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Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation

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Page 1: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Goals for 2003 Kansas Interconnection Standards Development

Larry Holloway

Chief of Energy Operations

Kansas Corporation Commission

Page 2: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

History

• Legislation

• Staff Analysis

• Order

• Process

Page 3: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Legislation• HB 2018 Section 32

– Passed by 2003 Legislature

• “K.S.A. 66-101a and amendments thereto”– Defines Commission jurisdiction

• “K.S.A. 66-104 and amendments thereto”– Definition of a jurisdictional “public utility”

• K.S.A. 66-1,184– Parallel Generation Act

Page 4: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Section 32 HB 2018• “On or before September 1, 2003, the state

corporation commission shall establish standard provisions, including applicable fees, for agreements providing for interconnection between the facilities of an electric public utility, as defined by K.S.A. 66-101a, and amendments thereto, and a generator which generates electricity from renewable resources or technologies, as defined by section 2, and amendments thereto.”

Page 5: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

“K.S.A. 66-101a and amendments thereto”

• K.S.A. 66-101– Commission jurisdiction over electric

public utilities as defined in 66-101a

• K.S.A. 66-101a– "Electric public utility" means any public

utility, as defined in K.S.A. 66-104, and amendments thereto, which generates or sells electricity.

Page 6: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

“K.S.A. 66-104 and amendments thereto”

• An electric public utility is all companies that produce, transmit or deliver power “except for private use”.

• Exceptions– Deregulated rural electric distribution

cooperatives (safety, wholesale and transmission still regulated).

– Municipal electric utility operations more than 3 miles outside the city limits.

– Independent generators built after January 1, 2001 have the “option” of being a public utility.

Page 7: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

K.S.A. 66- 66-1,184• Parallel Generation Act:

– “ … every public utility which provides retail electric services in this state shall enter into a contract for parallel generation service with any person who is a customer of such utility, upon request of such customer, …”

– “ …’utility’ means an electric public utility, as defined by K.S.A. 66-101a, and amendments thereto, any cooperative, as defined by K.S.A. 17-4603, and amendments thereto, or a nonstock member-owned electric cooperative corporation incorporated in this state, or a municipally owned or operated electric utility. …”

Page 8: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Staff Analysis

• Kansas Requirements

• Federal Requirements

• Models– NARUC– NRECA

• Suggested procedural process

Page 9: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Kansas Requirements

• KCC required to establish interconnection standards for each jurisdictional utility by September 1, 2003.– Standards to include all generation – not just

renewable.

• KCC working with jurisdictional and non jurisdictional electric utilities to adopt statewide interconnection standards.– Jurisdictional Kansas electric utilities serve 70%

of the customers but only 40% of the area.

Page 10: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Federal Requirements(Transmission Interconnections)

• Order 2003 (FERC Docket No. RM02-01)– Final order July 24, 2003.

– Generation exceeds 20 MW.

• Proposed Rules for Small Generators (FERC Docket No. RM02-12)– Generation 20 MW or less

• Staff recommended FERC Rules for non-FERC jurisdictional utilities.

• FERC website: www.ferc.gov

Page 11: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Models • National Rural Electric Cooperative

Association (NRECA)– Distributed Generation “toolkit”.– http://www.nreca.org/nreca/Policy/Re

gulatory/DGToolKit/index.html

• National Association of Regulatory Utility Commissioners (NARUC)– Distributed Generation

Interconnection “Model”– http://www.naruc.org/Programs/dgia/d

giaip.pdf

Page 12: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Process Recommended by Staff

• 3 Phases– First phase will address and develop

general standards.• Requirements for applications, contracts, etc.

– Second phase, if necessary to address and implement detailed standards.

• Generic application form, process, contracts, schematics.

– Third phase to implement final standards.

• Note: This is a fluid process subject to change.

Page 13: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Suggested Phase 1 and 2 Process• Staff issues a list of recommendations and issues

• Commission issues a list of questions

• Participants respond to questions (November 17, 2003)

• Staff prepares summary of responses and provides recommendations.

• Commission issues a list of issues for technical conference

• Participant provide written response

• Commission conducts technical conference

• Participants and staff submit final recommendations

• Commission issues order

Page 14: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Commission Orders KCC Docket No. 04-GIME-080-GIE

Active Dockets at www.kcc.state.ks.us

• July 23, 2003 Order– Jurisdictional utilities required to file individual

interconnection standards by September 1, 2003.– All interested parties to respond to list of

recommendations and questions by September 30, 2003.

• Order 2, August 28, 2003– September 1 filing deadline extended to October 1,

2003– September 30 comment deadline extended to

November 17, 2003

Page 15: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Requirements for Initial Interconnection Standard Filings

• Review process flow chart• Standards application form• Specified maximum generator size for expedited

procedure• Small generator interconnection technical requirements

including specifications, standard contract and application fee

• Description of approval process, including technical requirements, standard contract and fees, for large generator interconnections

• Time required for both small and large generator interconnection applications

Page 16: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Questions and Recommendations

• Expedited process for certain generators

– Size, type, fees, studies, equipment, metering?

• Time for review

• NARUC, NRECA, or other models

– Application process

– Standard application forms

– Standard contracts

– Verification testing

• Need for insurance, dispute process, pre-certification

• FERC standards

• Isolated generation

Page 17: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Process

• Jurisdiction utilities

• Non-jurisdiction utilities

• Other interested parties– Formal participation

• Intervention in the docket

• Legal representation likely required– Contact Mike Peters at (785) 271-3181

– Informal participation• Respond to certain issues

• Participate in technical conference

Page 18: Goals for 2003 Kansas Interconnection Standards Development Larry Holloway Chief of Energy Operations Kansas Corporation Commission

Kansas Interconnection Standard Development

Informal Participation

• Request Participation– Explain viewpoint on specific issues– Request participation in specific technical

conference– Send comments and requests to:

– Susan Duffy, Executive Director KCC– 1500 Arrowhead Road– Topeka, KS 66604

» Refer to Docket No. 04-GIME-080-GIE– Questions? contact Larry Holloway (785) 271-3222