Current through Register Vol. 35, No. 18, September 24, 2024
A. Rates
to be offered. Utilities are required to provide supplementary power, backup
power, maintenance power, and interruptible power to qualifying facilities
irrespective of whether the production and consumption functions of the
qualifying facility are singly or separately owned. The rates for supplementary
power, backup power, maintenance power, and interruptible power shall be
calculated as provided for in this section (17.9.570.12 NMAC) and included in
the tariff for each utility to be filed pursuant to 17.9.570 NMAC. Utilities
may charge a facilities fee for equipment dedicated to the customer pursuant to
the utility's rate schedules and rules governing the utility's practices for
recovering such costs. The computation of the facilities fee shall take into
account the costs of facilities already paid for by the customer before
installing a qualifying facility.
B. Supplementary power.
(1) Qualifying facilities shall be entitled
to supplementary power under the same retail rate schedules that would be
applicable to those retail customers having power requirements equal to the
supplementary power requirements of the qualifying facility. Any ratchet
enforced through the "billing demand" provisions of such retail schedules shall
also apply.
(2) To determine the
amount of supplementary power required, supplementary power shall be measured
to each qualifying facility through appropriate metering devices which are
adequate to determine whether supplementary or backup power is being utilized.
The demand interval used shall be the same as that contained in the applicable
retail rate schedule.
C.
Backup power.
(1) Qualifying facilities shall
be entitled to backup power for forced outages under the same retail rate which
would be applicable absent its qualifying facility generation. Rates for sale
of backup power shall not contain demand charges in time periods when demand
charges are not applicable to such retail rate schedule. Rates for backup power
shall not contain demand ratchets or power factor penalties. If the utility can
demonstrate that a particular qualifying facility has caused either a demand
ratchet or a power factor penalty clause between the utility and its power
supplier(s) to be invoked because of the qualifying facility's operation, the
utility may petition the commission to allow the allocable charges resulting
from the demand ratchet or power f actor penalty which has been invoked to be
included in the rates for that particular qualifying facility.
(2) In the months that backup power is not
utilized by the qualifying facility the rates for backup power may contain a
monthly reservation fee which shall not exceed ten percent of the monthly
demand charge contained in the retail rate schedule which would be applicable
to the consumer absent its qualifying facility generation. Such a reservation
fee shall not be charged while a qualifying facility is taking backup power or
while charges resulting from a power factor penalty or demand ratchet have been
imposed pursuant to Paragraph (1) of Subsection C of 17.9.570.12
NMAC.
D. Maintenance
power.
(1) Maintenance power shall be provided
to qualifying facilities for periods of maintenance scheduled in advance with
the concurrence of' the utility. A qualifying facility shall schedule such
maintenance with the utility by giving the utility advance notice dependent on
the length of the outage as follows:
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Length of Outage*
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Advance Notice*
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1 day
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5 days
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2 to 5 days
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30 days
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6 to 30 days
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90 days
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* All days are calendar days.
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(2)
Maintenance power rates shall be the same as the retail rate which would be
applicable to the qualifying facility absent its qualifying facility
generation. The maintenance power demand charge shall be determined by
multiplying the applicable retail demand charge by the ratio of the number of
weekdays in which the maintenance power was taken to the number of weekdays in
the month. No demand charge shall apply for maintenance power taken during
off-peak hours as defined in the utility's retail tariffs. For those utilities
which do not have time-of-use rates, off-peak hours are defined as 11:00 p.m.
to 7:00 a.m. weekdays, 24 hours per day on weekends and holidays.
(3) Maintenance power shall be available to
qualifying facilities for a minimum period of 30 days per year scheduled
outside of the system peak period of the utility which is defined as the
three-month period covering the peak month together with the preceding and
succeeding months.
E.
Interruptible power. All utilities shall file rates for interruptible power
which shall be available to qualifying facilities. Rates for such interruptible
power purchases shall reflect the lower costs, if any, which the utility incurs
in order to provide interruptible power as opposed to what it would incur to
provide firm power.
F. Customer
charges. The customer charges from a utility for a qualifying facility shall be
the same as the retail rate applicable to the customers in the same rate class
absent its qualifying facility generation.
G. Exceptions. An electric utility shall not
be required to provide supplementary power, backup power, maintenance power, or
interruptible power to a qualifying facility if, after notice in the area
served by the electric utility and after opportunity for public comment, the
electric utility demonstrates and the commission finds that provision of such
power would:
(1) impair the electric utility's
ability to render adequate service to its customers; or
(2) place an undue burden on the
utility.
