Current DG Framework for
Competitive Areas of ERCOT
DREAM TF
September 28, 2015
Purpose
Provide a basic understanding of the current DG market framework for
the competitive areas of ERCOT and clarify terminology, governance
structure, and market processes related to DG
Disclaimer
Although every attempt has been made to ensure the accuracy of the
information provided herein, due to summarization, illustration, and
other factors, inexact or erroneous information may exist. This
presentation is not a substitute for the applicable statutes, rules,
protocols, and guides. If any conflict exists between this presentation
and the governing statutory and regulatory documents, those
documents shall control in all respects.
2
Relevant Terms*
Electric Generating Facility12
Non-Modeled
Generator3
Generation
Resource3
ERS
Generator3
Distributed Resource2
On-site Distributed
Generation123
Distributed Natural
Gas Generation Facility12
Distributed Renewable Generation123
Independent School District-Solar Generation2
1 – PURA
2 – PUCT Subst. Rules
3 – ERCOT Protocols
*See Appendix for definitions
3
Specific DG-Related Statutes*
PURA 35.036 – Distributed Natural Gas Generation Facilities
• Develops provisions for:
• Owners/operators to sell electric power
• Use of T&D Facilities to transport electric power
• Utilities to recover costs of facilities for used for interconnection
PURA 39.916 – Interconnection of Distributed Renewable Generation
• Develops provisions for:
• Interconnection of DRG
• PUCT creation of rules and requirements for DRG
• Requirement for TDU to measure out-flow
• Ownership of Renewable Energy Credits
• Selling surplus electricity to REP
PURA 39.101 – Customer Safeguards
• Customers entitled to have access to on-site distributed generation
PURA 39.914 – Credit for Surplus Solar Generation by Public Schools
• Develops provisions for:
• Allowing Independent School Districts to sell surplus energy form solar generation
• Requiring utilities to provide metering to allow sell of energy
*other statutes may be applicable to DG based on
operation in the ERCOT wholesale market
4
Registration
• May require registration as
• Power Generation Company, if
generating electricity intended to
be sold at wholesale or
• Self-Generator, if rating is greater
than or equal to 1MW and not a
PGC
• Generally, DRG facilities are not
required to register
• DG with installed capacity of greater
than 1MW, must register
• If required to have an IDR Meter and
want settlement, must register as
Generation Resource
• Protocol language unclear on when
registration required as Generation
Resource. May be required for
distributed generation if capable of
providing energy or Ancillary Service
PUCT
ERCOT
5
Interconnection
PUCT
• Detailed in PUCT Subst. Rules 25.211 & 25.212
• Only applicable to facilities 10MW and less connected to the distribution
system
• Intended to develop standard interconnection process and timeline for
distributed generation
• TDUs may require supplemental terms and conditions
ERCOT
• Protocols and Guides do not addresses interconnection of DG facilities
6
DG Metering
PURA 39.916 (f)
A [TDU] … shall make available to a [DRGO] … metering
required for services provided under this section, including
separate meters that measure the load and generator
output or a single meter capable of measuring in-flow and
out-flow at the point of common coupling meter point.
