of - psc.state.wv.us

6?u6Gic Seruice Commission of West Virginia

Q‘tione: (304) 340-0300 F ? (304) 340-0325 Charleston, wv 25323

Sandra Squir

August 6,2013

Executive Secretary

09 ; 03 pfl 06 2023 PSC EXEC !EL: DItf Public Service Commission P. 0. Box 812 Charleston, WV 25323

Re: General Order No. 184.3 1 In the matter of a proceeding to seek preliminary comments fiom interested parties regarding revisions to the Commission Rules Governing Alternative and Renewable Energy Portfolio Standard, 150 C.S.R. Series 34.

Dear Ms. Squire:

Enclosed for filing are the original and twelve (12) copies of Staffs “Initial Comments” in the above-referenced proceeding.

A copy has been served upon all parties of record.

Sincerely,

LESLIE J. AN‘DERSON Supervising Attorney West Virginia State Bar I.D. No. 5777

LJNcm Enclosures

H:\LANDERSON\wpdocs\G.O. 184.3 1 (alt. and renewable energy portfolios rules revision)\staff initial comments.doc

PUBLIC SERVICE COMMISSION OF WEST VIRGINIA

CHARLESTON

GENERAL ORDER NO. 184.3 1 In the matter of a proceeding to seek preliminary comments from interested parties regarding revisions to the Commission Rules Governing Alternative and Renewable Energy Portfolio Standard, 150 C.S.R. Series 34.

CERTIFICATE OF SERVICE

I, LESLIE J. ANDERSON, Staff Counsel for the Public Service Commission of

West Virginia, hereby certify that I have served a copy of the foregoing Staffs “Initial

Comments” upon all parties of record by First Class United States Mail, postage prepaid

this 6th day of August, 20 13

Kerry Stroup PJM Interconnection, LLC 955 Jefferson Avenue Eagleville, PA 19403-2410

Robert R. Rodecker, Esq. Counsel, Cities of New Martinsville and Philippi, Harrison Electrifici PO Box 3713 Charleston, WV 25337

Elizabeth A. Amandus, Esq. Counsel, Allegheny Energy Jackson Kelly PLLC PO Box 553 Charleston, WV 25322

Thomas N. Hanna, Esq. Counsel, Black Diamond Power Company Hanna & Hanna PLLC PO Box 3967 Charleston, WV 25339

Shawn C. Hildebrand Craig-Botetourt Electric Cooperative General Manager PO Box 265 New Castle,VA 24 127-0265

David Antonioli Chief Executive Officer Voluntary Carbon Standard 1730 Rhode Island Avenue NW, Suite 803 Washington, DC 20036

Michael J. Dolan 11. Treasurer Mt. Storm Wind Force, LLC PO Box 4232 Wyoming, PA 18644

Joseph R. Douglas, Environmental Manager Longview Power, LLC 966 Crafts Run Road Maidsville, WV 26541

Pat Esposito, Ph.D., P.E., Chairman Augusta Systems 3592 Collins Ferry Road, Suite 200 Morgantown, WV 26505

H. M. Gurri McBee, Business Manager Backbone Mountain Windpower, LLC, FPL Energy 700 Universe Blvd Juno Beach, FL 33408

Lisa Mitchell, Solar Sales Consultant mtvSolar 206 Greenbrier Trail Charleston, WV 253 13

The Honorable C. Jerry Mouser Mayor, City of Philippi PO Box 460 Philippi, WV 264 16

Dick Munson, Senior Vice President Recycled Energy Development, LLC 640 Quail Ridge Drive Westmont,, IL 60559

The Honorable N. Keith Nelsen Mayor, City of New Martinsville 19 1 Main Street New Martinsville, WV 26 15 5

William C. Porth, Esq. Counsel, Appalachian Power Company and Wheeling Power Company Robinson & McElwee PLLC PO Box 179 1 Charleston, WV 25326

Susan J. Eggs, Esq. Counsel, West Virginia Energy Users Group Spilman Thomas & Battle PO Box 273 Charleston, WV 2532 1-0273

Myron D. Rummel, President & CEO Shenandoah Valley Electric Cooperative, Inc . 147 Dinkel Avenue PO Box 236 Mt. Crawford, VA 22841-0236

