11-13-301. Project entity and generation output requirements.

343 words·~2 min read·/ut/title-11/chapter-13/11-13-301

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/10/2016

(1)Each project entity:

(a)shall:

(i)except for construction of facilities providing replacement project capacity, before undertaking the construction of a project and before undertaking the construction of facilities to provide additional project capacity, offer to sell or make available at least 50% of the generation output of or electric energy produced by the project or additional project capacity, respectively;

(ii)establish rules and procedures for an offer under Subsection (1)(a)(i) that provide at least 60 days for a prospective power purchaser to accept the offer before the offer is considered rejected; and

(iii)make each offer under Subsection (1)(a)(i) :

(A)under a long-term arrangement that may be an undivided ownership interest, a participation interest, a power sales agreement, or otherwise; and

(B)to one or more power purchasers in the state that supply electric energy at wholesale or retail; and

(b)may undertake construction of facilities providing replacement project capacity for its project.

(a)The generation output or electric energy production available to power purchasers in the state from a project shall be at least 5% of the total generation output or electric energy production of the project.

(i)Subject to Subsection (2)(b)(ii)(B) , at least a majority of the generation capacity, generation output, or electric energy production facilities providing additional project capacity shall be:

(A)made available as needed to meet the estimated electric requirements of entities or consumers within the state; and

(B)owned, purchased, or consumed by entities or consumers within the state.

(A)As used in this Subsection (2)(b)(ii) , "default provision" means a provision authorizing a nondefaulting party to succeed to or require the disposition of the rights and interests of a defaulting party.

(B)The requirements of Subsection (2)(b)(i) do not apply to the extent that those requirements are not met due to the operation of a default provision in an agreement providing for ownership or other interests in facilities providing additional project capacity.

Amended by Chapter 382 , 2016 General Session