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Independent power producers formally exempted from FERC regulation in Orange and Rockland case

Journal Article · · Cogener. Small Power Mon.; (United States)
OSTI ID:5008942
In a harbinger of the rule making to come, FERC has ruled that independent power producers may have FERC regulation waived in a manner similar to that applicable to cogenerators and small power producers. In the case of Orange and Rockland Utilities, Inc. the utility asked that FERC approve a plan by which it would purchase power from a variety of industrial generators in its service territory, none of which held itself out to be a qualifying facility under PURPA. Yet the plan called for avoided-cost-based payments. This was deemed important because without the special approval, the rates charged by the industrial generators would be subject to FERC regulation on a rate-of-return basis, subjecting them to extensive record keeping and public-disclosure requirements ordinarily applicable only to public utilities. FERC agreed that this type of regulation would be counterproductive, and declared the industrial generators to be worthy of an exemption from regulation because they were Independent Power Producers.
OSTI ID:
5008942
Journal Information:
Cogener. Small Power Mon.; (United States), Journal Name: Cogener. Small Power Mon.; (United States); ISSN CSPME
Country of Publication:
United States
Language:
English

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