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Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Page 1: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

1SCE Grid Interconnection Workshop

Introduction to SCE’sGenerator Interconnection Processes

with Guidance to Select the Appropriate Path to Interconnection

Page 2: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

2SCE Grid Interconnection Workshop

Objectives

The purpose of this presentation is to:• Provide answers to basic interconnection-related

questions to prospective generation project* developers

• Identify the options to interconnect depending on the ultimate use/purpose of the energy produced

• Guide interconnection customers to the selection of the appropriate interconnection process

* In this presentation, the word “project” refers to a generation or energy storage facility (and the assets associated with it) that is intending to be interconnected to SCE’s electric system.

Page 3: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

3SCE Grid Interconnection Workshop

Frequently Asked Questions Regarding the Interconnection Process

What generation equipment should

I use?

??? ?

How long will it

take?

Where should I locate

my project?

?

Who will buy my project’s output?

How much will my

interconnection cost?

How do I participate in the CAISO market?

?

Page 4: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

4SCE Grid Interconnection Workshop

What Generation Equipment?• SCE does not design your generation or storage facility.

– The developer chooses the type of technology and technical specifications for the project

• If the generation owner plans to sell the energy under a specific energy procurement program, there might be requirements (such as size, technology, technical specifications, etc.) to participate in the program. Consult the entity you are selling your energy to.

• Once you have designed your project and decided to interconnect to SCE’s system, a complete application is required to commence the interconnection process. The application includes:– complete detailed technical data regarding the equipment chosen including

balance of plant items (e.g., inverters, power system controls, etc.)– a site plan, a single-line diagram, demonstration of exclusive rights to use

the proposed site, and– the applicable review fee or study deposit

Page 5: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

5SCE Grid Interconnection Workshop

Where Should I Locate my Project?• In general, SCE does not provide recommendations on the

project’s location– Some of SCE’s energy procurement programs may be targeted for projects

located in specific, preferred areas. Consult SCE’s Power Procurement team

• However, where you locate your facility is important in the interconnection process– The interconnection process varies depending on whether the proposed project

connects to SCE’s transmission or distribution lines– System constraints, such as areas of over-generation, may impact the cost and

timing of your interconnection– Choosing the right size and location could expedite the interconnection process

• SCE maps of its distribution circuits provide information that could help developers to size or site a project– SCE’s Interconnection Circuit Maps (DERiM)

Page 6: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

6SCE Grid Interconnection Workshop

What System Information Is Available to Make Decisions about My Project?

At any time, any interested party can request technical information regarding SCE’s electric system around a potential interconnection site. Upon receipt of a completed Pre-Application Report Request and a non-refundable processing fee of $300, SCE will provide available system data. This typically includes:

• Total Capacity (in MWs) of substation bus• Approximate circuit distance between the proposed site and the substation• Relevant line section(s) peak line load estimate• Number of protective devices and voltage regulating devices between the

proposed site and the substation/area• Whether or not three-phase power is available at the site• Limiting conductor rating from proposed Point of Interconnection to distribution

substation

Links for more information about how to request a Pre-Application Report:• Pre-Application Report Request <link # 9a> under SCE’s WDAT• Pre-Application Report Request <link # 9b> under SCE’s Rule 21

Page 7: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

7SCE Grid Interconnection Workshop

Who Will Buy My Project’s Output?Largely depends on who is your intended market:• Wholesale market

Sales to SCE, CAISO or any other 3rd party under a wholesale contract. It usually requires Seller to become a participant in CAISO’s market.

• Sell 100% to SCE under a Power Purchase AgreementFor more information about the available SCE energy procurement programs, refer to SCE’s Power Procurement website at https://www.sce.com/wps/portal/home/procurement/

• Self-GenerationThese are projects built on site for use by, or sale directly to, an energy customer without exporting power for sale into SCE’s system

• Self-Generation (and Billing Credits)These are projects built on site for use by, or sale directly to, an energy customer that may export excess power to SCE’s system in exchange for “billing credits”. Existing SCE programs that offer billing credits include Net Energy Metering (NEM) and RES-BCT (more on this later)

