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SCHEDULE 3 - DISTRIBUTED ENERGY RESOURCES INTERCONNECTION PROCESS <br />7.Agreements <br />A)Interconnection Agreement This agreement is required for all Generation Systems that parallel with the <br />interconnection agreements depending upon the size and type of Generation System. This agreement <br />contains the terms and conditions upon which the Generation System is to be connected, constructed and <br />maintained, when operated in parallel with the Area EPS. Some of the issues covered in the interconnection <br />agreement are as follows; <br />i)Construction Process <br />ii)Testing Requirements <br />iii) Maintenance Requirements <br />iv)Firm Operating Requirements such as Power Factor <br />v)Access requirements for the Area EPS personnel <br />vi)Disconnection of the Generation System (Emergency and Non-emergency) <br />vii) Term of Agreement <br />viii) Insurance Requirements <br />ix) Dispute Resolution Procedures <br />B)Operating Agreement For Generation Systems that normally operate in parallel with the Area EPS, an <br />y <br />created. This agreement is created for the benefit of both the Interconnection Customer and the Area EPS <br />operator and will be agreed to between the Parties. This agreement will be dynamic and is intended to be <br />updated and reviewed annually. For some smaller systems, the operating agreement can simply be a letter <br />agreement for larger and more intergraded Generation Systems the operating agreement will tend to be <br />more involved and more formal. The operating agreement covers items that are necessary for the reliable <br />operation of the Local and Area EPS. The items typically included in the operating agreement are as follows; <br />i)Emergency and normal contact information for both the Area EPS operations center and for the <br />Interconnection Customer <br />ii)Procedures for periodic Generation System test runs. <br />iii) Procedures for maintenance on the Area EPS that affect the Generation System. <br />iv)Emergency Generation Operation Procedures <br />348 <br />