WorldWideScience

Sample records for purpa

  1. Discussion series on PURPA related topics: information to customers

    Energy Technology Data Exchange (ETDEWEB)

    Sturgeon, J I

    1980-08-01

    This volume relates primarily to Time-of-Day rates standard, PURPA IB(d)3, and deals with the content and methods of providing rate and conservation information to customers when Time-of-Day rates are used. Information to customers in the Demonstration and Pilot Projects fell mainly into four categories: administrative communications; explanations of new rate structures; information and advice on load management; and facts, recommendations and encouragements about energy conservation and end-use improvement. Administrative communications were about such matters as the existence of Projects, their funding, their periods of performance, the selection of their test customers, conditions of participation, procedural changes during the tests, and the time and conditions of ending the tests. These communications were important to good customer cooperation. All Demonstration Projects devoted considerable effort to the crucial task of clearly explaining the rationale of Time-of-Use (TOU) pricing and the test rate structures. The Projects then presented the concept of TOU pricing as a means of (a) fairly charging customers the true cost of their electricity and (b) rewarding them for shifting consumption to times when costs are less. For the most part, Demonstration Projects gave specific information on the individual customer's own rate structure and none on any others that were under test. The information was presented in face-to-face interviews, group presentations, television, radio, and print media, and traveling exhibits. The results are evaluated. (LCL)

  2. On the economics of PURPA auctions. [Contracts between utilities and electricity producers in the USA

    Energy Technology Data Exchange (ETDEWEB)

    Bolle, Friedel (Energiewirtschaftliches Inst. an der Univ. zu Koeln (Germany))

    1991-04-01

    It is shown that, under certain conditions, Public Utility Regulatory Policies Act (PURPA) auctions in the USA theoretically lead to efficient contracts between utilities and producers of electricity. In contrast to normal auctions bidders compete with (potentially non-linear) revenue functions and with non-price attributes. In practice, there are tremendous difficulties in the evaluation of bids which result from the long duration of contracts and from the necessity to evaluate risks and non-price attributes. (author).

  3. PURPA Resource Development in the Pacific Northwest : Case Studies of Ten Electricity Generating Powerplants.

    Energy Technology Data Exchange (ETDEWEB)

    Washington State Energy Office.

    1990-07-01

    The case studies in this document describe the Public Utilities, Regulatory Policies Act (PURPA) development process for a variety of generating technologies. Developer interactions with regulatory agencies and power purchasers are described in some detail. Equipment, installation, and maintenance costs are identified; power marketing considerations are taken into account; and potential environmental impacts, with corresponding mitigation approaches and practices are summarized. The project development case studies were prepared by the energy agencies of the four Northwest states, under contract to the Bonneville Power Administration.

  4. Guidelines to assist rural electric cooperatives to fulfill the requirements of Sections 201 and 210 of PURPA for cogeneration and small power production

    Energy Technology Data Exchange (ETDEWEB)

    1981-02-01

    These guidelines were designed to assist National Rural Electric Cooperative Association staff and consultants involved in the implementation of Sections 201 and 210 of the Public Utilities Regulatory Policies Act (PURPA). The guidelines were structured to meet anticipated use as: a self-contained legal, technical and economic reference manual helpful in dealing with small power producers and cogenerators; a roadmap through some of the less obvious obstacles encountered by utilities interacting with small power producers and cogenerators; a starting point for those utilities who have not yet formulated specific policies and procedures, nor developed rates for purchasing power from small power producers and cogenerators; a discussion vehicle to highlight key issues and increase understanding in workshop presentations to rural electric cooperatives; and an evolutionary tool which can be updated to reflect changes in the law as they occur. The chapters in these Guidelines contain both summary information, such as compliance checklists, and detailed information, such as cost rate calculations, on regulatory requirements, operational considerations, and rate considerations. The appendices contain more specific material, e.g. rural electric cooperative sample policy statements. (LCL)

  5. 75 FR 181 - Notice of Determinations on the PURPA Standards Set Forth in the Energy Independence and Security...

    Science.gov (United States)

    2010-01-04

    ... consists of the intelligent electronic devices (IEDs) and communications between the devices for feedback... Equipment provisions in subsection C employ a rate of return perspective that applies to investor-owned...

  6. Techniques for analyzing the impacts of certain electric-utility ratemaking and regulatory-policy concepts. Regulatory laws and policies. [State by state

    Energy Technology Data Exchange (ETDEWEB)

    None

    1980-08-01

    This report is a legal study prepared to provide a review of the substantive and procedural laws of each regulatory jurisdiction that may affect implementation of the PURPA standards, and to summarize the current state of consideration and implementation of policies and rate designs similar or identical to the PURPA standards by state regulatory agencies and nonregulated utilities. This report is divided into three sections. The first section, the Introduction, summarizes the standards promulgated by PURPA and the results of the legal study. The second section, State Regulatory Law and Procedure, summarizes for each state or other ratemaking jurisdiction: (1) general constitutional and statutory provisions affecting utility rates and conditions of service; (2) specific laws or decisions affecting policy or rate design issues covered by PURPA standards; and (3) statutes and decisions governing administrative procedures, including judicial review. A chart showing actions taken on the policy and rate design issues addressed by PURPA is also included for each jurisdiction, and citations to relevant authorities are presented for each standard. State statutes or decisions that specifically define a state standard similar or identical to a PURPA standard, or that refer to one of the three PURPA objectives, are noted. The third section, Nonregulated Electric Utilities, summarizes information available on nonregulated utilities, i.e., publicly or cooperatively owned utilities which are specifically exempted from state regulation by state law.

  7. 78 FR 59926 - Clearwater Paper Corporation; Notice of Petition for Enforcement

    Science.gov (United States)

    2013-09-30

    ... \\1\\ and IPUC Order No. 32802 \\2\\ are inconsistent with PURPA. \\1\\ In the Matter of the Commission's...) Methodologies for Calculating Avoided Cost Rates, IPUC Case No. GNR-E-11-03, Order No. 32802 (May 6, 2013) Any...

  8. Public Utility Regulatory Policies Act of 1978. Annual report to Congress

    Energy Technology Data Exchange (ETDEWEB)

    None,

    1980-05-01

    Titles I and III of the Public Utility Regulatory Policies Act of 1978 (PURPA) establish retail regulatory policies for electric and natural gas utilities, respectively, aimed at achieving three purposes: conservation of energy supplied by electric and gas utilities; efficiency in the use of facilities and resources by these utilities; equitable rates to electricity and natural gas consumers. PURPA also continues the pilot utility implementation program, authorized under Title II of the Energy Conservation and Production ACT (ECPA), to encourage adoption of cost-based rates and efficient energy-management practices. The purpose of this report is twofold: (1) to summarize and analyze the progress that state regulatory authorities and certain nonregulated utilities have made in their consideration of the PURPA standards; and (2) to summarize the Department of Energy (DOE) activities relating to PURPA and ECPA. The report provides a broad overview and assessment of the status of electric and gas regulation nationwide, and thus helps provide the basis for congressional and DOE actions targeted on the utility industry to address pressing national energy problems.

