[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: 18CFR292.206]

[Page 768-769]
 
           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 B_Qualifying Cogeneration and Small Power Production Facilities
 
Sec. 292.206  Ownership criteria.

    (a) General rule. A cogeneration facility or small power production 
facility may not be owned by a person primarily engaged in the 
generation or sale of electric power (other than electric power solely 
from cogeneration facilities or small power production facilities).
    (b) Ownership test. For purposes of this section, a cogeneration or 
small power production facility shall be considered to be owned by a 
person primarily engaged in the generation or sale of electric power, if 
more than 50 percent of the equity interest in the facility is held by 
an electric utility or utilities, or by an electric utility holding 
company, or companies, or any combination thereof. If a wholly or 
partially owned subsidiary of an electric utility or electric utility 
holding company has an ownership interest of a facility, the 
subsidiary's ownership interest shall be considered as ownership by an 
electric utility or electric utility holding company.

[[Page 769]]

    (c) Exceptions. For purposes of this section a company shall not be 
considered to be an ``electric utility'' company if it:
    (1) Is a subsidiary of an electric utility holding company which is 
exempt by rule or order adopted or issued pursuant to section 3(a)(3) or 
3(a)(5) of the Public Utility Holding Company Act of 1935, 15 U.S.C. 
79c(a)(3), 79c(a)(5); or
    (2) Is declared not to be an electric utility company by rule or 
order of the Securities and Exchange Commission pursuant to section 
2(a)(3)(A) of the Public Utility Holding Company Act of 1935, 15 U.S.C. 
79b(a)(3)(A).

[45 FR 17972, Mar. 20, 1980, as amended by Order 70-B, 45 FR 52780, Aug. 
8, 1980; Order 70-D, 46 FR 11253, Feb. 6, 1981]