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PURPA 210 avoided cost rates: Economic and implementation issues

Journal Article · · Energy Syst. Policy; (United States)
OSTI ID:6194772
; ;
The purpose of Section 210 of the Public Utilities Regulatory Policies Act (PURPA) was to promote the utilization of waste and renewable fuels and cogeneration processes for increasing electric power supplies. It represents a radical change in policy by allowing financially unregulated parties to generate power in ''qualifying facilities'' and by requiring utilities to purchase this power at the utilities' marginal (or ''avoided'') cost. PURPA 210 has clearly had a major impact as measured by the actual and proposed number of new qualifying facilities; however, implementation has been difficult due to the adversarial nature of the process for negotiating or setting the avoided cost rates. This paper reviews the pertinent PURPA rules and regulations, analyzes the status of current avoided cost rates that have been established, and discusses implementation issues and options for resolving those issues.
Research Organization:
Science and Public Policy Program, 601 Elm Avenue, Norman, OK 73019
OSTI ID:
6194772
Journal Information:
Energy Syst. Policy; (United States), Journal Name: Energy Syst. Policy; (United States) Vol. 11:2; ISSN ESYPB
Country of Publication:
United States
Language:
English

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Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
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293000 -- Energy Planning & Policy-- Policy
Legislation
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296000* -- Energy Planning & Policy-- Electric Power
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION
320603 -- Energy Conservation
Consumption
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COGENERATION
DEUS
ECONOMIC IMPACT
ELECTRIC UTILITIES
ELECTRONIC EQUIPMENT
ENERGY SOURCES
ENERGY SYSTEMS
EQUIPMENT
IMPLEMENTATION
LAWS
MARGINAL-COST PRICING
NATIONAL ENERGY ACT
POWER GENERATION
POWER SUPPLIES
PRICES
PUBLIC UTILITIES
PUBLIC UTILITY REGULATORY POLICIES ACT
RATE STRUCTURE
REGULATIONS
RENEWABLE ENERGY SOURCES
SELLBACK
STEAM GENERATION
WASTE PRODUCT UTILIZATION