  9. 18 CFR 4.30 - Applicability and definitions.

    Science.gov (United States)

    2010-04-01

    ...)(1) and 4.34(f)(3), a recommendation for facilities, programs, or other measures to benefit... Federal, state, or interstate agency exercising administration over the areas of flood control, navigation... and release operation. (30) PURPA benefits means benefits under section 210 of the Public Utility...

  10. Homemade Electricity: An Introduction to Small-Scale Wind, Hydro, and Photovoltaic Systems.

    Science.gov (United States)

    Smith, Diane

    This report consists of three parts. The first part provides advice (in the form of questions and answers) to prospective individual power producers who are considering investing in electricity-producing systems and in generating their own power. A list of Public Utilities Regulatory Policies Act (PURPA) regulations is included. This legislation…

  11. 78 FR 52171 - Combined Notice of Filings #1

    Science.gov (United States)

    2013-08-22

    ...: ISO New England Inc. Description: Attachment A-1 to be effective 6/15/2013. Filed Date: 8/15/13... following PURPA 210(m)(3) filings: Docket Numbers: QM13-4-000. Applicants: City of Burlington, Vermont... of the City of Burlington, Vermont. Filed Date: 8/15/13. Accession Number: 20130815-5117. Comments...

  12. 76 FR 28019 - Gregory R. Swecker, Beverly F. Swecker v. Midland Power Cooperative, State of Iowa; Notice of...

    Science.gov (United States)

    2011-05-13

    ... DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. EL11-39-000] Gregory R. Swecker, Beverly F. Swecker v. Midland Power Cooperative, State of Iowa; Notice of Complaint Take notice... 1978 (PURPA),\\1\\ Gregory R. Swecker and Beverly F. Swecker (Complainants) filed a petition requesting...

  13. 76 FR 76153 - Allco Renewable Energy Limited v. Massachusetts Electric Company d/b/a National Grid; Notice of...

    Science.gov (United States)

    2011-12-06

    ... DEPARTMENT OF ENERGY Federal Energy Regulatory Commission [Docket No. EL12-12-000] Allco Renewable Energy Limited v. Massachusetts Electric Company d/b/a National Grid; Notice of Complaint Take notice... Public Utilities Regulatory Policies Act (PURPA), Allco Renewable Energy Limited filed a formal complaint...

  14. Financing of wind energy projects

    International Nuclear Information System (INIS)

    Harland, S.

    1991-01-01

    This paper looks at what banks need to know to enable them to consider a wind energy project. The major experiences of banks in financing wind energy have been in the US where governmentally inspired long term sales contracts (PURPA Contracts) have given a security to sponsors and banks not available elsewhere. (Author)

  15. Private power financing: a case study

    International Nuclear Information System (INIS)

    Stocker, Albert

    1991-01-01

    The Public Utility Regulatory Power Act (PURPA) in the USA and the UK's Electricity Act passed in 1989 are discussed and the first UK private power project is considered. A case study is presented, and covers the questions of when to approach the bank; banker versus investment bank; project fundamentals; the sponsor and the management team; the strength of the key project agreements; syndication of the project debt; and bank support during construction and operation. (author)

  16. Legal issues in power sale contract negotiations

    International Nuclear Information System (INIS)

    Goodwin, L.M.

    1990-01-01

    The Public Utility Regulatory Policies Act of 1978 (PURPA) is the foundation of the cogeneration industry. However, few cogeneration projects could be financed on the basis of PURPA alone. PURPA guarantees project owners the right to sell power at the purchasing utility's Avoided Cost, whatever that may be from time to time. However, the development and financing of a cogeneration project requires a secure and dependable income stream, not a mere guarantee of the right to receive the spot price for power. Accordingly, developers have found that a formal power sale contract with the purchasing utility is a prerequisite to successful project development. This paper summarizes some current issues in power sale contract negotiation, with a particular emphasis on contract terms which shift risks from the utility and its ratepayers to the developer. Many of these trends originally appeared before the advent of competitive bidding systems, but most will continue to affect power sale contracts under competitive bidding, and under IPP project development as well

  17. The evolution of the competitive bidding process

    International Nuclear Information System (INIS)

    Oliver, W.J.; Dingle, R.J.

    1993-01-01

    From the 1920s to the early 1970s, the structure of the electric utility industry remained fairly constant. Up until this time, the generation, transportation and distribution of electricity was provided by local electric utility companies. The dominant pricing method was cost-of-service based rates, which relies on the premise that generation of electricity is not a competitive market, but a natural monopoly. This environment included close scrutiny by state and federal regulatory bodies to ensure that electric utility companies were making prudent management decisions. This stable environment changed with the passage of the Public Utility Regulatory Policies Act (PURPA) in 1978. The primary intent of PURPA was to encourage the use of renewable energy sources, energy efficiency measures, and cogeneration and small power production. The act guaranteed firms and developers Interconnection with the host utility company and administrated avoided costs for the basis of payment for sales of power by qualifying facilities to the host utility. By the early 1980s, the primary change that PURPA brought to the structure of the electric utility industry was the introduction of the small power producer (SPP). Since then, however, the emergence of new suppliers has challenged the basic infrastructure of the electric generation industry. Along the way, the concept that electric generation is a natural monopoly has been called into question

  18. Design of an economically efficient feed-in tariff structure for renewable energy development

    International Nuclear Information System (INIS)

    Lesser, Jonathan A.; Su Xuejuan

    2008-01-01

    Evidence suggests, albeit tentatively, that feed-in tariffs (FITs) are more effective than alternative support schemes in promoting renewable energy technologies (RETs). FITs provide long-term financial stability for investors in RETs, which, at the prevailing market price of electricity, are not currently cost-efficient enough to compete with traditional fossil fuel technologies. On the other hand, if not properly designed, FITs can be economically inefficient, as is widely regarded to have been the case under the Public Utility Regulatory Policies Act of 1978 (PURPA). Under PURPA, too high a guaranteed price led to the creation of so-called 'PURPA machines'-poorly performing generating units that could survive financially only because of heavy subsidies that came at the expense of retail customers. Similarly, because of their adverse impacts on retail electricity rates, German FITs have been subject to increasing political pressure from utilities and customers. In this paper, we propose an innovative two-part FIT, consisting of both a capacity payment and a market-based energy payment, which can be used to meet the renewables policy goals of regulators. Our two-part tariff design draws on the strengths of traditional FITs, relies on market mechanisms, is easy to implement, and avoids the problems caused by distorting wholesale energy markets through above-market energy payments. The approach is modeled on forward capacity market designs that have been recently implemented by several regional transmission organizations in the USA to address needs for new generating capacity to ensure system reliability

  19. Pioneering in wind energy: the California experience

    International Nuclear Information System (INIS)

    Righter, R.W.

