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TITLE 17, CHAPTER 10, PART 571 PUBLIC
UTILITIES AND UTILITY SERVICES ELECTRIC SERVICES NET METERING OF
CUSTOMER-OWNED QUALIFYING FACILITIES OF 10kW OR SMALLER [9-30-99]
1 ISSUING AGENCY: New Mexico Public Regulation
Commission, 224 East Palace Avenue, Santa Fe, NM 87501-2013. [9-30-99]
2 SCOPE: This rule applies to every electric utility
operating in New Mexico that is subject to the jurisdiction of the New
Mexico Public Regulation Commission as provided by law. [9-30-99]
3 STATUTORY AUTHORITY: The New Mexico Constitution, art.
II, § 2, § 8-8-4 NMSA, the Public Regulation Commission Act, NMSA 1978,
Sections 8-8-1 et seq., in particular NMSA 1978, Section 8-8-15,
the New Mexico Public Utility Act, NMSA 1978 Sections 62-3-1 et
seq., in particular NMSA 1978 Sections 62-6-1, 62-6-4, 62-6-19,
62-6-20 and 62-6-24, and regulations of the Federal Energy Regulatory
Commission, 18 C.F.R. Section 292, promulgated pursuant to the Public
Utility Regulatory Policies Act of 1978, Pub. L. No. 95-617, 92 Stat. 3117
(codified as amended starting at 16 U.S.C. Section 824). [9-30-99]
4 DURATION: Permanent. [12-31-98]
5 EFFECTIVE
DATE: December 31, 1998, unless a later date is cited at the end of a
section or paragraph. [12-31-98]
6 OBJECTIVE: The purpose
of this rule is to simplify the interconnection requirements for
Qualifying Facilities of 10kW or smaller and encourage the use of
small-scale customer-owned renewable or alternative energy resources in
recognition of the beneficial effects the development of such resources
will have on the environment of New Mexico. [9-30-99]
7
DEFINITIONS: As used in this rule, unless otherwise specified:
7.1 "Qualifying Facility" means a cogeneration or a small power
production facility which has a design capacity of 10kW or smaller and
meets the criteria for qualification contained in 18 C.F.R. Section
292.203. [9-30-99]
7.2 "customer" means a customer of an electric
utility who owns and/or operates a qualifying facility. [9-30-99]
7.3 "net metering" means measurement of the
difference between the electricity that is supplied by an electric utility
and the electricity that is generated by a Qualifying Facility and fed
back to the utility over a billing period. [9-30-99]8 LIBERAL
CONSTRUCTION: This rule shall be liberally construed to carry out its
intended purposes. [12-31-98]
9 RELATIONSHIP TO OTHER
COMMISSION RULES: This rule is intended to supplement NMPRC Rule 570.
In the case of any conflict between this rule and NMPRC 570, the
provisions of this rule shall apply. [9-30-99]
10 PROCEDURE FOR
INTERCONNECTION:
10.1 General. Unless otherwise specifically provided for in the
standard interconnection agreement in 17 NMAC 10.571.17, the procedures in
17 NMAC 10.571.10.2 for standard interconnection agreements and
interconnections shall be followed. [9-30-99]
10.2 Conditions
of interconnection. A utility shall interconnect with any Qualifying
Facility which:
10.2.1 is covered by a signed standard interconnection agreement
between the customer and the utility which is consistent with the
Commission approved form of agreement set forth in 17 NMAC 10.571.17. A
utility shall provide a blank form of application for interconnection
within ten (10) days of a written request for such form.
10.2.2 is
capable of operating safely and commencing the delivery of power into the
utility system;
10.2.3 has met all applicable safety and
performance standards established by local and national electrical codes
including the National Electrical Code, the Institute of Electrical and
Electronics Engineers, and Underwriters Laboratories;
10.2.4 has
met all applicable safety and performance standards adopted by the utility
and filed with and approved by the Commission pursuant to this rule that
are necessary to protect public safety and system reliability. [9-30-99]
10.3 A customer whose Qualifying Facility otherwise complies
with this rule may bring a complaint before the Commission pursuant to the
NMPRC Utility Division Rules of Procedure, 17 NMAC 1.2 if it is
unreasonably required by the utility to meet additional interconnection
requirements, perform or pay for additional tests, or pay additional
interconnection-related charges. [9-30-99]
10.4 Professional
engineers certification not required. Qualifying facilities that meet
the requirements of 17 NMAC 10.571.10.2 shall not be required by a utility
to provide a certification from a professional electrical engineer.
