2010 Pennsylvania Code
Title 66 - PUBLIC UTILITIES
Chapter 5 - Powers and Duties
514 - Use of coal.

     § 514.  Use of coal.
        (a)  Upgrading capability to use coal.--The commission shall
     promulgate regulations which require utilities to uprate their
     electric power production by increasing the capability to use
     coal in existing coal-fueled plants where economically feasible
     and where the uprate is beneficial to ratepayers.
        (b)  Incentive for uprating.--The commission shall promulgate
     regulations which establish a special cost recovery and shared
     benefits procedure for electric utilities and their ratepayers
     as an incentive to implement upratings as provided in subsection
     (a). Nothing in this section shall permit or require the
     commission to establish rates or procedures which are
     inconsistent with any other section in this title.
        (c)  Cost of upgrading.--Notwithstanding section 1315
     (relating to limitation on consideration of certain costs for
     electric utilities) and subject to regulations promulgated by
     the commission, the commission may allow a portion of the
     prudently incurred costs, determined on a per megawatt basis and
     not to exceed 50% of the unit's undepreciated original cost per
     megawatt, of uprating the capability of an existing coal-fueled
     plant to use coal mined in Pennsylvania to be made a part of the
     rate base or otherwise included in the rates charged by the
     utility before such uprating is completed. This subsection shall
     not apply unless, upon application of the affected public
     utility, the commission determines that the uprating would be
     more cost effective for the utility's ratepayers than other
     alternatives for meeting the utility's load and capacity
     requirements. Notwithstanding section 1309 (relating to rates
     fixed on complaint; investigation of costs of production), the
     commission, by regulation, shall provide for a utility to remove
     the costs of an uprating from its rate base and to refund any
     revenues collected as the result of this subsection, plus
     interest, which shall be the average rate of interest specified
     for residential mortgage lending by the Secretary of Banking in
     accordance with the act of January 30, 1974 (P.L.13, No.6),
     referred to as the Loan Interest and Protection Law, during the
     period or periods for which the commission orders refunds, if
     the commission, after notice and hearings, determines that the
     uprating has not been completed within a reasonable time.
     (May 31, 1984, P.L.370, No.74, eff. 60 days; Dec. 21, 1984,
     P.L.1265, No.240, eff. imd.; July 3, 1986, P.L.348, No.80, eff.
     60 days)

        Cross References.  Section 514 is referred to in section 523
     of this title.