Small Generation Interconnection Agreement

Salesforce Fields

Objective 
  1. To establish Cooperative generation Interconnection for Net Metering of Member-owned facilities, small power producers, and co-generators less than 200 kW Nameplate Capacity and an Export Capacity less than 50 kW. Installations 200 kW and greater Nameplate Capacity or 50 kW and greater Export Capacity are subject to Administrative Policy E&O 351 Generation Interconnection. 
  1. The Cooperative recognizes that its members may want to take advantage of alternative on-site generation sources. The Cooperative’s intent is to outline the means and requirements for Interconnection of this generation with the Cooperative’s Distribution System under terms and conditions that do not materially affect other members economically or qualitatively. While this policy primarily assesses Interconnection options, a member may generate without interconnecting to the Cooperative Distribution Systems. 
General Policy 
Applicability 
  1. All Cooperative members. 
  1. Small power producers and co-generators less than 200 kW Nameplate Capacity and less than 50 kW Export Capacity seeking Interconnection. 
  1. Distributed Resource Specialist. 
Definitions 
  1. Alternating Current (ac) – an electric current that reverses direction at regular intervals, having a magnitude that varies continuously in a sinusoidal manner. 
  1. Distribution System – the Cooperative's facilities and equipment used to transmit electricity to ultimate usage points such as homes and industries directly from nearby generators or from interchanges with higher voltage transmission networks that transport bulk power over longer distances. The Cooperative’s Distribution System generally operates at voltages of 69 kV or less. 
  1. Export Capacity – The maximum instantaneous flow of electricity from the Member/Generator’s facility through the Point of Interconnection into the Distribution System. 
  1. Governmental Authority – any federal, state, local or other governmental regulatory or administrative agency, court, commission, department, board, or other governmental subdivision, legislature, rulemaking board, tribunal, or other Governmental Authority having jurisdiction over the Parties, their respective facilities, or the respective services they provide, and exercising or entitled to exercise any administrative, executive, police, or taxing authority or power; provided, however, that such term does not include Member/Generator, the Cooperative, or any affiliate thereof. 
  1. Inadvertent Export – Unscheduled export of active power from a generation facility, exceeding 50 kW for a limited duration, generally due to fluctuations in load-following behavior. 
  1. Interconnection – the physical system that transmits electricity between the Distribution System and the Renewable Energy Generator. 
  1. Member/Generator – any entity that proposes to interconnect its generation facility with the Distribution System. 
  1. Nameplate Capacity – the total Nameplate Capacity rating of all the generation included in the Member’s generation system. For this definition, the “standby” and/or maximum rated kW (ac) capacity on the Nameplate shall be used. 
  1. Net Metering – the Interconnection of Member-owned generation from a renewable source to the Distribution System, where the generation output over and above that consumed at the service location is netted against the energy provided by the Cooperative. 
  1. Point of Interconnection – where the facilities connect with the Distribution System. The Point of Interconnection is usually the point of metering, unless otherwise specified. 
  1. Renewable Energy Generator – A component of Net Metering for the Member generation Interconnection. Converts renewable energy in various forms to electrical energy. Differs from an emergency or standby generator used for temporary backup power during an outage. 
Safety 
  1. Safety of Cooperative personnel and protecting existing members from undesirable system operation is paramount. It will be the responsibility of the Member/Generator to provide appropriate disconnects and protective devices to prevent inadvertent energizing of the Distribution System during outages. The generation system disconnecting means, at a minimum, shall meet the requirements of National Fire Protection Association (NFPA) 70. The Cooperative may require a visible, accessible and lockable disconnect switch. 
  1. The Member/Generator’s Interconnection equipment shall prevent unacceptable levels of voltage, frequency, power factor, short circuit current, harmonics or any other condition, that could be detrimental to the operation of the Distribution System. 
  1. To ensure safe Interconnection, the Member/Generator will be required to observe IEEE 1547 - Standard for Interconnecting Distributed Resources with Electric Power Systems; UL 1741 Standard for Inverters, Converters, Controllers, and Interconnection System Equipment for Use With Distributed Energy Resources; National Electric Code (NEC) Article 705; and other protection measures deemed necessary by the Cooperative’s Engineering department. 
  1. The Member/Generator shall clearly label alternative source or dual power supply on the meter base and label all disconnects. Labels shall be weatherproof, durable, and permanently mounted in compliance with NEC Article 690 and in place prior to operation. 
