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DG Update

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Has DG (distributed generation) gone quiet, or mainstream, or both?  Meanwhile, the DOE program has not done well in the proposed budget.  Congressional earmarks are taking up so much money that DOE is forced to cancel some ongoing DG applications projects.

 Here are some developments and updates.

 – DUIT Facility Up and Running 
 – CADER Meeting  Jan. 2004
 – IEEE 1547 Interconnection Standards
 – PG&E DG Interconnection program

            ^^^^^^^^^^^^

Distributed Utility Integration Test Facility

The Distributed Utility Integration Test (DUIT) is the first full-scale, integration test of commercial-grade, utility grid interactive Distributed Energy Resources (DER) in the U.S.  DUIT addresses a key technical issue: electrical implications of operating multiple, diverse DERs at high penetration levels within a utility distribution system.  DUIT’s test plan is intended to focus on grid interaction, integration and aggregation issues, not on DER technology itself. 

After an exhaustive study of program goals and alternative sites, DOE selected the facilities at PG&E’s Modular Generation Test Facility in San Ramon, CA as the home of the new DUIT Facility.  Pre existing buildings, labs and professional staff helped make the choice, along with the adjacent test substation and high-current yard.  The site held an official opening ceremony in August 2003.

The facility offers a realistic yet controlled laboratory environment, enabling  testing of normal and abnormal operational conditions without interfering with a customer’s electric service. DG equipment at the site is commercially available and all on loan to the project from the vendors:  Inverters, rotating machinery, and generation and storage devices. DUIT provides a full-scale multi-megawatt implementation, testing and demonstration of distributed generation technologies in a realistic utility installation.

Utilities may want to take note that DUIT will be confirming and testing to the newly passed IEEE 1547 Interconnection standard, which is expected to be adopted by a large number of state regulators and legislators. Similarly, for California, DUIT will  be testing to the Rule 21 document.

To inquire about prospective DUIT project participation, technical specifications, test plans, project plans or the DUIT white paper, contact the DUIT Project Team.  Reports will be issued by CEC and other sponsors beginning this Summer, and information will be available on the DUIT website:
        http://www.dua1.com/DUIT

Contact:
Susan Horgan, DUIT Project Leader
    Distributed Utility Associates
     925-447-0625      susan@dua1.com

For the complete history:
"DUIT: Distributed Utility Integration Test", NREL/SR-560-34389, August 2003 (250 pages)
    http://www.nrel.gov/docs/fy03osti/34389.pdf

         ^^^^^^^^^^^^

CADER (California Alliance for Distributed Energy Resources)

The 2004 DG conference in San Diego on January 26-28, 2004 had 202 attendees.
    http://www.cader.org/2004Conference/Conference2004.html

Presentations are posted on CADER’s website at  www.cader.org or go directly to:
   http://www.cader.org/2004Conference/2004Presentations/Presentations.html

The draft DG-DER Cost and Benefit Primer was developed as a first step to support the discussions at the "Costs and Benefits of DER" session at the Conference on January 26-28, 2004. Comments about the document can be provided via the CADER member list-server to reach all members.
   http://www.cader.org/2004Conference/Papers.html

        ^^^^^^^^^^^^

IEEE 1547 Update

As you know, "IEEE 1547 Standard for Interconnecting Distributed Resources with Electric Power Systems" was approved by the IEEE Standards Board in June 2003. It was approved as an American National Standard in October 2003. (available for purchase from IEEE:      http://standards.ieee.org

SCC21 develops and coordinates new IEEE standards and maintains existing standards developed under past SCC21 projects. These include the original 1547, along with the four spinoff efforts.

> P1547.1 Conformance Test Procedures for Equipment Interconnecting Distributed Resources with Electric Power Systems (EPS)  (draft standard)

> P1547.2 Draft Application Guide for the IEEE 1547 Standard

> P1547.3 Monitoring, Information Exchange, and Control of Distributed Resources Interconnected with EPS (draft guide)

> P1547.4 Design, Operation, and Integration of Distributed Resource Island Systems with EPS  (draft guide)

#1 and 2 have drafts out to their working groups for review.  #1 expects to be ready for ballot early in 2005.
#3 has just completed a draft.
#4 has just been approved as a new initiative, and will be organized over the coming summer.

