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Virginia Administrative Code
Title 20. Public Utilities And Telecommunications
Agency 5. State Corporation Commission
Chapter 301. Rules Governing the Use of Bidding Programs to Purchase Electricity from Other Power Suppliers
11/23/2024

20VAC5-301-90. Purchases outside of the bidding process.

A utility with an active competitive bid program may refuse offers of capacity that have been received outside of a bidding process. Energy, however, must be purchased from an offering Qualifying Facility (QF) in accordance with PURPA (Public Utilities Regulatory Policies Act of 1978, 16 USCS §§ 824a-3 et seq.) requirements.

Electricity purchases outside of the bidding process could include purchases under tariffs from small power producers and cogenerators, short term, economy and emergency purchases. The extension of an existing contract could also normally be accomplished outside of the bidding process. If a utility and a potential provider of capacity want to negotiate a purchased power contract outside of the bidding process under other circumstances, they must jointly file a petition with the Commission. The parties must demonstrate that the opportunity cannot be accommodated in a bidding process and that the terms of the purchase are favorable from both a cost and reliability standpoint.

Statutory Authority

§§ 56-234.3, 56-234.4, 56-235.1 and 56-249 of the Code of Virginia.

Historical Notes

Derived from Case No. PUE900029, eff. November 28, 1990.

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