  1. Evidence of a valid Montana State electrical permit and proof of approval by the Governmental Authority having jurisdiction must be provided to the Cooperative prior to Interconnection. 
  1. The Cooperative will require an inspection by Cooperative personnel prior to Interconnection of the Member's Renewable Energy Generator. 
  1. Member/Generator shall not connect its Net Metering facility in parallel with the Distribution System until the Cooperative has expressly authorized such connection in accordance with this policy. 
Generators 
  1. Members may want to install emergency or standby generators for those times there is a prolonged outage on the Distribution System. The output from these installations is not considered for the purposes of Net Metering. 
  1. Renewable Energy Generators shall not be connected through wiring internal to the member's home, business or any other structure that the Cooperative provides electrical service to unless the connection is made through a permanently installed transfer switch. The transfer switch shall be designed and installed so that the generator cannot be connected to the Distribution System in any mode of operation. When the switch is in the position that disconnects the Cooperative’s service, it must have a visible opening and be lockable in that position or be a UL listed transfer switch approved by the Cooperative. Compliance with these provisions is necessary to prevent serious or possibly fatal accidents to Cooperative personnel as well as the public. 
  1. All transfer switches and/or transfer operating schemes must meet applicable building and electrical codes and be inspected by the appropriate Governmental Authority having jurisdiction. 
  1. The Cooperative will require an inspection by Cooperative personnel prior to operation of the Member’s emergency or standby generator. 
Net Metering (less than 200 kW Nameplate Capacity and less than 50 kW Export Capacity) 
  • Interconnections less than 200 kW Nameplate Capacity and less than 50 kW Export Capacity will be Net Metered and subject to the following guidelines: 
  1. The Cooperative will not purchase energy produced by the Member/Generator. 
  1. The total Nameplate Capacity of all generation interconnected at the site shall be less than 200 kW. 
  1. The total Export Capacity of all generation interconnected shall be less than 50 kW. If the Nameplate Capacity is above 50 kW, the generation facility shall be designed with control systems, protective functions, relays, reduced power ratings, or other agreed-upon means to limit export with a maximum response time of no more than thirty seconds to limit Inadvertent Export. The electrical load at the Member/Generator’s premises shall not be the sole means of limiting Export Capacity. 
  1. Generation source must use renewable resources as its fuel; defined to be solar, wind, hydropower, biomass, geothermal, fuel cells or another alternative generation system pre-approved by the Cooperative. 
  1. Generation is located on the member’s premises, connected at a single service location and intended primarily to offset part or all of the Member/Generator’s requirements for electricity at this primary location and up to one other meter location billed under the same member account without generation in the same billing cycle. 
  1. Net Metering Members will be subject to all other terms of the applicable rate schedules including payment of monthly basic charges, demand charges, and kVAR charges even if no energy is billed. Charges for energy delivered by the Cooperative net of the energy produced by the Member’s Renewable Energy Generator shall be billed monthly at the appropriate retail rate that may be adjusted in the future at the discretion of the Cooperative. 
  1. Member generation in excess of monthly usage will be allowed to accrue into future periods for the current member at the service location. Accumulated energy credits expire at termination of service or transfer of service to another member without any compensation. Credit for energy may only be taken as a per kWh credit against member’s monthly billed energy usage. 
  1. Renewable Energy Generator must operate in parallel with the Distribution System. 
  1. A standard non-detent meter may be allowed to measure power flows. All costs above standard metering for the applicable member rate class will be borne by the member including, but not limited to, modifications to an existing meter base and wires, including a second meter and meter base if required. 
  1. Member must complete the Flathead Electric Cooperative Small Generation Interconnection Request (see Appendix B). 
  1. A processing fee of $250 is required for the Cooperative to process the application. 
  1. Members seeking non-standard power purchase agreements must submit a written proposal with the Small Generation Interconnection Request. 
  1. Flex Pay members cannot participate in the Net Metering program. 
Internal Reporting 
  1. The Distributed Resource Specialist shall maintain an internal list of Member generation facilities and shall collect and store internal data on all such facilities for reporting to external entities such as BPA. 
  1. Annually, Engineering Manager shall provide updates to the Internal Compliance Committee. 
Document Retention 
  1. The Distributed Resource Specialist shall maintain documents and records of Member generation Interconnection as specified in Administrative Policy GM 610 Records Retention.

