(3) allow the electrical utility to charge, or reduce the price paid to, the small power producer based on costs incurred by the electrical utility to respond to the intermittent nature of electrical generation by the small power producer, which costs shall be recoverable by the electrical utility as part of its annual fuel cost proceedings pursuant to Section 5827865. (G) An electrical standard offer avoided cost rates utility’s approved by the commission pursuant to this chapter shall serve as the electrical avoided costs for the purpose of recovering utility’s fuel costs associated with an approved distributed energy resource plan as required under Section 5827865.” SECTION 2. Section 58-39-120(A) and (B) of the 1976 Code is amended to read: means alternating current, as measured at the point of “(A) ‘AC’ interconnection of the renewable energy small power producer’s facility to the interconnecting electrical transmission or utility’s distribution system. (B) means payments for purchases of electricity ‘Avoided costs’ made according to an electrical most recently approved or utility’s established avoided cost rates in this State or rates negotiated pursuant to PURPA, in the year the costs are incurred, for purchases of electricity from qualifying facilities pursuant to Section 210 of the Public Utility Regulatory Policies Act, said costs to be calculated as set forth in Section 58 39 140(A)(1) costs as defined pursuant to Section 58-41-30(2).” SECTION 3. This act takes effect upon approval by the Governor. XX
(3) allow the electrical utility to charge, or reduce the price paid to, the small power producer based on costs incurred by the electrical utility to respond to the intermittent nature of electrical generation by the small power producer, which costs shall be recoverable by the electrical utility as part of its annual fuel cost proceedings pursuant to Section 5827865. (G) An electrical utility’s standard offer avoided cost rates approved by the commission pursuant to this chapter shall serve as the electrical utility’s avoided costs for the purpose of recovering fuel costs associated with an approved distributed energy resource plan as required under Section 5827865.” SECTION 2. Section 58-39-120(A) and (B) of the 1976 Code is amended to read: “(A) ‘AC’ means alternating current, as measured at the point of interconnection of the renewable energy small power producer’s facility to the interconnecting electrical utility’s transmission or distribution system. (B) ‘Avoided costs’ means payments for purchases of electricity made according to an electrical utility’s most recently approved or established avoided cost rates in this State or rates negotiated pursuant to PURPA, in the year the costs are incurred, for purchases of electricity from qualifying facilities pursuant to Section 210 of the Public Utility Regulatory Policies Act, said costs to be calculated as set forth in Section 58 39 140(A)(1) costs as defined pursuant to Section 58-41-30(2).” SECTION 3. This act takes effect upon approval by the Governor. XX
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