TITLE 39
Public Utilities and Carriers

CHAPTER 39-26.2
Distributed Generation Standard Contracts

SECTION 39-26.2-4


§ 39-26.2-4 Standard contracts – Annual targets.

(a) To the extent eligible projects are available and submit conforming applications, an electric distribution company shall enter into standard contracts for an aggregate nameplate capacity of at least forty megawatts (40 MW) of distributed generation projects by the end of 2014, unless such schedule is extended by the board. The contracting shall be spread over four (4) years, based on the annual targets, aggregated to reflect annual targets from prior program years, contained in the following four (4) year phased schedule, unless such schedule is adjusted by the board in any given year:

(1) By December 30, 2011: a minimum of five megawatts (5 MW) nameplate;

(2) By December 30, 2012: a minimum aggregate of twenty megawatts (20 MW) nameplate;

(3) By December 30, 2013: a minimum aggregate of thirty megawatts (30 MW) nameplate;

(4) By December 30, 2014: a minimum aggregate of forty megawatts (40 MW) nameplate.

(b) By October 15, 2011 and each calendar year following until October 15, 2013, the board may recommend to the commission that the annual target for the following program year be adjusted upward to reflect any shortfalls in meeting the previous program year's annual target or to reflect any standard contracts entered into during prior program years that are voided. The board may also recommend to the commission that the annual target for the following program year be adjusted downward by any amounts that the previous program year's annual targets were exceeded by the standard contracts entered into during that program year.

(c) The board may, based on market data and other information available to it including pricing for standard contracts received during previous program years, recommend a reduction of the annual target for the upcoming program year where the board determines that market conditions would be likely to produce unfavorably high target pricing for standard contracts during that upcoming program year. In considering such issues, the board may take into account the reasonableness of current pricing and its impact on all electric distribution customers who will be paying for the output for up to twenty (20) years at such prices. The board may recommend and the commission shall authorize an extension of time to achieve the forty megawatt (40 MW) targets, to allow for contracting to occur after 2014, if necessary.

(d) The electric distribution company must contract for at least forty megawatts (40 MW) of nameplate capacity distributed generation projects by the end of 2014, unless such schedule is extended by the board. The electric distribution company may not be required to contract for more than forty megawatts (40 MW) or the distributed generation contract capacity, but may do so voluntarily, subject to commission approval.

(e) Each year, the board shall file its recommendations relating to the schedule, along with its report and recommendations regarding ceiling prices, for the commission's review and approval as specified in subsection 39-26.2-5(b).

(f) Nothing in this chapter shall derogate from the statutory authority of the commission or the division, including, but not limited to, the authority to protect ratepayers from unreasonable rates.

History of Section.
(P.L. 2011, ch. 129, § 1; P.L. 2011, ch. 143, § 1; P.L. 2013, ch. 167, § 2; P.L. 2013, ch. 202, § 2.)