A "small power production facility" is an electric generation facility that produces 80 MW or less and that uses renewable sources (such as hydro, wind or solar) as its primary energy source. A "cogeneration facility" is an electric generation facility that creates electricity in a very efficient way, meaning that the facility produces both electricity and “another form of useful thermal energy (such as heat or steam) in a way that is more efficient than the separate production of both forms of energy.”