Page 8: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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How Do I Participate in the CAISO Market?• CAISO provides information on how to become a market participant at

http://www.caiso.com/participate/Pages/default.aspx

• The interconnection process applicable for a project that is intending to be a CAISO’s market participant depends on whether the project interconnects to the transmission or distribution system – Refer to CAISO’s “Resource Interconnection Guide” website if your project

is connecting to the transmission system http://www.caiso.com/participate/Pages/ResourceInterconnectionGuide/default.aspx

– Refer to SCE’s [WDAT Page] if your project is interconnecting to SCE’s distribution system

• Any new project participating in CAISO’s market is required to follow CAISO’s New Resource Implementation (NRI) process http://www.caiso.com/participate/Pages/NewResourceImplementation/Default.aspx

SCE encourages developers to become familiar with the NRI process since CAISO requires notice at least 210 days prior to online date.

Page 9: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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How Much Will it Cost, And How Long Will it Take?

• The cost and time to interconnect is determined when the project is evaluated or studied through the applicable interconnection process

• The next sections of this presentation will provide more details about the available interconnection processes. For each process, we will describe:– What tracks are available to evaluate the proposed project and to

identify its interconnection requirements (scope, cost, and timing)– The timelines for the various tracks, including study timelines,

security postings, and negotiation of interconnection agreements– How interconnection costs are determined and how financial

responsibility is allocated

Page 10: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

10SCE Grid Interconnection Workshop

How to Identify the “Right” Interconnection Process Based on the Use/Purpose of the

Energy Produced

Page 11: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

11SCE Grid Interconnection Workshop

Most Common System Configurations• Backup Systems

Used by Customers to serve part or all of their electrical needs during a power outage. They are normally operated only when SCE’s electric service is not available.

• Self-Generation SystemsUsed by Customers to produce electricity using equipment they (or a third party) own and operate at their site to meet some or all of their energy needs (thus reducing energy use from SCE).

• Systems for Power SalesProjects that interconnect to SCE’s grid with the intent to sell power will have the option of selling energy and capacity products directly to SCE, CAISO, or any 3rd party in the open market.

Page 12: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

12SCE Grid Interconnection Workshop

Interconnecting Your Backup SystemThese systems operate under either one of two modes:• Momentary Parallel mode

A backup generator that interconnects and operates with SCE’s Distribution System for duration of one (1) second or less through transfer switches or operating schemes specifically designed and engineered for such operation

• Isolated modeA backup generator that will be isolated and prevented from becoming interconnected with SCE’s Distribution System through a transfer switch or operating scheme specifically designed and engineered for such operation

For either one of this systems, the customer must submit a Rule 21“Non-Exporting” Interconnection Request [link].

Refer to SCE’s [backup] webpage for additional information and for complete application requirements

Page 13: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Backup Systems What to Expect in the Interconnection Process

• Following the submittal of the application package and applicable fee, an assigned engineer will review the technical data provided (usually within ten (10) business days)

• Once the application package is approved, you will be required to demonstrate (via a commissioning test) that your generator complies with Rule 21 Tariff requirements for backup operation (usually within 15 business days or as otherwise agreed)

• Once all of the technical reviews, and inspections are completed you will receive a notification authorizing the operation of your back up system (usually within 10 business days of completion)

• Additional Information: Please consult with your local permitting authority to verify any local permitting requirements. SCE does not provide permitting services.

Page 14: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Self-Generation Systems - IntroA self-generator uses electricity from a system on site to meet some or all of its energy needs. These systems operate in parallel to SCE’s electrical system. The following are billing programs that helps you take advantage of being a self-generator:• Net-Energy Metering (NEM)

Self-generators who have eligible renewable energy generation systems connected to SCE and meet program requirements can apply for a rate billing option called Net Energy Metering (NEM). The NEM option allows you to receive a billing credit for the surplus electricity delivered to SCE’s electric grid. This credit will then be applied to your account to offset part of energy charges on your electric bill. Please visit the following link to learn more about this program: https://www.sce.com/nem