    1996-01-01

    In California today nearly 16,000 wind generators are spinning, providing for the electrical needs of roughly one million residents. Yet in 1980, just sixteen years ago, the state was without wind generators, save for a few experimental models. It is time to reflect on this remarkable growth. What caused it? What transformed a ''soft energy path'' dream into reality? This paper will focus on four central factors: (1) political climate, (2) tax incentives, (3) the PURPA Act of 1978, and (4) a sympathetic public utility commission. (author)

  20. Power Sales to Electric Utilities

    Energy Technology Data Exchange (ETDEWEB)

    None

    1989-02-01

    The Public Utilities Regulatory Policies Act (PURPA) of 1979 requires that electrical utilities interconnect with qualifying facilities and purchase electricity at a rate based upon their full avoided costs (i.e., costs of providing both capacity and energy). Qualifying facilities (QF) include solar or geothermal electric units, hydropower, municipal solid waste or biomass-fired power plants, and cogeneration projects that satisfy maximum size, fuel use, ownership, location, and/or efficiency criteria. In Washington State, neither standard power purchase prices based upon a proxy ''avoided plant'', standard contracts, or a standard offer process have been used. Instead, a variety of power purchase contracts have been negotiated by developers of qualifying facilities with investor-owned utilities, public utility districts, and municipally-owned and operated utilities. With a hydro-based system, benefits associated with resource acquisition are determined in large part by how compatible the resource is with a utility's existing generation mix. Power purchase rates are negotiated and vary according to firm energy production, guarantees, ability to schedule maintenance or downtime, rights of refusal, power plant purchase options, project start date and length of contract; front-loading or levelization provisions; and the ability of the project to provide ''demonstrated'' capacity. Legislation was also enacted which allows PURPA to work effectively. Initial laws established ownership rights and provided irrigation districts, PUDs, and municipalities with expanded enabling powers. Financial processes were streamlined and, in some cases, simplified. Finally, laws were passed which are designed to ensure that development proceeds in an environmentally acceptable manner. In retrospect, PURPA has worked well within Washington. In the state of Washington, 20 small-scale hydroelectric projects with a combined generating capacity of

  1. Thermodynamic and thermoeconomic analyses of a trigeneration (TRIGEN) system with a gas-diesel engine: Part II - An application

    International Nuclear Information System (INIS)

    Balli, Ozgur; Aras, Haydar; Hepbasli, Arif

    2010-01-01

    The paper is Part 2 of the study on the thermodynamic and thermoeconomic analyses of trigeneration system with a gas-diesel engine. In Part 1, thermodynamic and thermoeconomic methodologies for such a comprehensive analysis were provided, while this paper applies the developed methodology to an actual TRIGEN system with a rated output of 6.5 MW gas-diesel engine installed in the Eskisehir Industry Estate Zone, Turkey. Energy and exergy efficiencies, equivalent electrical efficiency, the Public Utility Regulatory Policies Act (PURPA) efficiency, fuel energy saving ratio, fuel exergy saving ratio and other thermodynamic performance parameters are determined for the TRIGEN system. The efficiencies of energy, exergy, PURPA and equivalent electrical efficiency of the entire system are found to be 58.97%, 36.13%, 45.7% and 48.53%, respectively. For the whole system and its components, exergetic cost allocations and various exergoeconomic performance parameters are calculated using the exergoeconomic analysis based on specific exergy costing method (SPECO). The specific unit exergetic cost of the net electrical power, heat energy in the Factory Heating Center (FHC) heating, heat energy in the Painting Factory Heating (PFH) and chilled water in the absorption chiller (ACh) produced by the TRIGEN system are obtained to be 45.94 US$/GJ, 29.98 US$/GJ, 42.42 US$/GJ and 167.52 US$/GJ, respectively.

  2. Environmental externalities and renewables: A policy perspective

    International Nuclear Information System (INIS)

    Sanghi, A.K.

    1992-01-01

    New York state electric utilities are required to incorporate the consideration of environmental externality costs in their bidding programs for new capacity. A natural extension of this policy would be to consider environmental externality costs in the state's implementation of federal regulations under the Public Utilities Regulatory Policies Act (PURPA). A more direct but more politically difficult approach would be the use of environmental taxes. These two approaches are discussed for more fully incorporating environmental externalities in New York's energy planning process. Under PURPA, utilities have a general obligation to purchase energy from interconnected qualifying facilities on the basis of long-run avoided cost (LRAC) estimates. The New York State Public Service Commission is currently updating the LRAC estimates, which do not account for the costs of complying with the 1990 amendments of the Clean Air Act (CAA) or for environmental externality costs associated with underlying generation sources. Environmental externality LRACs are estimated based on SO 2 , NO x , and CO 2 emissions; estimates of CAA compliance are relatively small in comparison. The use of taxes to reduce emissions by making pollution more expensive than abatement is analyzed, with reference to both general revenue and trust fund types of tax mechanisms. The ways the two mechanisms affect development of wind power resources is illustrated to provide further insight into the correct application of environmental externalities in energy planning. 8 refs., 3 figs., 2 tabs

  3. Private hydropower projects: exporting the american experience

    International Nuclear Information System (INIS)

    Rogers, W.L.; Bourgeacq, J.P.

    1991-01-01

    This paper addresses different aspects of exporting the American knowledge and experience in the private development of small-scale hydropower projects. It details the 'export' and 'adaptation/translation' of American PURPA philosophy to other countries. The major stumbling blocks on the road to exportation are listed. The subject countries'market evaluation is explained, as well as methods for researching and gathering the necessary information on a specific country. Methods of choosing a target country are discussed, and the criteria necessary for making a choice are detailed. The subject of legal framework and privatization of power generation issues overseas and the ways and means to help the 'export of U.S. expertise' through U.S. Government programs are described. The subjects of financing and joint ventures with local entities are also included in this paper. Various scenarios for private development overseas are presented

  4. Qualifying cogeneration in Texas and Louisiana

    International Nuclear Information System (INIS)

    Jenkins, S.C.; Cabe, R.; Stauffaeher, J.J.

    1992-01-01

    This paper reports that cogeneration of electricity and useful thermal energy by industrials along the Gulf Coast grew significantly more rapidly than in other parts of the country during and immediately following World War II as a result of the concentration of chemical and plastics processing facilities there. In 1982, Texas passed its version of PURPA, the Public Utility Regulatory Act (PURA) and designated those non-utility generators from which public utilities must purchase electricity as Qualifying Cogenerators. In 1991, there were nearly 7,500 MW of QF power generated for inside-the-fence use or firm capacity sale to utilities, with the two largest utilities in Texas purchasing over half that amount

  5. Biomass energy development in California: Accomplishments and challenges

    International Nuclear Information System (INIS)

    Miller, W.G.