Kenneth A. Schuyler, Vice President PJM Environmental Information Services, Inc. 955 Jefferson Avenue Norristown, PA 19403

Matt Sherald PIMBY Energy, LLC PO Box 284 Thomas, WV 26292

Grant P. H. Shuman, Esq. Counsel, Mid-Atlantic Renewable Energy Coalition Spilman Thomas & Battle, PLLC PO Box 273 Charleston, WV 2532 1-0273

Terry J. Stout Harrison Rural Electrification Association, Inc. Office Manager Route 6 Box 502 Clarksburg , WV 26301-9584

Colin Williams, Vice President of Sales & Marketing mtvSolar 257 JR Hawvermale Way Berkeley Springs, WV 2541 1

Gary A. Jack, Esq. Senior Corporate Counsel Monongahela Power Company and The Potomac Edison Company 500 1 NASA Boulevard Fairmont, WV 26554

Supervising Attorney WV State Bar I.D. No. 5777

PUBLIC SERVICE COMMISSION OF WEST VIRGINIA

CHARLESTON

GENERAL ORDER NO. 184.3 1 In the matter of a proceeding to seek preliminary comments ftom interested parties regarding revisions to the Commission Rules Governing Alternative and Renewable Energy Portfolio Standard, 150 C.S.R. Series 34.

STAFF’S INITIAL COMMENTS -

Comes now the Staff of the West Virginia Public Service Commission (Staff) by

Leslie J. Anderson, Counsel, and files Initial Comments in this rulemaking proceeding,

After reviewing the Commission’s June 7, 20 13 order, Staff is making initial comments

on the following issues: (1) Requirement for ANSI (2-12 Revenue-Quality Meter, (2)

Development of Standardized Forms, and (3) Electronic Filing of Standard Formatted

Applications.

In the attached Engineering Memorandum, Donald E. Walker, Technical Analyst

in the Commission’s Engineering Division, makes specific recommendations regarding

the above three issues. Specifically, Mr. Walker recommends that Rule 5.3 of the

Commission’s Rules Governing Alternative and Renewable Energy Portfolio Standard,

150 C.S.R. Series 34 (Portfolio Standard Rules) be revised to reflect that a revenue-grade

meter is unnecessary as long as the minimum PJM GATS requirements are met and the

photovoltaic generation is 25kW or smaller. Staff recommends that a revenue-grade

I meter meeting the applicable American National Standards Institute (ANSI) C- 12

standard or its equivalent still be required for BTM photovoltaic generators with

generation greater than 25 kW. The attached Engineering Memorandum provides specific

recommendations on how Rule 5.3 should be revised.

Mi, Walker had no recommended revisions to the Portfolio Standard Rules current

information requirements for applications being filed to seek certification as a qualified

energy resource. However, Mr. Walker is proposing application forms which would be

exhibits to the Portfolio Standard Rules. Specifically, Mr. Walker has developed the

following applications which are attached to his memorandum: (1) Exhibit 1-

“Qualification for an Electric Generating Facility” based on Portfolio Standard Rules

4.4.1, and 4.4.b.; (2) Exhibit 2-“Qualification as a Greenhouse Gas Emission Reduction

or Offset Project” based on Portfolio Standard Rules 4.4.a. and 4.4.c. and (3) Exhibit 3-

“Qualification as an Energy Efficiency or Demand-side Energy Initiative Project” based

on Portfolio Standard Rules 4.4.a. and 4.4.d. Mr. Walker’s application forms were

developed using a Microsoft Excel spreadsheet which would allow an applicant to fill in

the form if downloaded from the internet. Mr. Walker also recommended that Portfolio

Standard Rule 4.4. be revised to require the use of one of the form applications.

i Mr. Walker explained that Engineering Staff supports the use of the internet as a

viable avenue for customer-generator or BTM facilities to submit applications for their

individual systems, Mr. Walker noted that Rule 4.3.a. of the Commission’s Rules of

Practice and Procedure (150 C.S.R. 1) is reserved for electronic filing rules. In other

words, the Commission currently does not have rules in place which detail how electronic

filings will be accomplished. The Staff Attorney notes that the Portfolio Standard Rules,

2

like many of the Commission’s other rules addressing the filing of complaints,

applications and petitions, requires that the customer-generator or BTM facility applicant

verify the application. The Staff has noted on its proposed form applications that the

12- I application must be verified in a format substantially similar to Form No.

