# FPC v. Louisiana Power & Light Co.

Supreme Court of the United States
406 U.S. 621
Federal Power Commission v. Louisiana Power & Light Co. et al.
Certiorari to the United States Court of Appeals for the Fifth Circuit
No. 71-1016. Argued: April 19, 1972 --- Decided: June 7, 1972
When United Gas Pipe Line Co. (United), a jurisdictional pipeline, experienced temporary shortages of natural gas supply forcing it to reduce deliveries to its contract customers, the Federal Power Commission (FPC) asserted its jurisdiction to effect a reasonable curtailment plan covering deliveries to both direct-sales customers and purchasers for resale. While curtailment proceedings were pending before the FPC, Louisiana Power & Light Co. (LP&L), a direct-sales customer of United, brought this action in the District Court against United, seeking to enjoin curtailment of deliveries to LP&L's plants pursuant to any FPC-promulgated plans, including any under FPC Order No. 431. LP&L also sought to enjoin United from seeking FPC certification of United's previously intrastate deliveries through its Green System. The FPC intervened, asserting that both matters were pending before it and any decision by the District Court would therefore invade its primary jurisdiction. The District Court dismissed the action, holding that the FPC had jurisdiction of both proceedings and that LP&L had to exhaust its administrative remedies. The Court of Appeals reversed, holding that the FPC lacked jurisdiction to curtail deliveries to direct-sales customers, since Section 1 (b) of the Natural Gas Act makes the Act applicable only to sales for resale. The Court of Appeals also reversed the District Court's decision on the Green System, holding that the system was wholly intrastate.
Held:
    1. The FPC has power to regulate curtailment of direct interstate sales of natural gas under the head of its "transportation" jurisdiction in § 1 (b), and the prohibition in the proviso clause of that provision withheld from FPC only rate-setting authority with respect to such sales. Pp. 631-647.
    2. The FPC had primary jurisdiction to determine whether the Green System was subject to its authority, and the Court of Appeals erred in deciding that question. See Myers v. Bethlehem Shipbuilding Corp., 303 U.S. 41. Pp. 647-648.
456 F. 2d 326, reversed.
BRENNAN, J., delivered the opinion of the Court, in which all members joined except STEWART, J., who took no part in the decision of the cases, and POWELL, J., who took no part in the consideration or decision of the cases.
Gordon Gooch argued the cause for petitioner in No. 71-1016. With him on the briefs were Solicitor General Griswold, Samuel Huntington, Leo E. Forquer, J. Richard Tiano, and George W. McHenry. William C. Harvin argued the cause for petitioners in No. 71-4040. With him on the briefs were William R. Choate, Perry O. Barber, Jr., Jeron Stevens, W. DeVier Pierson, and William B. Cassin.
Andrew P. Carter argued the cause for respondent Louisiana Power & Light Co. With him on the brief was Thomas W. Leigh.
Briefs of amici curiae urging reversal were filed by J. Lee Rankin, Stanley Buchsbaum, and Francis I. Howley for the City of New York; by Peter H. Schiff for the Public Service Commission for the State of New York; by J. Evans Attwell, Christopher T. Roland, Robert O. Koch, John J. Mullally, and William W. Brackett for the Pipeline Intervenors; by Howard E. Wahrenbrock and John M. Kuykendall, Jr., for Mobile Gas Service Corp. et al.; by Barbara M. Gunther for Brooklyn Union Gas Co.; and by Richard A. Rosen and Daniel L. Bell, Jr., for Columbia Gas Transmission Corp.
Briefs of amici curiae urging affirmance were filed by John J. McKeithen, Governor, Jack P. F. Gremillion, Attorney General, Fred G. Benton, Sr., and Arnold D. Berkeley for the State of Louisiana; by Pat Moran for the Arkansas Public Service Commission; by Martin N. Erck, John R. Rebman, Kirby Ellis, Sherman S. Poland, and Daniel F. Collins for Humble Oil & Refining Co.; by Thomas G. Johnson for Shell Oil Co.; and by J. Donald Annett, Kirk W. Weinert, and John M. Young for Texaco Inc.
Briefs of amici curiae were filed by Albert G. Norman, Jr., John W. Hinchey, Assistant Attorney General of Georgia, John E. Holtzinger, Jr., and Allen E. Lockerman for Atlanta Gas Light Co. et al., and by John T. Miller, Jr., for Monsanto Co. et al.

## Notes

* ↑ Together with No. 71-1040, United Gas Pipe Line Co. et al. v. Louisiana Power & Light Co. et al., on certiorari to the same court.