Complete information is available at:
   http://grouper.ieee.org/groups/scc21/wg.html

The next meeting of the IEEE 1547 series working groups will be April 20-22, 2004 in San Francisco. The P1547.1, P1547.2, and P1547.3 working groups will meet concurrently 8 a.m. to 5 p.m. each day. Working groups will be meeting separately – no plenary session is planned.  Details at:
  http://grouper.ieee.org/groups/scc21/1547.1/1547.1_archives.html

          ^^^^^^^^^^^^

PG&E DG Interconnection program

PG&E held a Distributed Generation (DG) Workshop last December 10. The free event provided PG&E customers and the DG community with practical information on how to navigate the various Electric Rule 21 application and interconnection review processes – from initial application through to permission to parallel with PG&E’s electric distribution system. The focus of the workshop was to communicate PG&E’s internal DG processes and interconnection technical requirements to the DG community. (For details on California’s Rule 21, see:
  http://www.energy.ca.gov/distgen/interconnection/california_requirements.html)

PG&E has set up an entire cross-company team to deal with all aspects of DG interconnection in a coordinated way.  They appear to be very committed to low hassle, low cost, minimum time for DG projects. A great deal of information about PG&E’s program, (including the 117 page powerpoint from the workshop) is available at: http://www.pge.com/gen

Jerry Jackson, Team Leader
415-973-3655   GRJ4@pge.com

PS- Jerry’s office generously offers to send a hard copy on request of the nearly 2 inch thick binder that was handed out at the workshop.

       ———CALIFORNIA RULE 21 ——-
CPUC:  http://www.cpuc.ca.gov/static/industry/electric/distributed+generation/index.htm
CEC:    http://www.energy.ca.gov/distgen/index.html

After passing Rule 21 in Dec 2000, California PUC established, and the CEC coordinated, a working group of all DG stakeholders. Electric Rule 21 Working Group meetings have been held about once a month since mid 2001.  The purpose is to establish procedures and work through issues to simplify and expedite interconnection projects.  (Agenda and minutes are at:
http://www.energy.ca.gov/distgen/interconnection/work_group.html)

  California Interconnection Guidebook
  Publication # 500-03-083F
  PDF file, 94 pages, 1.1 megabytes) online November 13, 2003.
  http://www.energy.ca.gov/distgen/interconnection/guide_book.html

The Guidebook is intended to help a person or project team interconnect one or more electricity generators to the local electric utility grid in California under California Rule 21. Rule 21 applies only to the three electric utilities in California that are under jurisdiction of the California PUC: PG&E, SCE, and SDG&E. The Guidebook is written as an aid to interconnection in these utility areas. It may also be useful for interconnection in some municipal utility areas with interconnection rules resembling Rule 21, principally Riverside, SMUD, and the LADWP.

^^^^^^^^^^^^

Recommended:   DG Monitor, a free email newsletter from Resource Dynamics Corp. Archive and subscription at:
    http://www.distributed-generation.com/

DG Update

/0 Comments/in , /by

Has DG (distributed generation) gone quiet, or mainstream, or both? Meanwhile, the DOE program has not done well in the proposed budget. Congressional earmarks are taking up so much money that DOE is forced to cancel some ongoing DG applications projects.

Here are some developments and updates.

– DUIT Facility Up and Running
– CADER Meeting Jan. 2004
– IEEE 1547 Interconnection Standards
– PG&E DG Interconnection program

^^^^^^^^^^^^

Distributed Utility Integration Test Facility (DUIT)

The Distributed Utility Integration Test (DUIT) is the first full-scale, integration test of commercial-grade, utility grid interactive Distributed Energy Resources (DER) in the U.S. DUIT addresses a key technical issue: electrical implications of operating multiple, diverse DERs at high penetration levels within a utility distribution system. DUIT’s test plan is intended to focus on grid interaction, integration and aggregation issues, not on DER technology itself.

