69-3-604. Standards for determination of rates and conditions. - Montana Statutes

     69-3-604. (Temporary) Standards for determination of rates and conditions. (1) The commission shall determine the rates and conditions of the contract for the sale of electricity by a qualifying small power production facility according to the standards in subsections (2) through (5).
     (2) Long-term contracts for the purchase of electricity by the utility from a qualifying small power production facility shall be encouraged in order to enhance the economic feasibility of qualifying small power production facilities.
     (3) The rates to be paid by a utility for electricity purchased from a qualifying small power production facility shall be established with consideration of the availability and reliability of the electricity produced.
     (4) The commission may set these rates by use of any of the following methods:
     (a) the avoided cost over the term of the contract;
     (b) the cost of production for the qualifying small power production facility plus a just and reasonable return; or
     (c) any other method that will promote the development of qualifying small power production facilities.
     (5) The commission may adopt rules further defining the criteria for qualifying small power production facilities, their cost-effectiveness, and other standards. (Repealed on occurrence of contingency--secs. 1, 3, Ch. 284, L. 2003.)

     History: En. Sec. 4, Ch. 436, L. 1981; amd. Sec. 3, Ch. 232, L. 1983.