[9-30-99]
10.5 Isolation transformers and disconnection
switches. A utility shall not require an isolation transformer for
interconnection of single phase photovoltaic facilities meeting the
requirements of 17 NMAC 10.571.10.2. If a utility determines that an
isolation transformer is required for other types of qualifying
facilities, the utility may file an application with the Commission
requesting approval to require the transformer. The customer shall have
installed and maintained in proper operable condition a separate load
break disconnect switch as a visible means of disconnection, unless the
customer and utility shall agree in writing to the use of the meter as a
visible means of disconnecting single-phase photovoltaic facilities.
[9-30-99]
10.6 Use of a single meter. When the customer is
billed under a rate structure that does not include time-of-use energy
pricing, a single energy meter shall be used to implement net metering of
a Qualifying Facility unless an alternate metering arrangement is agreed
to by the customer and utility. If either the utility or the customer
requests an alternate form of metering or additional metering that is not
required to accomplish net metering or is for the convenience of the
party, the party requesting the change in metering shall pay for the
alternate or additional metering arrangement. If the customer elects to
take electric service under any rate structure, including time-of-use,
that requires the use of metering apparatus or a metering arrangement that
is more costly than would otherwise be necessary absent the requirement
for net metering, the customer shall be required to pay the additional
incremental cost of the required metering equipment. Within ten (10) days
of receiving notification from the customer of the intent to interconnect,
the utility will notify the customer of any metering costs. Charges for
special metering costs shall be paid by the customer, or arrangements for
payment agreed to between the customer and utility, prior to the utility
authorizing interconnected operation.
10.7 Liability
insurance. All customers are urged to obtain adequate liability
insurance to cover risks, liabilities, and consequences which may arise as
a result of interconnection with a utility system. For good cause shown,
upon the petition of a utility the Commission may require a customer to
obtain general liability insurance. [9-30-99]
10.8 Provision of
interconnection agreement. The utility shall provide a blank form of
the standard interconnection agreement in the form set out in Section 17
of this rule within ten (10) days of a request for such form. When a
customer enters into an interconnect agreement pursuant to this rule, the
utility shall provide the customer with a copy of that interconnect
agreement. The utility shall file with the Commission a copy of each
interconnect agreement entered into by the utility within 30 days of the
date of the agreement. [9-30-99] 11 Net Metering
Calculation: The electric company shall calculate each customer's bill
for the billing period using net metering and with the following
conditions: [9-30-99]
11.1 Customers shall be billed for service in accordance with the
rate structure and monthly charges that the customer would be assigned if
the customer had not interconnected a Qualifying Facility. Net energy
produced or consumed on a monthly basis shall be measured in accordance
with standard metering practices. [9-30-99]
11.2 If electricity
supplied by the utility exceeds electricity generated by the customer
during a billing period, the customer shall be billed for the net energy
supplied by the utility under the rates applicable under 17 NMAC
10.571.11.1. [9-30-99]
11.3 If electricity generated by the
customer exceeds the electricity supplied by the grid during a billing
period, the utility shall credit the customer on the next bill for the
excess kilowatt-hours generated, by:
11.3.1 crediting or paying the customer for the net energy
supplied to the utility at the utility's energy rate pursuant to NMPRC
Rule 570.17; or 11.3.2 crediting the customer for the net
kilowatt-hours of energy supplied to the utility. Unused credits shall be
carried forward from month to month. [9-30-99] 11.4 If a utility
opts to credit customers under 17 NMAC 10.571.11.3.2, and the customer
leaves the system, customer's unused credits for excess kilowatt-hours
generated shall be paid to the customer at the utility's energy rate
pursuant to NMPRC Rule 570.17. [9-30-99] 12 Complaints and
Investigations: The procedures set forth in NMSA 1978 Sections 62-8-7
and 62-10-1, and the complaint and investigation provisions of the NMPRC
Utility Division Rules of Procedure, 17 NMAC 1.2, shall be
applicable for the resolution of complaints and investigations arising out
of the implementation and conduct of this rule. The customer and utility
are encouraged to use alternative dispute resolution mechanisms as
provided in 17 NMAC 1.2. [9-30-99]
13 Severability: If any
part of this rule or any application thereof is held invalid, the
remainder of this rule or its application to other situations or persons
shall not be affected. [9-30-99]
14 Exemption or Variance:
14.1 Any interested person may file an application for an exemption
or a variance from the requirements of this rule. Such application shall:
14.1.1 describe the situation which necessitates the exemption or
variance;
14.1.2 set out the effect of complying with this rule on
the utility and its customers if the exemption or variance is not granted;
14.1.3 identify the section of this rule for which the exemption
or variance is requested;
14.1.4 define the result which the
request will have if granted;
14.1.5 state how the exemption or
variance will promote the achievement of the purposes of this rule;
14.1.6 state why no other reasonable alternative is available.
