To fully understand the roll of each U. S. electricity generating component
mentioned on the previous page and throughout this booklet, the following
key terms and definitions are provided.
UTILITIES: public agencies and privately owned companies which generate
power for public use. There are four types:
Investor (or Privately) Owned (IOU): regulated by State and sometimes Federal government; earn a return for investors; 243 in the United States; operate in all States except NE. Federally Owned: power not generated for profit; primarily producers and
wholesalers; power is marketed by TVA and five DOE power marketing administrations;
10 in the United States; operate in all areas except the Northeast, the
upper Midwest, and HI. Other Publicly Owned: are non-profit State and local government agencies;
serve at cost; most just distribute power but some large ones produce and
transmit; 2,010 in the United States; operate in virtually all areas of
the United States. Cooperatively Owned: owned by members (small rural farms and communities)
and provide service mostly to members only; incorporated under State law;
932 in the United States; operate in all States except CT, HI, and RI,
and DC. NONUTILITIES: privately owned entities that generate power for their own
use and/or for sale to utilities and others. There are five types: Cogenerator Qualifying Facility (Cogen QF): sequentially produce electric
energy and another form of energy, such as heat or steam, using the same
fuel source; are qualified under the Public Utility Regulatory Policies
Act (PURPA) by meeting certain criteria set forth by the Federal Energy
Regulatory Commission (FERC) and, therefore, are guaranteed that utilities
will purchase their output.
Small Power Producer Qualifying Facility (SPP QF): use renewable resources
(biomass, geothermal, solar, wind, and hydroelectric) as a primary
energy source; renewables must provide at least 75 percent of total energy
input; are qualified under PURPA and, therefore, are guaranteed that utilities
will purchase their output. Exempt Wholesale Generator (EWG): created by the Energy Policy Act of
1992 (EPACT); exempt from PUHCA restrictions; sell wholesale only; do not
possess transmission facilities; utilities are not required to purchase
their output. Cogenerator Non-Qualifying Facility (Cogen Non-QF): utilize cogenerating
technology but are not qualified under PURPA. Other Non-Qualifying Facility (Other Non-QF): do not use a cogenerating
technology and are not qualified under PURPA.