Pursuant to the ADMINISTRATIVE LAW JUDGE’S RULING CLARIFYING STATUS OF EXISTING ASSEMBLY BILL 1969 FEED-IN TARIFF PROGRAM PER THE MOTION BY SOUTHERN CALIFORNIA EDISON COMPANY, SDG&E’s Schedule Water and Schedule CRE are available until the CPUC has approved Standard PPAs and Tariffs for the FiT Program approved by D.12-05-035. The CPUC has indicated that these approvals could occur in the 1st Quarter of 2013. Until then, customers may continue to apply for the existing Schedule Water and Schedule CRE pursuant to the guidelines below.
California Assembly Bill 1969, signed by Governor Arnold Schwarzenegger on September 29, 2006, requires electrical corporations to purchase electricity produced by a renewable generator owned and operated by Eligible Public Water Agencies or Wastewater Agencies with a total effective generation capacity of not more than 1.5 megawatts. On July 26, 2007, the California Public Utilities Commission (CPUC) in Decision 07-07-027 adopted tariffs and standard contracts implementing AB 1969.
The program creates an opportunity for public water and wastewater customers only to sell electricity to SDG&E at a pre-determined price on a first come first served basis until SDG&E’s 20.055 MW of capacity allotment is filled.
An eligible renewable generation facility must meet all of the following criteria:
A generating facility that is owned and operated by one of the following which receives distribution service from SDG&E:
An Eligible Public Water Agency, as defined in Water Code Section 12970: any public corporation, district, political subdivision, or any other agency or authority now or hereafter organized under the laws of this state which develops, stores, distributes, or supplies water
An Eligible Wastewater Agency, as defined by Water Code Section 13625(b)(1): owning a facility used in the treatment or reclamation of sewage or industrial wastes
A generating facility (i.e., all eligible generators combined) can have a nameplate capacity of no larger than 1.5 megawatts
Located on property owned or under the control of the public or wastewater agency
Is interconnected and operating in parallel with SDG&E’s transmission and distribution grid
Is strategically located and interconnected to SDG&E’s electric transmission system in a manner that optimizes the delivery of electricity generated at the facility to load centers
Is an eligible renewable resource as defined by the CPUC Code 399.12
Is a Small Power Producer Qualifying Facility (“QF”) pursuant to the regulations of the Federal Energy Regulatory Commission (“FERC”)
WATER Tariff: Download the WATER Tariff
Standard Contract: Download the standard WATER Contract
Current Amount of Unsubscribed Capacity: 20.055 MW
On September 22, 2008, the California Public Utilities Commission (CPUC), in Decision 08-09-033, authorized an extension of the existing AB 1969 tariff and standard contract from public water and wastewater agency customers to all customers in SDG&E’s service territory on the same basic terms and conditions.
The Customer Renewable Energy (CRE) Program creates an opportunity for small, renewable SDG&E customers, other than public water and wastewater agency customers, to sell electricity to SDG&E at a pre-determined price, on a first-come first-served basis, until SDG&E’s 20.055 MW of capacity allotment is filled.
An eligible renewable generation facility must meet all of the following criteria:
A generating facility that is owned and operated by any customer of SDG&E which receives distribution service from SDG&E and is not a Public Water Agency, as defined in Water Code Section 12970, or an Eligible Wastewater Agency, as defined by Water Code Section 13625(b)(1)
A generating facility (i.e., all eligible generators combined) can have a nameplate capacity of no larger than 1.5 megawatts
Is interconnected and operating in parallel with SDG&E’s transmission and distribution grid
Is strategically located and interconnected to SDG&E’s electric transmission system in a manner that optimizes the delivery of electricity generated at the facility to load centers
Is an eligible renewable resource as defined by the CPUC Code 399.12
Is a Small Power Producer Qualifying Facility (“QF”) pursuant to the regulations of the Federal Energy Regulatory Commission (“FERC”)
CRE Tariff: Download the CRE Tariff
Standard Contract: Download the standard CRE contract
Current Amount of Unsubscribed Capacity: 7.06 MW
Executed Feed-in Tariff Contracts for CRE:
Download listing of Executed feed-in tariff contracts
The Water Program was established by the California State Legislature to create an opportunity for public water and wastewater customers to sell electricity to SDG&E at a pre-determined price, on a first-come first-served basis, until SDG&E’s 20.055 MW of capacity allotment is filled.
