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Home My WebLink AboutReso 98-173 - Adopting a Net Energy Metering Solar & Wind Turbine Energy Systems Tariff l . _ • • RESOLUTION NO. 98- /7.3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING ADOPTING A NET ENERGY METERING SOLAR AND WIND TURBINE ENERGY SYSTEMS TARIFF PERTAINING TO THE CITY OF REDDING MUNICIPAL UTILITIES SCHEDULE OF RATES WHEREAS, Section 16.12.320 of the Redding Municipal Code provides that the City Council shall establish electric utility rates by resolution; and WHEREAS, state law requires that before January l, 1999, all California electric utilities provide net energy billing for residential and commercial customers with wind turbine or solar electrical-generating facilities. NOW,THEREFORE,IT IS HEREBY RESOLVED that the City Council hereby adopts the attached Solar and Wind Turbine Generation Net-Metering Tariff(Solar and Wind Tarif� to be applied only to qualifying residential and commercial customers with a wind generator and/or solar facilities of IOkW capacity or less, and that this Tariffbe incorporated in the City's Municipal Utilities Schedule of Rates. I HEREBY CERTIFY that the foregoing resolution was introduced, read and adopted at a regular meeting ofthe City Council on the 15th day of December , 1998, by the following vote: AYES: COLTNCILNIEMBERS: Anderson, Cibula, Kight, McGeorge and Kehoe NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None / � AVID A. HOE, Mayor Attest: Form Appr�oved.• �i r .�� , � Connie Strohmayer, City rk W. Leonard Wingate;�Ci Attorney � I �.. �( � � W , . � • ATTACHMENT A CITY OF REDDING MUNICIPAL UTILITIES - SCHEDULE OF RATES SOLAR AND WIND TURBINE GENERATION NET-METERING TARIFF (SOLAR AND WIND TARIFF) AVAILABILITY This service is available throughout the entire City ofRedding service area where the facilities of the City of Redding Electric Utility are available, of adequate capacity, and adjacent to the premises. The solar and wind generation tariff is applicable to residential customers and small commercial customers where a part or all of the electrical requirements of the customer can be supplied from a photovoltaic and/or wind generator of not more than 10 kilowatts owned and operated by the customer. The solar generator and/or wind turbine must be connected for parallel operation with the service of the Utility, it must be located on the customer's premises, and it must be intended to offset part or all of the customer's electrical requirements. This tariff outlines terms of service to customers with solar and/or wind generators of not more than 10 kilowatts. Application of this schedule will be limited to an aggregate 208 kW ofgeneration Citywide on a first-come,first-served basis. Customers on this tariffwill be net metered. Net energy metering is measuring the difference between the electricity supplied through the electric grid and the electricity generated by an eligible customer-generator and fed back to the grid over a 12-month period. This tariff does not extend to customers whose solar and/or wind power production source rated capability exceeds 10 kW. RATES A monthly bill at the following rate will be established, plus or minus any adjustments incor- porated in this rate schedule or supplement hereto: Service Charge: Per meter per month............................... $3.83 (Residential Customers) Per meter per month............................... $3.75 (Commercial Customers) Energy Charge: All kWh, per kWh................................... $ 0.09519 (Residential Customers) All kWh, per kWh................................... $ 0.10662 (Commercial Customers) Effective January 1, 1999 Page 1 � � SPECIAL CONDITIONS 1. Generation Interconnection A�reement: An interconnection agreement with the customer is required for service under this schedule and is attached to, and incorporated in,this schedule. The customer must comply with conditions and terms set forth by the City of Redding for the safe and efficient interconnection of equipment with the City of Redding electrical system. 2. Net Enersv: Net energy is ES minus EF where ES is energy supplied by the Utility and EF is energy generated by the customer and fed back into the Utility's system at such times as customer generation exceeds customer requirements. Ifthe net energy value resulting from the above computation is positive, an energy charge shall be applied at the rates specified above. If the calculation of net energy yields a negative result, all such negative net energy shall be considered net energy transmitted to the Utility's grid and shall be treated as stated in Special Condition No. 3 below. The components of net energy, ES and EF, shall be deternuned by the use of a nondemand, nontime- differentiated meter or meters. All necessary labor, equipment, materials, and related facilities costs in addition to, or in substitution for, standard City facilities that are required in order to take and sell power through one meter socket will be at the customer's expense. 