PUCT Subst. Rule 25.213 (b) (1)
…an electric utility shall provide metering at the point of
common coupling using one or two meters that separately
measure both the customer’s electricity consumption from
the distribution network and the out-flow that is
delivered from the customer’s side of the meter to the
distribution network …
PUCT Subst. Rule 25.212 (j)
…the utility may supply, own, and maintain all necessary
meters and associated equipment to record energy
purchases by the customer and energy exports to the
utility system…
7
Metering
• For registered DG, ERCOT requires IDR Meter (BUSIDRRQ
Profile)
▫ Interval data submitted monthly via 867_03 transaction
▫ In-flow energy associated with ESIID
▫ Out-flow energy associated with RID
• Can opt to have ERCOT Polled Settlement (EPS) metering
▫ ERCOT polls daily
▫ Customer must pay differential cost for metering if not required
8
Wholesale Storage Load
• Energy that is separately metered from all other Facilities to
charge a technology that is capable of storing energy and
releasing that energy at a later time to generate electric
energy
• Exempt from charges and credits based on Load Ratio Share
or per MWH basis
• Will not be included in the ERCOT 4CP calculations
• Pricing shall be based on the LMP at the electrical bus
9
Settlement
Unregistered DG
• Energy settled as
“negative Load”
• QSE benefits from
reduced Load and is
effectively
compensated at Load
Zone Settlement Point
Price
• Energy payments to
customer covered in
bilateral contract
between customer and
REP
Registered DG
Registered DG
Same QSE for Load and Generation
Different QSEs for Load and
Generation
• QSE paid directly for
energy out-flow at
Load Zone Settlement
Point Price
• QSE charged Load Zone
Settlement Point Price
for each interval of
energy in-flow (Net
Load)
• Energy payments to
customer covered in
bilateral contract
between customer and
REP/QSE
• DG QSE paid directly for
energy out-flow at Load
Zone Settlement Point
Price
• REP QSE charged Load
Zone Settlement Point
Price for each interval
of energy in-flow (Net
Load)
• Energy payments to
customer covered in
bilateral contract
between customer and
DG QSE
10
PUC Reporting
Report includes:
• Per PUC Subst. Rule 25.211 (n),
utilities must file annual report
identifying each
interconnected DG facility by
March 30th
• Reports for 2014 are filed
under PUC Project #44023
• New DG Facilities since previous
report
• Change in ownership or cessation of
operations that has been reported to
the utility
• Capacity of each facility and whether
it’s a renewable energy resource
• Feeder or other point of connection to
distribution system
• All applications for interconnections
received for previous 1-yr period and
the disposition of those applications
11
ERCOT Reporting
DG Information submitted:
• TDSPs in competitive areas
submit DG information to
ERCOT for each unregistered
DG facility (<=1MW)
• Currently, ERCOT produces
report of unregistered DG
greater than 50kW
• ESI ID
• Generation type
• Interconnection Agreement effective
date
• Total inverter capacity
• The inverter's published peak
efficiency rating
• Total PV generation capacity in kW
• Total wind generation capacity in kW
• For other generation types, total
generation capacity in kW
12
NPRR719 & COPMGRR040
• Removes threshold for unregistered DG in single load
zone
• Reliant Energy comments remove reporting
threshold of 50kW and modifies reporting
requirements
• NPRR currently tabled at PRS & COPMGRR currently
at COPS awaiting approval
13
Appendix
14
References
Slide 3
•
•
•
•
•
•
PURA 31.002 – Definitions
PURA 39.916 – Interconnection of Distributed Renewable Generation
PUC Subst. Rules 25.5 – Definitions
PUC Subst. Rules 25.211 – Interconnection of On-Site Distributed Generation
PUC Subst. Rules 25.217 – Distributed Renewable Generation
ERCOT Protocols Section 2.1 – Definitions
Slide 4
•
•
•
•
PURA 35.036 - Distributed Natural Gas Generation Facilities
PURA 39.101 – Customer Safeguards
PURA 39.914 – Credit for Surplus Solar Generation by Public Schools
PURA 39.916 – Interconnection of Distributed Renewable Generation
15
References (cont.)
Slide 5
•
•
•
•
•
•
PUC Subst. Rule 25.109 – Registration of Power Generation Companies and Self
Generators
PUC Subst. Rule 25.217 – Distributed Renewable Generation
ERCOT Protocols Section 3.7 – Resource Parameters
ERCOT Planning Guide Section 6.8 – Resource Registration Procedures
ERCOT Protocols Section 16.5 – Registration of Resource Entities
ERCOT Retail Market Guide Section 7.14 – Out-flow Energy from Distributed
Generation Facilities
Slide 6
•
•
PUC Subst. Rule 25.211 – Interconnection of On-Site Distributed Generation (DG)
PUC Subst. Rule 25.212 – Technical Requirements for Interconnection and
Parallel Operation Of On-Site Distributed Generation
Slide 7
•
•
PURA 39.916 – Interconnection of Distributed Renewable Generation
PUC Subst. Rule 25.213 – Metering for Distributed Renewable Generation and
Certain Qualifying Facilities
16
References (cont.)
Slide 8
•
•
ERCOT Protocols Section 10.2 – Scope of Metering Responsibilities
ERCOT Protocols Section 10.9 – Standards for Metering Facilities
Slide 9
•
•
•
PUC Subst. Rule 25.192 – Transmission Service Rates
PUC Subst. Rule 25.501 – Wholesale Market Design
ERCOT Protocols Section 2.1 – Definitions
Slide 10
•
•
ERCOT Protocols Section 6.6.3.2 – Real-Time Energy Imbalance Payment or
Charge at a Load Zone
ERCOT Protocols Section 11.4.4 – Data Aggregation Processing for Actual Data
•
PUC Subst. Rule 25.211 – Interconnection of On-Site Distributed Generation (DG)
Slide 11
17
References (cont.)
