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Energy Policy & Regulatory Compliance Flashcards

7 cards from real REP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Energy Policy & Regulatory Compliance flashcards as text
  1. Under NERC reliability standards, what is the purpose of the 'N-1' contingency planning requirement?

    Answer: Ensure the grid can withstand the loss of any single element without cascading failure

    N-1 contingency planning requires that the bulk power system remain stable and within thermal limits after losing any single facility or element.

  2. Which federal law governs siting of interstate natural gas pipelines and gives FERC jurisdiction over their approval?

    Answer: Natural Gas Act of 1938

    The Natural Gas Act of 1938 grants FERC authority to approve the construction and operation of interstate natural gas pipelines under Section 7.

  3. A community solar project allows subscribers to receive bill credits. Under which regulatory framework are subscriber billing credits typically governed?

    Answer: State public utility commission virtual net metering or bill crediting tariffs

    Community solar billing credits are typically established by state public utility commissions through virtual net metering or specific community solar tariff rules.

  4. What is 'avoided cost' in the context of PURPA and why is it significant for renewable energy?

    Answer: The rate utilities must pay qualifying facilities for power, equal to what the utility would have paid for the same power elsewhere

    Under PURPA, utilities must purchase power from qualifying facilities at the utility's avoided cost, providing a guaranteed market for small renewable generators.

  5. Which type of environmental review is typically required under NEPA for a utility-scale solar project on federal land?

    Answer: Environmental Assessment (EA) or Environmental Impact Statement (EIS)

    Federal actions, including approving projects on federal land, require NEPA review—typically an EA or full EIS depending on the significance of potential impacts.

  6. Under FERC Order 888, what did FERC require regarding open access to the transmission system?

    Answer: Utilities must provide non-discriminatory open access to their transmission systems to all eligible customers

    FERC Order 888 required public utilities to file open access transmission tariffs (OATTs) ensuring non-discriminatory access to the grid for all wholesale customers.

  7. Which provision of the Inflation Reduction Act (IRA) 2022 allows renewable energy developers to transfer their tax credits to a third party for cash?

    Answer: Transferability provision

    The IRA's transferability provision allows eligible taxpayers to sell (transfer) their clean energy tax credits to unrelated parties for cash without using a tax equity partnership.