After an exhaustive study of program goals and alternative sites, DOE selected the facilities at PG&E’s Modular Generation Test Facility in San Ramon, CA as the home of the new DUIT Facility. Pre existing buildings, labs and professional staff helped make the choice, along with the adjacent test substation and high-current yard. The site held an official opening ceremony in August 2003.

The facility offers a realistic yet controlled laboratory environment, enabling testing of normal and abnormal operational conditions without interfering with a customer’s electric service. DG equipment at the site is commercially available and all on loan to the project from the vendors: Inverters, rotating machinery, and generation and storage devices. DUIT provides a full-scale multi-megawatt implementation, testing and demonstration of distributed generation technologies in a realistic utility installation.

Utilities may want to take note that DUIT will be confirming and testing to the newly passed IEEE 1547 Interconnection standard, which is expected to be adopted by a large number of state regulators and legislators. Similarly, for California, DUIT will be testing to the Rule 21 document.

To inquire about prospective DUIT project participation, technical specifications, test plans, project plans or the DUIT white paper, contact the DUIT Project Team. Reports will be issued by CEC and other sponsors beginning this Summer, and information will be available on the DUIT website:
http://www.dua1.com/DUIT

Contact:
Susan Horgan, DUIT Project Leader
Distributed Utility Associates
925-447-0625 susan@dua1.com

For the complete history:
"DUIT: Distributed Utility Integration Test", NREL/SR-560-34389, August 2003 (250 pages)
http://www.nrel.gov/docs/fy03osti/34389.pdf

^^^^^^^^^^^^

CADER (California Alliance for Distributed Energy Resources)

The 2004 DG conference in San Diego on January 26-28, 2004 had 202 attendees.
http://www.cader.org/2004Conference/Conference2004.html

Presentations are posted on CADER’s website at www.cader.org or go directly to:
http://www.cader.org/2004Conference/2004Presentations/Presentations.html

The draft DG-DER Cost and Benefit Primer was developed as a first step to support the discussions at the "Costs and Benefits of DER" session at the Conference on January 26-28, 2004. Comments about the document can be provided via the CADER member list-server to reach all members.
http://www.cader.org/2004Conference/Papers.html

^^^^^^^^^^^^

IEEE 1547 Update

As you know, "IEEE 1547 Standard for Interconnecting Distributed Resources with Electric Power Systems" was approved by the IEEE Standards Board in June 2003. It was approved as an American National Standard in October 2003. (available for purchase from IEEE: http://standards.ieee.org

SCC21 develops and coordinates new IEEE standards and maintains existing standards developed under past SCC21 projects. These include the original 1547, along with the four spinoff efforts.

> P1547.1 Conformance Test Procedures for Equipment Interconnecting Distributed Resources with Electric Power Systems (EPS) (draft standard)

> P1547.2 Draft Application Guide for the IEEE 1547 Standard

> P1547.3 Monitoring, Information Exchange, and Control of Distributed Resources Interconnected with EPS (draft guide)

> P1547.4 Design, Operation, and Integration of Distributed Resource Island Systems with EPS (draft guide)

#1 and 2 have drafts out to their working groups for review. #1 expects to be ready for ballot early in 2005.
#3 has just completed a draft.
#4 has just been approved as a new initiative, and will be organized over the coming summer.

Complete information is available at:
http://grouper.ieee.org/groups/scc21/wg.html

The next meeting of the IEEE 1547 series working groups will be April 20-22, 2004 in San Francisco. The P1547.1, P1547.2, and P1547.3 working groups will meet concurrently 8 a.m. to 5 p.m. each day. Working groups will be meeting separately – no plenary session is planned. Details at:
http://grouper.ieee.org/groups/scc21/1547.1/1547.1_archives.html

^^^^^^^^^^^^

PG&E DG Interconnection program

PG&E held a Distributed Generation (DG) Workshop last December 10. The free event provided PG&E customers and the DG community with practical information on how to navigate the various Electric Rule 21 application and interconnection review processes – from initial application through to permission to parallel with PG&E’s electric distribution system. The focus of the workshop was to communicate PG&E’s internal DG processes and interconnection technical requirements to the DG community. (For details on California’s Rule 21, see:
http://www.energy.ca.gov/distgen/interconnection/california_requirements.html)

PG&E has set up an entire cross-company team to deal with all aspects of DG interconnection in a coordinated way. They appear to be very committed to low hassle, low cost, minimum time for DG projects. A great deal of information about PG&E’s program, (including the 117 page powerpoint from the workshop) is available at: http://www.pge.com/gen

Jerry Jackson, Team Leader
415-973-3655 GRJ4@pge.com

PS- Jerry’s office generously offers to send a hard copy on request of the nearly 2 inch thick binder that was handed out at the workshop.