Slide 12
•
•
•
•
Slide 13
•
•
ERCOT Protocols Section 16.5 – Registration of a Resource Entity
ERCOT Commercial Operations Market Guide Section 10.3 – Unregistered
Distributed Generation Reports
ERCOT Retail Market Guide Section 7.14 – Out-flow Energy from Distributed
Generation Facilities
ERCOT Load Profiling Guide Appendix D – Load Profiling Decision Tree
NPRR719 – Removal of Trigger and Requirement to Reduce the Distributed
Generation (DG) Registration Threshold
COPMGRR040 – Alignment with NPRR719, Removal of Trigger and Requirement
to Reduce the Distributed Generation (DG) Registration Threshold
18
PURA Definitions
• Distributed natural gas generation facility – a facility installed on the customer's
side of the meter that uses natural gas to generate not more than 2,000 kilowatts
of electricity
• Distributed renewable generation – electric generation with a capacity of not
more than 2,000 kilowatts provided by a renewable energy technology, as defined
by [PURA] Section 39.904, that is installed on a retail electric customer's side of
the meter
• Electric generating facility – a facility that generates electric energy for
compensation and is owned or operated by a person in this state, including a
municipal corporation, electric cooperative, or river authority
19
PUCT Definitions
•
•
•
•
•
•
•
•
•
Distributed natural gas generation facility – a facility installed on the customer’s side of the meter that uses natural gas to generate not
more than 2,000 kilowatts of electricity
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
Distributed resource – A generation, energy storage, or targeted demand-side resource, generally between one kilowatt and ten
megawatts, located at a customer's site or near a load center, which may be connected at the distribution voltage level (below 60,000
volts), that provides advantages to the system, such as deferring the need for upgrading local distribution facilities.
Electric generating facility – a facility that generates electric energy for compensation and that is owned or operated by a person in this
state, including a municipal corporation, electric cooperative, or river authority.
ERS resource – a resource contracted to provide ERS that meets one of the following descriptions: (A) A load or aggregation of loads; or
(B) A dispatchable generator that is not registered with ERCOT as a Generation Resource, or an aggregation of such generators
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
On-site distributed generation (or distributed generation) – an electrical generating facility located at a customer’s point of delivery
(point of common coupling) of ten megawatts (MW) or less and connected at a voltage less than 60 kilovolts (kV) which may be
connected in parallel operation to the utility system.
Resource – a generation resource, or a load capable of complying with ERCOT instructions to reduce or increase the need for electrical
energy or to provide an ancillary service (i.e., a “load acting as a resource”).
Resource – Facilities capable of providing electrical energy or load capable of reducing or increasing the need for electrical energy or
providing short-term reserves into the ERCOT system. This includes generation resources and loads acting as resources (LaaRs)
20
ERCOT Definitions
•
•
•
•
•
Distributed Generation (DG) – An electrical generating facility located at a Customer’s point of delivery (point of common
coupling) ten megawatts (MW) or less and connected at a voltage less than or equal to 60 kilovolts (kV) which may be
connected in parallel operation to the utility system.
Distributed Renewable Generation (DRG) – Electric generation with a capacity of not more than 2,000 kW provided by a
renewable energy technology that is installed on a retail electric Customer’s side of the meter.
Emergency Response Service (ERS) Generator – Either (1) an individual generator contracted to provide ERS which is not a
Generation Resource or a source of intermittent renewable generation and which provides ERS by injecting energy to the
ERCOT System, or (2) an aggregation of such generators.
Generation Resource – A generator capable of providing energy or Ancillary Service to the ERCOT System and is registered
with ERCOT as a Generation Resource. The term “Generation Resource” used by itself in [the ERCOT] Protocols does not
include a Non-Modeled Generator.
Non-Modeled Generator – A generator that is:
▫
▫
▫
(a) Capable of providing net output of energy to the ERCOT System;
(b) Ten MW or less in size; or greater than ten MW and registered with the PUCT according to P.U.C. SUBST. R. 25.109,
Registration of Power Generation Companies and Self-Generators, as a self-generator; and
(c) Registered with ERCOT as a Non-Modeled Generator, which means that the generator may not participate in the Ancillary
Service or energy markets, RUC, or SCED.
21