Section 66-A. Conservation of gas, declaration of policy, delegation of power

1. It is hereby declared to be the policy  of  this  state  that
  when  there  develops  in  any  area  a  situation  under  which  a  gas
  corporation supplying gas to such area is unable to meet the  reasonable
  needs  of  its consumers and of persons or corporations applying for new
  or additional  gas  service,  the  available  supply  of  gas  shall  be
  allocated among the customers of such gas corporation, in such manner as
  may  be necessary to protect public health and safety and to avoid undue
  hardship, pursuant to rules and regulations as may  be  adopted  by  the
  commission,  and that to carry out this declared policy the jurisdiction
  of the public service commission should be clarified.
    2. Notwithstanding the provisions of any statute or any franchise held
  by a gas corporation, the commission shall have power, upon the  finding
  that  there exists such a shortage of gas in any area in the state, that
  the gas corporation supplying such area is unable and will be unable  to
  secure  or  produce  sufficient  gas to meet the reasonable needs of its
  customers and of persons or corporations applying for new or  additional
  gas  service, to require such corporation to immediately discontinue the
  supplying of gas to additional  customers  or  of  supplying  additional
  service  to  present  customers,  for such purpose or purposes as may be
  designated by the commission, or to customers using gas  for  a  purpose
  prohibited  by  the  commission  pursuant to this act, and that upon the
  finding that the supply of gas available is and will be insufficient  to
  supply  the  demands of all consumers receiving service, to require such
  gas corporation to curtail or discontinue service to any or all  classes
  of  customers  of  such gas corporation. In imposing such a direction or
  requirement, the commission shall give consideration first  to  existing
  domestic  uses  and  uses  deemed  to  be necessary by the commission to
  protect public health and safety and to avoid undue hardship  and  shall
  be  limited  to  the  period  of  the  emergency  provided  that the gas
  corporation  affected  shall  make  such  restriction,   curtailing   or
  discontinuance  applicable to all customers or applicants for service in
  a like class. If the commission determines that good  cause  exists  for
  supplying  service  to  additional customers or for supplying additional
  service to some existing customers, notwithstanding the  curtailment  or
  discontinuance  of service to other existing customers, it shall, to the
  extent feasible, allocate gas with equal priority to new  or  additional
  domestic  uses  of  gas  and  commercial  or  industrial processes which
  require gas because there is no practical  substitute  for  it  in  such
  proportion as the commission determines to be reasonable.  Provided that
  the  commission  shall  be permitted, after public hearing, to authorize
  any natural gas produced from lands under the waters of Lake Erie to  be
  used for process or feedstock requirements. The commission is authorized
  to  adopt  such  rules,  regulations  and  orders  as  are  necessary or
  appropriate to carry out these delegated powers.
    3. In carrying out the delegated powers provided for in this  section,
  the commission shall, to the extent practicable, determine and establish
  gas  conservation  measures  or  standards.  The  commission may require
  compliance with such measures or standards as a condition  of  receiving
  service.