§1601. Findings, policy and procedure

The legislature finds and declares that:

A. The industrial base of the state of Louisiana, upon which the economy of the state is heavily dependent, is highly energy intensive.

B. The primary industrial and powerplant energy sources in the state of Louisiana are natural gas and petroleum.

C. The Congress of the United States has enacted Public Law 95-620, the "Powerplant and Industrial Fuel Use Act of 1978",1 which, among others, has as its purpose the discouragement, prohibition, or minimization of the use of natural gas and petroleum as a primary energy source and the encouragement of the greater use of coal and other alternate fuels in lieu of natural gas and petroleum as a primary energy source, including the use of coal in existing and new electric powerplants and major fuel-burning installations.

D. The unplanned and federally mandated use of coal and other alternate fuels in lieu of natural gas and petroleum in new industries and powerplants and the federally mandated conversion of the state's industrial and powerplant fuel requirements from natural gas and petroleum to coal or other alternate fuels could cause a major disruption of the state's industrial base, resulting in curtailment of vital public services and severe economic dislocations and hardships, including loss of jobs and closing of factories and businesses and would discourage expansion of existing facilities and deter new industries from locating in the state.

E. The Powerplant and Industrial Fuel Use Act of 1978 permits the Secretary of Energy, in this discretion, to consider state law in exempting new and existing industries and powerplants from the requirement of using or converting to coal or other alternate fuel in lieu of natural gas or petroleum and in postponing the requirement for the use or conversion to coal or other alternate fuel.

F. If industries and powerplants within the state are required by the Secretary of Energy to convert to coal or other alternate fuel in lieu of natural gas or petroleum, the state, acting through an appropriate state agency, may ameliorate the effects of the requirement to use or convert to coal or other alternate fuel, provided that such state agency has the jurisdiction and power to work in conjunction with the Secretary of Energy in the administration of federal laws and regulations and provided that such state agency has the jurisdiction and power to implement any necessary or required state action. Such state agency will be able to assist industries and powerplants within the state in obtaining exemptions from the requirements of federal laws and regulations or in preparing to use and using or converting to the use of coal or other alternate fuel in lieu of natural gas and petroleum, with a minimum of disruption in the state's overall economy.

G. It is within the police power of the state and in the public interest of the state to insure that measures will be taken to avoid, if possible, or ameliorate the effects of mandated use of coal or other alternate fuel and conversion of the state's industrial and powerplant fuel requirements from natural gas and petroleum to coal or other alternate fuels and, where use and conversion are mandated or undertaken, to insure that such use and conversion occur with a minimum of adverse economic effect on the state and that to the maximum extent possible measures be taken to insure that natural gas affected by this conversion be retained within the state of Louisiana.

H. The public interest of the state in avoiding or ameliorating the effects of the conversion of the state's industrial and powerplant fuel requirements from natural gas and petroleum to coal or other alternate fuels can best be served by granting to the Department of Natural Resources primary state governmental responsibility for intervening on behalf of the state with the United States Department of Energy in the implementation and administration of the Powerplant and Industrial Fuel Use Act of 1978, and authorizing the department to implement such measures within the state as may postpone untimely implementation of federal laws and regulations and further, where use of or conversion to coal or other alternate fuel is mandated, to take such measures as may be required to insure that mandated future use and conversion proceeds in an orderly fashion and with a minimum of adverse economic effect upon the state and to the maximum extent possible take measures to insure that natural gas affected by this conversion be retained within the state of Louisiana.

Added by Acts 1979, No. 605, §1.

142 U.S.C.A. §8301 et seq.