Arizona Administrative Code › Title 14 - PUBLIC SERVICE CORPORATIONS; CORPORATIONS AND ASSOCIATIONS; SECURITIES REGULATION › Chapter 2 - CORPORATION COMMISSION - FIXED UTILITIES › Article 18 - RENEWABLE ENERGY STANDARD AND TARIFF › Section R14-2-1801 - Definitions

Current through Register Vol. 30, No. 28, July 12, 2024
A. "Affected Utility" means a public service corporation
				  serving retail electric load in Arizona, but excluding any Utility Distribution
				  Company with more than half of its customers located outside of Arizona.
B. "Annual Renewable Energy Requirement" means the portion of
				  an Affected Utility's annual retail electricity sales that must come from
				  Eligible Renewable Energy Resources.
C. "Conventional Energy Resource" means an energy resource
				  that is non-renewable in nature, such as natural gas, coal, oil, and uranium,
				  or electricity that is produced with energy resources that are not Renewable
				  Energy Resources.
D. "Customer Self-Directed Renewable Energy Option" means a
				  Commission-approved program under which an Eligible Customer may self-direct
				  the use of its allocation of funds collected pursuant to an Affected Utility's
				  Tariff.
E. "Distributed Generation" means electric generation sited
				  at a customer premises, providing electric energy to the customer load on that
				  site or providing wholesale capacity and energy to the local Utility
				  Distribution Company for use by multiple customers in contiguous distribution
				  substation service areas. The generator size and transmission needs shall be
				  such that the plant or associated transmission lines do not require a
				  Certificate of Environmental Compatibility from the Corporation
				  Commission.
F. "Distributed Renewable Energy Requirement" means a portion
				  of the Annual Renewable Energy Requirement that must be met with Renewable
				  Energy Credits derived from resources that qualify as Distributed Renewable
				  Energy Resources pursuant to
				  R14-2-1802(B).
G. "Distributed Solar Electric Generator" means electric
				  generation sited at a customer premises, providing electric energy from solar
				  electric resources to the customer load on that site or providing wholesale
				  capacity and energy to the local Utility Distribution Company for use by
				  multiple customers in contiguous distribution substation service areas. The
				  generator size and transmission needs shall be such that the plant or
				  associated transmission lines do not require a Certificate of Environmental
				  Compatibility from the Corporation Commission.
H. "Eligible Customer" means an entity that pays Tariff funds
				  of at least $25,000 annually for any number of related accounts or services
				  within an Affected Utility's service area.
I. "Extra Credit Multiplier" means a way to increase the
				  Renewable Energy Credits attributable to specific Eligible Renewable Energy
				  Resources in order to encourage specific renewable applications.
J. "Green Pricing" means a rate option in which a customer
				  elects to pay a tariffed rate premium for electricity derived from Eligible
				  Renewable Energy Resources.
K. "Market Cost of Comparable Conventional Generation" means
				  the Affected Utility's energy and capacity cost of producing or procuring the
				  incremental electricity that would be avoided by the resources used to meet the
				  Annual Renewable Energy Requirement, taking into account hourly, seasonal, and
				  long-term supply and demand circumstances. Avoided costs include any avoided
				  transmission and distribution costs and any avoided environmental compliance
				  costs.
L. "Net Billing" means a system of billing a customer who
				  installs an Eligible Renewable Energy Resource generator on the customer's
				  premises for retail electricity purchased at retail rates while crediting the
				  customer's bill for any customer-generated electricity sold to the Affected
				  Utility at avoided cost.
M. "Net Metering" means a system of metering electricity by
				  which the Affected Utility credits the customer at the full retail rate for
				  each kilowatt-hour of electricity produced by an Eligible Renewable Energy
				  Resource system installed on the customer-generator's side of the electric
				  meter, up to the total amount of electricity used by that customer during an
				  annualized period, and which compensates the customer-generator at the end of
				  the annualized period for any excess credits at a rate equal to the Affected
				  Utility's avoided cost of wholesale power. The Affected Utility does not charge
				  the customer-generator any additional fees or charges or impose any equipment
				  or other requirements unless the same is imposed on customers in the same rate
				  class that the customer-generator would qualify for if the customer-generator
				  did not have generation equipment.
N. "Renewable Energy Credit" means the unit created to track
				  kWh derived from an Eligible Renewable Energy Resource or kWh equivalent of
				  Conventional Energy Resources displaced by Distributed Renewable Energy
				  Resources.
O. "Renewable Energy Resource" means an energy resource that
				  is replaced rapidly by a natural, ongoing process and that is not nuclear or
				  fossil fuel.
P. "Tariff" means a Commission-approved rate designed to
				  recover an Affected Utility's reasonable and prudent costs of complying with
				  these rules.
Q. "Utility Distribution Company" means a public service
				  corporation that operates, constructs, or maintains a distribution system for
				  the delivery of power to retail customers.
R. "Wholesale Distributed Generation Component" means
				  non-utility owners of Eligible Renewable Energy Resources that are located
				  within the distribution system and that do not require a transmission line over
				  69 kv to deliver power at wholesale to an Affected Utility to meet its Annual
				  Renewable Energy Requirements.