---
kind: "section"
citation: "15 U.S.C. § 720c"
title: "15"
title_heading: "Commerce and Trade"
number: "720c"
heading: "Pipeline expansion"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/720c"
units:
  - "Chapter 15D — Alaska Natural Gas Pipeline"
---

# §720c. Pipeline expansion

- (a) **Authority—** With respect to any [Alaska natural gas transportation project](/usc/15/720.md?p=2), on a request by 1 or more [persons](/usc/15/7a.md?p=6) and after giving notice and an opportunity for a hearing, the [Commission](/usc/15/720.md?p=4) may order the expansion of the [Alaska natural gas](/usc/15/720.md?p=1) project if the [Commission](/usc/15/720.md?p=4) determines that such an expansion is required by the present and future public convenience and necessity.
- (b) **Responsibilities of Commission—** Before ordering an expansion under [subsection (a)](#a), the [Commission](/usc/15/720.md?p=4) shall—
  - (1) approve or establish rates for the expansion service that are designed to ensure the recovery, on an incremental or rolled-in basis, of the cost associated with the expansion (including a reasonable rate of return on investment);
  - (2) ensure that the rates do not require existing shippers on the [Alaska natural gas transportation project](/usc/15/720.md?p=2) to subsidize expansion shippers;
  - (3) find that a proposed shipper will comply with, and the proposed expansion and the expansion of service will be undertaken and implemented based on, terms and conditions consistent with the tariff of the [Alaska natural gas transportation project](/usc/15/720.md?p=2) in effect as of the date of the expansion;
  - (4) find that the proposed facilities will not adversely affect the financial or economic viability of the [Alaska natural gas transportation project](/usc/15/720.md?p=2);
  - (5) find that the proposed facilities will not adversely affect the overall operations of the [Alaska natural gas transportation project](/usc/15/720.md?p=2);
  - (6) find that the proposed facilities will not diminish the contract rights of existing shippers to previously subscribed certificated capacity;
  - (7) ensure that all necessary environmental reviews have been completed; and
  - (8) find that adequate downstream facilities exist or are expected to exist to deliver incremental [Alaska natural gas](/usc/15/720.md?p=1) to market.
- (c) **Requirement for a firm transportation agreement—** Any order of the [Commission](/usc/15/720.md?p=4) issued in accordance with this section shall be void unless the [person](/usc/15/7a.md?p=6) requesting the order executes a firm transportation [agreement](/usc/15/7a.md?p=2) with the [Alaska natural gas transportation project](/usc/15/720.md?p=2) within such reasonable period of time as the order may specify.
- (d) **Limitation—** Nothing in this section expands or otherwise affects any authority of the [Commission](/usc/15/720.md?p=4) with respect to any natural gas pipeline located outside the [State](/usc/15/720.md?p=8).
- (e) **Regulations—** The [Commission](/usc/15/720.md?p=4) may issue such regulations as are necessary to carry out this section.

## Source credit

(Pub. L. 108–324, div. C, § 105, Oct. 13, 2004, 118 Stat. 1258.)