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U.S. Department of Energy
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PURPA-related issues No. 1 on FERC's action schedule

Journal Article · · Cogeneration; (United States)
OSTI ID:5577708

PURPA-related issues are No. 1 on FERC's energy agenda, Chairman Martha O. Hesse told members of the House Energy and Commerce subcommittee on energy and power recently. Other prime issues, in order of priority, are bulk-power pricing, transmission pricing, and access and incentive regulation. FERC's review of PURPA will begin with the premise that electric generation may no longer be a natural monopoly in all markets and will factor in Hesse's personal belief that the discipline of market forces can provide greater efficiency and lower rates while ensuring the levels of reliability expected by consumers. The commission will follow two regulatory approaches on the matter, she explained. The first will refine avoided-cost pricing and will seek to modify PURPA regulations now promoting inefficiencies. The second, or market-oriented, approach will focus on integration of power from QFs, the buying utility, outside utilities, and non-QF's. Guidance to states on how and when to price independent power capacity if they decide to fix avoided costs administratively is the goal of the first approach.

OSTI ID:
5577708
Journal Information:
Cogeneration; (United States), Journal Name: Cogeneration; (United States) Vol. 4:5; ISSN COGEE
Country of Publication:
United States
Language:
English