———CALIFORNIA RULE 21 ——-
CPUC: http://www.cpuc.ca.gov/static/industry/electric/distributed+generation/index.htm
CEC: http://www.energy.ca.gov/distgen/index.html

After passing Rule 21 in Dec 2000, California PUC established, and the CEC coordinated, a working group of all DG stakeholders. Electric Rule 21 Working Group meetings have been held about once a month since mid 2001. The purpose is to establish procedures and work through issues to simplify and expedite interconnection projects. (Agenda and minutes are at:
http://www.energy.ca.gov/distgen/interconnection/work_group.html)

California Interconnection Guidebook
Publication # 500-03-083F
PDF file, 94 pages, 1.1 megabytes) online November 13, 2003.
http://www.energy.ca.gov/distgen/interconnection/guide_book.html

The Guidebook is intended to help a person or project team interconnect one or more electricity generators to the local electric utility grid in California under California Rule 21. Rule 21 applies only to the three electric utilities in California that are under jurisdiction of the California PUC: PG&E, SCE, and SDG&E. The Guidebook is written as an aid to interconnection in these utility areas. It may also be useful for interconnection in some municipal utility areas with interconnection rules resembling Rule 21, principally Riverside, SMUD, and the LADWP.

^^^^^^^^^^^^

Recommended: DG Monitor, a free email newsletter from Resource Dynamics Corp. Archive and subscription at:
http://www.distributed-generation.com/

Fuel Cell Seminar, CADER/DPCA

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Fuel Cell Seminar http://www.gofuelcell.com
30 Oct – 2 Nov 2000, Portland, OR

This is the major Fuel Cell event, held every two years. The last one was in Palm Springs. There was a huge turnout -over 2000 people, with lots of financial types and corporations represented. It was a strange kind of transitional hybrid between a professional technical conference and an industry trade show. The exhibitions were far more lavish than ever before.

My own foremost impression – it is not about fuel cells. It’s about the fuel. The fuel cell is the easy part. Getting fuel for it (espec PEM) is the hard part. The great majority of papers and discussion revolved around fuel processing.

Most often heard new (to me) jargon — “fromwellhead to wheel”. This refers to need to take the efficiency of entire fuel cycle into account– for example methanol has already sacrificed energy content by the time it’s made. Reformer hydrogen has less energy content than the fossil fuel you start with.

FUELCELL PUBLICATIONS

Abstracts of the 2000 Fuel Cell Seminar. The book given to attendees is about 1.5 ” thick. Also on a CD. ( a set of 250 pdf files, totalling over 83 MB) The book or the CD may be available for purchase from the conference sponsors. Contact:
“Wiesenfeld, Susan”
~~~~~~~
The new 5th edition of the DOE Fuel Cell Handbook (Oct 2000) was handed out at the Seminar. Will be available on the NETL website. http://www.netl.doe.gov (I have the CD…main pdf file is 3.5 Meg which I can email on request)
To order the CD http://198.99.246.10/

[web tip] — The NETL website has its fuelcell materials under the Strategic Center for Natural Gas/End-Use. The “News” is particularly useful:
http://www.netl.doe.gov/scng/news/news_toc2.html
~~~~~~~~
A couple of choice items:
–The Fall 2000 issue of Fuel Cell Catalyst [PDF-70KB] is now available. This is a new free quarterly newsletter for the fuel cell industry, reporting on government and industry fuel cell issues, including: special themes focused on particular segments of the industry, in-depth looks at federal fuel cell programs, and reports from companies on the status of their own research.
http://www.netl.doe.gov/scng/publications/Catalyst_October.pdf
Subscribe at http://fuelcellnews.listbot.com/
~~~~~~~~
–The final solicitation [PDF-498KB] for DOE’s Strategic Center for Natural Gas new fuel cell initiative, called the Solid State Energy Conversion Alliance, or SECA, was posted 11/3/00. The goal of SECA is to accelerate the development of the industry based needed to produce low-cost solid-state fuel cells.
http://www.netl.doe.gov/business/solicit/2000pdf/40854/40854.pdf
~~~~~~~
Several key reports are available at the DOE Office of Transportation website:
http://www.ott.doe.gov/oaat/library.html

