PUHCA reform will affect the market for QFs

According to RCG/Hagler, Bailly Inc., there are currently 10 independent power projects in operation with a total capacity of 3,030 MW. Another 34,375 MW of capacity are under development. In manager Elliot Roseman's opinion, only about 50% of the projects under development will enter commercia...

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Bibliographic Details
Published inPower engineering (Barrington, Ill.) Vol. 97; no. 3; p. 10
Main Author Smith, Douglas J
Format Magazine Article
LanguageEnglish
Published Barrington Clarion Events, Ltd 01.03.1993
Subjects
Electric power plants
Electric utilities
Federal regulation
National Energy Act 1978-US
Nonutility generators
Power plants
Public utilities
United States > US
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Summary:According to RCG/Hagler, Bailly Inc., there are currently 10 independent power projects in operation with a total capacity of 3,030 MW. Another 34,375 MW of capacity are under development. In manager Elliot Roseman's opinion, only about 50% of the projects under development will enter commercial operation. However, he believes that the reform of the Public Utility Holding Company Act (PUHCA) will impact the industry in several ways. One impact is the replacement of 7,000 MW of Public Utility Regulatory Policy Act (PURPA) qualifying facilities (QF) capacity now under development by exempt wholesale generators (EWG). A new type of EWG will develop, says Roseman. As a result, a new breed of power plant developer, called domestic independent power producers (DIPP) will evolve without the restrictions of PURPA or the limitations of PUHCA. RCG/Hagler, Bailly forecasts that more electric utilities will enter the DIPP market now that restrictions on ownership of independent power plants have been lifted.
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ISSN:0032-5961