On September 22, 2008, the California Public Utilities Commission (“CPUC”) adopted a decision extending this opportunity under the same terms and conditions to all other non-water/non-wastewater SDG&E customers, who have an eligible renewable generator. Under this Customer Renewable Energy (CRE) Program, these non-water/non-wastewater SDG&E customers will be treated exactly the same as the public water and wastewater customers, in that they will be paid a pre-determined price, on a first-come first-served basis. SDG&E will continue to contract with these non-water/non-wastewater customers until an additional and separate 20.055 MW cap is reached.
The California legislature passed Assembly Bill (“AB”) 1969 in 2006. AB 1969 required the development of a renewable generation tariff and standard contract applicable to water and wastewater agencies that install a renewable generator. This opportunity was expanded to include all other SDG&E customers, who install a renewable generator with a capacity not to exceed 1.5 MWs.
Any SDG&E customer that currently has or is planning on installing an eligible renewable generator may participate in these programs. However, any customer that is participating in any other SDG&E interruptible, Self Generation Incentive Program (“SGIP”) California Solar Initiative (“CSI”) or receiving service under SDG&E’s NEM tariff may not participate in these programs.
Customers must have or plan to install an eligible renewable generating facility that meets the following criteria:
Guidance on obtaining QF status can be located at the following FERC address.
http://www.ferc.gov/industries/electric/gen-info/qual-fac.asp
Public Utilities Code § 399.12 defines an “eligible renewable resource” as a facility that meets the definition of Section 25741 of the Public Resources Code. Section 25741 (b)(1) states that: “the facility uses biomass, solar thermal, photovoltaic, wind, geothermal, fuel cells using renewable fuels, small hydroelectric generation of 30 megawatts or less, digester gas, municipal solid waste conversion, landfill gas, ocean wave, ocean thermal, or tidal current, and any additions or enhancements to the facility using that technology.”
There are two tariffs that are applicable, each with its own power purchase agreement (“PPA”). Schedule WATER and its corresponding PPA are applicable to public water and wastewater customers. Schedule CRE and its corresponding PPA are applicable to all other SDG&E customers.
Payment price
The rate paid to customers is established by the CPUC. The price is referred to as the Market Price Referent (“MPR”) and is updated annually by the CPUC. Download a copy of the CPUC’s Resolution E-4442 (http://docs.cpuc.ca.gov/PUBLISHED/FINAL_RESOLUTION/154753.htm) adopting the current MPR values. The actual rate is determined at the time the Generating Facility achieves commercial operation and remains in effect (i.e., does not escalate over time) for the life of the agreement. A copy of the current MPR pricing is listed in both PPAs.
Delivery Periods
For the purpose of calculating monthly payments, the amount measured will be time-differentiated according to the time period and season (“Time of Delivery Periods”) and the pricing shall be weighted by the factors set forth below.
| Summer July 1 - October 31 |
Winter November 1 - June 30 |
|
|---|---|---|
|
On-Peak |
Weekdays: 11am – 7pm |
Weekdays: 1pm - 9pm |
|
Semi-Peak |
Weekdays: 6am – 11am |
Weekdays: 6am – 1pm |
|
Off-Peak* |
All other hours |
All other hours |
|
*All hours during National Electric Reliability Council (NERC) holidays are off-peak. |
||
The monthly payment shall equal the sum of the monthly TOD Period payments for all TOD Periods in the month. Each monthly TOD Period payment shall be calculated pursuant to the following formula, where “n” is the TOD Period being calculated:
TOD PERIOD PAYMENT = A x B x C
Where:
A = Levelized MPR Price in $/kWh.