3. Net Ener�y Transmitted: Net energy transmitted occurs when the cumulative value of EF exceeds the cumulative value of ES during the entire billing period and is the amount by which the energy generated by the customer and fed back into the Utility's system exceeds the energy supplied by the Utility over an entire billing period. In the event the energy generated exceeds the energy consumed during the 12-month period, no payment will be made for the excess energy delivered to the Utility's grid. 4. Billin�Periods: The eligible customer-generator shall be billed at the end of each 12- month period following the date of the Utility's final interconnection of their system and on the anniversary date thereafter for electricity used during that period. The City ofRedding shall provide the Customer-Generator with the net electricity consumption information on each regular bill. The consumption information shall include the current monetary balance owed to the City for net electricity consumed since the last 12-month period ended. City of Redding upon request of the Customer-Generator, shall permit the Customer-Generator to pay monthly for the net energy consumed. TAX CLAUSE The charges computed under the above rate, including any adjustments, shall be added to the applicable proportionate part of any taxes or governmental impositions that are, or may in the future, be assessed on the basis of gross revenues of the City of Redding and/or the price or revenue from the electric energy or service sold and/or the volume of energy generated or purchased for sale and/or sold hereunder. PAYMEN'�' Bills for service will be rendered annually if customer requests City of Redding can bill the customer monthly. Effective January 1, 1999 Page 2 . , • � ATTACHMENT B INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL COMMERCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS � ' • • TABLE OF CONTENTS SECTION 'I'I'I'I,E PAGE 1. SOLAR OR WIND ELECTRIC GENERATING FACILITY . . . . . . . . . 1 2. NET ENERGY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 3. INTERRUPTION OR REDUCTION OF DELIVERIES . . . . . . . . . . . . . 2 4. INTERCONNECTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 5. MAINTENANCE AND PERNIITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 6. ACCESS TO PREMISES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 7. INDEMNITY AND LIABII,ITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 8. INSURANCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 9. GOVERNING LAW . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 10. AMENDMENTS, MODIFICATIONS OR WAIVER . . . . . . . . . . . . . . . . 5 11. APPENDIX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 12. NOTICES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 13. TERM OF AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 14. SIGNATURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Appendix A INTERCONNECTION STANDARDS . . . . . . . . . . . . . . . . . . . . . . . . . . 8 � . � � � INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIlVIERCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS ("Customer-Generator"),and City ofRedding Electric Utility(COR),referred to collectively as"Parties"and individually as"Party,"consistent with the provisions of Section 2827 of the California Utilities Code agree as follows: 1. CUSTOMER-GENERATOR: SOLAR OR WIND ELECTRIC GENERATING FACILIT�' l.l Operating Option Customer-Generator has elected to interconnect and operate its solar or wind electric generating facility in parallel with the COR electric grid. The solar or wind electric generating facility is intended primarily to offset part or all of the Customer- Generator's own electrical requirements. 1.2 Identification Number: (PVID - Photovoltaic/Solar; WID - Wind Turbine) 1.3 Photovoltaic/Solar("PV")Array Rating: kW Wind Turbine(WT)Rating: kW 1.4 Site Address: 1.5 Facility will be ready for operation on or about: (date) 2. NET ENERGY 2.1 The Energy Charge on the regularly-filed tariff schedule shall normally be computed based upon Net Energy where Net Energy is energy supplied by the utility, minus energy generated by the customer and fed back into COR's grid over a 12-month period. In the event the energy generated exceeds the energy consumed during the 12-month period, no payment will be made for the excess energy delivered to COR's grid. 1 . � • • 1NTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL COMN�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS 2.2 COR shall provide the Customer-Generator with the net electricity consumption information on each regular bill. The consumption information shall include the current monetary balance owed to COR for net electricity consumed since the last 12- month period ended. COR,upon request of the Customer-Generator,shall permit the Customer-Generator to pay monthly for net energy consumed. 3. INTERRUPTION OR REDUCTION OF DELIVERIES 3,1 COR shall not be obligated to accept or pay for,and may require Customer-Generator to interrupt or reduce, deliveries of available energy: a. When necessary in order to construct, install, maintain, repair, replace, remove, investigate, or inspect any of its equipment or part of its system; or b. If it determines that curtailment, interruption, or reduction is necessary because of emergencies, forced outages, force majeure, or compliance with prudent electrical practices. 