Michigan Administrative Code › Department - Licensing and Regulatory Affairs › Public Service Commission › Interconnection and Distributed Generation Standards › Part 3 - DISTRIBUTED GENERATION PROGRAM STANDARDS › Section R. 460.1001 - Application process

Current through Vol. 24-12, July 15, 2024
Rule 101.
(1) An
				  electric utility shall file initial distributed generation program tariff
				  sheets in the first rate case filed after June 1, 2018.
(2) Within 30 calendar days of a commission
				  order approving an electric utility's initial distributed generation tariff, or
				  within 30 calendar days of the effective date of these rules, whichever is
				  later, an alternative electric supplier serving customers in that electric
				  utility's service territory shall file an updated distributed generation
				  program plan applicable to its customers in the affected electric utility's
				  service territory.
(3) An electric
				  utility and an alternative electric supplier shall annually file a legacy net
				  metering program report and, if applicable, a distributed generation program
				  report not later than March 31 of each year.
(4) An electric utility and an alternative
				  electric supplier shall maintain records of all applications and up-to-date
				  records of all eligible electric generators participating in the legacy net
				  metering program and distribution generation program.
(5) Selection of customers for participation
				  in the legacy net metering program or distributed generation program must be
				  based on the order in which the applications are received.
(6) An electric utility or alternative
				  electric supplier shall not refuse to provide or discontinue electric service
				  to a customer solely because the customer participates in the legacy net
				  metering program or distributed generation program.
(7) The legacy net metering program and
				  distributed generation program provided by electric utilities and alternative
				  electric suppliers must be designed for a period of not less than 10 years and
				  limit each applicant to generation capacity designed to meet up to 100% of the
				  customer's electricity consumption for the previous 12 months. All of the
				  following requirements apply:
(a) The
				  generation capacity must be determined by an estimate of the expected annual
				  kWh output of the generator or generators as determined in an electric
				  utility's interconnection procedures and specified on an electric utility's
				  legacy net metering program or distributed generation program tariff sheet or
				  in the alternative electric supplier's legacy net metering program or
				  distributed generation program plan. For projects in which energy export
				  controls are implemented pursuant to section
				  R 460.980 and utilized to limit the
				  export to 100% of the customer's electricity consumption for the previous 12
				  months, an electric utility shall not add the storage capacity to generation
				  capacity for the purpose of the study. If a customer has multiple inverters
				  capable of exporting to the distribution grid, the inverters must be configured
				  in a way that prevents the cumulative maximum export at any given time to
				  exceed the approved amount in the customer's application.
(b) A customer's electric consumption must be
				  determined by 1 of the following methods:
(i)
				  The customer's annual energy consumption, measured in kWh, during the previous
				  12-month period.
(ii) If there is
				  no data, incomplete data, or incorrect data for the customer's energy
				  consumption or the customer is making changes on-site that will affect total
				  consumption, the electric utility or alternative electric supplier and the
				  customer shall mutually agree on a method to determine the customer's electric
				  consumption.
(c) A net
				  metering or distributed generation customer using an energy storage device in
				  conjunction with an eligible electric generator shall not design or operate the
				  energy storage device in a manner that results in the customer's electrical
				  output exceeding 100% of the customer's electricity consumption for the
				  previous 12 months. The addition of an energy storage device to an existing
				  approved legacy net metering program system or distributed generation program
				  system is considered a material modification. The electric utility
				  interconnection procedures must include details describing how energy storage
				  equipment may be integrated into an existing legacy net metering program system
				  without impacting the 10-year grandfathering period or participation in the
				  distributed generation program.