Skip to main content

Solar Industry Calls on FERC to Enforce PURPA, Increase Competition

Wednesday, Aug 28 2019

Share
Press Release

WASHINGTON, D.C. - Today, the Solar Energy Industries Association (SEIA) filed a proposal with the Federal Energy Regulatory Commission (FERC) that will address longstanding concerns with monopoly utilities by enhancing competition under the Public Utility Regulatory Policies Act (PURPA).

SEIA’s proposal brings competition into the PURPA regime by providing utilities with relief from their mandatory purchase obligation, if they run fair competitive solicitations for the capacity needs identified in their integrated resource plans.

“It’s consumers who are harmed by the lack of competition with their local utility,” said Abigail Ross Hopper, president and CEO of SEIA. “We know utilities are adding more low-cost solar to their portfolios every year, but they aren’t always passing savings on to their customers. SEIA’s proposal will bring more competition and better prices to utilities around the country.”

The proposal provides utilities with a new framework for offering competitive solicitations based on their integrated resource plans, while also complying with PURPA’s requirement to purchase energy and capacity from small renewable and cogeneration facilities. SEIA’s competitive bidding solution is designed to prevent utility self-dealing while opening the market for new capacity to independent developers.

SEIA’s proposal:

  • Calls on FERC to strengthen its oversight and enforcement of PURPA to prevent discrimination against independent solar facilities;
  • Requests that FERC take action to ensure states are properly implementing PURPA by requiring that solar developers can sign a purchase contract for a financeable term; and
  • Asks FERC to increase transparency in avoided cost calculations and make such information publicly available on a utility’s website, as already required by PURPA.

Taken together, this proposal offers a path forward to modernize PURPA in a way that relies upon greater competition and more transparency, resulting in better outcomes for both regulators and customers.

“FERC must close the loopholes that allow utilities to skirt competition and states to be lax in their implementation of PURPA’s key tenets,” said Katherine Gensler, SEIA’s vice president of regulatory affairs. “Solar developers bring competition – and better prices –to areas of the country that do not participate in wholesale electricity markets. FERC adopting and enforcing SEIA’s proposal for PURPA reform would be a win for utilities, consumers, and renewable interests.”

###

About SEIA®: 

Celebrating its 45th anniversary in 2019, the Solar Energy Industries Association® is the national trade association of the U.S. solar energy industry, which now employs more than 242,000 Americans. Through advocacy and education, SEIA® is building a strong solar industry to power America. SEIA works with its 1,000 member companies to build jobs and diversity, champion the use of cost-competitive solar in America, remove market barriers and educate the public on the benefits of solar energy. Visit SEIA online at www.seia.org.

 

Media Contact: 

Morgan Lyons, SEIA's Senior Communications Manager, mlyons@seia.org (202) 556-2872

Related News

Thursday, Jul 22, 2021

SEIA Secures Reduced Charge for Energy Storage in Southern California Edison Territory

WASHINGTON, D.C. — Southern California Edison (SCE) filed its final Wholesale Distribution Access Tariff proposal with the Federal Energy Regulatory Commission’s (FERC) settlement judge this month. After 18 months of discussion, the new proposal includes a significant reduction to the wires charge for standalone energy storage.

Read More
Thursday, Jul 15, 2021

FERC Proposes Overhaul of Transmission and Interconnection Rules

Today the Federal Energy Regulatory Commission (FERC) issued an Advanced Notice of Proposed Rulemaking (ANOPR) on reforms to transmission and interconnection rules for energy projects.

Read More
Thursday, Jun 17, 2021

Solar Industry Statement on Transmission Partnership Between FERC and NARUC

WASHINGTON, D.C. — Following is a statement from Sean Gallagher, vice president of state and regulatory affairs at the Solar Energy Industries Association (SEIA) on the new transmission partnership between the Federal Energy Regulatory Commission (FERC) and the National Association of Regulatory Utility Commissioners (NARUC):

Read More