3.2 Whenever possible, COR shall give Customer-Generator reasonable notice of the possibility that interruption or reduction of deliveries may be required. 3.3 Notwithstanding any other provision of this Agreement, if at any time COR determines that either(a)the Facility,or its operation,may endanger COR personnel, or (b) the continued operation of Customer-Generator's facility may endanger the integrity of COR's electric system, COR shall have the right to disconnect Customer- Generator's Facility from COR's system. Customer-Generator's Facility shall remain disconnected until such time as COR is satisfied that the condition(s)referenced in(a) or(b) of this Section 3.3 have been corrected. 4. INTERCONNECTION 4.1 Customer-Generator shall deliver the available energy to COR at the utility's meter. Deliveries to third parties will not be allowed under this Agreement. 4.2 The Customer-Generator shall be responsible for all expenses involved in purchasing and installing a meter that is able to measure electrical flow in two directions. The COR will provide the meter at the customer's expense. COR will be responsible for meter reading and meter maintenance. 4.3 Customer-Generator shall not commence parallel operation of the Facility until written approval of the interconnection facilities has been given by COR. COR shall 2 . ' , � * INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIlV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS provide written approval within ten(10)working days from the utility's receipt of the inspection clearance ofthe governmental authority having jurisdiction. Such approval shall not be unreasonably withheld. COR shall have the right to have representatives present at the initial testing of Customer-Generator's protective apparatus. Customer-Generator shall notify COR five(5)working days prior to the initial testing. 5. MAINTENANCE AND PERMITS Customer-Generator shall: (a) Maintain the Customer-Generator's Facility and interconnection facilities in a safe and prudent manner and in conformance with all applicable laws and regulations including, but not limited to COR's Appendix A; and (b) Obtain any governmental authorizations and permits required for the construction and operation of the Customer-Generator's Facility and interconnection facilities. Customer-Generator shall reimburse COR for any and all losses, damages, claims, penalties, or liability it incurs as a result of Customer-Generator's failure to obtain or maintain any governmental authorizations and permits required for construction and operation of Customer-Generator's Facility. 6. ACCESS TO PREMISES COR may enter Customer-Generator's premises: (a) To inspect, at reasonable hours, Customer-Generator's protective devices and read or test meters; and (b) To disconnect, without notice, the interconnection facilities if, in COR's opinion, a hazardous condition exists and such immediate action is necessary to protect persons, or COR's facilities, or property of others from damage or interference caused by Customer-Generator's solar or wind electric generating facilities,or lack of properly- operating protective devices. 7. INDEMNITY AND LIABILITY 7.1 Each Party as indemnifier shall defend, save harmless and indemnify the other party and the directors,officers,employees,and agents of such other Party against and from any and all loss, liability, damage, claim, cost, charge, demand, or expense(including any direct, or consequential loss, liability, damage, claim, cost, charge, demand, or expense,including attorneys'fees)for injury or death of persons including employees of either Party and damage to property including property of either Party arising out of or in connection with: 3 ' � � • 1NTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIlV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS (a) The engineering, design, construction, maintenance, repair, operation, supervision, inspection, testing, protection or ownership of; or (b) The making of replacements, additions, betterments to, or reconstruction of, the indemnifier's facilities. This indemnity shall apply, notwithstanding the active or passive negligence of the indemnified. However, neither Party shall be indemnified hereunder for its loss,liability, damage, claim, cost, charge, demand, or expense resulting from its sole negligence or willful misconduct. 7.2 Notwithstanding the indemnity of Section 7.1, and except for a Party's willful misconduct or sole negligence, each Party shall be responsible for protecting its facilities from possible damage by reason of electrical disturbances or faults. 7.3 The provisions of this Section 7 shall not be construed to relieve any insurer of its obligations to pay any insurance claims in accordance with the provisions of any valid insurance policy. 