HB 3868
Requires the State Department of Energy to study avoided costs paid to qualifying facilities under the federal Public Utility Regulatory Policies Act compared with the costs incurred by investor-owned utilities to acquire or maintain renewable energy generation facilities.
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Support
100%
Oppose
0%
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill directs the Oregon Department of Energy to conduct a study comparing the costs incurred by investor-owned utilities to acquire renewable energy generation facilities with the avoided costs they pay to qualifying facilities under the Public Utility Regulatory Policies Act. The study will also examine the costs of small-scale renewable energy projects and analyze the accuracy of avoided cost schedules. The findings will be submitted to the Legislative Assembly’s energy committees by September 15, 2026.
Key provisions
- The State Department of Energy will conduct a cost comparison study.
- The study will compare costs for investor-owned utilities acquiring renewable energy with avoided costs paid to qualifying facilities.
- The study will examine the costs of small-scale renewable energy projects.
- The study will analyze the accuracy of avoided cost schedules.
- State agencies must provide information to the Department of Energy to support the study.
- The Department of Energy must submit its findings to the Legislative Assembly’s energy committees by September 15, 2026.
- The bill sunsets on January 2, 2027.
Who is affected
- Investor-owned utilities
- Qualifying facilities
- State Department of Energy
- Legislative Assembly (energy committees)
- Oregon ratepayers
Notable changes
- The bill requires a detailed comparison of costs associated with renewable energy acquisition and avoided costs.
Sponsors
Official sponsors from legislative records.
Primary sponsor
Cosponsors
Arguments in favor
Reasons to support this legislation.
Supporters of HB 3868 agree that a comprehensive understanding of the true costs associated with acquiring renewable energy generation facilities is crucial for making informed decisions. They advocate for factual data on avoided costs, which would enable a fair comparison between public and private utilities, ultimately leading to more efficient and cost-effective development of renewable energy sources. By studying the utilities' true costs for development, as proposed in HB 3868, supporters believe that this information can be used to set accurate avoided cost rates at the Oregon Public Utility Commission, benefiting both consumers and the environment.
Source: Testimony Summaries
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