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Utility Geothermal Small Power Production Facility
Understanding Utility Geothermal Small Power Production Facility
Definition & Meaning
A utility geothermal small power production facility is a type of energy production site that primarily uses geothermal energy. To qualify as such, more than 50 percent of the facility must be owned by either:
An electric utility or utilities.
An electric utility holding company or companies.
A company in which 50 percent or more of the voting securities are owned or controlled by an electric utility or holding company.
Table of content
Legal Use & context
This term is used primarily in energy law and regulatory contexts, particularly under the Public Utility Regulatory Policies Act (PURPA). It relates to the classification of energy facilities for regulatory purposes, which can impact the facility's eligibility for certain benefits and incentives.
Legal professionals may encounter this term when dealing with energy production regulations, utility contracts, or when advising clients on compliance with federal energy policies. Users can manage related forms or procedures through legal templates available on platforms like US Legal Forms.
Key legal elements
Real-world examples
Here are a couple of examples of abatement:
Example 1: A geothermal power plant in California is owned 60 percent by a regional electric utility and 40 percent by a private investor. This facility qualifies as a utility geothermal small power production facility.
Example 2: A new geothermal facility is developed with 70 percent ownership by an electric utility holding company, making it eligible for specific regulatory benefits under federal law. (hypothetical example)
Relevant laws & statutes
The primary regulation governing utility geothermal small power production facilities is found in:
18 CFR 292.202 - Regulations under the Public Utility Regulatory Policies Act of 1978.
State-by-state differences
State
Regulatory Notes
California
Strong support for geothermal energy with specific state incentives.
Nevada
Established regulatory framework encouraging geothermal development.
Oregon
Incentives available for renewable energy, including geothermal.
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
Comparison with related terms
Term
Definition
Key Differences
Small Power Production Facility
A facility that generates electricity using renewable resources.
Broader category, not limited to geothermal energy.
Cogeneration Facility
A facility that produces electricity and useful heat simultaneously.
Focuses on combined heat and power, not solely on geothermal energy.
Common misunderstandings
What to do if this term applies to you
If you are involved in the development or operation of a geothermal facility, ensure that you understand the ownership requirements and regulatory implications. Consider using legal templates from US Legal Forms to assist with compliance documentation. If your situation is complex, consulting a legal professional may be necessary to navigate the regulations effectively.
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