Federal Power Act

The Federal Power Act is a law appearing in Chapter 12 of Title 16 of the United States Code, entitled "Federal Regulation and Development of Power". Enacted as the Federal Water Power Act on June 10, 1920, and amended many times since, its original purpose was to more effectively coordinate the development of hydroelectric projects in the United States. Representative John J. Esch (R-Wisconsin) was the sponsor. Prior to this time and despite federal control of navigable waters and the necessary congressional approval to construct such facilities, Congress had left the regulation of hydroelectric power to the individual states. The first federal legislation broadly dealing with hydroelectric development regarded its competition with navigation usage; with the passage of the Rivers and Harbors Act of 1899 Congress made it illegal to dam navigable streams without a license (or permit) from them. Until 1903, these congressional permits were given away on a 'first come first served' perpetual basis and controlled by the individual states. This would lead to a long debate between competing private and public development interests, and culminate in the act's passage in 1920.