7.4 Except as otherwise provided in Section 7.1, neither Party shall be liable to the other Party for consequential damages incurred by that Party. Nothing in the Agreement shall create any duty to, any standard of care with reference to, or any person not a party to, it. 7.5 If Customer-Generator fails to comply with the insurance provisions of this Agreement, Customer-Generator shall, at its own cost, defend, save harmless and indemnify COR, its directors, officers, employees, agents, assignees, and successors in interest from and against any and all loss, liability, damage, claim, cost, charge, demand, or expense of any kind or nature (including attorney's fees and other costs of litigation) resulting from the death or injury to any person or damage to any property,including the personnel and property of COR,to the extent that COR would have been protected had Customer-Generator complied with all such insurance provisions. The inclusion of this Section 7.5 is not intended to create any expressed or implied right in Customer-Generator to elect not to provide any such required insurance. 8. INSURANCE 8.1 To the extent that Customer-Generator has currently in force all risk property insurance and comprehensive personal liability insurance,Customer-Generator agrees that it will maintain such insurance in force for the duration of this Agreement in no less amounts than those currently in effect. COR shall have the right to inspect or obtain a copy of the original policy or policies of insurance. 4 . , • • INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIMERCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS 8.2 Customer-Generator shall meet the standards and rules set forth in Section 5,have the appropriate liability insurance required in Section 8.1, and shall not be required to purchase any additional liability insurance. Such insurance required in Section 8.1 shall,by endorsement to the policy or policies, provide for thirty (30) calendar days written notice to COR prior to cancellation, termination, alteration, or material change of such insurance. 8.3 Customer-Generator shall furnish the COR required certificates and endorsements prior to commencing operation. 8.4 All insurance certificates, endorsements, cancellation, ternunations, alterations, and material changes of such insurance shall be issued to the following: City of Redding Attn: Risk Manager 760 Parkview Avenue Redding, CA 96001 9. GOVERNING LAW This Agreement shall be interpreted, governed, and construed under the laws of the State of California as if executed and to be performed wholly within the State of California. 10. AMENDMENTS, MODIFICATIONS OR WAIVER Any amendments or modifications to this Agreement shall be in writing and agreed to by both Parties. The failure of any Party at any time or times to require performance of any provision hereof shall in no manner affect the right at a later time to enforce the same. No waiver by any Party of the breach of any term or covenant contained in this Agreement, whether by conduct or otherwise, shall be deemed to be construed as a further or continuing waiver of any such breach or a waiver of the breach of any other term or covenant unless such waiver is in writing. 11. APPENDIX This Agreement includes the following Appendix A, which is attached and incorporated by reference: Appendix A:COR's Interconnection Standards for Residential and Small Commercial Solar or Wind Electric Generating Facilities of 10 kW or Less 5 . ' � • INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIlV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS 12. NO'I'IC�S All written notices shall be directed as follows: City of Redding Attn: Electric Utility Director 760 Parkview Avenue Redding, CA 96001 CUSTOMER-GENERATOR: (name) Address: City: Customer-Generator's notices to COR pursuant to this Section 12 shall refer to PVID and WID Numbers set forth in Section 1.1. 13. TERM OF AGREEMENT This Agreement shall become effective as of the last date set for in Section 14 and shall continue in full force and effect until terminated by either Party providing thirty (30) days prior written notice to the other Party in accordance with Section 12. This Agreement may be terminated prior to thirty (30) days by agreement of both Parties. 14. SIGNATURES IN WITNESS WHEREOF, the Parties hereto have caused two originals of this Agreement to be executed by their duly authorized representatives. This Agreement is effective as of the last date set forth below. "Customer-Generator Name" By(Signature): Type/Print Name: Title: Date: 6 . ' � � INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL COMN�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS City of Redding By (Signature): Title: Electric Utility Director Date: 7 . ' , � � . 1NTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL CONIlV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACII,ITIES OF 10 KILOWATTS OR LESS APPENDIX A A. GENERAL This Appendix sets forth the requirements and conditions for interconnected non-utility owned, solar or wind electric generation where such generation may be connected for parallel operation with the service of City of Redding Electric Utility(COR). For purposes of this Appendix, the interconnecting entity shall be designated Customer-Generator. B. DESIGN REQUIREMENTS 1. Customer-Generator shall conform to all applicable solar or wind electrical generating system safety and performance standards established by the National Electrical Code (NEC), the Institute of Electrical and Electronics Engineers (IEEE), and accredited testing laboratories such as Underwriters Laboratories, and where applicable, rules of the Public Utilities Commission regarding safety and reliability, and applicable building codes. A Customer-Generator whose solar or wind electrical generating system, or a hybrid system of both, meets those standards and rules shall not be required to install additional controls, perform or pay for additional tests, or purchase additional liability insurance. 