(a) (1) It is the policy of this state and the intent of the Legislature to encourage electrical generation from eligible renewable energy resources. (2) Paragraph (5) of subdivision (f) is appropriate because the program is a fixed-price feed-in tariff program with no pricing discretion. (3) This section does not authorize cost recovery by an entity other than an electrical corporation regulated by the commission, except for the procurement authorized in paragraph (5) of subdivision (f). (b) As used in this section, âelectric generation facilityâ means an electric generation facility located within the service territory of an electrical corporation, and developed to sell electricity to, an electrical corporation or, for a bioenergy electric generation facility, to an electrical corporation or a community choice aggregator that provides electric service within the service territory of the electrical corporation that meets all of the following criteria: (1) Has an effective capacity of not more than three megawatts, with the exception of those facilities participating in a tariff made available pursuant to paragraph (2) of subdivision (f). (2) Is interconnected and operates in parallel with the electrical transmission and distribution grid. (3) (A) Except as provided in subparagraph (B), is strategically located and interconnected to the electrical transmission and distribution grid in a manner that optimizes the deliverability of electricity generated at the facility to load centers. (B) For purposes of paragraph (2) of subdivision (f), is strategically located and interconnected to the electrical transmission and distribution grid in a manner that optimizes the deliverability of electricity generated at the facility to load centers or is interconnected to an existing transmission line. (4) Is an eligible renewable energy resource. (c) Every electrical corporation shall file with the commission a standard tariff for electricity purchased from an electric generation facility. The commission may modify or adjust the requirements of this section for any electrical corporation with less than 100,000 service connections, as individual circumstances merit. (d) (1) The tariff shall provide for payment for every kilowatthour of electricity purchased from an electric generation facility for a period of 10, 15, or 20 years, as authorized by the commission. The payment shall be the market price determined by the commission pursuant to paragraph (2) and shall include all current and anticipated environmental compliance costs, including, but not limited to, mitigation of emissions of greenhouse gases and air pollution offsets associated with the operation of new generating facilities in the local air pollution control or air quality management district where the electric generation facility is located. (2) The commission shall establish a methodology to determine the market price of electricity for terms corresponding to the length of contracts with an electric generation facility, in consideration of the following: (A) The long-term market price of electricity for fixed price contracts, determined pursuant to an electrical corporationâs general procurement activities as authorized by the commission. (B) The long-term ownership, operating, and fixed-price fuel costs associated with fixed-price electricity from new generating facilities. (C) The value of different electricity products including baseload, peaking, and as-available electricity. (3) The commission may adjust the payment rate to reflect the value of every kilowatthour of electricity generated on a time-of-delivery basis. (4) The commission shall ensure, with respect to rates and charges, that ratepayers that do not receive service pursuant to the tariff are indifferent to whether a ratepayer with an electric generation facility receives service pursuant to the tariff. (e) An electrical corporation shall provide expedited interconnection procedures to an electric generatio
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