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Feed-In Tariff Price

The rates are set and adjusted by Time of Use (TOU)  factors as authorized by the Commission. The MPR is the predicted annual average cost of production for a combined-cycle natural gas fired baseload proxy plant.  Energy produced during utility peak hours should command a higher price reflecting the higher cost of generation during those hours.  Conversely, energy produced during off-peak hours is less valuable to the utility and the tariff should vary accordingly.  Using Time of Delivery (TOD) adjustment factors will result in annual payments under this program that better match with the MPR. 

The current MPR table and the TOD adjustment factors must be readily available in the Tariff or PPA.  The date that a contract is signed or that service under one of the tariffs is requested will determine which MPR table is applicable, but the date of actual commercial operation will determine which specific MPR rate is applicable.  Only BVES, Sierra Pacific and MU may use an annual average if they choose. 

Table 1 is the 2011 MPR table, adopted in Resolution E-4442, which is the feed-in tariff price starting January 3, 2012.

Table 1: 2011 Market Price Referents

To calculate the actual price paid for eligible renewable power under this program, the metered energy production at the point of interconnection is multiplied by the applicable MPR and then by the applicable TOD adjustment factor.  So if:
At = kWh of energy distributed onto the utility grid at time “t”
B = MPR fixed at time of actual commercial operation
Ct= TOD adjustment factor for time “t”

then the price paid in $/kWh (Pt) for any given kWh produced and sold to the utility at time “t” would be calculated by the formula

  At  * B * Ct = Pt

TOD factors can be found on the utility websites.

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Last Modified: 2/3/2012

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