Laws: Cases and Codes : U.S. Code : Title 15 : Section 717f


   
U.S. Code as of: 01/19/04
Section 717f. Construction, extension, or abandonment of facilities

    (a) Extension or improvement of facilities on order of court;
      notice and hearing
      Whenever the Commission, after notice and opportunity for
    hearing, finds such action necessary or desirable in the public
    interest, it may by order direct a natural-gas company to extend or
    improve its transportation facilities, to establish physical
    connection of its transportation facilities with the facilities of,
    and sell natural gas to, any person or municipality engaged or
    legally authorized to engage in the local distribution of natural
    or artificial gas to the public, and for such purpose to extend its
    transportation facilities to communities immediately adjacent to
    such facilities or to territory served by such natural-gas company,
    if the Commission finds that no undue burden will be placed upon
    such natural-gas company thereby: Provided, That the Commission
    shall have no authority to compel the enlargement of transportation
    facilities for such purposes, or to compel such natural-gas company
    to establish physical connection or sell natural gas when to do so
    would impair its ability to render adequate service to its
    customers.
    (b) Abandonment of facilities or services; approval of Commission
      No natural-gas company shall abandon all or any portion of its
    facilities subject to the jurisdiction of the Commission, or any
    service rendered by means of such facilities, without the
    permission and approval of the Commission first had and obtained,
    after due hearing, and a finding by the Commission that the
    available supply of natural gas is depleted to the extent that the
    continuance of service is unwarranted, or that the present or
    future public convenience or necessity permit such abandonment.
    (c) Certificate of public convenience and necessity
      (1)(A) No natural-gas company or person which will be a
    natural-gas company upon completion of any proposed construction or
    extension shall engage in the transportation or sale of natural
    gas, subject to the jurisdiction of the Commission, or undertake
    the construction or extension of any facilities therefor, or
    acquire or operate any such facilities or extensions thereof,
    unless there is in force with respect to such natural-gas company a
    certificate of public convenience and necessity issued by the
    Commission authorizing such acts or operations: Provided, however,
    That if any such natural-gas company or predecessor in interest was
    bona fide engaged in transportation or sale of natural gas, subject
    to the jurisdiction of the Commission, on February 7, 1942, over
    the route or routes or within the area for which application is
    made and has so operated since that time, the Commission shall
    issue such certificate without requiring further proof that public
    convenience and necessity will be served by such operation, and
    without further proceedings, if application for such certificate is
    made to the Commission within ninety days after February 7, 1942.
    Pending the determination of any such application, the continuance
    of such operation shall be lawful.
      (B) In all other cases the Commission shall set the matter for
    hearing and shall give such reasonable notice of the hearing
    thereon to all interested persons as in its judgment may be
    necessary under rules and regulations to be prescribed by the
    Commission; and the application shall be decided in accordance with
    the procedure provided in subsection (e) of this section and such
    certificate shall be issued or denied accordingly: Provided,
    however, That the Commission may issue a temporary certificate in
    cases of emergency, to assure maintenance of adequate service or to
    serve particular customers, without notice or hearing, pending the
    determination of an application for a certificate, and may by
    regulation exempt from the requirements of this section temporary
    acts or operations for which the issuance of a certificate will not
    be required in the public interest.
      (2) The Commission may issue a certificate of public convenience
    and necessity to a natural-gas company for the transportation in
    interstate commerce of natural gas used by any person for one or
    more high-priority uses, as defined, by rule, by the Commission, in
    the case of - 
        (A) natural gas sold by the producer to such person; and
        (B) natural gas produced by such person.
    (d) Application for certificate of public convenience and necessity
      Application for certificates shall be made in writing to the
    Commission, be verified under oath, and shall be in such form,
    contain such information, and notice thereof shall be served upon
    such interested parties and in such manner as the Commission shall,
    by regulation, require.
    (e) Granting of certificate of public convenience and necessity
      Except in the cases governed by the provisos contained in
    subsection (c)(1) of this section, a certificate shall be issued to
    any qualified applicant therefor, authorizing the whole or any part
    of the operation, sale, service, construction, extension, or
    acquisition covered by the application, if it is found that the
    applicant is able and willing properly to do the acts and to
    perform the service proposed and to conform to the provisions of
    this chapter and the requirements, rules, and regulations of the
    Commission thereunder, and that the proposed service, sale,
    operation, construction, extension, or acquisition, to the extent
    authorized by the certificate, is or will be required by the
    present or future public convenience and necessity; otherwise such
    application shall be denied. The Commission shall have the power to
    attach to the issuance of the certificate and to the exercise of
    the rights granted thereunder such reasonable terms and conditions
    as the public convenience and necessity may require.
    (f) Determination of service area; jurisdiction of transportation
      to ultimate consumers
      (1) The Commission, after a hearing had upon its own motion or
    upon application, may determine the service area to which each
    authorization under this section is to be limited. Within such
    service area as determined by the Commission a natural-gas company
    may enlarge or extend its facilities for the purpose of supplying
    increased market demands in such service area without further
    authorization; and
      (2) If the Commission has determined a service area pursuant to
    this subsection, transportation to ultimate consumers in such
    service area by the holder of such service area determination, even
    if across State lines, shall be subject to the exclusive
    jurisdiction of the State commission in the State in which the gas
    is consumed. This section shall not apply to the transportation of
    natural gas to another natural gas company.
    (g) Certificate of public convenience and necessity for service of
      area already being served
      Nothing contained in this section shall be construed as a
    limitation upon the power of the Commission to grant certificates
    of public convenience and necessity for service of an area already
    being served by another natural-gas company.
    (h) Right of eminent domain for construction of pipelines, etc.
      When any holder of a certificate of public convenience and
    necessity cannot acquire by contract, or is unable to agree with
    the owner of property to the compensation to be paid for, the
    necessary right-of-way to construct, operate, and maintain a pipe
    line or pipe lines for the transportation of natural gas, and the
    necessary land or other property, in addition to right-of-way, for
    the location of compressor stations, pressure apparatus, or other
    stations or equipment necessary to the proper operation of such
    pipe line or pipe lines, it may acquire the same by the exercise of
    the right of eminent domain in the district court of the United
    States for the district in which such property may be located, or
    in the State courts. The practice and procedure in any action or
    proceeding for that purpose in the district court of the United
    States shall conform as nearly as may be with the practice and
    procedure in similar action or proceeding in the courts of the
    State where the property is situated: Provided, That the United
    States district courts shall only have jurisdiction of cases when
    the amount claimed by the owner of the property to be condemned
    exceeds $3,000.



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