• Renewable Energy Self-Generation Bill Credit Transfer (RES-BCT)Eligible local governments or campuses that own or operate a qualifying renewable energy generating facility located on their property can apply for RES-BCT. It allows the customer to apply credits for the surplus electricity delivered to SCE’s electric gird to other eligible “benefiting accounts” also owned by the customer. Please visit the following link to learn more about this program: http://on.sce.com/resbct

Page 15: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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InterconnectingSelf-Generation Systems

The interconnection process for Self-Generation Systems depends on the program intended:• Net-Energy Metering (NEM)

– Application for Interconnection: Rule 21 Application Form [link] – Application Interconnection Fees: none– Interconnection Process: Before you can operate your system, you are required to

obtain a “permission to operate” letter from SCE. SCE typically issues this letter within thirty (30) business days after the following requirements are met: (1) SCE’s acceptance of a complete NEM Application packet, (2) execution of the appropriate interconnection and generation agreements, and (3) final electrical inspection.

– For more Information about NEM, please visit https://www.sce.com/nem• Renewable Energy Self-Generation Bill Credit Transfer (RES-BCT)

– Application for Interconnection: Interconnection of a RESBCT system to SCE’s electric grid requires a Rule 21 Export Application Form [link]

– Application Interconnection Fees: Depends on applicable track [link] – Interconnection Process: Depends on applicable track [link] – For more information about RES-BCT, please visit http://on.sce.com/resbct

Page 16: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

16SCE Grid Interconnection Workshop

Systems for Power Sales - IntroGeneration projects that interconnect to SCE’s grid with intent to sell power operate in parallel with SCE’s electric system. Please make note of the following:– In most instances the entity that you intend to sell power to will identify

requirements that may affect the interconnection process (such as the size of the project, the expected online date, the desired technology, etc.).

– The interconnection process you select should satisfy the Power Purchase Agreement (PPA) you decide to pursue. Review the terms of the PPA carefully to ensure you apply for the appropriate interconnection agreement.

– The energy sales under the PPA you pursue will be governed by either the CPUC or FERC. This means that the PPA may require you to choose between the CPUC or FERC jurisdictional interconnection process.

Page 17: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Systems for Power Sales – Cont’dINTERCONNECTION SERVICE. New generation projects seeking interconnection to SCE’s electric system are required to obtain “interconnection service”. The following is a list of resources available for information regarding interconnection of generation projects to SCE’s electrical system and how to apply:• For information about the CAISO interconnection process, refer to:

– CAISO’s Generation Interconnection process <link # 10> – SCE’s information about the CAISO’s interconnection process <link # 14>

• For information about SCE’s WDAT interconnection process, refer to:– WDAT Interconnection Process <link # 2>– FAQs for SCE’s WDAT processes <doc #2>

• For information about the Rule 21 interconnection process, refer to:– o Rule 21 Interconnection Process <link # 3>– o FAQs for SCE’s Rule 21 <doc #3>

DISTRIBUTION SERVICE. In addition, projects connecting to SCE’s distribution system (either through the WDAT or the Rule 21), are required to obtain “distribution service” with SCE. For more information about the distribution service requirements, refer to <link # 14>

Page 18: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Interconnection Process 201

(the details)

Page 19: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

19SCE Grid Interconnection Workshop

This Section of the Presentation Focuses on The Interconnection Agreement Process, but realize there are many processes in play on parallel tracks

Application

(210 Day Min.)

