§ 39-26.2-6. Standard contract enrollment program.
(a) Each electric distribution company shall conduct at least three (3) standard contract
enrollments during each program year; however, during 2011, the electric distribution
company need only conduct one enrollment. Each enrollment shall be open for a two-week
(2) period during which the electric distribution company is required to receive standard
short-form applications requesting standard contracts for distributed-generation energy
projects. The short-form applications shall require the applicant to provide the project
owner's identity and the project's proposed location, nameplate capacity, and renewable
energy class and allow for additional information relative to the permitting, financial
feasibility, ability to build, and timing for deployment of the proposed projects.
For small distributed-generation projects, the applicant must submit an affidavit
confirming that the project is not a segment of a larger project being planned for
enlargement over time. For large distributed-generation projects, the short-form application
shall also require the applicant to bid a bundled price for the sale of the energy,
capacity, renewable energy certificates, and all other environmental attributes and
market products that are available or may become available from the distributed-generation
facility, on a per-kilowatt-hour basis for the output of the project. Subject to the
provisions of subsections (b) and (c), the electric distribution company shall not
be required to enter into standard contracts in excess of the annual target for the
applicable program year and shall not be required to enter into standard contracts
in excess of any limit set by the board and approved by the commission for a given
enrollment. However, the electric distribution company may voluntarily exceed an enrollment
period limit as long as it does not exceed an annual target for the applicable program
year.
(b) For small distributed-generation projects, the electric distribution company shall
select projects for standard contracts based on the lowest proposal prices received
with any distributed-generation project that meets the requirements of all applicable
tariffs and regulations, and meets the criteria of a renewable energy class in effect,
until the class target is met. Enrollment periods will be governed by a solicitation
and enrollment process rules that shall be filed with the commission each October
15 by the electric distribution company, and approved by the commission within sixty
(60) days of such filing.
(c) For large distributed-generation projects, the electric distribution company shall
select projects for standard contracts based on the lowest proposed prices received,
but not to exceed the applicable standard contract ceiling price, provided, that the
selected projects meet the requirements of all applicable tariffs and regulations
and meet the criteria of a renewable energy class in effect until the class target
is met. Except for 2011, no enrollment period shall seek to enroll more than one-third
(â…“) of the annual goal for the distribution company for large distributed-generation
projects.
(d) If there are more projects than what is specified for a class target at the same price,
the electric distribution company shall review the applications submitted and select
first those projects that appear to be the furthest along in development and likely
to be deployed in consultation with the office. Those projects that are likely to
be deployed on the earliest timelines shall be selected. To the extent the electric
distribution company is unable to make a clear distinction on this basis, the electric
company shall report the results to the board and not enter into contracts with those
projects that are tied on pricing. In such case, the board may take such action as
it deems appropriate for the selection of projects, including seeking more information
from the projects. Alternatively, the board may consider adjustments to the ceiling
price and a rebid, or simply wait until the next enrollment.
(e) Should an electric distribution company determine that it has entered into sufficient
standard contracts to achieve a program-year class target, it shall immediately report
this to the board, the office of energy resources, and the commission, and cease entering
into standard contracts for that renewable energy class for the remainder of the program
year. An electric distribution company may exceed the renewable energy class target
if the last standard contract entered into may cause the total purchased to exceed
the target. The office and the electric distribution company shall enter into a memorandum
of understanding regarding the sharing of the information and data related to the
distributed-generation program.
(f) The electric distribution company is authorized to enter into standard contracts up
to the applicable ceiling price. As long as the terms of the standard contract are
materially the same as the standard contract terms approved by the commission and
the pricing is no higher than the applicable ceiling price, the contracts shall be
deemed prudent and approved by the commission for purposes of recovering the costs
in rates.
(g) A distributed-generation project that also is being employed by a customer for net-metering
purposes may submit an application to sell the excess output from its distributed-generation
project. In such case, however, at the election of the self-generator, all of the
renewable energy certificates and environmental attributes pertaining to the energy
consumed on site may be sold to the electric distribution company on a month-to-month
basis outside of the terms of the standard contract. In such case, the portion of
the renewable energy certificates that pertains to the energy consumed on site during
the net-metering billing period shall be priced at the average market price of renewable
energy certificates, which may be determined by using the price of renewable energy
certificates purchased or sold by the electric distribution company.