2.3. ERMUSR 07/09/2019 - Laserfiche WebLink

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Elk River ,— Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Tom Sagstetter—Conservation and Key Accounts Manager MEETING DATE: AGENDA ITEM NUMBER: July 9, 2019 2.3 SUBJECT: Minnesota Municipal Power Agency Distributed Generation Tariff ACTION REQUESTED: Receive the Minnesota Municipal Power Agency Distributed Generation Tariff BACKGROUND: On May 14, 2019, the Elk River Municipal Utilities (ERMU) Commission adopted the Distributed Energy Resources and Net Metering Policy, Rules, and Tariff that were developed by the Minnesota Public Utilities Commission (MPUC) and other stakeholders including Minnesota Municipal Power Agency(MMPA), and Minnesota Municipal Utilities Association (MMUA). DISCUSSION: Included in the adopted policy, rules, and tariff are specific rates that are applicable to the distributed energy resources (DERs)that may be installed on the ERMU distribution system. For a DER system less than 40 kW, ERMU may offer the customer the approved Average Retail Utility Energy Rate (Schedule 1). In cases where the DER system exceeds 40 kW the customer will contract directly with MMPA. There are two power purchase rate options for DER systems with a generation capacity greater than 40 kW.The rate options are needed because the contractual wholesale power arrangements between MMPA and ERMU do not allow for a MMPA member to purchase energy directly from another entity. MMPA offers DER systems in excess of 40 kW the option of receiving payment under the Distributed Generation Payment Rates (Schedule 4), which the ERMU Commission has already approved, or the MMPA Distributed Generation Tariff. Attached is the MMPA Distributed Generation Tariff to be received. FINANCIAL IMPACT: None ATTACHMENT: • MMPA Distributed Generation Tariff Page 1 of 1 34