SCE PPAPower Purchase

Agreement

CAISONew Resource

ImplementationProcess

SCE Retail

Backfeed PowerService

SCE Interconnection

Agreement

Application DataExchange

Cert.Verification Contract Scheduling

Coordination

1 2 3 4 5 6 7

Meter Data& DesignSubmittal

Application ISO MeterVerification

Service andStand-By

Contract(s)Meter Set

CAISO New Resource Buckets

System ImpactStudy

FacilitiesStudy

InterconnectionAgreement

Construction &Execution

Application

Delivery &

$Settlement

Various InterdependenciesDependent on program/contract

1Note: Illustrative only, not all agreements shown

PPA 1

PGA 1

Stand-By1

Abs. Service

IA, D

SA, PTO

1

Various InterdependenciesDependent on program/contract

Various InterdependenciesDependent on program/contract

Fast Track

Page 20: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

20SCE Grid Interconnection Workshop

Interconnection Process:A Highly Simplified Timeline

SCE Grid Interconnection Workshop

Generating / StorageFacility

Development

Net EnergyMetering

DistributionSystem

Interconnection&

TransmissionSystem

Interconnection

Pre-Development Work

Permitting, Engineering, Financing and Construction

Application Interconnection Agreement

In-ServiceDate Testing Commercial

Operations

Application Processing

Scoping Meeting

Interconnection Studies, Results

Meetings, Financial SecurityPostings

Interconnection Agreement Negotiation

AndExecution

CAISONew

ResourceImplementation

In-ServiceDate Testing Commercial

Operations

Typical Duration30–90 Days

Typical Duration2–3+ YearsFast Track

This portion of Fast Track duration (if FT eligible): 30-90 days

Page 21: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

21SCE Grid Interconnection Workshop

The remainder of this presentation is focused Wholesale (CAISO and WDAT)

Interconnection Requests

Page 22: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Grid Voltages• SCE’s distribution system – SCE controlled -> WDAT

4kv – 16kv – residential circuits16 – 33 kV – city/industrial circuits33 – 66 kV and some 115 kV – sub-transmission

• SCE’s transmission system – CAISO and SCE controlled -> CAISO TariffSome 66 kV, some 115 kV – sub-transmission220 kV – 500 kV – bulk electric system/transmission

(220kVTower)

(500kV Tower)

(66kVPole) (115kV

Pole)

(16kV Pole)

Page 23: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

23SCE Grid Interconnection Workshop

Matrix

SCE Grid Interconnection Workshop

Interconnection Voltage

Interconnection Procedures

TariffJurisdiction

PowerOfftaker

Application Sent To

Distribution12kV - 33kVSome 66kV

Some 115kV

Rule 21 CPUC [email protected] to fillable forms:https://www.sce.com/wps/portal/home/regulatory/open-access-information/WDAT FERC

SCE or other wholesale participant

TransmissionSome 66kV

Some 115kV220kV-500kV

CAISO FERCSCE or other

wholesale participant

[email protected] to fillable forms:http://www.caiso.com/planning/Pages/GeneratorInterconnection/GeneratorInterconnectionApplicationProcess/Default.aspx

NEM Distribution Rule 21 CPUC Non-Export,Consumed Onsite

[email protected]

Link to fillable forms:https://www.sce.com/wps/wcm/connect/024fd40d-8abb-4dda-a10e-6d7beda4556a/16-344.pdf?MOD=AJPERES

Page 24: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Supplemental Review

Rule 21 Flowchart

Pass?

Application Processing

& Deemed

“Complete”

Evaluationof

ScreensA - M

InterconnectionAgreement

Options Meeting & Supplemental Review plus

Additional Screens

InterconnectionAgreement

Pass?

DetailedStudy

&New

Application

Similar toWDATStudy ProcessFrom Here

Study Deposit:5MW or Less

$10,000 for System Impact Study$15,000 for Facilities Study

>5MW$50,000+ $1,000/MW

$2,500SupplementalReview Fee

(Non-Refundable)

$800Application Fee

(Non-Refundable)

Customer may request an optional

Pre-application Report

$300Pre-Application

Report Fee(Non-Refundable)

Yes

Yes

No

No

Initial Review

DetailedStudy

Page 25: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Rule 21 Application ChecklistRule 21 Application Packet must include:

1. Rule 21 Exporting Interconnection Request (“Application”)2. $800 Application fee (non-refundable)3. Single-line diagram and site plan drawings for the existing generating facility.

• The single-line diagram should be stamped by Professional Engineer

4. All technical data required in the application (which is found in Attachment A)• The required technical data would be for the existing generating facility, including the

wind turbine manufacturer, model number, nameplate output, desired output, and other items listed in Attachment A which includes balance of plant facilities

5. Site exclusivity documentation is required, but SCE is willing to waive site exclusivity documentation as the facility is already constructed.

