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Pedernales Electric Cooperative – Board of Directors Meetings

File #: 2021-162    Version: Name:
Type: Action Item/Other Items Status: Passed
File created: 3/29/2021 In control: Board of Directors
On agenda: 4/23/2021 Final action: 4/23/2021
Title: Resolution - Approval to Amend Tariff and Business Rules - Interconnected Generation - N Mack/D Thompson
Attachments: 1. 2021-04-23 Approval to Amend Tariff and Business Rules - Interconnect Rate - N Mack D Thompson, 2. 2021-04-23 COSS_Interconnect Rate_1898&Co. - Information purposes, 3. 2021-04-23 Interconnect Rate Changes_Billing Details Information purposes, 4. 2021-03-26 Tariff and Business Rules - Interconnect Rate Revision (Clean), 5. 2021-03-26 Tariff and Business Rules - Interconnect Rate Revision (Redline)
Related files: 2021-142

Title

Resolution - Approval to Amend Tariff and Business Rules - Interconnected Generation - N Mack/D Thompson

 

Other Info

Submitted By: Robyn Miller on behalf of Markets

Department: Markets

Financial Impact and Cost/Benefit Considerations: Expenditure of Cooperative funds is not anticipated to be impacted; expenditures of staff time is not anticipated to be impacted.

 

Discussion

On December 18, 2020 the PEC Board approved changes to the interconnection rates with an effective date of January 1, 2022. The following items are proposed for refinements and clarifications as informed by member feedback and additional rate design analysis performed.

                     Change the Peak Demand Charge from a 15-minute demand to an hourly demand and clarify that the Peak Demand Charge applies for Non-Summer Peak, Summer Peak and Summer Super Peak

                     Clarify the definition for Transmission Cost of Service (TCOS) Charge, Per KWh

                     Clarify language in the Transmission Cost of Service Charge, Per kW, about when the Transmission Cost of Service Charge, per kW, will be captured and that the

                     Transmission Cost of Service Charge, Per kW, can be a credit

                     Clarify the Primary Service Adjustment (PSA)

                     Change the section name for the Net Energy Credit to Base Power Credit. The name change intends to provide clarity for members on the applicable interconnect rate and clarify the rate structure

                     Change the name of the Interconnected Generation Rate from Interconnect Net Metering Rate to Interconnect Net Billing Rate

                     Clarify the Interconnect Net Billing Rate and demand charges

                     Clarify the Interconnect Wholesale Energy Rate and demand charges

 

The intent of the refinements and clarifications listed above are for clarity and alignment with the Cooperative’s Rate Policy.

 

Sections of the Tariff being amended and effective dates are shown below

                     Power Factor Adjustment Section 300.14.10 - Effective upon Board Approval

                     Primary Service Adjustment (PSA), Section 500.1.11- Effective upon Board Approval

                     Transmission Cost of Service (TCOS) Charge, per kWh, Section 500.1.9.1 - Effective upon Board Approval

                     Transmission Cost of Service (TCOS) Charge, per kW, Section 500.1.9.2 - Effective upon Board Approval

                     Primary Service Adjustment (PSA), Section 500.1.11 - Effective upon Board Approval

                     Capacity Demand Charge, Section 500.1.6 - Effective January 1, 2022

                     Peak Demand Charge, Section 500.1.7 - Effective January 1, 2022

                     Net Energy Credit, Section 500.1.13 - Effective January 1, 2022

                     Interconnect Net Billing Rate, Section 500.3.1 - Effective January 1, 2022

                     Interconnect Wholesale Energy Rate, Section 500.3.2 - Effective January 1, 2022

 

Body

BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE COOPERATIVE that no changes be made at this time to the interconnect rates, and further direct staff to hold at least three virtual town hall meetings with members for member input from now until the July Board meeting, and to further research other possible changes to ensure an equitable and sustainable rate, and that a final proposal be presented at the July 2021 Board meeting to be effective January 1, 2022 upon approval, and

 

BE IT FURTHER RESOLVED that the Chief Executive Officer, or designee, is authorized to take all such actions as needed to implement this resolution.