Current through Reg. 50, No. 13; March 28, 2025
(a)
Application. This section applies to owners of distributed renewable
generation, retail electric providers (REPs), the program administrator for the
renewable energy credits trading program pursuant to §
25.173 of this title (relating to
Goal for Renewable Energy), and electric utilities, including transmission and
distribution utilities (TDUs), but excludes river authorities that are electric
utilities.
(b) Definitions. The
following terms when used in this section have the following meanings, unless
the context indicates otherwise:
(1)
Distributed renewable generation (DRG)--Electric generation equipment with a
capacity of not more than 2,000 kilowatts provided by a renewable energy
technology, as defined by Public Utility Regulatory Act §39.904(d),
installed on a retail electric customer's side of the meter.
(2) Distributed renewable generation owner
(DRGO)--A person who owns DRG; a retail electric customer on whose side of the
meter DRG is installed and operated, regardless of whether the customer takes
ownership of the distributed renewable generation; or a person who by contract
is assigned ownership rights to energy produced from DRG located at the
premises of the customer on the customer's side of the meter.
(3) Independent school district solar
generation (ISD-SG)--Solar electric generation equipment installed on the
customer's side of the meter at a building or other facility owned or operated
by an independent school district, irrespective of the level of generation
capacity.
(4) Independent school
district solar generation owner (ISD-SG Owner)--A person who owns
ISD-SG.
(5) Interconnection--The
physical connection of DRG or ISD-SG to an electric utility distribution system
in accordance with this section and §
25.211 of this title (relating to
Interconnection of On-Site Distributed Generation (DG)), §
25.212 of this title (relating to
Technical Requirements for Interconnection and Parallel Operation of On-Site
Distributed Generation), and §
25.213 of this title (relating to
Metering for Distributed Renewable Generation).
(6) Out-flow--Energy produced by DRG or
ISD-SG and delivered to an electric utility distribution system.
(c) Interconnection.
(1) An electric utility shall permit
interconnection of DRG or ISD-SG if:
(A) the
DRGO provides credible tangible proof that the DRG to be interconnected has or
had an original manufacturer's warranty against breakdown or undue degradation
for at least five years;
(B) the
rated capacity of the DRG or ISD-SG does not exceed the electric utility's
service capacity; and
(C) the DRG
or ISD-SG is in compliance with applicable requirements of §
25.211 and §
25.212 of this title.
(2) An electric utility may
disconnect a DRG or ISD-SG pursuant to §
25.211(e) of
this title.
(3) An electric utility
shall not require a DRGO or ISD-SG Owner whose generation capacity is not more
than 2,000 kilowatts and whose DRG or ISD-SG meets the standards established by
this section to purchase an amount, type, or classification of liability
insurance the DRGO or ISD-SG Owner would not have in the absence of the DRG or
ISD-SG.
(4) An existing or
prospective DRGO or ISD-SG Owner may request interconnection by submitting an
application for interconnection with the electric utility. The application
shall be on a form approved by the commission and processed by the electric
utility in accordance with §
25.211 and §
25.212 of this title.
(5) Metering is addressed by §
25.213 of this title and, for
certain qualifying facilities, by §
25.242(h)(4) of
this title (relating to Arrangements Between Qualifying Facilities and Electric
Utilities).
(d)
Renewable Energy Credits (RECs). A DRGO or ISD-SG is subject to the
certification requirements in §
25.173 of this title to be
eligible to receive RECs. Any RECs or compliance premiums resulting from the
operation of DRG or ISD-SG are the property of the DRGO or ISD-SG Owner unless
sold or otherwise transferred by the DRGO or ISD-SG Owner. The REC program
administrator shall award the RECs or compliance premiums to the DRGO or ISD-SG
Owner pursuant to §
25.173 of this title. The purchase
of out-flows does not automatically confer any rights of REC ownership on the
purchaser.
(e) Sale of out-flows by
an ISD-SG Owner.
(1) In areas of the state in
which customer choice has not been introduced, the electric utility serving the
load of an ISD-SG Owner shall buy all ISD-SG out-flows at a value consistent
with §
25.242 of this title.
(2) In areas in which customer choice has
been introduced, ISD-SG Owners who choose to sell out-flows shall sell
out-flows to the REP that serves the premises at which the ISD-SG is located,
at a value to which both parties agree.
(3) If a REP's service to an ISD-SG Owner is
terminated, any outstanding amounts due to the ISD-SG Owner may be used to
offset outstanding bill amounts but in all cases shall be remitted by the REP
no later than 30 days after the REP receives the usage data and any related
invoices for non-bypassable charges.
(f) Sale of out-flows by a DRGO.
(1) In areas in which customer choice has not
been introduced, the electric utility serving the DRGO's load shall buy all DRG
out-flows at a value consistent with the requirements of §
25.242 of this title.
(2) In areas in which customer choice has
been introduced, DRGOs who choose to sell out-flows shall sell their out-flows
to the REP that serves the premises at which the DRG is located at a value to
which both parties agree.
(3) If a
REP's service to a DRGO is terminated, any outstanding amounts due to the DRGO
may be used to offset outstanding bill amounts but in all cases shall be
remitted by the REP no later than 30 days after the REP receives the usage data
and any related invoices for nonbypassable charges.
(g) Transition provision. Electric utilities
and REPs shall make reasonable efforts to inform existing and potential DRGOs
and ISD-SG Owners of their rights and obligations pursuant to this chapter, and
shall change existing metering and purchase arrangements to conform to this
section. However, a metering or purchase arrangement that is required by a
contract that exists on the effective date of this section shall be changed to
conform to this section effective the date the contract expires. The expiration
date of such a contract may be extended by the DRGO or ISD-SG Owner if the
existing terms of the contract give the DRGO or ISD-SG Owner the unilateral
right to extend the expiration date. Notwithstanding the foregoing provisions
of this subsection, a roll-back meter must be replaced no later than the date
customer choice is offered in the area in which the roll-back meter is
located.
(h) Authority to act on
behalf of a customer. If any person purports to act on behalf of the retail
customer pursuant to this section or §§
25.211,
25.212 or
25.213 of this title, such person
must demonstrate contractual authority to do so by letter of agency or
otherwise.
(i) Exemptions. Neither
a retail electric customer that uses distributed renewable generation nor the
owner of the distributed renewable generation that the retail electric customer
uses is an electric utility, power generation company, or retail electric
provider for the purposes of this chapter and is not required to register with
or be certified by the commission if at the time distributed renewable
generation is installed, the estimated annual amount of electricity to be
produced by the distributed renewable generation is less than or equal to the
retail electric customer's estimated annual electricity consumption.