Application Packet review is completed within ten (10) Business Days of receipt of all documents listed above

Page 26: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Rule 21 Initial Review

1. Initial Review is conducted within fifteen (15) business days (BD) after receipt of a complete application packet (with all technical data discussed on previous slides)

2. Initial Review analysis: Does generating facility pass the Fast Track screens?

a. If yes, with no identified upgrades = SCE delivers draft interconnection agreement within fifteen (15) BDs of providing initial review results to customer

b. If yes, with some identified upgrades = SCE delivers cost estimate within fifteen (15) BDs of providing initial review results to customer

c. If no, SCE will hold a meeting with customer to determine options, which may include Supplemental Review or Detailed Study. The meeting will be scheduled within five (5) BD of providing initial review results to customer

Page 27: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Rule 21 Supplemental Review1. Customer provides $2,500 supplemental review fee (non-refundable)2. Supplemental Review determines whether changes to the project

and/or changes to SCEs system could be made in order to accommodate desired output of generating facility under Fast Track interconnection process

3. Supplemental Review technical analysis is completed within twenty (20) BD after receipt of supplemental review fee

4. Supplemental Review analysis: Does generating facility pass the Supplemental Review screens to continue interconnection under the Fast Track process?

a. If yes, with no identified upgrades = SCE delivers draft interconnection agreement within fifteen (15) BDs of providing supplemental review results to customer

b. If yes, with some identified upgrades = SCE delivers cost estimate within fifteen (15) BDs of providing supplemental review results to Customer

• Customer has fifteen (15) BDs to review cost estimate and make a decision to request an interconnection agreement or withdraw

c. If no, interconnection request proceeds under the Detailed Study Process

Page 28: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Rule 21 Detailed Study TracksThree separate Detailed Study Tracks: Independent Study, Distribution Group Study or Transmission Cluster 1. The Electrical Independence Test (Application of Screens Q and R) determines the

specific Detailed Study Track for which the project is eligible 2. SCE will inform customer as to the required Study Deposit:

– $10,000 for Independent Study/Distribution Group System Impact Study– $50,000 plus $1,000 per MW for Transmission Cluster

3. Customer signs respective Study Agreement, which outlines the scope and timeline of the System Impact study, typically completed within ninety (90) Calendar Days (CD)

4. Following completion of Study, customer receives a study report and holds a Results Meeting with SCE

5. Study report includes scope, cost, and construction schedule of required facilities6. System Impact (and Facilities Study if required) results incorporated into a draft

interconnection agreement, which SCE delivers to customer within thirty (30) CDs of Results Meeting

Page 29: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Applicatio

n Processin

g

Technical Scoping

Meeting

Technical Studies

InterconnectionAgreemen

t

Project

Implementation

WDAT and CAISO Flowchart

Transmission Interconnections• Governed by California Independent System Operator Corporation (CAISO) Tariff

– Transmission interconnections are generally for 115 kV and higher– All applications must be submitted to the CAISO– CAISO administers its tariff, which is approved by FERC

Distribution Interconnections• Governed by SCE’s Wholesale Distribution Access Tariff (WDAT)

– Distribution interconnections are generally below 66 kV– All applications must be submitted to SCE– SCE administers its tariff, which is approved by FERC

Page 30: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Application Processing

Technical Scoping Meeting

Technical Studies

InterconnectionAgreement

Project Implementation

WDAT/CAISO Interconnection Requests/Application

CAISO Transmission Interconnections• A fillable CAISO Interconnection Request form can be found here: • http://

www.caiso.com/planning/Pages/GeneratorInterconnection/GeneratorInterconnectionApplicationProcess/Default.aspx

WDAT Distribution Interconnections• A fillable WDAT Interconnection Request form and request for Distribution Service can be found here: • https://www.sce.com/wps/portal/home/regulatory/open-access-information/ under the subsection

Overview• Send completed Interconnection Request and Distribution Service Request form along with deposit,

Site Plan, Site Exclusivity documentation, and Single Line Diagram to [email protected] or mail to:

Southern California Edison CompanyDirector of FERC Policy & ContractsP.O. Box 800Rosemead, CA 91770

Page 31: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Application Processing