[9-30-99] 14.2 If the Commission determines that the exemption
or variance is consistent with the purposes of this rule, the exemption or
variance may be granted. The Commission may at its option require an
informal conference or formal evidentiary hearing prior to the granting of
the variance. [9-30-99] 15 Motion for Stay Pending Amendment,
Exemption, or Variance: An application for an amendment, exemption, or
a variance may include a motion that the Commission stay the application
of the affected portion of this rule for the transaction specified in the
motion. [9-30-99]
16 Customer Information: The utility
shall provide clear and concise information to all customers regarding
this rule, including, but not limited to, contact persons and a
description of net metering. The information shall be provided in a bill
insert or separate mailing and at the following intervals:
16.1 the first month following the effective date of this rule
and substantive amendments to this rule; and
16.2 at least every
year thereafter. [9-30-99]
17 STANDARD INTERCONNECTION
AGREEMENT:
[NAME OF UTILITY] STANDARD INTERCONNECTION
AGREEMENT FOR QUALIFYING FACILITIES 10 kW OR LESS
__________________ (Customer) and ________________________
(Utility), referred to collectively as parties and individually as party,
agree as follows:
1. QUALIFYING FACILITY 10 kW OR LESS:
| Customer's electric service
account number |
________________________ |
| |
|
Type of generating facility (solar,
wind, etc.) |
________________________ |
| |
|
| Rated generating capacity |
______________________ (kW) |
| |
|
| Customer and facility address |
_____________________________________ _____________________________________ _____________________________________ |
| |
|
| Facility will be ready for operation on or
about |
______________________
(date) |
Operating option
Customer has elected to operate its Qualifying Facility in
parallel with Utility's system.
Customer understands that if this
agreement is accepted connection and operation of customer Qualifying
Facility must meet at all times all applicable safety and performance
standards, including those established by the National Electrical Code,
the Institute of Electrical and Electronics Engineers, Underwriters
Laboratories, and all additional safety and performance standards of
Utility or adopted by the Commission pursuant to this rule that are
necessary to protect public safety and system reliability.
Customer shall be subject to the terms and conditions set forth in
17 NMAC 10.571, a copy of which is attached to this agreement. Customer
hereby acknowledges that Customer has read 17 NMAC 10.571. 1. CREDIT FOR
NET ENERGY. Credit for net energy shall be in accordance with
17NMAC10.571.11.
2. INTERRUPTION OR REDUCTION OF DELIVERIES.
Utility shall not be obligated to accept or pay for and may require
Customer to interrupt or reduce deliveries of available energy:
when necessary in order to construct, install, maintain, repair,
replace, remove, investigate, or inspect any of its equipment or part of
its system; or
if it reasonably determines that curtailment,
interruption, or reduction is necessary because of emergencies, forced
outages, force majeure, or compliance with prudent electrical practices.
Whenever possible, Utility shall give Customer reasonable
notice of the possibility that interruption or reduction of deliveries may
be required.
Notwithstanding any other provision of this
agreement, if at any time Utility reasonably determines that either:
the facility may endanger Utility personnel or other persons or
property, or
the continued operation of Customer's facility may
endanger the integrity or safety of Utility's electric system,
Utility shall have the right to disconnect and lock out
Customer's facility from Utility's electric system. Customer's facility
shall remain disconnected until such time as Utility is reasonably
satisfied that the conditions referenced in this section have been
corrected. 5. INTERCONNECTION.
Customer shall deliver the as-available energy to Utility at the
Utility's meter.
Customer shall pay for designing, installing,
operating, and maintaining the electric generating facility in accordance
with all applicable laws and regulations.
Utility shall furnish
and install a standard kilowatt-hour meter. Customer shall provide and
install a meter socket and any related interconnection equipment per
Utility's requirements.
Utility may meter the customer's usage
using two meters for measurement of energy flows in each direction at the
point of delivery. Additional metering shall be at the expense of the
party choosing to install additional meters, unless net metering cannot be
accomplished otherwise; provided, however, that Customer's and Utility's
responsibility for metering costs will be in accordance with the
provisions of 17 NMAC 10.571.10.6.
Customer shall provide a
clearly understandable sketch or one-line diagram showing the Qualifying
Facility, the interconnection equipment, breaker panel(s), disconnect
switches and metering, to be attached to this Agreement.
[Utility
agrees with Customer's written election, attached to this Agreement, to
use the meter as the visible means of disconnect rather than installing a
separate load break disconnect switch.]
