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CHAPTER I <br />A Hill of Rights <br />for-Small Power ro ucers and Utilities <br />The.Public-..Utilities Regulatory.Policy-Act, Sections 2aY'and: <br />~; 2Y0, and the FERC- rules interpreting it establish the .rights snd <br />responsibilities of small -power producers and utilities in their <br />interact-ions with. each other, ~ Their are two categories Qf powe.r <br />producers that may qualify for rights established by PURPAs <br />Small-power production facilities and cggeneration facilities* <br />-These two types of power producers are norma3ly refer-red. to as <br />"qualifying facilities," or simply "QFs,." and they must pa~tsess ` <br />.the following characteristics: <br />(a) Small power production QFs .may be electric genera- <br />tion facilities which- ,derive at least. 7.5~ of- their <br />ahnual 'fuel use from, biomass, waste, renewable <br />respurces such as the su,n, water,. wind, geothermal <br />energy- ©r any combination thereof. Aggregate use <br />of oft, natural gas and coal may not exceed`, 25~ in <br />.any calendar year. <br />fib) The power ..production capabilities of the ~smdli <br />power QFs must be no :more .than 80 MW. . <br />(c) QFs may be cogeneration €aciiities where electric .: <br />.power is generated along with.-other useful power. <br />Some fuel and. efficiency standards apply: ~ <br />(d) Fore either ,type of QF, no more than 50$ may , be <br />.owned by an electric utility holding company. <br />Small power .producers and cogenerators ,meeting the above re- <br />quirements may simply -declare themselves qualifying faoilities., <br />There is no formality required. If, however, .the QF wishes <br />formal certification, it may request it from FERC. Foirmai ~er_ <br />tification may be 'helpful in securing financing or when a QF'~ <br />status is challenged by a utility. In Colorado, QFs mast ails©- ` <br />file- basic, information with the PUC. .This.- includes. a description <br />of the QFs ownership, fuel use, capacity., and construetimn <br />schedule. A list of information to be filed, and instructions <br />for filing, are found in Appendix A. <br />PiIRPA guarantees certain rights to QFs and to the utilities <br />with which .they interact. The intent of PURPA in establish ng <br />these rights is to encourage small power production in ways °;rhat - <br />do not require subsidies. A list of rights of QFs and utilitea <br />is explained below. That list includes: <br />1: <br />