    1994-01-01

    The recent and rapid growth of biomass power development in California has created the largest contiguous biomass fueled electrical generating capacity in U.S. This growth has been fostered by resource availability, federal (PURPA) incentives, and the entrepeneurial response of independent power producers. California's environment has benefited from reduced air emissions, wildfire suppression, landfill reduction and the sequestering of carbon. The state has benefited economically through capital investment, employment for several thousand, and the generation of over $100 million in state and local tax revenues. Along with the benefits have come serious challenges brought about largely due to changes in the utility and regulatory environment. These changes threaten the continued existence and economic viability of the developed biomass power industry in California and threatens to establish national precedents. Specific issues are identified and recommended actions are presented

  6. H.R.1301: A bill to implement the National Energy Strategy Act, and for other purposes, introduced in the US House of Representatives, One Hundred Second Congress, First Session, March 6, 1991

    International Nuclear Information System (INIS)

    Anon.

    1991-01-01

    This bill contains the following: Title I - Residential, commercial, and Federal energy use: consumer and commercial products, and Federal energy management; Title II - Natural gas: natural gas pipeline regulatory reform, natural gas import/export deregulation, and structural reform of the Federal Energy Regulatory Commission; Title III - Oil: Alaska coastal plain oil and gas leasing, Naval Petroleum Reserve leasing, and oil pipeline deregulation; Title IV - Electricity generation and use: Public Utility Holding Company Act reform, and power marketing administration repayment reform; Title V - Nuclear power: licensing reform, nuclear waste management; Title VI - Renewable energy: PURPA size cap and co-firing reform, and hydroelectric power regulatory reform; Title VII - Alternative fuel: alternative and dual fuel vehicle credits, and alternative transportation fuels; Title VIII - Innovation and technology transfer; Title IX - Tax incentives

  7. A U.S. developer's introduction to international independent power development

    International Nuclear Information System (INIS)

    Goodwin, L.M.

    1993-01-01

    Because US developers have had significant experience developing independent power projects in the US during the fifteen years since the Public Utility Regulatory Policies Act (''PURPA'') was passed, US developers have been some of the most aggressive participants in the early stages of international independent power development. However, US developers who attempt to transplant their US experience directly to foreign markets may be in for a rude awakening. Despite the similarities, there are significant differences between energy project development within the US and development in international markets. The purpose of this paper is to explore these differences, and to review some of the new considerations that experienced US developers will have to deal with in developing international projects

  8. White certificates — Energy efficiency programs under private information of consumers

    International Nuclear Information System (INIS)

    Wirl, Franz

    2015-01-01

    Energy efficiency is an objective of public interventions at least since the Public Utility Regulatory Policy Act of 1978 (PURPA). Recently, conservation has received considerable attention in the United States and in particular in the European Union but this time in order to mitigate global warming. Policy measures include regulations at the technical level and the introduction of white certificates in order to force utilities and firms to invest into conservation in a way similar to the already existing renewable energy quota. This paper derives the optimal mechanism if utilities must deal with white certificates facing consumers holding private information. The optimal mechanism has some theoretically interesting features like restricted participation and a discontinuity. - Highlights: • Energy efficiency programs are again an objective of public interventions. • White certificates force utilities to invest in conservation. • However, issues of private information are ignored. • Conservation program accounting for private information • The optimal contract has non-standard features like a discontinuity

  9. Market dynamics of biomass fuel in California

    International Nuclear Information System (INIS)

    Delaney, W.F.; Zane, G.A.

    1991-01-01

    The California market for biomass fuel purchased by independent power producers has grown substantially since 1980. The PURPA legislation that based power purchase rates upon the 'avoided cost' of public utilities resulted in construction of nearly 900 Megawatts of capacity coming online by 1991. Until 1987, most powerplants were co-sited at sawmills and burned sawmill residue. By 1990 the installed capacity of stand-alone powerplants exceeded the capacity co-sited at wood products industry facilities. The 1991 demand for biomass fuel is estimated as 6,400,000 BDT. The 1991 market value of most biomass fuel delivered to powerplants is from $34 to $47 per BDT. Biomass fuel is now obtained from forest chips, agriculture residue and urban wood waste. The proportion of biomass fuel from the wood products industry is expected to decline and non-traditional fuels are expected to increase in availability

  10. [Address by Lt. Gov. Mark S. Singel: Independent power generation in Pennsylvania

    International Nuclear Information System (INIS)

    Singel, M.S.

    1991-01-01

    The paper discusses the economic development of cogeneration and independent power generation facilities in Pennsylvania. The implementation of PURPA 210 on the state level and proposed federal changes are discussed. Pennsylvania is concerned about three key issues related to these proposed changes and these are described. The issues concern the granting of contracts with levelized, or front-loaded contract rates; whether utilities should include price reopeners and/or regulatory out-clauses in power purchase agreements; and adoption of a state bidding system. The author believes that innovative, capital-intensive technologies will probably not be developed if regulators dwell too greatly on perceived risk and short-run costs. While independent power production is presently at something of a standstill in Pennsylvania, the author believes this situation will change in the near future

  11. Ownership options, financing structures, and regulatory considerations affecting independent power production projects

    International Nuclear Information System (INIS)

    Knapp, G.M.

    1990-01-01

    In this paper is a framework for analysis of the legal, financing, and policy differences between independent power production projects (IPPs) and projects with qualifying facility status (QFs) under the Public Utility Regulatory Policies Act (PURPA). At a basic level, there is no fundamental difference in types of ownership and financing structures available to IPPs and QFS. The key consideration, though, is the regulatory and legal implications to project participants. Significant issues arise for equity participants, lenders, developers, and project operators that are considering IPP projects. Of course, many of these same issues apply to certain types of QF projects that are not fully exempt from the Public Utility Holding Company Act (PUHCA) and the Federal Power Act (FPA)

  12. Cogeneration

    International Nuclear Information System (INIS)

    Lock, R.H.J.H.

    1990-01-01

    Cogeneration has dominated generation capacity expansion in the 1980s in many regions in a way that was never envisaged in the 1970s. The author of this paper suspects it will continue to play a major role in the 1990s in providing new power supply, though perhaps as a smaller part of a larger and more diverse market to meet new capacity needs than we have seen in the 1980s. When Congress enacted Section 210 of PURPA in 1978, its central goal was to create, through a series of regulatory protections primarily designed to neutralize the monopsony power of the purchasing utility, a quasi-market for cogeneration and certain other small power technologies. This would provide a truer test of their value in the power supply mix than had traditional regulation. However, Congress envisaged these sources as only a small, though potentially efficient, adjunct to traditional utility capacity additions

  13. Economic Valuation of a Geothermal Production Tax Credit

    Energy Technology Data Exchange (ETDEWEB)

    Owens, B.

