Cogeneration: opportunities through new technologies and national energy legislation

The Arkansas Power and Light Co. proposes legislation to promote the concept of utility-owned cogeneration plants located adjacent to industries that require steam. To meet national goals of increasing energy-conversion efficiency and using indigenous energy sources, the utility suggests gasifying coal and piping the medium-Btu gas to combined-cycle cogeneration plants near industries. This concept will benefit utilities by keeping the industrial market and by producing additional revenues from steam sales and new markets for gasification by-products. Changes must first be made in the Public Utility Regulatory Policies Act to remove ownership constraints and restrictions on certain fuel uses, but ownership is the key issue. (DCK)