Renewable Energy World: In the years since its passage, Section 210 of the Public Utility Regulatory Policies Act (PURPA) has provided one of the few options for small producers of renewable energy to access electric generation markets controlled by monopoly utilities. The law requires a monopoly utility to purchase the output of certain small power producers known as “qualifying facilities” (QFs) at the utility’s “avoided cost”—that is, the cost the utility would incur to generate or purchase power in the absence of the purchase from the QF.
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