Utah Code 54-17-201. Solicitation process required — Exception
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(1)
Terms Used In Utah Code 54-17-201
- Affected electrical utility: means an electrical corporation with at least 200,000 retail customers in the state. See Utah Code 54-17-102
- Commission: means the Public Service Commission. See Utah Code 54-2-1
- Dispatchability: means the extent to which an energy resource is dispatchable. See Utah Code 54-17-102
- Dispatchable: means available for use on demand and generally available to be delivered at a time and quantity of the operator's choosing. See Utah Code 54-17-102
- Process: means a writ or summons issued in the course of a judicial proceeding. See Utah Code 68-3-12.5
- Risk: includes the probability that:(8)(b)(i) overreliance on intermittent resources will create instability or inadequacy in meeting electricity demand;(8)(b)(ii) the energy resource will be unable to provide a consistent and resilient supply of electricity to consumers; and(8)(b)(iii) electricity costs will become unsustainable for consumers. See Utah Code 54-17-102
- Solicitation: means a request for proposals or other invitation for persons to submit a bid or proposal through an open bid process for construction or acquisition of a significant energy resource. See Utah Code 54-17-102
- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
(1)(a) An affected electrical utility shall comply with this chapter to acquire or construct a significant energy resource after February 25, 2005.(1)(b) Notwithstanding Subsection (1)(a), this chapter does not apply to a significant energy resource for which the affected electrical utility has issued a solicitation before February 25, 2005.
(2)
(2)(a) Except as provided in Subsection (3), to acquire or construct a significant energy resource, an affected electrical utility shall conduct a solicitation process that is approved by the commission.
(2)(b) To obtain the approval of the commission of a solicitation process, the affected electrical utility shall file with the commission a request for approval that includes:
(2)(b)(i) a description of the solicitation process the affected electrical utility will use;
(2)(b)(ii) a complete proposed solicitation; and
(2)(b)(iii) any other information the commission requires by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
(2)(c) In ruling on the request for approval of a solicitation process, the commission shall determine whether the solicitation process:
(2)(c)(i) complies with this chapter and rules made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act; and
(2)(c)(ii) is in the public interest, taking into consideration:
(2)(c)(ii)(A) the dispatchability of the significant energy resource;
(2)(c)(ii)(B) the state‘s desire to have proven dispatchable generation resources operating within the state to ensure adequate resources to reliably meet the state’s energy needs;
(2)(c)(ii)(C) whether the proposal is consistent with the state energy policy described in Section 79-6-301 ;
(2)(c)(ii)(D) whether it will most likely result in the acquisition, production, and delivery of electricity at the lowest reasonable cost to the retail customers of an affected electrical utility located in this state, including any lowered costs resulting from the ability to sell excess energy generated in an interstate energy market;
(2)(c)(ii)(E) long-term and short-term impacts;
(2)(c)(ii)(F) risk;
(2)(c)(ii)(G) reliability;
(2)(c)(ii)(H) financial impacts on the affected electrical utility; and
(2)(c)(ii)(I) other factors determined by the commission to be relevant.
(2)(d) Before approving a solicitation process under this section the commission:
(2)(d)(i) may hold a public hearing; and
(2)(d)(ii) shall provide an opportunity for public comment.
(2)(e) As part of the commission’s review of a solicitation process, the commission may provide the affected electrical utility guidance on any additions or changes to the commission’s proposed solicitation process.
(2)(f) Unless the commission determines that additional time to analyze a solicitation process is warranted and is in the public interest, within 60 days of the day on which the affected electrical utility files a request for approval of the solicitation process, the commission shall:
(2)(f)(i) approve a proposed solicitation process;
(2)(f)(ii) suggest modifications to a proposed solicitation process; or
(2)(f)(iii) reject a proposed solicitation process.
(3) Notwithstanding Subsection (2), an affected electrical utility may acquire or construct a significant energy resource without conducting a solicitation process if it obtains a waiver of the solicitation requirement in accordance with Section 54-17-501 .
(4) In accordance with the commission’s authority under Subsection 54-12-2 (2), the commission shall determine:
(4)(a) whether this chapter or another competitive bidding procedure shall apply to a purchase of a significant energy resource by an affected electrical utility from a small power producer or cogenerator; and
(4)(b) if this chapter applies as provided in Subsection (4)(a), the manner in which this chapter applies to a purchase of a significant energy resource by an affected electrical utility from a small power producer or cogenerator.