Electric Utility Restructuring Empowerment and Competitiveness Act of 1997

Electric Utility Restructuring Empowerment and Competitiveness Act of 1997 - Amends the Federal Power Act to prescribe parameters within which a State may: (1) exercise jurisdiction over retail electric supply or distribution service provided to retail customers within its borders; (2) establish and enforce electric energy performance standards; (3) exercise authority over retail transactions (including the imposition of surcharges); and (4) require electric energy suppliers to provide wholesale and retail reciprocity with respect to open, nondiscriminatory transmission access and local distribution access.

Grants the States exclusive jurisdiction over electric energy sales to a Federal facility or to a federally chartered corporation within their borders.

Retains State prerogative to require electricity retailers to assist in providing universal service.

(Sec. 4) Removes wholesale sales of electric energy from Federal regulatory purview. Retains State authority over retail electric energy sales.

Grants the Federal Energy Regulatory Commission (FERC) jurisdiction over wholesale electric transmission services.

(Sec. 5) Instructs the Inspector General of the Treasury to report to the Congress regarding the impact of specified tax provisions upon the promotion of a competitive retail electricity market.

(Sec. 6) Amends the Public Utility Regulatory Policies Act of 1978 to exempt an electric utility beginning commercial operation after the date of enactment of this Act from the requirement to enter into a new contract or obligation to purchase or sell electric energy or capacity pursuant to the provisions governing cogeneration and small power production.

Repeals the Public Utility Holding Company Act of 1935.

Prescribes procedural guidelines for both FERC and State access to records of a holding company of a public utility or natural gas company (including subsidiaries, associates, and affiliates).

Instructs FERC to promulgate a final rule to exempt specified holding companies from such access requirements. Requires FERC to exempt any person or transaction from such access requirements if it finds that regulation of such person or transaction is irrelevant to the jurisdictional rates of a public utility company.

Retains the jurisdiction of FERC and State commissions to determine whether a public utility company may recover in rates any costs of affiliate transactions.

Declares specified provisions of this Act inapplicable to: (1) the United States; (2) a State or its political subdivision; and (3) a foreign governmental authority not operating in the United States.

Grants FERC certain Federal Power Act enforcement powers.

Transfers from the Securities and Exchange Commission to FERC all books and records that relate primarily to the functions vested in FERC by this Act.

Amends the Federal Power Act to repeal its conflict of jurisdiction guidelines.