---
kind: "section"
citation: "18 C.F.R. § 16.18"
title: "18"
number: "16.18"
heading: "Annual licenses for projects subject to sections 14 and 15 of the Federal Power Act."
url: "https://uscodex.org/cfr/18/16.18"
---

# §16.18. Annual licenses for projects subject to sections 14 and 15 of the Federal Power Act.

- (a) This section applies to projects with licenses subject to sections [14](/cfr/18/14.md) and [15](/cfr/18/15.md) of the Federal Power Act.
- (b) The Commission will issue an annual license to an existing licensee under the terms and conditions of the existing license upon expiration of its existing license to allow:
  - (1) The licensee to continue to operate the project while the Commission reviews any applications for a new license, a nonpower license, an exemption, or a surrender;
  - (2) The orderly removal of a project, if the United States does not take over a project and no new power or nonpower license or exemption will be issued; or
  - (3) **The orderly transfer of a project to—**
    - (i) The United States, if takeover is elected; or
    - (ii) **A new licensee, if a new power or nonpower license is issued to that licensee.**
- (c) An annual license issued under this section will be considered renewed automatically without further order of the Commission, unless the Commission orders otherwise.
- (d) In issuing an annual license, the Commission may incorporate additional or revised interim conditions if necessary and practical to limit adverse impacts on the environment.

## Notes

### Amendments

[Order 513, 54 FR 23806, June 2, 1989, as amended by Order 513-A, 55 FR 18, Jan. 2, 1990; Order 540, 57 FR 21738, May 22, 1992]

### Authority

Authority: 16 U.S.C. 791a-825r, 2601-2645; 42 U.S.C. 7101-7352.

### Source

Source: Order 513, 54 FR 23806, June 2, 1989, unless otherwise noted.

### Amendments

[Order 513, 54 FR 23806, June 2, 1989, as amended by Order 513-A, 55 FR 18, Jan. 2, 1990; Order 540, 57 FR 21738, May 22, 1992]