Verification found in the Commission’s Rules of Practice and Procedure. Additionally,

the Portfolio Standard Rules require that the application include certain documentation.

While the Staff Attorney is not prepared to explain all facets of how an electronic filing

may be accomplished, the Commission may consider allowing the verification and

required documentation to be submitted electronically in PDF format. This would allow

the signatures verifying the application to be available for review in the electronic filing,

Both the Legal and Engineering Divisions are available to work with the Information

I Technology Staff of the Commission, the Executive Secretary, and other Commission

Staff in developing a protocol to allow for the electronic filings of the application.

Respectfully submitted this 6th day of August, 20 13.

STAFF OF THE PUBLIC SERVICE COMMISSION OF WEST VIRGINIA

By Counsel,

LESLIE J. ANDERSON Supervising Attorney West Virginia State Bar I.D. No. 5777

3

General Order Number: 184.31 Initial Comments August 6 , 2013

Engineering Memorandum

To: Leslie Anderson, Staff Attorney Date: August 6,2013

From: Donald E. Walker, Technical Analyst p2@

Legal Division

Engineering Division

RE: General Order Number: 184.3 1 In the matter of a proceeding to seek preliminary comments from interested parties regarding revisions to the Commission Rules Governing Alternative and Renewable Energy Portfolio Standard, 150 C.S.R. Series 34.

Initial Comments

The Public Service Commission of West Virginia (Commission) in its Order on June 7, 2013, invited comments regarding four areas related to its Rules Governing Alternative and Renewable Energy Portfolio Standard (Portfolio Standard Rule), 150 C.S.R. Series 34. The Engineering Division Staff (Staff) respecthlly submits its initial comments in the following.

1, Requirement for ANSI C-12 Revenue-Oualitv Meter

As noted in the Order, the Commission granted a waiver of Portfolio Standard Rule 5.3, in some cases such as, Hoffa & Shewmake, Case No. 11-1635-E-P (Commission Order at 9 Dec. 7 , 2012). Staff continues to support that ruling, and suggests the following revision to Portfolio Standard Rule 5.3.

5.3. A customer-generator or BTM generator must file an Alternative or Renewable Meter Generation Report with the Commission that corresponds with recordation of any energy produced through the registry system. A customer- generator or BTM generator shall comply with reporting requirements established in the PJM GATS Rules and that a revenue-grade meter is not required for photovoltaic generation of 25 kW or smaller. Customer-generator or BTM photovoltaic generators with generation greater than 25 kW must use a revenue-quality meter that meets the applicable American National Standards Institute (ANSI) C- 12 standard or its equivalentl

The proposed revision to Portfolio Standard Rule 5.3 is purposely written in general terms to allow for any future changes that PJM may impose in their GATS Rules. The Commission assigns the amount of qualified RECs assigned to each kWh generated by the

Page - 1 - of 3

General Order Number: 184.31 Initial Comments August 6,2013

facility, and has entrusted PJM GATS to properly account for the accumulation and transfer of RECs based on reported generation from the facility.

This proposed revision was recommended in the Further Final Joint Staff Memorandum filed April 27, 2012, page 2; Hoffa & Shewmake, Case No. 11-1635-E-P (Commission Order of Dec. 7, 2012) and related cases. In this case, it was explained by Wayne Perdue, Staff Technical Analyst, that the PJM GATS Rule 6.3.3.d states that “Generation data (kWh) for Non-PJM Solar Generators can be entered as 1) the actual kWh that was generated through the month, 2) the monthly meter readings taken fiom the system inverter or meter depending on the State(s) requirements with whom they are certified or 3) the production estimates that were generated by an approved calculation system if production estimates are allowed by the State(s) in which they are certified. Mr. Perdue continued that if a state decides to not allow or stops allowing the use of production estimates, that state cannot allow the use of production estimates in the fbture. Lastly, he noted that PJM does not require a revenue-quality meter for customer-sited solar power generation meeting the requirements of GATS Rule 6.1.2.c.

