North Carolina Utilities Commission

NC Supreme Court Settles Avoided-cost Dispute

The North Carolina Supreme Court has upheld state regulators' decision to reprice payments made by Virginia Electric and Power Co. (Vepco) to Ultra Cogen Systems, a qualifying facility (QF), for power purchased under avoided-cost contracts approved by Virginia's commission. The North Carolina Utilities Commission (UC) had disallowed $1.39 million in capacity costs while setting rates for the utility's Carolina Power division.