Net Metering Rates

Net Energy Metering for Renewable Generation

Definitions

Electric “Distributed Generation System” or “DG System” shall mean distributed renewable generation facilities and associated equipment for non-utility generation or co-generation for interconnection to, and parallel operation with, the Owensboro Municipal Utilities (OMU) electric system.

“Net Metering” means the difference between the amount of electricity sold by OMU to the customer and the amount of energy produced by the renewable generation system of the customer and supplied to the OMU electric system through the interconnection, over a specified billing period.

For the purposes of this Net Energy Metering Policy for Renewable Generation, “renewable generation” is the generation of electricity that is produced from either wind, water, solar generation technologies, or a hybrid system.

Availability

This Policy applies in any area served by the Owensboro Municipal Utilities (OMU) electric system where the OMU electric system is capable of accommodating interconnection with a customer’s renewable generation system in accordance with OMU policy and the applicable terms and conditions for electric service.

Requirements

  1. To Residential Service, Commercial Service, General Service Secondary, or General Service Primary customers;
  2. The distributed electric generating facility must be owned and operated by the customer and located on the customer’s premises for the purpose of supplying all or some of the customer’s electrical needs;
  3. The distributed electric generating facility must have a capacity of no more than 100 kW;
  4. The distributed electric generating facility must be designed and installed to operate in parallel with the OMU electrical distribution system without adversely affecting the quality of service to other customers and without presenting a safety risk to OMU customers or employees. Required voltage and current quality and characteristics are specified in the OMU Distribution lnterconnection Policy and OMU’s Regulations and Rates for Electric Service;
  5. The distributed electric generating facility must have been approved by OMU and customer must have accepted and agreed to the terms and conditions of the OMU Distribution lnterconnection Policy;
  6. The power generated from the distributed electric generation facility must come from a renewable energy source.

The service will be metered by OMU in one of two ways, at OMU’s option.

Option A: Net metering will be achieved by the use of two meters: 1) a power used (revenue) meter and 2) a power generated meter. The proposed Distributed Generation System must include an OMU-approved meter base for the placement of an OMU meter to record the power generated by customer. The power generated meter base shall be in a direct series path with the DG System disconnect switch and be in close proximity and on the same exterior wall as the existing OMU meter.

Option B: Alternatively, net metering will be done by use of a standard kilowatt- hour metering system capable of measuring the flow of electricity in both directions. Customer will not be charged for OMU metering costs, except those billed to all customers served from the otherwise applicable rate schedule.

OMU may place reasonable limits on the total amount of distributed renewable generation interconnected to the OMU system. Net metering service will be available to customers on a first-come, first-served basis up to a cumulative capacity of one percent (1%) of the OMU system’s all-time single hour peak load.

Interested customers must make formal application, pursuant to the OMU Distribution lnterconnection Policy, which is available on OMU’s website at www.omu.org. OMU’s Engineering Department will review the application and will approve or deny it based on the availability, requirements and restrictions described above, and the results of a system impact study and an assessment of any safety risks. OMU may require the modification of a system proposed by customer and any required service or system upgrades in accordance with the OMU Distribution Interconnection Policy. All costs associated with the required upgrades will be the sole responsibility of the customer. The customer-owned renewable generation interconnection may not be placed in service until this process is completed and OMU’s approval has been obtained.

Except as provided herein, service under this policy is subject to National Electric Code, applicable National Electric Safety Code Standards, any applicable ordinances, and OMU Rules and Regulations.

Type of service

Consistent with otherwise applicable service schedule

Monthly rate

Customer charge

Consistent with otherwise applicable service schedule

Demand charge

Consistent with otherwise applicable service schedule

Energy charge

The applicable energy charge, from the service schedule for which customer would othen¡¡ise qualify, for the amount of the positive difference between the energy delivered by OMU to the customer and the amount of the energy generated by the customer and supplied to OMU through the interconnection. lf the amount of energy supplied by the customer exceeds the amount delivered by OMU to the customer, the customer will receive a credit for that amount of energy, based on the per kWh cost OMU incurs for energy that is reported in FERC account 501, against any energy charges the customer incurs for electricity in the next billing period or periods. lf the customer’s electric service is discontinued for any reason, any remaining credits of customer, after any available credits are applied to customer’s final billing, shall not be transferable or redeemable by customer and shall be forfeited.

Facilities charge

Consistent with otherwise applicable service schedule

Minimum bill

Consistent with otherwise applicable service schedule

Power factor

Consistent with otherwise applicable service schedule

Energy cost adjustment

Consistent with otherwise applicable service schedule

Environmental control cost adjustment

Consistent with otherwise applicable service schedule

Tax cost adjustment

Consistent with otherwise applicable service schedule

Payment

Monthly bills are rendered net, payable within seven (7) days. Unpaid bills are delinquent on the eighth day after date of issue, and ten percent (10%) may be added to all such bills.