(a) Order by commission.--Whenever the commission determines that conversion of an oil or a natural gas-fueled electric generating unit to coal, a synthetic derived in whole or in part from coal or a mixture which includes coal or is derived in whole or in part from coal is economically and technologically feasible, the commission shall issue an order to the affected public utility to show cause why the commission should not order the conversion of that unit. The commission shall subsequently issue an order requiring the conversion of that unit unless the affected public utility proves, and the commission finds, any of the following:
(1) Conversion of the unit is not technologically feasible.
(2) The unit, if converted, could not be operated in compliance with present and reasonably anticipated environmental laws and regulations.
(3) There is a strong probability that the conversion and subsequent operation of the converted unit would be more costly to ratepayers over the remaining useful life of the converted unit than would continued operation as an oil or a natural gas-fueled unit.
(b) Environmental questions.--The commission may certify, to the Department of Environmental Resources, any question regarding the applicability of environmental laws and regulations, when the question arises in a proceeding under this section, and may incorporate the department's findings in its decision.
(c) Mixture with oil or natural gas.--For purposes of this section, the phrase "mixture which includes coal or is derived in whole or in part from coal" includes, but is not limited to, both the intermittent and the simultaneous burning of oil or natural gas with coal or a coal derivative if the intermittent or simultaneous burning of oil or natural gas would:
(1) lower the cost, to the ratepayers, of using coal or a coal derivative; or
(2) enable coal or a coal derivative to be burned in compliance with present and reasonably anticipated environmental laws and regulations.
(d) Recovery of conversion costs.--Notwithstanding any other provision of this title, if the commission, acting pursuant to this section, issues an order requiring the conversion of an oil or a natural gas-fueled unit, the affected utility shall be permitted to recover all reasonable and prudent costs associated with the conversion even if the conversion or continued operation of the converted unit is ultimately prevented by factors beyond the utility's control. The affected utility shall be permitted to include in its rate base, or otherwise in its rates during construction, such reasonable and prudent costs of construction associated with the conversion.
(e) Availability of funds.--(Repealed).
(Dec. 21, 1984, P.L.1240, No.234, eff. imd.; Dec. 21, 1984, P.L.1270, No.241, eff. imd.; July 3, 1986, P.L.348, No.80, eff. 60 days; July 10, 1986, P.L.1238, No.114, eff. imd.)
1986 Repeals. Act 80 repealed subsec. (e) and Act 114 repealed subsec. (e).
1984 Amendments. Acts 234 and 241 added section 517. The amendments by Acts 234 and 241 are identical and therefore have been merged.
References in Text. The Department of Environmental Resources, referred to in subsec. (b), was abolished by Act 18 of 1995. Its functions were transferred to the Department of Conservation and Natural Resources and the Department of Environmental Protection.
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Section 502 - Enforcement proceedings by commission
Section 503 - Enforcement proceedings by Chief Counsel
Section 504 - Reports by public utilities
Section 505 - Duty to furnish information to commission; cooperation in valuing property
Section 506 - Inspection of facilities and records
Section 507 - Contracts between public utilities and municipalities
Section 508 - Power of the commission to vary, reform and revise contracts
Section 509 - Regulation of manufacture, sale or lease of appliances
Section 510 - Assessment for regulatory expenses upon public utilities
Section 511 - Disposition, appropriation and disbursement of assessments and fees
Section 511.1 - Use of Federal funds under energy program
Section 512 - Power of commission to require insurance
Section 512.1 - Power of commission to confiscate, impound and sell vehicles
Section 513 - Public letting of contracts
Section 515 - Construction cost of electric generating units
Section 516 - Audits of certain utilities
Section 517 - Conversion of electric generating units fueled by oil or natural gas
Section 518 - Construction of electric generating units fueled by nuclear energy
Section 519 - Construction of electric generating units fueled by oil or natural gas
Section 521 - Retirement of electric generating units
Section 522 - Expense reduction program
Section 523 - Performance factor consideration
Section 524 - Data to be supplied by electric utilities
Section 525 - Sale of generating units and power
Section 526 - Rejection of rate increase requests due to inadequate quality or quantity of service
Section 527 - Cogeneration rules and regulations
Section 528 - Use of foreign coal by qualifying facilities
Section 529 - Power of commission to order acquisition of small water and sewer utilities