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4r,;.Z, <br />Elk Riv <br />Municipal Utilities UTILITIES COMMISSION MEETING <br />TO: <br />FROM: <br />ERMU Commission <br />Sara Youngs —Administrations Director <br />MEETING DATE: <br />AGENDA ITEM NUMBER: <br />February 13, 2024 <br />2.5 <br />SUBJECT: <br />Distributed Energy Resources and Net Metering Rules <br />ACTION REQUESTED: <br />Resolution 24-11—Adopt by resolution the ERMU Rules Governing the Interconnection of <br />Cogeneration and Small Power Production Facilities <br />BACKGROUND: <br />Every municipal electric utility in Minnesota must have rules for governing the interconnection <br />of cogeneration and small power production facilities to fulfill the requirements of Minnesota <br />Statutes, Section 21613.1611 subd. 3. Included in the rules are requirements pertaining to the <br />required tariffs, and processes for the interconnection of cogeneration and small power <br />production facilities, also known as Distributed Energy Resources (DER). The rules established <br />will reflect the expectations and obligations for both the municipal utility and customers who <br />seek to interconnect their own electric generation facilities with the distribution system. <br />On February 9, 2022, the Minnesota Municipal Utilities Association's Board of Directors <br />recognized and agreed to host Minnesota Municipal Interconnection Process (M-MIP) 2022 <br />booklets, forms, and agreement templates on its website so municipal electric utilities across <br />the state can adopt a distributed generation tariff that is compliant with Minnesota Public <br />Utilities Commission requirements, as required by statute. In addition, the documents will <br />promote consistency and transparency for all municipal utilities and retail customers <br />interconnecting with the distribution system. <br />On May 10, 2022, the commission adopted resolution 22-7 Rules Governing the <br />Interconnection of Cogeneration and Small Power Production Facilities. <br />DISCUSSION: To allow for consistency with M-MIP 2022 booklets, forms, and agreement <br />templates the changes proposed in the rules reflect consistent naming of the cogeneration and <br />small power production schedules. Schedules 1 and 2 of tariff rates are filed annually in the first <br />quarter of each year. <br />ATTACHMENTS: <br />• Redline - Rules Governing the Interconnection of Cogeneration and Small Power <br />Production Facilities <br />• Resolution No. 24-1 - ERMU Rules Governing the Interconnection of Cogeneration and <br />Small Power Production Facilities <br />Page 1 of 1 <br />47 <br />