(a) Construct, acquire, operate or maintain any facility or structure that is not an enlargement or modification of the district’s water system solely or primarily for the purpose of generating electricity; or
(b) Be created solely or primarily for the purpose of constructing, acquiring, operating or maintaining hydroelectric facilities.
(2) A district shall sell the excess electric energy generated at such hydroelectric facilities to the Bonneville Power Administration, a public utility as defined in ORS 757.005, an electric cooperative as defined in ORS 261.010, a people’s utility district, a cooperative as defined in ORS 62.015, a municipal corporation or a municipally owned utility. Any sale of excess electric energy shall be made in accordance with terms and conditions of the Federal Power Act, as amended by the Public Utility Regulatory Policies Act of 1978. As used in this subsection, "excess electric energy" means electric energy not used by the district to meet its own electric pumping requirements.
(3) The board of directors of the district shall establish regulations governing electric energy generation and sale under this section.
(4) Electricity shall be sold under this section only at wholesale. [1981 c.420 §3; 1985 c.561 §5; 1995 c.195 §44; 2003 c.802 §80; 2005 c.22 §381]
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