Page:United States Statutes at Large Volume 92 Part 3.djvu/536

 PUBLIC LAW 95-617—NOV. 9, 1978

92 STAT. 3168

15 USC 717w,

15 USC 717f.

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sion thereof entered into on or after such date other than any such extension or renewal pursuant to the exercise by such user of an option to extend or renew such contract; (II) other than natural gas the sale for resale or the transportation of which was subject to the jurisdiction of the Federal Power Commission under the Natural Gas Act as of September 1, 1977; ( III) which was used as a fuel in any facility in existence on September 1, 1977. (ii) natural gas subject to a prohibition order issued under section 607. (B) The rule required under paragraph (1) shall permit the transfer of contractual interests— (i) to any interstate pipeline; (ii) to any local distribution company served by an interstate pipeline; and (iii) to any person served by an interstate pipeline for a high priority use by such person. (3) The rule required under paragraph (1) shall provide that any transfer of contractual interests pursuant to such rule shall be under such terms and conditions as the Commission may prescribe. Such rule shall include a requirement for refund of any consideration, received by the person transferring contractual interests pursuant to such rule, to the extent such consideration exceeds the amount by which the costs actually incurred, during the remainder of the period of the contract with respect to which such contractual interests are transferred, in direct association with the use of heavy petroleum fuel oil as a fuel in the applicable facility exceeds the price under such contract foinatural gas, subject to such contract, delivered during such period. (4) In prescribing the rule required under paragraph (1), and in determining whether to approve any transfer of contractual interests, the Commission shall consider whether such transfer of contractual interests is likely to increase demand for imported refined petroleum products. (b) COMMISSION APPROVAL.—(1) No transfer of contractual interests authorized by the rule required under subsection (a)(1) may take effect unless the Commission issues a certificate of public convenience and necessity for such transfer if such natural gas is to be resold by the person to whom such contractual interests are to be transferred. Such certificate shall be issued by the Commission in accordance with the requirements of this subsection and those of section 7 of the Natural Gas Act, and the provisions of such Act applicable to the determination of satisfaction of the public convenience and necessity requirements of such section. (2) The rule required under subsection (a)(1) shall set forth guidelines for the application on a regional or national basis (as the Commission determines appropriate) of the criteria specified in subsection (e)(2) and (3) to determine the maximum consideration permitted as just compensation under this section. (c)

RESTRICTIONS ON TRANSFERS UNENFORCEABLE,—Any provision

of any contract, which provision prohibits any transfer of any contractual interests thereunder, or any commingling or transportation of natural gas subject to such contract with natural gas the sale for resale or transportation of which is subject to the jurisdiction of the Commission under the Natural Gas Act, or terminates such contract on the basis of any such transfer, commingling, or transportation, shall be unenforceable in any court of the United States and in any court

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