Public Utility Regulatory Policies Act of 1978
- Public Utility Regulatory Policies Act of 1978
(PURPA)
PURPA promotes energy efficiency and increased use of alternative energy sources by encouraging companies to build cogeneration facilities and renewable energy projects using wind power, solar energy, geothermal energy, hydropower, biomass, and waste fuels.
A law that requires electric utilities to purchase electricity produced from qualifying power producers that use renewable energy resources or are cogenerators. Utilities are required to purchase power at a rate equal to the avoided cost of generating the power themselves. (See Avoided Costs and Qualifying Facility)
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The Public Utility Regulatory Policies Act of 1978, passed by the U.S. Congress. This statute requires States to implement utility conservation programs and create special markets for co-generators and small producers who meet certain standards, including the requirement that States set the prices and quantities of power the utilities must buy from such facilities.
U.S. Dept. of Energy, Energy Information Administration's Energy Glossary
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One part of the National Energy Act, PURPA contains measures designed to encourage the conservation of energy, more efficient use of resources, and equitable rates. Principal among these were suggested retail rate reforms and new incentives for production of electricity by cogenerators and users of renewable resources. The Commission has primary authority for implementing several key PURPA programs.
U.S. Dept. of Energy, Energy Information Administration's Energy Glossary
Energy terms .
2014.
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