A bill to amend the Federal Power Act to provide for the provision of wheeling services to political subdivisions of States which operate facilities generating hydroelectric energy.

Amends the Federal Power Act to authorize any State political subdivision (or any of its instrumentalities) which generates hydroelectric energy to apply to the Federal Energy Regulatory Commission for an order requiring any electric utility to provide transmission services to the applicant. Cites conditions under which the Commission shall issue an order requiring wheeling services to be provided to such applicant, including the condition that significant energy conservation would result. Prohibits such orders from being inconsistent with any State law governing the retail marketing area of such electric utility.

Sets forth procedural guidelines for the issuance of a proposed order by the Commission.