2. The Customer-Generator shall provide,install, own,and maintain an interconnection disconnect device at a location readily accessible to COR. Such device shall normally be located near the COR meter for sole operation by COR. The COR-operated disconnect shall provide a means of electrically isolating the COR electric system from the Customer-Generator. This will be used to establish visually open working clearance for maintenance and repair work in accordance with COR safety rules and practices. Disconnect switches shall be lockable in both the open and closed positions with a standard COR switch lock. Disconnects must be rated for the voltage and current requirements ofthe particular installation. Disconnects must be gang operated and must be weatherproof or must be designed to withstand exposure to weather. 3. The Customer-Generator shall submit to COR, for COR's review and written acceptance, equipment specifications and detailed plans for the installation of all interconnection facilities to be furnished by the Customer-Generator prior to their purchase or installation. Customer-Generator plans shall be stamped and signed by a licensed California Electrical Engineer certifying the plans comply with the design requirements of this Appendix. COR's review and written acceptance of the Customer-Generator's specifications and detailed plans shall not be construed as confirming or endorsing the Customer-Generator's design or as warranting the equipment's safety, durability, or reliability. COR shall not,by reason of such review 8 • � . � • INTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL COMIV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KII,OWATTS OR LESS or lack of review,be responsible for strength, details of design adequacy, or capacity of equipment built pursuant to such specifications, nor shall COR's acceptance by deemed an endorsement of any such equipment. 4. No generating source shall be operated in parallel with COR's system until the interconnection facilities have been inspected by COR and COR has provided written approval to the Customer-Generator. C. UTILITY SYSTEM ADDITIONS AND REINFORCEMENT 1. All additions to and reinforcements of COR's service facilities necessary to interconnect with and receive power deliveries from the Customer-Generator will be provided, installed, owned, and maintained by COR. Costs of all Customer- Generator-specific facilities required to be installed by COR to interconnect Customer-Generator with COR is the responsibility of the Customer-Generator. These costs will be billed to the Customer-Generator by COR. 2. The Customer-Generator shall be responsible for the costs of those future utility system alterations that are directly related to the Customer-Generator's presence or necessary to maintain the Customer-Generator's interconnection in accordance with COR's applicable operating, metering, and engineering standards and policies. Such alterations may include,but are not limited to,relocation or undergrounding of COR's distribution facilities. D. OPERATION 1. COR will inspect the Customer-Generator's interconnection facilities prior to providing it with written authorization to commence parallel operation. Such inspection shall determine whether or not the Customer-Generator has installed certain control, protective, and safety equipment to COR's specifications. 2. The Customer-Generator while operating in parallel with COR's system is at all times under the jurisdiction of COR's System Operator. 3. COR reserves the right to refuse to connect to any new equipment or to remain connected to any existing equipment of a size or character that may be detrimental to COR's operations or service to its customers. 4. The Customer-Generator shall not operate equipment that superimposes upon COR's system a voltage or current that causes interference with COR's operations, service to COR's customers, or interference to communication facilities. If the Customer- Generator causes service interference to others, the Customer-Generator must diligently pursue and take conective action at the Customer-Generator's expense after 9 - . � . � � � 1NTERCONNECTION AGREEMENT FOR NET ENERGY METERING FROM RESIDENTIAL AND SMALL COMIV�RCIAL SOLAR OR WIND ELECTRIC GENERATING FACILITIES OF 10 KILOWATTS OR LESS being given notice and reasonable time to do so by COR. If the Customer-Generator does not take timely corrective action, or continues to operate the equipment causing the interference without restriction or limit, COR may, without liability, disconnect the Customer-Generator's equipment from COR's system until a suitable permanent solution provided by the Customer-Generator is operational at the Customer- Generator's expense. E. MAINTENANCE 1. The Customer-Generator should follow recognized electrical industry standards for maintenance and protection of control equipment. 2. Protective equipment shall be tested by qualified personnel no less than every three (3) years and a test report forwarded to COR. 10