A processing fee of $250 will be required in order to begin processing a request to Interconnect Member-owned generation. 

Member/Generator Information
















Additional Meter Location: (must be same member, account, and bill cycle as the meter at the generation source) 




Contractor Information 

Architect, Engineer, Designer 








Electrical Contractor 








Proposed Project Information 














Provide a general description of the proposed installation, a detailed description of its planned location and the date you plan to operate the Renewable Energy Generator. Attach additional pages, if needed. 
General description of project, location
ADDITIONAL INFORMATION AND REQUIREMENTS:
  1. Inverter must have UL 1741 listing.
  2. Separate accessible and lockable disconnect may be required.
  3. All applicable code requirements including NEC and IEEE 1547 shall be met.
  4. Evidence of a valid Montana State electrical permit and proof of approval by the Governmental Authority having jurisdiction must be provided.

In addition to the items listed above, a detailed one-line diagram and site plan for the proposed facility are required. All applicable elementary diagrams, solar panel specification sheets, wind turbine specification sheets, inverter specification sheets, disconnects, circuit breakers, protective relays, etc., and any other applicable drawings or documents necessary for the proper design of the Interconnection shall be included. 





If you do not have this information now, you will be asked to provide it later in the process.
Participant Acknowledgements, Authorizations and Warranties
This Interconnection Agreement (“Agreement”) is made and entered into this (day application is completed, submitted and approved) by Flathead Electric Cooperative, Inc. (“Cooperative”), a Montana corporation, and (Applicant/person who is submitting and signing this form) (“Member/Generator”), each hereinafter sometimes referred to individually as “Party” or both referred to collectively as the “Parties”. In consideration of the mutual covenants set forth herein, the Parties agree as follows:

This agreement provides for the safe and orderly operation of the electrical facilities
interconnecting the electrical distribution facility owned by the Cooperative and the
Member/Generator’s facility located at (location).

This Agreement does not supersede any requirements of any by-laws, applicable tariffs, rates, rules and regulations in place between the Member/Generator and the Cooperative.

1. Intent of Parties: It is the intent of the Member/Generator to interconnect a Renewable Energy Generator to the Cooperative’s electrical Distribution System. It is the intent of both parties to operate their facilities in a way that ensures the safety of the Cooperative’s Distribution System, the Cooperative’s employees, and the public.
It is the intent of the Cooperative to operate the Distribution System to maintain a high level of service to their Member/Generators and to maintain a high level of power quality. The Member/Generator is responsible for establishing operating procedures and standards within their organization and shall be competent in the operation of the electrical generation system. The Member/Generator is responsible for notifying the Cooperative in writing if the electrical generation system is modified or expanded increasing the nameplate rating of the system.

