Public Utility Regulatory Policies Act

The Public Utility Regulatory Policies Act (PURPA), enacted in 1978, was designed to encourage the development of alternative energy sources, such as solar and wind. It requires utilities to purchase power from independent producers at fair prices, promoting competition and diversifying energy sources. PURPA aims to enhance energy efficiency, reduce reliance on fossil fuels, and support renewable energy growth, all while ensuring that consumers have reliable energy access. By fostering a more diverse energy landscape, PURPA helps lower costs and protect the environment.