New Mexico Administrative Code
Title 17 - PUBLIC UTILITIES AND UTILITY SERVICES
Chapter 9 - ELECTRIC SERVICES
Part 568 - INTERCONNECTION OF GENERATING FACILITIES WITH A NAMEPLATE RATING UP TO AND INCLUDING 10 MW CONNECTING TO A UTILITY SYSTEM
Section 17.9.568.19 - COST SHARING FOR INTERCONNECTION UPGRADES
Universal Citation: 17 NM Admin Code 17.9.568.19
Current through Register Vol. 35, No. 18, September 24, 2024
A. The cost of utility system modifications required pursuant to the fast track process or the full interconnection study process shall be borne by the applicant unless otherwise agreed to by the parties or following a determination by the commission that some or all of the costs constitute system benefits eligible for cost-sharing options:
(1) The commission may determine on a
case-by-case basis whether the cost of distribution system upgrades necessary
to interconnect one or more generating facilities may be eligible for some form
of costsharing:
(a) among several developers
using the same distribution facilities;
(b) among all ratepayers of the qualifying
utility via rate base adjustments; or
(c) among ratepayers of the same rate class
as subscribers to the community solar facility via a rate rider for that
class.
(2) In making such
a determination that there are public benefits to such a cost-sharing
mechanism, the commission shall employ the same analysis as provided for
cost-sharing or rate basing grid modernization projects as defined by Section
62-8-13 NMSA 1978 (Grid
Modernization Act 2019, HB 233) to make a finding that the approved
expenditures are:
(a) reasonably expected to
improve the public utility's electrical system efficiency, reliability,
resilience and security; maintain reasonable operations, maintenance and
ratepayer costs; and meet energy demands through a flexible, diversified and
distributed energy portfolio;
(b)
reasonably expected to increase access to, and use of, clean and renewable
energy, with consideration given to increasing access to low-income subscribers
and subscribers in underserved communities;
(c) designed to contribute to the reduction
of air pollution, including greenhouse gases;
(3) Expenditures approved for such cost
sharing of necessary interconnection upgrades shall not be considered a
"subsidization" subject to the three percent limitations spelled out in this
rule or in the Community Solar Act.
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