PURPA Rules: FERC Revisions Regarding QF Power Sales, Requirements for Utilities, QF Certification, State Authority

This CLE course will provide energy counsel with an in-depth analysis of PURPA regulations, FERC's revisions, and recent court decisions. The panel will discuss critical aspects of the revised rules to encourage the development of qualifying small power production facilities and cogeneration facilities (QFs), requirements for electric utilities, state authority for energy rates in QF power sales contracts, and modification of the "one-mile rule." The panel will also discuss changes to a utility's obligation to purchase QF output, QF certifications, and other vital provisions.

PURPA, as implemented through FERC regulations, requires electric utilities to interconnect with QFs, purchase electricity from certain QFs, and provide backup energy to QFs at just, reasonable, and not unduly discriminatory rates and terms. PURPA also provides exemptions for certain QFs from numerous provisions of the Federal Power Act, the Public Utility Holding Company Act of 2005, and certain state laws and regulations.

FERC's PURPA regulations address: (1) avoided cost determinations for QF rates; (2) treatment of QF facilities located at the same site through a restructuring of the "one-mile rule;" (3) mandatory purchase obligations from QFs; (4) contracts and legally enforceable obligations (LEOs); and (5) QF certification, including self-certification and self-recertification. These sweeping revisions have caused both controversy and confusion. Energy counsel must understand the application of these rules and identify critical issues for certain facilities, developers, lenders, and operators.

Listen as our panel discusses vital aspects of the revised rules, requirements for electric utilities, changes to state authority to set QF rates, the "one-mile rule," QF certification, and other key issues.