Section 2841 Of Chapter 8. Energy Efficiency Systems From California Public Utilities Code >> Division 1. >> Part 2. >> Chapter 8.
2841
. (a) The commission may require an electrical corporation to
purchase from an eligible customer-generator, excess electricity that
is delivered to the grid that is generated by a combined heat and
power system that is in compliance with Section 2843. The commission
may establish a maximum kilowatthours limitation on the amount of
excess electricity that an electrical corporation is required to
purchase if the commission finds that the anticipated excess
electricity generated has an adverse effect on long-term resource
planning or reliable operation of the grid. The commission shall
establish, in consultation with the Independent System Operator,
tariff provisions that facilitate both the provisions of this chapter
and the reliable operation of the grid.
(b) (1) Every electrical corporation shall file with the
commission a standard tariff for the purchase of excess electricity
from an eligible customer-generator.
(2) The tariff shall provide for payment for every kilowatthour
delivered to the electrical grid by the combined heat and power
system at a price determined by the commission.
(3) The tariff shall include flexible rates with options for
different durations, not to exceed 10 years, and fixed or variable
rates relative to the cost of natural gas.
(4) The commission shall ensure that ratepayers not utilizing
combined heat and power systems are held indifferent to the existence
of this tariff.
(c) The commission, in reviewing the tariff filed by an electrical
corporation, shall establish time-of-delivery rates that encourage
demand management and net generation of electricity during periods of
peak system demand.
(d) Every electrical corporation shall make the tariff available
to eligible customer-generators that own, or lease, and operate a
combined heat and power system within the service territory of the
electrical corporation, upon request. An electrical corporation may
make the terms of the tariff available to an eligible customer in the
form of a standard contract.
(e) The costs and benefits associated with any tariff or contract
entered into by an electrical corporation pursuant to this section
shall be allocated to all benefiting customers. For purposes of this
section "benefiting customers" may, as determined by the commission,
include bundled service customers of the electrical corporation,
customers of the electrical corporation that receive their electric
service through a direct transaction, as defined in subdivision (c)
of Section 331, and customers of an electrical corporation that
receive their electric service from a community choice aggregator, as
defined in Section 331.1.
(f) The physical generating capacity of the combined heat and
power system shall count toward the resource adequacy requirements of
load-serving entities for purposes of Section 380.
(g) The commission shall adopt or maintain standby rates or
charges for combined heat and power systems that are based only upon
assumptions that are supported by factual data, and shall exclude any
assumptions that forced outages or other reductions in electricity
generation by combined heat and power systems will occur
simultaneously on multiple systems, or during periods of peak
electrical system demand, or both.
(h) The commission may modify or adjust the requirements of this
article for any electrical corporation with less than 100,000 service
connections, as individual circumstances merit.