-Challenges for Transportation Fuel Cells: Fuel Processing and Cost – October 2000
http://www.ott.doe.gov/pdfs/2000FCpresentation.pdf

-A.D. Little Fuel Cell Cost Study–Cost Analysis of Fuel Cell System for Transportation – March 2000
http://www.ott.doe.gov/pdfs/Baseline_Cost_Model.pdf
~~~~~~~~~
FUEL CELLS & CIDI Engine R&D
Solicitation Number: DE-RP04-01AL67057
Description: Solicitation for financial assistance applications for research, development and analysis of automotive and stationary fuel cell power systems, fuels for fuel cells, and Compression Ignition Direct Injection (CIDI) engines.
(download full solicitation document available 851 KB)
http://www.doeal.gov/cpd/readroom.htm

Calif. Interconnection Workshop Dec 6

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Just received this note a few minutes ago from Jairam Gopal, the head of CADER.

It appears that California is gearing up to follow in the footsteps of Texas and New York, and do something about interconnection requirements.
————————————————————–

Subject:  Hello everyone:
Date: Fri, 12 Nov 1999 10:21:22 -0800
From:  “Jairam Gopal” <Jgopal@energy.state.ca.us>

Hello everyone:
Please see the CEC Web site at:

http://www.energy.ca.gov/distgen/notices/index.html

for the following posted documents:

1) CEC’s Nov. 3 Order Instituting Investigation on Interconnection issues.
2) Siting Committee’s notice of first interconnection workshop to be  held on December 6.

As you are aware, this OII follows the CPUC Decision of the earlier proceeding on Distributed Generation and Distributed Competition.

The CEC will lead the proceedings on Interconnection Issues and will kick off the process with the above mentioned workshop on December 6, 1999. If you are on the service list of the earlier CPUC proceeding, you should receive a hard copy of the Notice by mail.

Jairam
Chair, CADER
_______________________
Jairam Gopal
(916) 654-4880  (tel)
(916) 654-4753 (fax)
e-mail:   jgopal@energy.state.ca.us

CADER/DPCA Symposium on Distributed Resources

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[I’ll be attending the DOE Distributed Power Program Review and Planning Meeting in Washington next Monday September 27, followed by the IEEE working group session.]

San Diego Sept 13-14

(see program/agenda at http://www.cader.org)

The meeting was very well attended, exceeding expectations, with roughly 400 registered. It included keynotes by notables (Larry Papay of Bechtel, Dan Reicher, Ass’t Secty, EE/DOE, and David Rohy, Calif Energy Commissioner) and two days of parallel sessions on “Policy”, “Technologies” and “Markets”. It was impossible to be in 3 places at once, however the 2″ thick binder provided copies of the vugraphs from most of the presentations.

A dominant theme: it is not a matter if, or even when, but only of how fast, distributed generation will be deployed on a major scale. In fact, DG is already here, and has been for a long time, in various forms and applications. If it truly is a “disruptive technology”, then we can expect it to lurk below the surface, serving in various niche applications, until a crossover occurs and it emerges an a major scale.

The biggest issue seems to be interconnection with the grid. Advocates see utilities as putting up strong resistance. One speaker, Edan Prabhu, explained it terms of distribution departments, at the low end of the totem pole in utilities, trying to protect themselves and their “turf” from this dangerous invasion of “their” system. He explained how the good guys meet the “nice guys”–DG advocates vs. the well-meaning protectors of the system.

There was considerable muttering in the back of the room as speakers from the California utilities claimed to be doing all they can. Repeatedly, we see instances where utilities can handle interconnections just fine, when they want to. In other situations, however, they seen as throwing up roadblocks and delays. Ironically, utilities are entirely comfortable with large motors, which feed back fault current when voltage disappears, but this same issue is seen as a huge problem for DG.

As Dan Reicher explained in his comments, nine states have now gone ahead to establish some kind of interconnection standards for small scale generation, while the long term answer is to have one new national standard. The IEEE work under Dick DeBlasio is key to this, and DOE also supports the development of advanced hardware and software for interconnection.

———–