    2002-04-01

    The United States (U.S.) geothermal industry has a 45-year history. Early developments were centered on a geothermal resource in northern California known as The Geysers. Today, most of the geothermal power currently produced in the U.S. is generated in California and Nevada. The majority of geothermal capacity came on line during the 1980s when stable market conditions created by the Public Utility Regulatory Policies Act (PURPA) in 1978 and tax incentives worked together to create a wave of geothermal development that lasted until the early 1990s. However, by the mid-1990s, the market for new geothermal power plants began to disappear because the high power prices paid under many PURPA contracts switched to a lower price based on an avoided cost calculation that reflected the low fossil fuel-prices of the early 1990s. Today, market and non-market forces appear to be aligning once again to create an environment in which geothermal energy has the potential to play an important role in meeting the nation's energy needs. One potentially attractive incentive for the geothermal industry is the Production Tax Credit (PTC). The current PTC, which was enacted as part of the Energy Policy Act of 1992 (EPAct) (P.L. 102-486), provides an inflation-adjusted 1.5 cent per kilowatt-hour (kWh) federal tax credit for electricity produced from wind and closed-loop biomass resources. Proposed expansions would make the credit available to geothermal and solar energy projects. This report focuses on the project-level financial impacts of the proposed PTC expansion to geothermal power plants.

  14. Current status of RTO development and its implications for Canada

    Energy Technology Data Exchange (ETDEWEB)

    MacDougall, M. [Powerex Corp., Vancouver, BC (Canada)

    2002-07-01

    This presentation includes a corporate review of Powerex, a review of Order 2000, and the current status of the Federal Energy Regulatory Commission's (FERC) efforts regarding Regional Transmission Operators (RTOs). Other topics of discussion include FERC's standard market design, an update of RTO West and implications for Canada. Powerex was incorporated in 1988 as a wholly-owned subsidiary of BC Hydro. British Columbia-based Powerex's heaviest trading is along the western-most states and Alberta, but it is slowly expanding into central and eastern markets. It evolved by selling and buying power at the United States Border. It received US FERC power marketing authorization in 1997 and has since seen sales jump from C$165 million to C$5.4 billion. Currently, the majority of power supply is from utilities other than BC Hydro. The presentation addresses issues such as the Federal Power Act, PUHCA and PURPA, and the 1992 Energy Policy Act which deals with expanded access to the power grid. Power Pool restructuring and FERC orders 888/889 are also discussed. 2 figs.

  15. Feasibility of a medium-size central cogenerated energy facility, energy management memorandum

    Science.gov (United States)

    Porter, R. W.

    1982-09-01

    The thermal-economic feasibility was studied of a medium-size central cogenerated energy facility designed to serve five varied industries. Generation options included one dual-fuel diesel and one gas turbine, both with waste heat boilers, and five fired boilers. Fuels included natural gas, and for the fired-boiler cases, also low-sulphur coal and municipal refuse. The fired-boiler cogeneration systems employed back-pressure steam turbines. For coal and refuse, the option of steam only without cogeneration was also assessed. The refuse-fired cases utilized modular incinerators. The options provided for a wide range of steam and electrical capacities. Deficient steam was assumed generated independently in existing equipment. Excess electrical power over that which could be displaced was assumed sold to Commonwealth Edison Company under PURPA (Public Utility Regulator Policies Act). The facility was assumed operated by a mutually owned corporation formed by the cogenerated power users. The economic analysis was predicted on currently applicable energy-investment tax credits and accelerated depreciation for a January 1985 startup date. Based on 100% equity financing, the results indicated that the best alternative was the modular-incinerator cogeneration system.

  16. H.R. 1543: This Act may be cited as the Comprehensive Energy Policy Act of 1991, introduced in the House of Representatives, One Hundred Second Congress, First Session, March 21, 1991

    International Nuclear Information System (INIS)

    Anon.

    1991-01-01

    This bill would encourage cost effective energy conservation and energy efficiency and would permit the exploration, development, production, purchase, and sale of domestic energy resources to the maximum extent practicable and in a manner consistent with environmental values. Sections of the bill describe the following: Conservation and energy efficiency in the electricity sector (electricity and utilities; residential, commercial, and Federal energy use; standards and information; and tax provisions); Conservation in the transportation sector (alternative fuels; natural gas as a transportation fuel; fuel economy; and miscellaneous); Renewable energy sources (PURPA size cap and co-firing reform; hydroelectric power regulatory reform; credit for electricity generated using solar, wind, or geothermal energy; study of tax and rate treatment of renewable energy projects; and encouragement of energy recovery from waste); Electric power (Public Utility Holding Company Act reform; miscellaneous); Natural gas regulatory reform; Oil and gas production (Arctic coastal plain domestic energy leasing; tax incentives for oil and gas exploration and production; oil pipeline deregulation; leasing of Naval Petroleum Reserve; outer continental shelf local impact assistance; western hemisphere energy policy); Coal and coal technology;Nuclear energy (licensing reform; amendment of PUHCA; and Fast Flux Test Facility)

  17. Using in-house expertise in negotiating power sales contracts for industrial cogeneration plants

    International Nuclear Information System (INIS)

    Yott, R.A.

    1992-01-01

    Energy has always been a strategic component of Air Products and Chemicals production costs. In fact, Air Products is among the top consumers of electricity and natural gas in the U.S. Consequently, Air Products has developed a multifaceted Corporate Energy Department. The advent of PURPA in 1978 and the success enjoyed by Air Products in selling industrial gases over the fence to industrial customers as a integral part of their manufacturing system led Air Products into the industrial cogeneration business. This paper briefly summarizes Air Products entry into the industrial cogeneration market and the role that Air Products Energy Department has played in making this new business focus a success. It highlights how Air Products has been able to transfer its in-house expertise in purchasing power to the marketing, bidding, contract negotiation and avoided cost forecasting functions so critical in the successful development of industrial cogeneration opportunities. At Air Products we believe our long association with the utility industry first as a cost-conscious customer and more recently as an electric energy supplier has enhanced our competitive position. The same success story could be repeated at your company if you know what to look for and are not afraid to expand the horizons and responsibilities of your energy department

  18. Current status of RTO development and its implications for Canada

    International Nuclear Information System (INIS)

    MacDougall, M.