Customer shall not
commence parallel operation of the generating facility until written
approval of the interconnection facilities has been given by Utility. Such
approval shall not be unreasonably withheld or delayed. Notwithstanding
the foregoing, Utility approval to operate Customer's Qualifying Facility
in parallel with Utility's electrical system should not be construed as an
endorsement, confirmation, warranty, guarantee or representation
concerning the safety, operating characteristics, durability or
reliability of Customer's Qualifying Facility. Utility shall have the
right to have its representatives present at the initial testing of
Customer's protective apparatus. 6. MAINTENANCE AND PERMITS.
Customer shall:
maintain the generating facility and interconnection facilities in a
safe and prudent manner and in conformance with all applicable laws and
regulations including, but not limited to, Utility's interconnection
requirements as set out in Appendix A to this Agreement, and
obtain any governmental authorizations and permits required for
the construction and operation of the electric generating facility and
interconnection facilities. 7. ACCESS TO PREMISES. Utility may
enter Customer's premises:
to inspect at all reasonable hours Customer's protective devices and
read or test meter; and
to disconnect, without notice, the
interconnection facilities if Utility reasonably believes a hazardous
condition exists and such immediate action is necessary to protect
persons, or Utility's facilities, or property of others from damage or
interference caused by Customer's facilities, or lack of properly
operating protective devices. 8. INDEMNITY AND LIABILITY.
Each party shall indemnify the other party, its directors, officers,
agents and employees against all loss, damages expense and liability to
third persons for injury to or death of persons or injury to property
caused by the indemnifying party's engineering design, construction
ownership or operations of, or the making of replacements, additions or
betterment to, or by failure of, any of such party's works or facilities
used in connection with this agreement by reason of omission or
negligence, whether active or passive. The indemnifying party shall, on
the other party's request, defend any suit asserting a claim covered by
this indemnity. The indemnifying party shall pay all costs that may be
incurred by the other party in enforcing this indemnity. It is the intent
of the parties hereto that, where negligence is determined to have been
contributory, principles of comparative negligence will be followed and
each party shall bear the proportionate cost of any loss, damage, expense
and liability attributable to that party's negligence.
Nothing in
this agreement shall be construed to create any duty to, any standard of
care with reference to or any liability to any person not a party to this
agreement. Neither Utility, its officers, agents or employees shall be
liable for any claims, demands, costs, losses, causes of action, or any
other liability of any nature or kind, arising out of the engineering,
design construction, ownership, maintenance or operation of, or making of
replacements, additions or betterment to, customer's facilities by
customer or any other person or entity.
Neither Utility, its
officers, agents or employees shall be liable for damages to the
electrical generating equipment caused by an electrical disturbance on the
Utility system or on the system of another, whether or not the electrical
disturbance results from the negligence of Utility. 9. GOVERNING
LAW. This agreement shall be interpreted, governed, and construed under
the laws of the state of New Mexico as if executed and to be performed
wholly within the state of New Mexico.
10. AMENDMENT,
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. NOTICES. All written notices shall be directed as
follows:
Attention: [Utility Agent or Representative] [Utility Name and
Mailing Address] Attention: CUSTOMER Name:
______________________________________ Address:
______________________________________ City:
______________________________________
Customer notices to Utility
pursuant to section 12 of this Agreement shall refer to the Customer's
electric service account number set forth in section 1 of this agreement.
12. TERM OF AGREEMENT. This Agreement shall be in effect when
signed by the Customer and Utility and shall remain in effect thereafter
month to month unless terminated by either party on thirty (30) days'
prior written notice in accordance with section 11.
13.
ASSIGNMENT. This Agreement and all provisions hereof shall inure to and be
binding upon the respective parties hereto, their personal
representatives, heirs, successors, and assigns. Customer shall not assign
this Agreement or any part hereof without the prior written consent of
Utility, and such unauthorized assignment may result in the termination of
this Agreement in accordance with section 12.
14. APPENDICES. This
Agreement includes the following appendices or attachments, as labeled and
incorporated herein by reference:
Utility's Interconnection Standards for Qualifying Facilities 10kW or
Less.
Customer's written request to Utility of intent to
interconnect Qualifying Facility.
Customer's written election to
use meter as visible means of disconnect.
Customer's sketch or one
line diagram and site drawing, and generation and protection equipment
specifications.
Utility's written authorization to interconnect.
IN WITNESS WHEREOF, the parties 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
By:_________________________________________________
Name:_______________________________________________
Title:________________________________________________
Date:________________________________________________
Utility
By:__________________________________________________
Name:_______________________________________________
Title:________________________________________________
Date:_________________ [9-30-99]
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