Page images

mission shall have no authority to compel the onlarge- Completion mant of transportation facilities for such purposes, or to bority to compel such natural-gus company to establish physical larriment of connection or sell natural gus when to do so would impair Lebility of its ability to render adequato service to its customers render ander (18 U. S. C. 9717f ()]

Ilmpaired. (b) No natural-gus company shall abandon all or any portion of its facilities subject to the jurisdiction of the No abandonCommimion, or any servico rendered by means of such cllities or facilities, without the permission and approval of the out ipproval of Commission first bad and obtained, after due hearing, and e finding by the Commission that the availablo supply of natunl gus is dopleted to the extent that the continuance of service is unwarranted, or that the present or future public convenience or necessity permit such abandonment. (15 U. S. C. 8 7171 (b)]

(c)(1) (A) No natural-gas company or person which Certi&cate of will be a natural-gas company upon completion of any venience and proposed construction or extension shall engage in the quired for contransportation or sale of natural gas, subject to the juris- extension of diction 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 trans- caten. portation or sale of natural gas, subject to the jurisdiction of the Commission, on the effective date of this amendatory Act, 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 certifi. cato 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 the effective date of this amendatory Act. Pending the determination of any such application, the continuance of such operation shall be lawful.


Grundtather clause certio

Procedure upon application for voa-mandtather clanc cortillate


Temponny certificate

(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 issuanco of a cortificato will not be required in the public interest. (15 U. S. C. $ 7171 (c)]

c (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 clefined, by rule, by the Commission, in the case of

(A) natural gas sold by the producer to such

Brepption by regulation.

person; and

(B) natural gas produced by such person.


(d) Application for certificates shall be made in Application for writing to the Commission, be verified under oath, and form and conshall 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. [15 U.S.C. 8 717f (d)]

(e) Except in the cases governed by the provisos con- Requiremento tained in subsection (c)(1) of this section, a certificate 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 the Act 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 may attach rights granted thereunder such reasonable terms and issuance of conditions as the public convenience and necessity may require. (15 U. S. C. 8 717f (e)] (f) The Commission, after a hearing had upon

its own motion or upon application, may determine the may determine


term, and con



Commission may losue cer tocate for service of area already being served.

Certidcate bolder may acquire right. of-way for pipe line by eminent do

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. (18 U.S.C. 8 7171 (f)]

(g) Nothing contained in this section shall be construed as a limitation upon the power of the Commission to grant cortificates of public convenience and necessity for service of an area already being served by another natural-gas company. (15 U. S. C. 8 717f (g)]

(h) 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 commoto proceed pensation to be paid for, the necessary right-of-way to Dlatrict Court. 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 Where property United States shall conform as nearly as may be with

Practice and
procedure sball
conform to
that of State

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. (15 U. S. C. $ 717f (h)]



must keep accounts,

in accordance

from keeping



may prescribe

accounts and


Sec. 8. (a) Every natural-gas company shall make, Natural gas keep, and preserve for such periods, such accounts, records of cost-accounting procedures, correspondence, Tecordo di memoranda, papers, books, and other records as the with CommisCommission may by rules and regulations prescribe as necessary or appropriate for purposes of the administration of this act: Provided, however, That nothing Notrelieved in this act shall relieve any such natural-gas company records, etc., from keeping any accounts, memoranda, or records required by which such natural-gas company may be required to keep by or under authority of the laws of any State. The Commission may prescribe a system of accounts to Commission be kept by such natural-gas companies, and may classify aystemet such natural-gas companies and prescribe a system of Clans des comaccounts for each class. The Commission, after notice and opportunity for hearing, may determine by order the accounts in which particular outlays or receipts shall be entered, charged, or credited. The burden of proof Burden of to justify every accounting entry questioned by the Com- Justify entries. mission shall be on the person making, authorizing, or requiring such entry, and the Commission may suspend Commiston & charge or credit pending submission of satisfactory charges or proof in support thereof.

(b) The Commission shall at all times have access to Commission to and the right to inspect and examine all accounts, records, and memoranda of natural-gas companies; and accounts, etc. it shall be the duty of such natural-gas companies to furnish to the Commission, within such reasonable time Companies to as the Commission may order, any information with formation, as respect thereto which the Commission may by order orders. require, including copies of maps, contracts, reports of engineers, and other data, records, and papers, and to grant to all agents of the Commission free access to its property and its accounts, records, and memoranda when requested so to do. No member, officer, or employee of Splormation the Commission shall divulge any fact or information employees which may come to his knowledge during the course of meer ton pod to examination of books, records, data, or accounts, except ciceptas insofar as he may be directed by the Commission or by Commission a court.

may d credits pending proof.

and right to inspect



be divulged

ordered by

« PreviousContinue »