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3.2 Fundamental Elements of Licensing Process

FERC's final decision will determine the licensee's duties for construction, operation, and maintenance of the project. It will also dedicate the lands and waters occupied by the project to a particular use. The licensing proceeding that precedes that decision is adjudicatory. It determines private and public rights in the affected lands and waters. A license is issued (or is denied) only after a public hearing on the application, as required by the FPA Part I as well as the Administrative Procedures Act. 1

In sum, the decision must be based on (A) proof that the licensee is ready, willing, and able to comply with a new license, if granted; (B) a record of evidence regarding project impacts on the public interest, including the licensee's field studies and an independent environmental document, and (C) consideration of comments and pleadings filed by agencies and other participants regarding the application.

This Section 3.2 addresses these fundamental elements. Sections 4-6 then describe the specific steps in the three processes - Integrated Licensing Process (ILP), Alternative Licensing Process (ALP), and Traditional Licensing Process (TLP) - that FERC uses for this purpose. While the specific steps for the ILP, TLP, and ALP differ somewhat in substance, time, and sequence, all incorporate the following fundamental elements.

  1. 5 U.S.C. ยง 554.