15 U.S.C. § 3372 — Assignment of contractual rights to re-

Page 2009 TITLE 15—COMMERCE AND TRADE § 3373 1 See References in Text note below. likely that the determinations described in subparagraph (A) will be made following the hearing required under subparagraph (A). (C) Determination The determination of whether any inter- ruption of any sale authorized under para- graph (1) is required under subparagraph (A)(i) shall be made by the Commission without regard to the character of the use of natural gas by any customer of the intra- state pipeline involved. (D) State intervention Any interested State may intervene as a matter of right in any proceeding before the Commission relating to any determination under this section. (7) Disapproval of application The Commission shall disapprove any appli- cation for authorization of any sale under paragraph (1) if the Commission determines— (A) such sale would impair the ability of the intrastate pipeline involved to provide adequate service to its customers at the time of such sale (without regard to the character of the use of natural gas by such customer); (B) such sale would involve the sale of nat- ural gas acquired by the intrastate pipeline involved solely or primarily for the purpose of resale of such natural gas pursuant to a sale authorized under paragraph (1); (C) such sale would violate any require- ment of this subsection or any term or con- dition established, by rule or order, by the Commission and applicable to such sale; or (D) such sale would circumvent or violate any provision of this chapter. (c) Terms and conditions Any authorization granted under this section shall be under such terms and conditions as the Commission may prescribe. (Pub. L. 95–621, title III, § 311, Nov. 9, 1978, 92 Stat. 3388.) Editorial Notes REFERENCES IN TEXT The Natural Gas Act, referred to in subsec. (a)(1)(B), is act June 21, 1938, ch. 556, 52 Stat. 821, which is classi- fied generally to chapter 15B (§ 717 et seq.) of this title. For complete classification of this act to the Code, see section 717w of this title and Tables. § 3372. Assignment of contractual rights to re- ceive surplus natural gas (a) Authorization of assignments The Commission may, by rule or order, au- thorize any intrastate pipeline to assign, with- out compensation, to any interstate pipeline or local distribution company all or any portion of such intrastate pipeline’s right to receive sur- plus natural gas at any first sale, upon such terms and conditions as the Commission deter- mines appropriate. (b) Effect of authorization under subsection (a) For the effect of an authorization under sub- section (a), see section 3431 of this title (relating to the coordination of this chapter with the Nat- ural Gas Act [15 U.S.C. 717 et seq.]). (c) Surplus natural gas For purposes of this section, the term ‘‘surplus natural gas’’ means any natural gas which is de- termined, by the State agency having regu- latory jurisdiction over the intrastate pipeline which would be entitled to receive such natural gas in the absence of any assignment to exceed the then current demands on such pipeline for natural gas. (Pub. L. 95–621, title III, § 312, Nov. 9, 1978, 92 Stat. 3392; Pub. L. 101–60, § 3(b)(2), July 26, 1989, 103 Stat. 158.) Editorial Notes REFERENCES IN TEXT The Natural Gas Act, referred to in subsec. (b), is act June 21, 1938, ch. 556, 52 Stat. 821, which is classified generally to chapter 15B (§ 717 et seq.) of this title. For complete classification of this act to the Code, see sec- tion 717w of this title and Tables. AMENDMENTS 1989—Subsec. (c). Pub. L. 101–60 substituted ‘‘any nat- ural gas’’ for ‘‘any natural gas— ‘‘(1) which is not committed or dedicated to inter- state commerce on November 8, 1978; ‘‘(2) the first sale of which is subject to a maximum lawful price established under subchapter I of this chapter; and ‘‘(3)’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1989 AMENDMENT Section 3(b) of Pub. L. 101–60 provided in part that the amendment by section 3(b)(2) of Pub. L. 101–60 is effec- tive Jan. 1, 1993. § 3373. Effect of certain natural gas prices on in- definite price escalator clauses (a) High-cost natural gas No price paid in any first sale of high-cost nat- ural gas (as defined in section 3317(c) 1 of this title, as such section was in effect on January 1, 1989) may be taken into account in applying any indefinite price escalator clause (as defined in section 3315(b)(3)(B) 1 of this title, as such sec- tion was in effect on January 1, 1989) with re- spect to any first sale of any natural gas other than high-cost natural gas (as defined in section 3317(c) 1 of this title, as such section was in ef- fect on January 1, 1989). (b) Other transactions No price paid— (1) in any sale authorized under section 3362(a) of this title, or (2) pursuant to any order issued under sec- tion 3363(b), (c), (d), or (g) of this title, may be taken into account in applying any in- definite price escalator clause (as defined in sec- tion 3315(b)(3)(B) 1 of this title, as such section was in effect on January 1, 1989). (Pub. L. 95–621, title III, § 313, Nov. 9, 1978, 92 Stat. 3392; Pub. L. 101–60, § 3(b)(3), July 26, 1989, 103 Stat. 159.)