2. Interconnection Policy Violations: The Interconnection should not compromise the
Cooperative’s operational standards or requirements. If the operation of the
Member/Generator’s system or quality or quantity exported to the system, does not meet the Cooperative's standards or limitations, the Cooperative will notify the Member/Generator to take reasonable and appropriate corrective action. The Cooperative shall have the right to disconnect the Member/Generator’s system until compliance is reasonably demonstrated in the Cooperative's sole judgement. If after the Member/Generator's system is reconnected and the same violation occurs, the Cooperative reserves the right to take action that will best protect the Cooperative, up to and including permanently disconnecting the Member/Generator's system. The Cooperative may, in its sole discretion, disconnect the Member/Generator's generating system from the distribution facility without notice if its operation poses a threat, in the Cooperative's sole judgement, to life or property. The system shall remain disconnected until such time as the Cooperative is satisfied, that the condition(s) causing the threat has(ve) been corrected. Any costs associated with the Member/Generator's system not meeting the Cooperative's standards may be charged to the Member/Generator.

3. Maintenance Outages: Maintenance outages will occasionally be required on the
Cooperative’s Distribution System, and the Cooperative will provide as much notice and
planning as practical to minimize downtime.

4. Access: Access is required at all times by the Cooperative to the Member/Generator’s site for maintenance, operating and meter reading. The Cooperative reserves the right, but not the obligation, to inspect the Member/Generator’s facilities.

5. Professional Engineer (PE): For all installations with a Nameplate Capacity of 50 kW or higher, a one-line diagram stamped by a PE licensed in the state of Montana is required. The diagram must include at least protection schemes, control schemes, and Export Capacity limiting methods. 

6. Liability and Indemnification: Member/Generator shall assume all liability for and shall indemnify the Cooperative for any claims, losses, costs, and expenses of any kind or character to the extent that they result from Member/Generator’s negligence or other wrongful conduct in connection with the design, construction or operation of
Member/Generator’s facility. Proof of insurance that names the Cooperative as an additional insured is required.

7. Term: This Agreement becomes effective when executed by both Parties and shall continue in effect until terminated. This Agreement may be terminated as follows: (a)
Member/Generator may terminate this Agreement at any time by giving the Cooperative at least sixty (60) days’ written notice; (b) Cooperative may terminate upon failure by the Member/Generator to generate energy from the facilities within six (6) months after completion of the Interconnection; (c) either Party may terminate by giving the other Party at least thirty (30) days prior written notice that the other Party is in default of any of the terms and conditions of the Agreement or the Rules or any rate schedule, tariff, regulation, contract, or policy of the Cooperative, so long as the notice specifies the basis for termination and there is opportunity to cure the default; (d) Cooperative may terminate by giving Member/Generator at least sixty (60) days’ notice in the event that there is a material change in an applicable law, or any requirement of the Cooperative’s wholesale electric suppliers or of any transmission utility, independent system operator or regional transmission organization having responsibility for the operation of any part of the system.

8. Assignment: Member/Generator may only assign this Agreement to someone obtaining ownership of the Net Metering facility and the premises. No such assignment will be effective unless and until the Member/Generator has obtained prior written consent from the Cooperative, which consent the Cooperative may withhold, condition, or delay in its sole but reasonable discretion. As a condition of any such assignment, the assignee must be a member of the Cooperative in good standing and agree in writing to abide by all of the terms and conditions set forth herein.

9. Interconnection and Operation Requirements: The Board of Trustees may revise its Small Generation Interconnection policy and generation operating requirements as necessary and appropriate. Notwithstanding anything in this Agreement, the Board may expressly determine that such revised Interconnection and operating standards retroactively apply to the Net Metering facility. In such a case, the Member/Generator shall bear the total costs of meeting the revised Interconnection requirements.

10. Billing: At the end of each month, if the Member/Generator has generated more electricity than they used, the Cooperative credits (banks) the net kilowatt-hours produced at the retail rate that may be adjusted in the future at the discretion of the Cooperative. If the Member/Generator uses more electricity than they generate, they pay the difference. Member generation in excess of monthly usage will be allowed to accrue into future periods for the current Member at the service location. Accumulated energy credits will be used on a first-in, first-out basis. Any credit older than twelve months will be retired from the member's bank without compensation. Credit for energy may only be taken as a per kWh credit against Member's monthly billed energy usage. Member/Generator generated kilowatt hour credits cannot be used to offset demand charges, reactive power charges, or the monthly basic charge.

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