    2002-01-01

    This presentation includes a corporate review of Powerex, a review of Order 2000, and the current status of the Federal Energy Regulatory Commission's (FERC) efforts regarding Regional Transmission Operators (RTOs). Other topics of discussion include FERC's standard market design, an update of RTO West and implications for Canada. Powerex was incorporated in 1988 as a wholly-owned subsidiary of BC Hydro. British Columbia-based Powerex's heaviest trading is along the western-most states and Alberta, but it is slowly expanding into central and eastern markets. It evolved by selling and buying power at the United States Border. It received US FERC power marketing authorization in 1997 and has since seen sales jump from C$165 million to C$5.4 billion. Currently, the majority of power supply is from utilities other than BC Hydro. The presentation addresses issues such as the Federal Power Act, PUHCA and PURPA, and the 1992 Energy Policy Act which deals with expanded access to the power grid. Power Pool restructuring and FERC orders 888/889 are also discussed. 2 figs

  19. Indices for planning wind power generation; Furyoku hatsuden no keikaku shihyo

    Energy Technology Data Exchange (ETDEWEB)

    Takeuchi, H

    1997-11-25

    Outlined herein are status of wind power generation development, indices for planning development, and actual development results. At present, wind power generates electric power of 6,781MW worldwide. USA has been rapidly developing wind power generation since enactment of the PURPA law, and accounted for 25% of the world output in the past. However, the county is recently unseated from the world top position by Germany, which has been extensively developing wind power generation since enactment of the EFL law to reach 1,799MW. In Japan, electric power companies, local governments and public institutions have been positively introducing wind mills since 1992, when Tohoku Electric Power Co. built Ryuhi Wind Park, now generating a total power of 15MW by 64 units located at 33 different points. According to the surveys by NEDO on wind conditions, there are a number of districts suited for wind mills in Hokkaido, Tohoku, Okinawa and sea areas in Honshu. The indices described herein for planning wind power generation include rotor diameter, tower height, speed of rotation, weight, power to be generated, utilization and service factors, noise level, and investment and running costs. In the present state of the development of wind power generation in Japan, development points are 33, generated ouptut 15,097kW and units 64. 14 figs.

  20. Meeting the Northwest's Energy Needs Through Competitive Bidding.

    Energy Technology Data Exchange (ETDEWEB)

    McCoy, Gilbert A.; Bloomquist, R. Gordon

    1990-07-01

    Utilities have traditionally met load growth requirements through building projects (self-build), purchasing power from other utilities, or from running conservation programs. During the 1980s, alternative capacity expansion approaches were developed. Resources are now also obtained through PURPA-based or competitive bidding acquisition programs. Self-build programs typically involve large-scale hydropower; coal-, natural gas-, and oil-fired projects; and nuclear thermal electric generating projects. Characteristics of these projects, in addition to size, include long lead times, capital intensiveness, substantial environmental impacts, and a significant risk of cost overruns. The risk element became immediately apparent to those investor-owned utilities that, because of decreased load growth, had thermal project investments disallowed in rate cases or were forced to terminate projects. Phrases such as prudent investment,'' used and useful,'' and least-cost planning'' became familiar to the utility industry. Many utilities, once burned, subsequently adopted a policy of never again constructing a base-loaded generating plant. 2 figs.

  1. Public Utility Regulatory Policies Act of 1978: Natural Gas Rate Design Study

    Energy Technology Data Exchange (ETDEWEB)

    None

    1980-05-01

    First, the comments on May 3, 1979 Notice of Inquiry of DOE relating to the Gas Utility Rate Design Study Required by Section 306 of PURPA are presented. Then, comments on the following are included: (1) ICF Gas Utility Model, Gas Utility Model Data Outputs, Scenario Design; (2) Interim Model Development Report with Example Case Illustrations; (3) Interim Report on Simulation of Seven Rate Forms; (4) Methodology for Assessing the Impacts of Alternative Rate Designs on Industrial Energy Use; (5) Simulation of Marginal-Cost-Based Natural Gas Rates; and (6) Preliminary Discussion Draft of the Gas Rate Design Study. Among the most frequent comments expressed were the following: (a) the public should be given the opportunity to review the final report prior to its submission to Congress; (b) results based on a single computer model of only four hypothetical utility situations cannot be used for policy-making purposes for individual companies or the entire gas industry; (c) there has been an unobjective treatment of traditional and economic cost rate structures; the practical difficulties and potential detrimental consequences of economic cost rates are not fully disclosed; and (d) it is erroneous to assume that end users, particularly residential customers, are influenced by price signals in the rate structure, as opposed to the total bill.

  2. Renewable Energy Prices in State-Level Feed-in Tariffs: Federal Law Constraints and Possible Solutions

    Energy Technology Data Exchange (ETDEWEB)

    Hempling, S.; Elefant, C.; Cory, K.; Porter, K.

    2010-01-01

    State legislatures and state utility commissions trying to attract renewable energy projects are considering feed-in tariffs, which obligate retail utilities to purchase electricity from renewable producers under standard arrangements specifying prices, terms, and conditions. The use of feed-in tariffs simplifies the purchase process, provides revenue certainty to generators, and reduces the cost of financing generating projects. However, some argue that federal law--including the Public Utility Regulatory Policies Act of 1978 (PURPA) and the Federal Power Act of 1935 (FPA)--constrain state-level feed-in tariffs. This report seeks to reduce the legal uncertainties for states contemplating feed-in tariffs by explaining the constraints imposed by federal statutes. It describes the federal constraints, identifies transaction categories that are free of those constraints, and offers ways for state and federal policymakers to interpret or modify existing law to remove or reduce these constraints. This report proposes ways to revise these federal statutes. It creates a broad working definition of a state-level feed-in tariff. Given this definition, this report concludes there are paths to non-preempted, state-level feed-in tariffs under current federal law.

  3. Deemed Savings Estimates for Legacy Air Conditioning and WaterHeating Direct Load Control Programs in PJM Region

    Energy Technology Data Exchange (ETDEWEB)

    Goldman, Charles

    2007-03-01

    During 2005 and 2006, the PJM Interconnection (PJM) Load Analysis Subcommittee (LAS) examined ways to reduce the costs and improve the effectiveness of its existing measurement and verification (M&V) protocols for Direct Load Control (DLC) programs. The current M&V protocol requires that a PURPA-compliant Load Research study be conducted every five years for each Load-Serving Entity (LSE). The current M&V protocol is expensive to implement and administer particularly for mature load control programs, some of which are marginally cost-effective. There was growing evidence that some LSEs were mothballing or dropping their DLC programs in lieu of incurring the expense associated with the M&V. This project had several objectives: (1) examine the potential for developing deemed savings estimates acceptable to PJM for legacy air conditioning and water heating DLC programs, and (2) explore the development of a collaborative, regional, consensus-based approach for conducting monitoring and verification of load reductions for emerging load management technologies for customers that do not have interval metering capability.

  4. Energy and environmental efficiency in competitive power markets

    International Nuclear Information System (INIS)

    Warwick, W.M.

