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<br />may have serious reservations about <br />investing in projects relying solely on <br />rates dependent on these two FERC <br />rules, knowing the uncertainty of <br />their future. <br /> <br />(2) If the interconnect rule remains <br />vacated, the mechanism remaining to <br />accomplish interconnection is found <br />in the Federal Power Act, Section 210 <br />and 121. This calls for an appeal <br />procedure to FERC and an <br />evidentiary hearing. This process <br />could be lengthy and, to the extent <br />time equals money, may be costly. <br /> <br />(3) If the avoided cost rule remains <br />vacated, negotiations between small <br />power producers/cogenerators and <br />utilities must rely on other factors to <br />determine rates. <br /> <br />(4) If the rules remain vacated, FERC <br />will likely set about rewriting both <br />the interconnect and the avoided cost <br />rules, and proceed wi th the official <br />rulemaking process. This could take <br />approximately one to two years. <br /> <br />State Proceedings <br /> <br />On January 12, 1982 the Colorado Public Utilities <br />Commission issued Decision No. C82-73 regarding the <br />PURP A requirements as they apply to Colorado. It <br />required, among other things, that utilities <br />interconnect and pay avoided cost rates. The utilities <br />were required to submit tariffs reflecting standard <br />. avoided cost rates for units under 100 kW. <br /> <br />ii <br />