER POWER PREFERENCE;


         RECIPROCAL PRIORITY IN OTHER REGIONS

-HEAD-


    Sec. 837b. Contract terms and conditions for use of electric energy


        outside Pacific Northwest

-STATUTE-


    (a) Surplus energy; discontinuance of deliveries to maintain


        ability to meet requirements of Pacific Northwest customers;


        purchaser's responsibility for hardships; deliveries by


        non-Federal utility for use on contiguous distribution system


        not deemed deliveries for use outside Pacific Northwest


      Any contract for the sale or exchange of surplus energy for use


    outside the Pacific Northwest, or as replacement, directly or


    indirectly, within the Pacific Northwest for hydroelectric energy


    delivered for use outside that region by a non-Federal utility,


    shall provide that the Secretary, after giving the purchaser notice


    not in excess of sixty days, will not deliver electric energy under


    such contract whenever it can reasonably be foreseen that such


    delivery would impair his ability to meet, either at or after the


    time of such delivery, the energy requirements of any Pacific


    Northwest customer.  The purchaser shall obligate himself not to


    take delivery of or use any such energy to supply any load under


    such conditions that discontinuance of deliveries from the Pacific


    Northwest in sixty days would cause undue hardship to the purchaser


    or in his territory, and, further, the purchaser shall acknowledge


    full responsibility if any such hardship occurs.  Deliveries by a


    non-Federal utility from its generating plants in the Pacific


    Northwest for use on its own distribution system in an area outside


    but contiguous to the Pacific Northwest (not including any


    extension of its outside service area by merger or acquisition


    after August 31, 1964) shall not be deemed deliveries by such


    utility for use outside the Pacific Northwest.


    (b) Conservable electric energy; provisional basis for delivery;


        return of energy to meet requirements of Pacific Northwest


        customers; time and extent of return of energy


      Electric energy generated at Federal hydroelectric plants in the


    Pacific Northwest which can be conserved, for which there is no


    immediate demand in the Pacific Northwest at any established rate,


    but for which the Secretary determines there may be a demand in


    meeting the future requirements of the Pacific Northwest, may be


    delivered for use outside that region only on a provisional basis


    under contracts providing that if the Secretary determines at a


    subsequent time that, by virtue of prior deliveries under such


    contract, the Secretary is or will be unable to meet the energy


    requirements of any Pacific Northwest customer, the purchaser will


    return the full amount of energy delivered to him, or such portion


    or portions thereof as may be required, at such time or times as


    may be specified by the Secretary, except that the Secretary shall


    not require return during the purchaser's daily peak periods.  The


    Secretary shall require the return of the energy provisionally


    delivered hereunder, to such extent and at such times, as may be


    necessary to meet demands at any established rate for use within


    the Pacific Northwest.


    (c) Surplus peaking capacity; termination clause; advance or return


        of energy; time of return of energy; sale under subsection (a)


        conditions


      Any contract for the disposition of surplus peaking capacity


    shall provide that (1) the Secretary may terminate the contract


    upon notice not in excess of sixty months, and (2) the purchaser


    shall advance or return the energy necessary to supply the peaking


    capacity, except that the Secretary shall not require such advance


    or return during the purchaser's daily peak periods.  The Secretary


    may contract for the sale of such energy to the purchaser, in lieu


    of its return, under the conditions prescribed in subsection (a) of


    this section.


    (d) Determination of energy requirements of Pacific Northwest


        non-Federal utility customer; exclusion of conservable energy;


        sale of surplus energy to the utility


      The Secretary, in making any determination of the energy


    requirements of any Pacific Northwest customer which is a


    non-Federal utility having hydroelectric generating facilities,


    shall exclude any amounts of hydroelectric energy generated in the


    Pacific Northwest and disposed of outside the Pacific Northwest by


    the utility which, through reasonable measures, could have been


    conserved or otherwise kept available for the utility's own needs


    in the Pacific Northwest. The Secretary may sell the utility as a


    replacement therefor only what would otherwise be surplus energy.

-SOURCE-


    (Pub. L. 88-552, Sec. 3, Aug. 31, 1964, 78 Stat. 756.)

-SECREF-


                   SECTION REFERRED TO IN OTHER SECTIONS


      This section is referred to in sections 832m, 837c, 837d, 839f of


    this title.