    1995-02-01

    For years the electric utility industry operated as a regulated monopoly, largely immune to market forces except those of competing fuels. That era came to an end with the Public Utilities Regulatory Policy Act (PURPA) of 1974, which created a market for non-utility generated power. Within twenty years, non-regulated, non-utility generators had become the primary supplier of new energy resources. Their market power is matched by their political power, as evidenced in the Energy Policy Act of 1994 (EPAct), which requires open access to utility transmission lines to facilitate inter-utility bulk power sales. The conventional wisdom is that active wholesale power markets with competition among alternative generators will lead to lower power-development costs and cheaper retail power prices. The trend towards alternative bulk power sources at low prices intersects with large retail power customers' interest in accessing alternative power supplies. In most cases, these alternatives to local utilities are at a lower cost than retail rates. For the most part, proponents of generation competition have remained silent about potential environmental consequences. However, skeptics of increased competition, including major environmental groups, cite environmental impacts among their concerns. This report examines these concerns

  5. Impacts of IPP's, restructuring of QF's and expected impacts of PUHCA reform

    International Nuclear Information System (INIS)

    MacDonald, A.

    1991-01-01

    Under the Public Utility Holding Company Act, or PUHCA, the SEC regulates the capital structure of registered holding company systems and securities sales, mergers, service company arrangements, affiliate contracts, and other transactions involving registered holding companies and their subsidiaries. The SEC does not have ratemaking authority or otherwise regulate the operational aspects of the public utility business. Unlike QF's, which are exempt from PUHCA by virtue of the Public Utility Regulatory Policies Act of 1978, or PURPA, IPP's fall within the definition of an 'electric utility company,' and the owners of an IPP (i.e., its stockholders or partners) must carefully navigate the PUCHA mine field to avoid subjecting themselves to the registration requirements of PUHCA. Bills now pending in Congress would, if enacted, exempt some IPP's from PUHCA. In the meantime, PUHCA has not proven to be a complete bar to successful IPP development, although it has undoubtedly contributed to the creation of unusual ownership structures. This paper looks at the various approaches taken by IPP developers to solve the PUHCA problem. It focuses primarily upon structures in which certain equity investors acquire and hold non-voting securities, such as limited partnership interests or non-voting common stock, the role of individuals in the ownership of IPP's, and the use of one or more of the exemptions available under PUHCA for certain kinds of classes of 'holding companies.'

  6. The international power market: Myth and reality

    International Nuclear Information System (INIS)

    Bailly, H.C.; Roseman, E.

    1992-01-01

    As the market for independent power (IP) explodes overseas, a number of companies that have been active in project development in the United States are looking hungrily abroad. Some developers view the international market as less competitive than in the U.S., and many are attracted by its size. The backlog of IP activity overseas has now reached over 140,000 MW, primarily in Asia and Europe. The U.S. has about a ten-year head start on IP projects abroad, where project activity has taken off only in the last three years. In 1978, the Public Utility Regulatory Policies Acr (PURPA) required U.S. utilities to purchase power from developers of qualified facilities (QFs), and in the process, created a business that has thrown to over $10 billion in annual sales. Since 1985, IP has added as much new capacity as utilities. The authors project that in the 1990s, IP will add 45-50 GW of new capacity, or between 40%-50% of total U.S. capacity. With nearly 3,200 IP projects (over 46,000 MW) on line in the U.S., many developers are hoping that their U.S. experience will serve them well in developing projects elsewhere. Moreover, many developers expect that such experience will give them a leg up on foreign competitors, who have few, if any, megawatts on line. Do these hopes reflect the emerging reality, or are they dangerous misinformation? As U.S. developers approach projects elsewhere, what are the key advantages and constraints their U.S. experience confers? This paper reviews five common myths about the international market for IP and compares the U.S. market with the opportunities abroad. In the process, the authors explore issues specific to IP, not general issues of doing business outside the U.S

  7. A business case for on-site generation: The BD biosciences pharmingen project

    Energy Technology Data Exchange (ETDEWEB)

    Firestone, Ryan; Creighton, Charles; Bailey, Owen; Marnay, Chris; Stadler, Michael

    2003-09-01

    Deregulation is haltingly changing the United States electricity markets. The resulting uncertainty and/or rising energy costs can be hedged by generating electricity on-site and other benefits, such as use of otherwise wasted heat, can be captured. The Public Utility Regulatory Policy Act (PURPA) of 1978 first invited relatively small-scale generators ({ge} 1 MW) into the electricity market. The advent of efficient and reliable small scale and renewable equipment has spurred an industry that has, in recent years, made even smaller (business scale) electricity generation an economically viable option for some consumers. On-site energy capture and/or conversion, known as distributed energy resources (DER), offers consumers many benefits, such as economic savings and price predictability, improved reliability, control over power quality, and emissions reductions. Despite these benefits, DER adoption can be a daunting move to a customer accustomed to simply paying a monthly utility bill. San Diego is in many ways an attractive location for DER development: It has high electricity prices typical of California and a moderate climate i.e. energy loads are consistent throughout the year. Additionally, the price shock to San Diego Gas and Electric (SDG&E) customers during the summer of 2000 has interested many in alternatives to electricity price vulnerability. This report examines the business case for DER at the San Diego biotechnology supply company, BD Biosciences Pharmingen, which considered DER for a building with 200-300 kW base-load, much of which accommodates the refrigerators required to maintain chemicals. Because of the Mediterranean climate of the San Diego area and the high rate of air changes required due to on-site use of chemicals, modest space heating is required throughout the year. Employees work in the building during normal weekday business hours, and daily peak loads are typically about 500 kW.

  8. Biomass combustion technologies for power generation

    Energy Technology Data Exchange (ETDEWEB)

    Wiltsee, G.A. Jr. [Appel Consultants, Inc., Stevenson Ranch, CA (United States); McGowin, C.R.; Hughes, E.E. [Electric Power Research Institute, Palo Alto, CA (United States)

    1993-12-31

    Technology in power production from biomass has been advancing rapidly. Industry has responded to government incentives such as the PURPA legislation in the US and has recognized that there are environmental advantages to using waste biomass as fuel. During the 1980s many new biomass power plants were built. The relatively mature stoker boiler technology was improved by the introduction of water-cooled grates, staged combustion air, larger boiler sizes up to 60 MW, higher steam conditions, and advanced sootblowing systems. Circulating fluidized-bed (CFB) technology achieved full commercial status, and now is the leading process for most utility-scale power applications, with more complete combustion, lower emissions, and better fuel flexibility than stoker technology. Bubbling fluidized-bed (BFB) technology has an important market niche as the best process for difficult fuels such as agricultural wastes, typically in smaller plants. Other biomass power generation technologies are being developed for possible commercial introduction in the 1990s. Key components of Whole Tree Energy{trademark} technology have been tested, conceptual design studies have been completed with favorable results, and plans are being made for the first integrated process demonstration. Fluidized-bed gasification processes have advanced from pilot to demonstration status, and the world`s first integrated wood gasification/combined cycle utility power plant is starting operation in Sweden in early 1993. Several European vendors offer biomass gasification processes commercially. US electric utilities are evaluating the cofiring of biomass with fossil fuels in both existing and new plants. Retrofitting existing coal-fired plants gives better overall cost and performance results than any biomass technologies;but retrofit cofiring is {open_quotes}fuel-switching{close_quotes} that provides no new capacity and is attractive only with economic incentives.

