KRS 278.271: Allowable recovery of costs not recovered in existing utility rates --

Conditions -- Duration of cost recovery.

Notwithstanding any provision of law to the contrary, upon application by a regulated

utility, the commission may allow recovery of costs w hich are not recovered in the

existing rates of the utility for the purchase of electric power from a biomass energy

facility that has received a certificate from the Kentucky State Board on Electric

Generation and Transmission Siting pursuant to KRS 278.7 00 to 278.716. No recovery

shall be allowed unless the full costs of the purchase power agreement over the full term

of the agreement, which shall be included as part of the application, have been found by

the commission to be fair, just, and reasonable. I n determining whether the agreement is

fair, just, and reasonable, the commission may consider the policy set forth by the General

Assembly in KRS 154.27 -020(2). The commission's approval of cost recovery under this

section shall be valid for the entire initial term of the agreement.