Staff also recommended in the Further Final Joint Staff Memorandum filed April 27, 2012, page 7; Hoffa & Shewmake, Case No. 11-1635-E-P (Commission Order of Dec. 7, 20 12) and related cases the following: “Technical Staff asserted that a revenue-grade meter was unnecessary as long as the minimum GATS requirements are met and photovoltaic generation output measured by a revenue-grade meter is not necessary for generators that are 25kW or smaller.”

2. Development of Standardized Form(s)

Staff proposed application forms for the Portfolio Standard Rules are attached as follows:

Exhibit 1 - “Qualification for, an Electric Generating Facility” based on the Portfolio Standard Rules 4.4.a and 4.4.b.

Exhibit 2 - “Qualification as a Greenhouse Gas Emission Reduction or Offset Project” based on the Portfolio Standard Rules 4.4.a and 4.4.c.

Exhibit 3 - “Qualification as an Energy Efficiency or Demand-side Energy Initiative Project” based on the Portfolio Standard Rules 4.4.a and 4.4.d.

Staff recommends that Portfolio Standard Rule 4.4 be revised to reflect the use of the proposed application forms as follows:

Page - 2 - of 3

General Order Number: 184.3 1 Initial Comments August 6 , 2013

4.4. Any electricity generator seeking certification of facilities or any electric utility seeking certification of an energy efficiency or demand-side energy initiative project, or greenhouse gas emission reduction or offset project a s a qualified energy resource shall submit to the Commission a verified application the format found in one of the appropriate exhibits attached to these rules. The verified applications must statkgg7 at a minimum:

-4

3. Modifications to Required Information

Staff has no modifications to the required information currently addressed in the Portfolio Standard Rules.

4. Electronic Filing of Standard Formatted Applications'

The Engineering Staff supports the use of the internet as a viable avenue for customer- generator or BTM facilities to submit applications for their individual systems (Please refer to footnote 1). The Engineering Staff is available to work with the Information Technology Staff of the Commission to initiate and implement any electronic filing of standard formatted applications approved by the Commission.

Ideally, any electronic filing established by the Commission will interface seamlessly with the PJM Generation Attribute Tracking System (GATS) currently utilized by the Commission for managing Renewable Energy Credits (RECs) generated and approved under the Portfolio Standard Rules.

Staff welcomes the opportunity for PJM EIS to demonstrate its Renewable Energy Certification Process (RECP) (comment filed July 22, 2013). In addition to interfacing with GATS, Staff will consider how the RECP could be utilized and/or interfaced with any electronic filing of standard formatted applications approved by the Commission.

The Engineering Division Staff anticipates working with utilities, applicants as well as PJM Environmental Information Services to enhance the application process for customer- generator of alternative and renewable energy resources.

DEW/s attachments

' Although General Order No. 184.31, page 5, filed on June 7,2013 invited comments and suggestions on electronic filing of standard formatted applications, Staff is unaware of a Commission Rule permitting electronic filing. Refer to $150-1-4, Rule 4, Filing Papers, 4.3.a. RESERVED FOR ELECTRONIC FILING RULES.

Page - 3 - of 3

General Order Number: 184.3 1 Initial Comments August 6, 2013

4.4. Any electricity generator seeking certification of facilities or any electric utility seeking certification of an energy efficiency or demand-side energy initiative project, or greenhouse gas emission reduction or offset project as a qualified energy resource shall submit to the Commission a verified application the format found in one of the appropriate exhibits attached to these rules. The verified applications must statkgg? at a minimum:

3. Modifications to Required Information

Staff has no modifications to the required information currently addressed in the Portfolio Standard Rules.

4. Electronic Filing of Standard Formatted Applications'

The Engineering Staff supports the use of the internet as a viable avenue for customer- generator or BTM facilities to submit applications for their individual systems (Please refer to footnote 1). The Engineering Staff is available to work with the Information Technology Staff of the Commission to initiate and implement any electronic filing of standard formatted applications approved by the Commission.

Ideally, any electronic filing established by the Commission will interface seamlessly with the PJM Generation Attribute Tracking System (GATS) currently utilized by the Commission for managing Renewable Energy Credits (RECs) generated and approved under the Portfolio Standard Rules.

