July 28, 2020
EnerKnol’s Visual Primer – FERC’s Updates to Utility Power Procurement Rules Gives States More Say in Rate Setting
Despite utilities’ claims that the revisions will lower costs for consumers, clean energy advocates fear that the changes may harm small power producers that rely on the fixed energy price contracts to obtain financing.
The Federal Energy Regulatory Commission has revised the regulations for implementing a 1978 federal law, which requires electric utilities to purchase power from small power producers. The reforms, intended to reflect changes in the energy markets, mark the first major overhaul to utility power procurement rules under the law, which has spurred the growth of small renewable generators.