Technical Scoping Meeting

Technical Studies

InterconnectionAgreement

Project Implementation

CASISO/WDAT – Application Checklist

• Completed Interconnection Request, with all requested technical data• Site Plan Diagram• Single Line Electrical Diagram stamped by a Professional Engineer• Site Exclusivity documentation, or In-Lieu Deposit of $100,000 for <20 MW, $250,000 for

> 20 MW– Note: Site Exclusivity is required for ISP or Fast Track, there is no in-lieu deposit available

• Study Deposit:– For Cluster Study Process and Independent Study Process: $50,000 plus $1,000/MW up to $250,000 maximum– For Fast Track: Processing Fee of $500, Study Deposit of $1,000

• Request for Distribution Service is separate application for WDAT requests (see Section 15.2 of WDAT)

• Lack of site exclusivity documentation and lack of technical data are typical reasons for triggering a deficiency notice

Page 32: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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• If pass screens, go directly tointerconnection agreement

• If fail screens, options meeting toevaluate

– Changes to generation facility

– Changes to distribution system

– Or resubmit to ISP or cluster

Interconnection Study Process Tracks

Independent Study Process (ISP)• CAISO test for electrical independence• SCE test for electrical independence• No size limit• Deliverability options (deliverability assessed in

cluster study process)

Cluster Study Process• Default study process• No size limit• Studies groups of electrically-related generation• Cost of upgrades allocated among group based

on contribution• Deliverability options

Fast Track Process• Screening process to determine eligibility• Limited to 2MW or less on distribution system,

5MW or less on transmission system• Customer options meeting and supplemental

review if fail Fast Track screens• Energy-only deliverability status

• 2 open windows per year(3/1-3/31 and 10/15-11/15)

• One study cycle per year – 2 Phases

• Study deposit: $50,000 plus$1,000 per MW; Max $250,000

• 3-step security postings– Between Phase I and II

– After Phase II

– At Start of Construction

Fea

ture

s

• Apply any time of year• System impact study and facilities

study• Study deposit: $50,000 plus

$1,000 per MW; Max $250,000• 3-step security postings• Deliverability assessment performed

in cluster study process

Fea

ture

sF

eatu

res

SCE Grid Interconnection Workshop

Page 33: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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CAISO/WDAT Application Options

• Energy Only Deliverability Status:– Avoids cost of delivery network upgrades– Cannot qualify as Resource Adequacy resource

• Partial or Full Capacity Deliverability Status:– Allocated delivery network upgrades in interconnection

studies– Can qualify as Resource Adequacy resource

• Must select one or the other• Both are subject to curtailment in emergency

situations

Page 34: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

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Application Processing

Technical Scoping Meeting

Technical Studies

InterconnectionAgreement

Project Implementation

CAISO/WDAT - Scoping Meeting

Scoping Meeting is designed to provide the Interconnection Customer:• Ensure common understanding of Interconnection Customer’s project• Ensure understanding of Generator Interconnection Procedures• Come to agreement on Point of Interconnection and generator size

– SCE will provide technical system details, limitations, and information regarding earlier queued projects

• Outline general study process steps for track chosen by Interconnection Customer and discuss alternative study tracks that might be available

• Outline next steps

5 Business Days (3BD CAISO) after Scoping Meeting, the Developer must:• Provide confirmation on the Point of Interconnection• Provide confirmation on Generator Size

Page 35: Introduction to SCE’s Generator Interconnection Processes with Guidance to Select the Appropriate Path to Interconnection 1 SCE Grid Interconnection Workshop

35SCE Grid Interconnection Workshop

CAISO/WDAT – Interconnection Studies

Application Processing

Technical Scoping Meeting

Technical Studies

InterconnectionAgreement

Project Implementation

Technical Studies are intended to provide:• Impact of generation on SCE’s electric system and/or CAISO grid• Scope of facilities required to ensure the safety, reliability, and integrity of the

grid:– Interconnection Facilities

» Generator-specific facilities required for interconnection– Distribution Upgrades

» Upgrades to the Distribution System required by Generator or Cluster– Network Upgrades

» Upgrades to the Network (CAISO Controlled Grid) triggered by Generator or Cluster

