Federal Power Act Law and Legal Definition

The Federal Power Act (“Act”) is a federal legislation that regulates non-federal hydropower projects in order to support comprehensive development of rivers for energy generation. It was enacted in 1935. The Act is officially known as the “federal regulation and development of power”. This Act changed the Federal Power Commission (FPC) from an interdepartmental body to an independent regulatory agency with five members appointed by the President, and confirmed by the Senate. It also expanded the FPC regulatory jurisdiction to carry out the objectives of the Act. The Act empowers the FPC to issue licenses for hydro-electric project works including dams, reservoirs and other work to develop and improve navigation, and to develop and use power.