217.174  Multiyear contracts for electricity from renewable energy sources.

7. Section 217.175 is redesignated as 217.174 and the newly redesignated section 217.174 paragraph (b) is revised as set forth below.

217.174  Multiyear contracts for electricity from renewable energy sources.

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(b) Limitations. The head of the contracting activity may exercise the authority in paragraph (a) of this section to enter into a contract for a period in excess of 5 years only if the head of the contracting activity determines, on the basis of a business case analysis (see PGI 217.174 for a business case analysis template and guidance) prepared by the requiring activity, that--

(1) The proposed purchase of electricity under such contract is cost effective; and

(2) It would not be possible to purchase electricity from the source in an economical manner without the use of a contract for a period in excess of 5 years.

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