B = TOD Factor, set forth above, for the TOD Period being calculated.
C = The sum of energy measured in accordance with Option A (full buy/sell) or Option B (sale of excess) in all hours for the TOD Period being calculated in kWh.
Agreement terms
Customers can select a term of 10, 15 or 20 years.
Selling options
Option A (full buy/sell) – SDG&E will purchase every kilowatt-hour produced by the Generating Facility. All host customer electrical load served by the Generating Facility and purchased by SDG&E will then be billed to the host customer at SDG&E’s standard tariff rates.
Option B (sale of excess) – Only the excess electricity produced and exported to SDG&E’s electric system will be purchased at the MPR rate. Please see tariff/standard contract for the current MPR rate.
Under Option A (full buy/sell), SDG&E purchases all of the generated power and owns the corresponding RECs.
Under Option B (sale of excess)
The customer owns any RECs associated with the power the customer generates and uses on site to serve its own load
SDG&E owns any RECs associated with power in excess of the on-site load that is exported to the grid and purchased by SDG&E.
SDG&E will count any of the RECs purchased under either Option A or Option B toward fulfilling its goal under California’s Renewables Portfolio Standard.
The customer is responsible for requesting interconnection to SDG&E and providing the required fees and equipment additions needed to insure a safe and reliable interconnection.
You can start by visiting SDG&E’s Interconnection website:
http://sdge.com/generation-interconnections/overview-generation-interconnections
In Decision (D.) 12-05-035, the California Public Utilities Commission (CPUC) made comprehensive changes to SDG&E’s Feed in Tariff (FiT) Program. These changes are summarized below (page references are to D.12-05-035):
Bid Fee: $2/kW
Interconnection: System Impact Study, Phase 1 Study, or passed Fast Track screens or supplemental review
Site Control
Development Experience
Online Date: within 24 months of contract execution
Be strategically located (pg 56-58)
Register with Federal Energy Regulatory Commission (FERC) as a Qualifying Facility (QF) (pg 95)
Attest the project is the only one being developed by seller on any single or contiguous piece of property (pg 67)
Terminate other incentive programs and/or refund previously received incentives (pg 101)
Baseload: Usually Bioenergy and Geothermal
Peaking As-Available: Usually Solar
Non-Peaking As-Available: Usually Wind and Hydro
Step 1: A generator that meets minimum viability criteria will submit a program participation request to SDG&E
Step 2: Once the request is deemed complete, SDG&E will place the generator on the list “queue” of eligible projects for the relevant product type on a first-come-first-served basis
Step 3: At the beginning of each 2-month period, SDG&E will offer the generators in the queue for each product type a contract at the current FiT price pertaining to that product type, in order of queue position
If the generator accepts, it will enter into a contract with SDG&E
If the generator declines, it will maintain its queue position and will continue to be eligible to accept another price from a subsequent period
Anticipated Pre-Time of Delivery (TOD) Starting Price: $89.23/MWh for each product type, to be adjusted based on program participation (pg 2-3)
For more information about applying for SDG&E’s FiT, please contact: (858) 650-6173
For more information about interconnection, please contact: (858) 636-5581
For more information regarding the FiT program, please visit the CPUC website.Or contact the CPUC Public Advisor’s Office:
Telephone: (866) 849-8390 or (415) 703-2074
TTY: (866) 836-7825
E-mail: public.advisor@cpuc.ca.gov
U.S. Mail: 505 Van Ness Avenue, Room 2103, San Francisco, CA 94102
For more information regarding this notice, please email SDG&EFiT@semprautilities.com
SDG&E and San Diego Gas & Electric are registered trademarks of San Diego Gas & Electric Company.
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