FERC Clarifies California Feed-In Tariff Procedures

摘要

In a ruling Oct. 21, the Federal Energy Regulatory Commission (FERC) clarified for California how the state can encourage development of new electricity generation resources in a way that does not conflict with federal laws and regulations. The ruling sets a national precedent and effectively clears the way for other states to adopt feed-in tariffs. In the action, FERC further clarified for the California Public Utilities Commission (CPUC) and the state's three investor-owned utilities its July 2010 order that outlined how the state could implement its feed-in tariff. Feed-in tariffs typically are designed to encourage certain types of generation resources by offering a guaranteed purchase price for electricity generated from those resources under a long-term contract.