  9. The potential impact of externalities considerations on the market for biomass power technologies

    International Nuclear Information System (INIS)

    Swezey, B.G.; Porter, K.L.; Feher, J.S.

    1995-01-01

    Of all the renewable energy sources used for power generation, biomass energy has experienced the greatest growth over the last decade. Spurred by requirements established in the Public Utility Regulatory Policies Act of 1978 (PURPA), as well as various tax incentives, biomass-based power generation now provides more than 50 billion kWh of electric energy from 10,000 MW of installed capacity. The overwhelming majority of this capacity, primarily wood-based, has been developed by the nonutility sector. However, the biomass industry is currently facing more difficult market conditions due to a reduction in federal incentives and changes in the generation market, such as lower utility avoided costs, slower demand growth, and greater competition among both generators and fuel sources. States are increasingly contemplating the inclusion of market externalities costs and benefits associated with different generation options in electricity resource planning and procurement decisions. Market externalities, as they relate to generation resources and technologies, represent impacts that are not wholly reflected in the market price of electricity derived from these sources. These impacts, which can be either positive or negative, can encompass environmental, economic and other social factors, but state considerations have focused predominantly on environmental externalities costs, especially air emissions. The explicit quantification of externalities could measurably affect the competitive standing of various energy resources and technologies in future generation resource acquisitions. This paper summarizes work undertaken to assess the status the externalities considerations in state and utility electricity resource planning processes and to determine how externalities considerations might help or hinder future development of biomass power plants. (author)

  10. Efficiency and the public interest: QF transmission and the Energy Policy Act of 1992

    International Nuclear Information System (INIS)

    Fox-Penner, P.

    1993-01-01

    Prior to the enactment of the Energy Policy Act of 1992 (Act), most Federal Energy Regulatory Commission (FERC or Commission) deliberations involving transmission services did not occur in transmission rate or service proceedings per se. The Commission conducted a number of general inquiries or studies of the subject, including setting the terms and conditions of transmission services as part of merger proceedings and open-quotes market-basedclose quotes pricing proceedings. With the passage of the Act, the FERC is likely to be asked to confront the advisability of requiring transmission services in a more direct manner. The Act permits open-quotes[a]ny electric utility, Federal power marketing agency, or any other person generating electrical energy for sale for resaleclose quotes to petition the Commission for a wheeling order. The FERC may order wheeling in accordance with section 212 of the Federal Power Act (FPA) and a finding that such wheeling would open-quotes otherwise be in the public interest.close quotes When compounded with the need to find that wheeling is in the public interest, the requirements set forth in section 212 are considerable. This article focuses on an important area of section 212 criteria, namely the interplay between between the public interest and economic efficiency criteria in the case of Public Utility Regulatory Policies Act of 1978 (PURPA) Qualifying Facilities (QF). Two recent proceedings in which the FERC considered the need to provide power transmission service guarantees for QFs are analyzed from the standpoint of public and private economic welfare. The two proceedings are the merger of Utah Power ampersand Light Company, PacifiCorp, PC/UP ampersand L Merging Corporation (Utah) and the Western Systems Power Pool application (WSPP)

  11. Who Owns Renewable Energy Certificates? An Exploration of PolicyOptions and Practice

    Energy Technology Data Exchange (ETDEWEB)

    Holt, Edward A.; Wiser, Ryan; Bolinger, Mark

    2006-04-05

    ownership must often be answered by legislative or regulatory authorities. Some renewable energy contracts pre-date the existence of RECs, however, and in these cases the disposition of RECs is often unclear. Similarly, because of the recent appearance of RECs, legislation and regulation mandating the purchase of renewable energy has sometimes been silent on the disposition of the RECs associated with that generation. The resulting uncertainty in REC ownership has hindered the development of robust REC markets and has, in some cases, led to contention between buyers and sellers of renewable generation. The purpose of this report is to provide information and insight to state policy-makers, utility regulators, and others about different approaches to clarifying the ownership of RECs. We focus exclusively on three distinct areas in which REC ownership issues have arisen: (1) Qualifying Facilities (QFs) that sell their generation under the Public Utility Regulatory Policies Act (PURPA) of 1978; (2) Customer-owned generation that benefits from state net metering rules; and (3) Generation facilities that receive financial incentives from state or utility funds. This is a survey report. It reviews how both the federal government and states have addressed these issues to date, and highlights the arguments that have been raised for different REC ownership dispositions. Our aim is to describe the arguments on each side, and the context for the debates that are occurring. We do not, in this report, provide a list of policy recommendations for how policymakers should be addressing these issues.

  12. Electricity supply. The effects of competitive power purchases are not yet certain

    International Nuclear Information System (INIS)

    England-Joseph, Judy; Wood, David G.; Bausell, Charles W. Jr.; Farah, Philip G.; Alexander, Alice M.; Griffes, Peter H.; Jorritsma, James S.; Skud, Bruce; Dunbrack, Linda W.

    1990-08-01

    Most electricity in the United States is produced by utilities that own and operate facilities for the generation, transmission, and distribution of power. Utilities traditionally have operated as regulated monopolists, each within an established geographic area. In return, utilities have an obligation to provide reliable electricity to all consumers in their territory at a reasonable price. Many utility companies also participate in power pools, under which they may purchase electricity from one another to meet requirements. Utilities are allowed to earn a return on plants they own and operate, while the costs of purchased electricity are passed directly to consumers. To encourage the development of alternative energy resources, the Public Utility Regulatory Policies Act of 1978, as amended, (PURPA) required utilities to purchase power offered by qualifying facilities at a price not exceeding the utilities' avoided cost of generating it or purchasing it from another source. In part to help state regulators and utilities determine utilities' avoided costs and to help sort through a flood of bids, competitive bidding, which allows market forces to help determine prices, has emerged as a means of purchasing power from nonutility generators. Because several years are often required to construct generating sources, utilities have little operating experience with competitively purchased electricity. Thus, the effects of competitive power purchases on the long-term reliability of electric service - which is affected by the reliability of all sources and transmission and distribution facilities are not yet certain and difficult to assess. Among the three utilities reviewed, only at Central Maine Power have sources of competitively purchased power entered service, and they have operated reliably. However, each utility reviewed has accepted bids that were subsequently withdrawn, for financial or other reasons, prior to scheduled service dates. When selecting nonutility