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ORDINANCE

Application for Net Metering/Interconnection

Application Fee $30.00

Ordinance____:  NET METERING SERVICE AND ELECTRICAL SYSTEM INTEGRATION

Section 1: Applicable Service Territory

Net metering and electrical system interconnection is available on a first-come, first-served basis in the distribution service territory of Kennett Board of Public Works at any point on the Utility’s existing facilities that has adequate capacity and suitable voltage for delivery of service until:

    • The total rated generating capacity of all net metering systems on the utility equals 5% of the utility’s single-hour peak load during the previous year or
    • The total rated generating capacity of approved new interconnection agreements during the current calendar year equals or exceeds 1% of the utility’s single-hour peak load for the previous calendar year.

Section 2: Availability of Service

Net metering service is available to any existing customer who is in good standing under the City’s electric service schedules, that owns and operates a renewable energy electric generator powered by solar, hydro, or wind or fuel cells using hydrogen produced by solar, hydro or wind with a capacity of not more than one hundred (100) kilowatts that is located on the customer’s premises, is interconnected and operates in parallel phase and synchronization with the Utility’s existing transmission and distribution facilities, and is intended primarily to offset part or all of the customer’s own electrical power requirements.

Additional sources of renewable energy may be certified by the Department of Natural Resources and they will be accepted by the City.

All agreements hereunder are between the customer-generator and the City and shall not include a third party.

Section 3: Definitions

Net metering means measuring the difference between the electricity supplied by the Utility and the electricity generated by an eligible customer-generator and fed back to the electric grid over the applicable billing period.

All other definitions shall be those contained in the Missouri “Net Metering and Easy Connection Act” (RSMO 386.890) except where noted in this ordinance.

Section 4: Monthly Billing

    1. The electric service charge shall be computed in accordance with the monthly billing under the customer’s effective standard rate schedule. Under this net metering ordinance, only the kilowatt hour (kWh) units of a customer-generator’s bill are affected.
    1. If the electricity supplied by the Utility exceeds the electricity generated by the customer-generator during the applicable billing period, the customer-generator shall be billed the appropriate customer charges for that class of customer and the net billable kWhs supplied by the Utility in accordance with the rates and charges under the Utility’s standard rate schedule applicable to the customer.
    1. If the electricity generated by the customer-generator exceeds the electricity supplied by the Utility, the customer-generator shall be billed the appropriate customer charges for that class of customer, and credited for the net value of the electric energy delivered to the Utility during the applicable billing period at the Utility’s “avoided fuel cost”, with this credit appearing on the customer-generator’s bill no later than the following billing period.
    1. The “avoided fuel cost” is that amount determined by the city’s governing board with responsibility for setting rates, as outlined in RSMO 386.890.2(1)

Section 4: Transfer of Ownership

Upon change in ownership of the qualified unit, or of the premises on which the unit is located, the new customer-generator shall file a new application with the City for Net Metering

Section 5: Special Conditions

    1. The customer- generator must have:

        1.1 An approved Application for Net Metering

        1.2 A signed Standard Interconnection Application/Agreement with the Utility.

    1. The customer-generator is responsible for all costs associated with its generating facility and is also responsible for all costs related to any modifications to the facility that may be required by the Utility for purposes of safety and reliability.
      1. A net metering facility shall meet all applicable safety and performance standards established by the National Electric Safety Code, the National Electric Code, the Institute of Electrical and Electronic Engineers, the Federal Energy Regulatory Commission, and Underwriters Laboratory.
    2. In addition it shall:

      1. Be equipped at the customer-generator’s expense with meters approved by the Utility and capable of measuring the net amount of electrical energy produced or consumed by the customer-generator. Any additional costs necessary for the Utility to permit the meters or generator to be integrated into the utility distribution system shall be borne by the customer-generator. At the request of the customer-generator those costs can be initially paid by the Utility which may bill the customer-generator the costs over a 12 billing cycle period along with a reasonable rate of interest.
      2. Have a mechanism that automatically disables and disconnects the unit from the supplier’s electrical lines in the event that service to the customer-generator is interrupted.
      3. Have visibly open, lockable switching equipment in immediate proximity to the metering equipment to allow a Utility worker to manually and instantly disconnect the unit from the Utility’s distribution system. This switching equipment shall be easily accessible at all times.
      4. Kennett Board of Public Works shall reserve the right to operate the customer-generator’s switching equipment to isolate the customer’s generating equipment from the system, without notice or liability, if, in the sole opinion of KBPW personnel, continued operation of the generating equipment may create a system disturbance or safety hazard.
      1. Modifications to the system must be evaluated by KBPW prior to being made. The net metering customer shall provide detailed information describing the modifications. KBPW will review the design changes and provide the results to the customer within thirty (30) days of receipt of the customer’s proposal.
      1. For systems of ten kilowatts or less, a customer-generator shall not be required to purchase any liability insurance. Insurance for systems above 10 kilowatts shall be negotiated as part of the Interconnection Agreement.
      1. A customer-generator shall indemnify and hold harmless KBPW from any and all liability arising from the operation and interconnection of the net metering system. The customer-generator shall bear full responsibility for the installation and safe operation of any equipment that interconnects with the public utility grid.

To the fullest extent permitted by law, Customer-generator agrees to indemnify, defend and hold harmless the Kennett Board of Public Works, its officers, agents, volunteers, leasees, invitees, and employees from and against all suits, claims, damages, losses, and expenses, including but not limited to attorneys’ fees, court costs, or alternative dispute resolution costs arising out of or related to any such suit, claim, damage, loss or expense involving an injury to a person or persons, whether bodily injury or other personal injury (including death), or involving an injury or damage to property (including loss of use or diminution in value), but only to the extent that such suits, claims, damages, losses or expenses were caused by the negligence or other wrongdoing of Customer-generator, or of any supplier or subcontractor, or their agents or employees, directly or indirectly, regardless of whether caused in part by the negligence or wrongdoing of the Kennett Board of Public Works or any of its agents or employees.

 

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