[Code of Federal Regulations]
[Title 18, Volume 1]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 18CFR292.101]

[Page 763-764]
 
           TITLE 18--CONSERVATION OF POWER AND WATER RESOURCES
 
  CHAPTER I--FEDERAL ENERGY REGULATORY COMMISSION, DEPARTMENT OF ENERGY
 
PART 292_REGULATIONS UNDER SECTIONS 201 AND 210 OF THE PUBLIC UTILITY 
 
                      Subpart A_General Provisions
 
Sec. 292.101  Definitions.

REGULATORY POLICIES ACT OF 1978 WITH REGARD TO SMALL POWER PRODUCTION 
AND COGENERATION--Table of Contents




                      Subpart A_General Provisions

Sec.
292.101 Definitions.

 Subpart B_Qualifying Cogeneration and Small Power Production Facilities

292.201 Scope.
292.202 Definitions.
292.203 General requirements for qualification.
292.204 Criteria for qualifying small power production facilities.
292.205 Criteria for qualifying cogeneration facilities.
292.206 Ownership criteria.
292.207 Procedures for obtaining qualifying status.
292.208 Special requirements for hydroelectric small power production 
          facilities located at a new dam or diversion.
292.209 Exceptions from requirements for hydroelectric small power 
          production facilities located at a new dam or diversion.
292.210 Petition alleging commitment of substantial monetary resources 
          before October 16, 1986.
292.211 Petition for initial determination on whether a project has a 
          substantial adverse effect on the environment (AEE petition).

    Subpart C_Arrangements Between Electric Utilities and Qualifying 
Cogeneration and Small Power Production Facilities Under Section 210 of 
           the Public Utility Regulatory Policies Act of 1978

292.301 Scope.
292.302 Availability of electric utility system cost data.
292.303 Electric utility obligations under this subpart.
292.304 Rates for purchases.
292.305 Rates for sales.
292.306 Interconnection costs.
292.307 System emergencies.
292.308 Standards for operating reliability.

                        Subpart D_Implementation

292.401 Implementation of certain reporting requirements.
292.402 Waivers.

Subpart E [Reserved]

Subpart F_Exemption of Qualifying Small Power Production Facilities and 
    Cogeneration Facilities from Certain Federal and State Laws and 
                               Regulations

292.601 Exemption to qualifying facilities from the Federal Power Act.
292.602 Exemption to qualifying facilities from the Public Utility 
          Holding Company Act and certain State law and regulation.

    Authority: 16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42 U.S.C. 
7101-7352.



    (a) General rule. Terms defined in the Public Utility Regulatory 
Policies Act of 1978 (PURPA) shall have the same meaning for purposes of 
this part as they have under PURPA, unless further defined in this part.
    (b) Definitions. The following definitions apply for purposes of 
this part.
    (1) Qualifying facility means a cogeneration facility or a small 
power production facility that is a qualifying facility under Subpart B 
of this part.

[[Page 764]]

    (i) A qualifying facility may include transmission lines and other 
equipment used for interconnection purposes (including transformers and 
switchyard equipment), if:
    (A) Such lines and equipment are used to supply power output to 
directly and indirectly interconnected electric utilities, and to end 
users, including thermal hosts, in accordance with state law; or
    (B) Such lines and equipment are used to transmit supplementary, 
standby, maintenance and backup power to the qualifying facility, 
including its thermal host meeting the criteria set forth in Union 
Carbide Corporation, 48 FERC ] 61,130, reh'g denied, 49 FERC ] 61,209 
(1989), aff'd sub nom., Gulf States Utilities Company v. FERC, 922 F.2d 
873 (D.C. Cir. 1991); or
    (C) If such lines and equipment are used to transmit power from 
other qualifying facilities or to transmit standby, maintenance, 
supplementary and backup power to other qualifying facilities.
    (ii) The construction and ownership of such lines and equipment 
shall be subject to any applicable Federal, state, and local siting and 
environmental requirements.
    (2) Purchase means the purchase of electric energy or capacity or 
both from a qualifying facility by an electric utility.
    (3) Sale means the sale of electric energy or capacity or both by an 
electric utility to a qualifying facility.
    (4) System emergency means a condition on a utility's system which 
is likely to result in imminent significant disruption of service to 
customers or is imminently likely to endanger life or property.
    (5) Rate means any price, rate, charge, or classification made, 
demanded, observed or received with respect to the sale or purchase of 
electric energy or capacity, or any rule, regulation, or practice 
respecting any such rate, charge, or classification, and any contract 
pertaining to the sale or purchase of electric energy or capacity.
    (6) Avoided costs means the incremental costs to an electric utility 
of electric energy or capacity or both which, but for the purchase from 
the qualifying facility or qualifying facilities, such utility would 
generate itself or purchase from another source.
    (7) Interconnection costs means the reasonable costs of connection, 
switching, metering, transmission, distribution, safety provisions and 
administrative costs incurred by the electric utility directly related 
to the installation and maintenance of the physical facilities necessary 
to permit interconnected operations with a qualifying facility, to the 
extent such costs are in excess of the corresponding costs which the 
electric utility would have incurred if it had not engaged in 
interconnected operations, but instead generated an equivalent amount of 
electric energy itself or purchased an equivalent amount of electric 
energy or capacity from other sources. Interconnection costs do not 
include any costs included in the calculation of avoided costs.
    (8) Supplementary power means electric energy or capacity supplied 
by an electric utility, regularly used by a qualifying facility in 
addition to that which the facility generates itself.
    (9) Back-up power means electric energy or capacity supplied by an 
electric utility to replace energy ordinarily generated by a facility's 
own generation equipment during an unscheduled outage of the facility.
    (10) Interruptible power means electric energy or capacity supplied 
by an electric utility subject to interruption by the electric utility 
under specified conditions.
    (11) Maintenance power means electric energy or capacity supplied by 
an electric utility during scheduled outages of the qualifying facility.

(Public Utility Regulatory Policies Act of 1978, 16 U.S.C. 2601 et seq., 
Energy Supply and Environmental Coordination Act, 15 U.S.C. 791 et seq. 
Federal Power Act, 16 U.S.C. 792 et seq., Department of Energy 
Organization Act, 42 U.S.C. 7101 et seq., E.O. 12009, 42 FR 46267)

[45 FR 12233, Feb. 25, 1980, as amended by Order 575, 60 FR 4856, Jan. 
25, 1995]