• Cost Estimate for required facilities and duration of expected construction

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Application Processing

Technical Scoping Meeting

Technical Studies

InterconnectionAgreement

Project Implementation

CAISO/WDAT - Interconnection Agreement

• Interconnection agreement negotiations commence following completion of studies (or successful eligibility for Fast Track status)

• Interconnection Agreement is a contract that sets forth the requirements for interconnection, including:– scope of required facilities

• interconnection facilities• distribution upgrades• network upgrades • operational requirements

– financial responsibility for such facilities– required income taxes, financial security, milestones, and other important information

• Interconnection agreements are executed by all parties and filed for acceptance by FERC

• Can be filed unexecuted

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Additional CAISO/WDAT Detail:Interconnection Financial Security Formulas

• First Posting for Network Upgrades: 90 calendar days after Phase I study– For Generators over 20 MW, the LOWER of:

• 15% of total cost responsibility outlined in Phase I study• $20,000 per MW• $7.5 million

– For Generators 20 MW and under, the LOWER of:• 15% of total cost responsibility outlined in Phase I study• $20,000 per MW

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Financial Security Formulas (cont’d)

• Second Posting for Network Upgrades: 180 calendar days after Phase II study– For Generators over 20 MW, the LOWER of:

• 30% of total cost responsibility outlined in the Phase I or Phase II study, whichever is lower

• $15 million

– For Generators 20 MW and under, the LOWER of:• 30% of total cost responsibility outlined in the Phase I or Phase II study,

whichever is lower• $1 million

• Final Security Posting– 100% of Network Upgrades, Distribution Upgrades, and/or

Interconnection Facilities at start of construction of said facilities

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Applicatio

n Processin

g

Technical Scoping

Meeting

Technical Studies

InterconnectionAgreemen

t

Project

Implementation

Project Implementation

• Once SCE and Customer (and CAISO, if applicable) agree to all terms and conditions in Interconnection Agreement, all parties sign the agreement (and related Distribution Service Agreement, if required)

• Project Implementation Milestones:• SCE commences a “kick off” meeting with Customer and SCE construction personnel to

start construction of required facilities• SCE holds regular project meetings with SCE project team, which includes representatives

from the interconnection customer• Interconnection Customer will be responsible for EPC of the electrical system on the

Interconnection Customer’s side of the point of change of ownership (unless otherwise specified in the Interconnection Agreement)

• Any facilities that will be constructed by Interconnection Customer and deeded to SCE will have to be constructed to SCE’s specifications

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Commissioning and Testing

1. SCE personnel perform commissioning and testing of all new facilities including SCE telemetry and meter

2. CAISO meter personnel install and test CAISO meter3. SCE issues Initial Synch letter to CAISO ten (10) BDs before

in-service date, informing CAISO of new resource in-service date

4. SCE issues a Permission to Operate letter a day after in-service date

5. Generating facility commences commercial operations after completing steps 1-4 listed above

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Alternatives to WDAT/CAISO Cluster Study Process: Independent Study Process

• Geared for Interconnection Requests that are not dependent on study results of other requests, including earlier queued generation

• Can apply any time of year• Request is evaluated for independence both at CAISO

level and at SCE/distribution level, if applicable• If eligible, request will be studied via a System Impact

Study and a Facilities Study, apart from cluster studies• As a result, may achieve interconnection agreement

on more expedited timetable (if eligible)

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Alternatives to CAISO/WDAT Cluster Study Process: Fast Track Process

• For CAISO-level interconnections, limited to 5 MW or smaller• For WDAT distribution-level interconnections, limited to 2 MW or

smaller• Allows eligible facility to bypass interconnection studies• To be eligible, must pass a series of Fast-Track “screens” • If pass all screens, can proceed to Interconnection Agreement• If do not pass screens, SCE will hold customer options meeting

and potential for supplemental review• If customer options meeting held, changes could be made to

generator or interconnection facilities to enable passing of screens• If screens still failed after options meeting, then the IC can reapply

under ISP or Cluster

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Contacts• SCE Grid Interconnections Team (where to send interconnection requests)

[email protected]

• For questions on Interconnection Issues– [email protected]

• Today’s presentation can be found on SCE.com at the following address [INSERT LINK TO PRESENTATION]