Staff welcomes the opportunity for PJM EIS to demonstrate its Renewable Energy Certification Process (RECP) (comment filed July 22, 2013). In addition to interfacing with GATS, Staff will consider how the RECP could be utilized and/or interfaced with any electronic filing of standard formatted applications approved by the Cornmission.

The Engineering Division Staff anticipates working with utilities, applicants as well as PJM Environmental Information Services to enhance the application process for customer- generator of alternative and renewable energy resources.

\

DEWls attachments

I Although General Order No. 184.31, page 5 , filed on June 7, 2013 invited comments and suggestions on electronic filing of standard formatted applications, Staff is unaware of a Commission Rule permitting electronic filing. Refer to $150-1-4. Rule 4, Filing Papers, 4.3.a. RESERVED FOR ELECTRONIC FILING RULES.

Page - 3 - of 3

Rules Governing Alternative and Renewable Energy Portfolio Standard Qualification for Electric Generating Facilities

CONTACT INFORMATION

4.4.a.l 1 ,Please provide a copy of the current Certificate of Authority issued by the Secretary of State.

..._. __ Email:

4.4.b.2 Owner(s) Name: (F / MI / L)

- - ~~ __ ___ City: .. State: Zipcod - Telephone: Cellul FAX: Email:

4.4.b.4 Designated Name: (F / MI / L) .. - - Representitive

Page 1 of 2 EXHIBIT 1

Rules Governing Alternative and Renewable Energy Portfolio Standard Qualification for Electric Generating Facilities

FACl LlTY IN FORMATION

14.4.b.9 i i Please identifv and describe the metering svstem measuring generation on this Droiect. I I I . v v

Model Name: Model Number

This application must be verified in a format substantially similar to Form No. 12 - VERIFICATION found in the Commission Rules of Practice and Procedure (150 C.S.R. 1).

Page 2 of 2 EXHIBIT 1

Rules Governing Alternative and Renewable Energy Portfolio Standard Qualification as a Greenhouse Gas Emmission Reduction or Offset Project

I 1 CONTACT INFORMATION

- __ City: I State: Zipcode Telephone: Cellular: Email:

_ _ _ FAX: -

4.4.c.4 Please provide documentation of authority as a designated representitive to sign on behalf of owners of the electric utility.

Page 1 of 2 E X H r n 2

Rules Governing Alternative and Renewable Energy Portfolio Standard

Please provide proof of registration the project is registered with a Commission approved greenhouse gas program. Prnuram Name. 1

I Plearp nrnvirip a ripcrrinti

This application must be verified in a format substantially similar to Form No. 12 - VERIFICATION found in the Commission Rules of Practice and Procedure (150 C.S.R. 1).

Page 2 of 2 EXHlm 2

Rules Governing Alternative and Renewable Energy Port

1 Designated Representitive I -

State: __ Zipcode: __ __ City: ~- Telephone: Cellular: FAX: ' Email:

Please provide documentation of authority as a designated representitive to sign on behalf of owners of the electric utility.

Page 1 of 2 EXHIBIT^

Rules Governing Alternative and Renewable Energy Portfolio Standard Qualification as an Energy Efficiency or Demand-side Energy Initiative Project

I PRO J E CT I N FO R M AT1 0 N

14.4.d.6 1 1 Provide attestation from the retail customer that the costs of the acquisition or installation of the energy efficiency or demand-side energy

I /used for portfolio standard compliance purposes, banked for future compliance with the portfolio standard, or traded or sold to another

the Commission for state-wide energy efficiency or demand-side energy initiative projects. Such alternative submission requirements may include, but are not limited to, documentation of project costs paid and that the utility has informed the customers that the utility will retain credits associated with the state-wide initiative projects.

4.4.d.9 Provide the proposed evaluation, measurement and verification plan for the project, including a schedule for submitting information to the Commission required in Rule 5.5.a.

This application must be verified in a format substantially similar to Form No. 12 -VERIFICATION found in the Commission Rules of Practice and Procedure (150 C.S.R. 1).

Page 2 of 2 EXHIBIT E