North Carolina electric ratepayers are spending much more money than they need to spend on their electric bills, thanks to the state’s application of a nearly 40-year-old federal law. The extra costs hit low-income residents especially hard.

Those are two key findings of a new John Locke Foundation report. It documents the impact in North Carolina of the Public Utility Regulatory Policies Act of 1978, also known as PURPA. The report offers recommendations to help the state reduce costs.

“North Carolina differs significantly from other states in its approach to PURPA,” said report author Jon Sanders, JLF Director of Regulatory Studies. “Our Utilities Commission and policymakers have made decisions that create special benefits for solar energy facilities, while ultimately driving up costs for electricity consumers in general.”

Read the report — Reforming PURPA Energy Contracts — here.