40 U.S.C. § 17902 — Sale of electric energy
submitted 24 years ago by Pub. L. 107-217 to r/title-40-PUBLIC-BUILDINGS-PROPERTY-AND-WORKS · 288 words · no verdicts yet
A federal agency head may sell surplus Alaska coal-power electricity to non-federal buyers. The sale must cost buyers less than other power and cut their oil or gas use. Prices must cover fuel and maintenance costs, plus half the savings versus oil or gas power.
(a) In general. To conserve oil and natural gas and use coal better, the head of a federal agency* may sell, or agree to sell, electric energy from that agency's coal-fired power plants in Alaska to any non-federal person*, even where a law would otherwise block the sale because the energy is available from other local sources, if the agency head finds that: (1) the energy comes from an existing coal-fired plant; (2) the energy is surplus, more than the agency needs and more than what was specifically generated for another federal agency; (3) the price to the final buyers is lower than what they'd otherwise pay for the same amount of energy; and (4) the sale will cut the non-federal buyer's total oil or natural gas use below what it would be without the sale.
(b) Pricing policies. Federally generated electric energy* sold under subsection (a) must be priced to recover the fuel and variable operation and maintenance costs tied to that sale, plus half of the difference between: (1) the cost of making the electricity from coal; and (2) the cost of making it from the oil or gas generation being replaced.
To conserve oil and natural gas and better utilize coal, the head of a federal agency* may sell, or enter into a contract to sell, to any non-federal person* electric energy generated by coal-fired electric generating facilities of that agency in Alaska without regard to any provision of law that precludes the sale when the electric energy to be sold is available from other local sources, if the head of the federal agency determines that—
the electric energy to be sold is generated by an existing coal-fired generating facility;
the electric energy to be sold is surplus to the federal agency’s needs and is in excess of the electric energy specifically generated for consumption by, or necessary to serve the requirements of, another federal agency;
the cost to the ultimate consumers of the electric energy to be sold is less than the cost that, in the absence of the sale, would be incurred by those consumers for the purchase of an equivalent amount of energy; and
the sale will reduce the total consumption of oil or natural gas by the non-federal person purchasing the electric energy below the level of consumption that would occur in the absence of the sale.
Federally generated electric energy* sold by the head of a federal agency under subsection (a) shall be priced to recover the fuel and variable operation and maintenance costs of the facility generating the energy that are attributable to that sale, plus an amount equal to one-half the difference between—
the costs of producing the electric energy by coal generation; and
the costs of producing electric energy by the oil or gas generation being displaced.
Source credit: (Pub. L. 107–217, Aug. 21, 2002, 116 Stat. 1289.)
- 2002Enacted · Pub. L. 107-217 · 116 Stat. 1289
A history note hasn’t been published yet. The record shows enactment by Pub. L. 107-217 on 2002-08-21.
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