HomeMy WebLinkAbout2000-07-05 Agenda Packet - Board (11) Staff Report
To: Board of Directors
From: Peter L. Holzmeister
Date: June 29, 2000
Net metering of customer owned photovoltaic generation
Under the terms of California law, every California electric utility must offer to purchase excess
energy generated by photovoltaic facilities owned and installed at residential homes. This purchase
of excess energy is accomplished through a process known as net metering.
A home owner installs a photovoltaic generation unit at his or her home, generates energy and uses
the energy in the home. The unit is unable to supply the home with all of its energy, so the
homeowner buys the rest of its needed energy from TDPUD, through our meter. There are hours
during the day when the photovoltaic unit generates more energy than the home uses. This excess
energy is sent back into the TDPUD system through the District meter, causing the meter to register
negative energy during that time. At the end of the billing month the customer's meter registers the
energy purchased from the TDPUD minus the excess energy generated by the photovoltaic unit. The
customer pays us based on this reduced meter read. This is the requirement of law.
The District enacted Ordinance 9602 implementing net metering, a copy of which is attached. We
now have one customer who has installed a photovoltaic unit and would like to take advantage of net
metering. However, our ordinance has a customer charge of $25.00 per month, compared to a
customer charge of $4.00 per month for other customers. We established the higher customer
charge believing there would be unusual metering and billing requirements to accommodate net
metering.We now know that there are no extraordinary requirements to accommodate net metering.
We would like the Board to consider amending the ordinance to reduce the customer charge to the
same$4.00 paid by other District customers
Recommendation
I recommend that the Board schedule a public hearing to consider amending Ordinance 9602.
•Page 9
7.64.020 Photovoltaic Power Production
7.64.020.1 Applicability - This section is applicable to domestic service to residential customers
eligible for service where a part or all of the electrical requirements of the customer can be supplied
from a photovoltaic power production source owned and operated by the customer. where such
source is connected for parallel operation with the service of the District and where such source
is located on the customer's premises and is intended to offset part or all of the customer's
electrical requirements.
7.64.020.1(A) Schedule D-NM (included in Appendix A) provides rates, terms and conditions for
the sale of energy to the District. Prices, terms and conditions for the purchase of net energy
transmitted by the customer to the District are included in the schedule for reference only. Such
prices, terms and conditions and the terms of inter-connection and parallel operation are outlined
in the generation agreement required for service under this tariff. Ile purpose of this tariff is to
facilitate terms of service to customers with photovoltaic power production systems of not more
than ten kilowatts.
7.64.020.1(B) Applicability of this tariff does not extend to customers whose photovoltaic power
production source exceeds ten kilowatts.
7.64.020.2 Territory -The entire area served by the Truckee Donner Public Utility District electric
system.
7.64.030 Rates - See Schedule D-NM, Appendix A.
7.64.040 Special Conditions
7.64.040.1 Generation agreement: A generation agreement with the customer is required for
service under this schedule.
7.64.040.2 Net energy: Net energy is ES minus EF where ES is energy supplied by the District and
EF is energy generated by the customer and fed back into the District's system at such times as
customer generation exceeds customer requirements. Only if net energy is positive shall net
energy charges be applied at the rates specified above except that the minirftGm charge will be
applied in any case. If the calculation of net energy yields a negative result, all such negative net
energy shall be considered net energy transmitted and shall be treated as stated in special
condition 7.64.040.3 below. The components of net energy, ES and EF shall be determined by the
use of a single, non-demand, non-time-differentiated meter to be provided by the District. If a new
meter is required, then the normal meter installation fee will be chareed.
7.64.040.3 Net energy transmitted: Net energy transmitted occurs when the cumulative value of
EF e:<c2eds th.e cumulative value of ES during an entire billing period and is the amount by which
the energy generated by the customer and fed back into the District's system exceeds the energy
supplied by the District over an entire billing period. Such net energy transmitted will be purchased
by the District at its monthly average non-firm energy price the District pays during the applicable
billing month.
7.64.0,10.4 Billing and billing periods: The billing period to be used under this tariff shall be the
custcmary monthly billing period. In any monthly billing period where ES exceeds EF, the District
will bill the customer for the net energy consumed per the terms of the tariff. In monthly billing
periods where EF exceeds ES, the District will pay the customer for the excss kilowatt hours
generated at the rate established by the procedures in Section 7.64.040.3 above.
(Ord. 9602)
Title 7 Page 29
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SCHEDULE D-NM
DOMESTIC - NET METERING
Service charge Per meter per month, $25.00.
Energy charge On the domestic rate applicable to that residence.
Net energy credit A1Pkilowatt-hours, per kilowatt-hour- the net energy credit will be computed at
a rate for payment equal to the monthly average non-firm energy price the
District pays during the applicable billing month.
smc 11/6V6
Ord. 96o2-effective 12/6r96
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