1. Except as otherwise provided in subsection 2, all contracts entered into by the Commission pertaining to the sale or purchase of water or electrical power, belonging or allotted to or contracted by the State of Nevada are not binding upon the State of Nevada until approved by the Governor.
2. Any contract or agreement by the Commission for the transmission of electrical power or to sell:
(a) Supplemental power to a holder of a long-term firm contract with the State for power if the supplemental power is procured by the Commission from a prearranged source and is secured by the holder for his or her own use; or
(b) Short-term or interruptible power on short notice for immediate acceptance to a holder of a long-term firm contract with the State for power who can take delivery of the short-term or interruptible power when it is available,
Ê does not require the approval of the Governor to be binding upon the State.