Customer Services
Net Metering, Interconnection and Time-Based Rate Standards
Chelan County PUD commissioners held a hearing at 2 p.m. on Nov. 13, 2006, in the boardroom at 327 N. Wenatchee Ave., Wenatchee, Wash., to consider adopting proposed standards for net metering service to electric consumers served by the electric utility delivery system, time-based metering and communications, and interconnection of third-party generation facilities to the electric utility delivery system. Commissioners decided that it is not in the best interest of the District to adopt the federal net metering standard. Rather, District Rate Schedule 20 should be updated to reflect recent state legislation and presented to the Board at a future date. With regard to interconnection service, commissioners decided it is not in the best interest of the District to adopt the federal standard. Rather, the District should continue to provide interconnection service to customer generators of up to 10MW and adopt the specific interconnection services developed by the Washington PUD Association Public Power Ad-hoc Interconnection Standards Committee for customer generators of 25kW or less after a presentation to the Board at a future date.
Commissioners also declined to adopt federal standards for time-based rates and communications. Instead, District staff will continue to study and evaluate the benefits, technology and costs of time-based rates and communications (or smart metering) in conjunction with automated meter reading and report back to the Board at a future date.
Minutes from the public hearing are available here.
Here is a brief explanation of the standards that were considered:
Net Metering
Net metering is a program that Chelan County PUD offers to local solar and wind power producers. Under net metering, solar or wind power generated by a customer can be used to reduce the amount of energy purchased from the utility. If the customer generates more energy than he or she consumes in a month, the customer receives a credit for the amount of surplus energy generated. For example, a customer who installs a solar power array on his or her home may generate more power in the summer than is consumed. Net metering allows the customer to bank this excess power and use it during the winter when the solar power output is much lower and the electrical loads are much higher.
In 2005, the Federal Energy Regulatory Commission required all medium and large utilities to consider adopting net metering programs. Chelan County PUD already has a net metering program put in place in 2001. On Nov. 13, 2006, Chelan County PUD commissioners approved changes to the SNAP program to give SNAP producers a net metering option.
Time-of-Use Metering
Time-of-use metering is the ability to offer different rates depending on when the power is used during the day or year. Time-of-use rates are currently offered to Chelan County PUD’s industrial customers. These customers have the option to purchase all of their energy at a flat rate, or at a time-of-use rate which charges more for power consumed during peak periods of the day and less for energy consumed late at night or very early in the morning. Nearly all industrial customers have selected the time-of-use rate over the fixed rate.
New meters and enhancements to the PUD’s billing system would need to be installed before Chelan County PUD could offer time-of-use rates to commercial and residential customers. The PUD has been evaluating various options that would allow for these changes. One promising technology is a system that uses signals sent over power lines to communicate with new electric meters that could be installed throughout the county. In addition to providing the capability of offering time-of-use rates, this system would also reduce labor costs required to read meters every month.
Interconnection Standards
Certain safety and power quality requirements must be met before a customer can connect a renewable power generator to Chelan County PUD’s electrical distribution system. These safety and power quality requirements are generally referred to as “interconnection standards.” Chelan County PUD has had interconnection standards in place for customer-owned generators since 2001. The PUD has two sets of interconnection standards, one for small renewable energy generators up to 25 kW (kilowatts), and another standard that covers large generators up to 10,000 kW. Chelan County PUD recently worked with other utilities in the state of Washington to establish an interconnection standard for systems of 25 kW and smaller that is the same for all utilities across the state. This same group is working to establish an interconnection standard that is the same for larger systems as well. The Energy Policy Act of 2005 requires medium and large utilities to consider adopting interconnection standards for customer-owned generators up to 20,000 kW.
Public comment process
A presentation was made to the Board on July 24, 2006 describing the PURPA process and setting forth a schedule for consideration and determination of all five standards. In accordance with EPAct deadlines, the Board of Commissioners initiated consideration of time-based metering/communications and interconnection standards. Legal notices requesting public comment and announcing the consideration process for time-based rates and interconnection standards were published on August 6, 2006.
This Web site includes several links to documents that the Board issued in association with its PURPA consideration process. The Web site also serves as the repository for public comment and proposals when they are received. Finally, hearing transcripts and other information of record will be posted here as it becomes available.
Questions about this site may be directed to Susan Gillin at (509) 661-4249.
For more information, visit these links:
PURPA presentation to PUD Board of Commissioners July 24, 2006
Invitation to attend public hearing Nov. 13, 2006 (ad)
Notice of public hearing Nov. 13, 2006
Invitation to submit public comment (ad)
Interconnection Standards for Customer-Owned Generating Facilities 25 kW or less
Call for public comment on standards for time-based metering and communications
Call for public comment on proposed standards for interconnection and net metering
Minutes of public hearing on PURPA standards considered Nov. 13, 2006