There was a very good summary of the remarkable events in Texas, where a process has moved with unprecedented speed to cut through the confusion and arrive at an interim set of workable policies. The proposed rules are available online:
http://www.puc.state.tx.us/rules/rulemake/21220/21220.cfm

A hearing is scheduled for October 25. The presentation was given by Nat Treadway, a former PUC analyst, who is now on his own. 713-669-9701, treadway@alumni.princeton.edu
———–
New York state has a similar initiative for small DG (under 300 KVA). A commission staff proposal was issued in July, however timing of a decision is uncertain. Comments were due by September 20. http://www.dps.state.ny.us/distgen.htm
————
In California, the PUC took longer than expected to announce a decision on a staff recommendation to split their rulemaking proceeding into two parts — Distribution Competition, and DG Implementation Issues. A draft decision to do this was finally announced Sept 21, and is now available online (2 documents) at:
http://www.cpuc.ca.gov/distgen/docs.htm
————
The California ISO presented an interesting comparison of technical requirements for large generators on the system with what might be needed for DG. Generators need to have sophisticated communications and control capabilities that the ISO can monitor and talk to directly. The ISO is implementing the “ANALOPE” system to do some of this over the internet (there is a strong need to certify bids and contracts–i.e. failsafe digital signatures). Once this is established, it may pave the way for the use of internet technology to communicate with DG’s and enable them to participate in the California energy and ancillary services markets.
(Contact: David Hawkins 916-351-4465 dhawkins@caiso.com)
http://www.caiso.com/pubinfo/info-security/index.html
http://www.caiso.com/pubinfo/info-security/projects/analope/faq.html
————
The Technology sessions featured presentations by makers of microturbines, fuel cells, reciprocating engines, dish stirling, storage, and renewables. Discussions on “Markets” ranged from the “sleeping giant” of international electric demand, to combined heat and power and the use of smart technology to capture market value. Selected items may be featured in future UFTO Notes.

CPUC OIR–Deregulate Elec. Distribution???

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**(note proposal below, and let me know of your interest)***

The California Public Utilities Commission (CPUC) is about to embark on what may become the most far-reaching restructuring process to date. Motivated in large part by the advent of distributed resources (small generation and storage technologies) and the California Alliance for Distributed Energy Resources (CADER), the CPUC will evaluate over the next 12 months the rules for the distribution systems of the future.

Topics will include the role of wires companies, true retail access, whether the wires should remain a monopoly, and whether distribution companies can own or operate distributed generation and storage. The results could dramatically alter some of the most important aspects of AB1890, define the distributed technology market rules in California, and influence similar discussions now heating up in other states and on the federal level.

At its regular meeting on Dec 17, the CPUC issued an “OIR”:

R.98-12-015, “Order Instituting Rulemaking to Consider
Commission Reforms in the Structure and Regulatory Framework
Governing Electricity Distribution Service”

The full text is available online:
http://www.cpuc.ca.gov/981217_orders.htm
(in HTML, Word, or PDF format)

>>> The Summary and Rulemaking Questions are attached below. <<<<<

****************************************
*******”OIR Watch Proposal”***********
****************************************

Obviously, utilities in California will be heavily involved (they’re named as respondents). The rest of the country will probably want to pay close attention to this entire discussion, as lengthy and voluminous as it is likely to be.

Distributed Utility Associates (founding members of CADER and a leading consultant in distributed resources) is considering a plan to prepare concise monthly reviews of the CPUC Distribution System Order Instituting Rulemaking (OIR), and to interpret its progress, direction and interpreting its importance.

The rulemaking’s implications could include new definitions of distribution companies, new business opportunities or exclusions for wires companies, needs for new or revised energy technologies and set the pace of distributed resources market entry.

In addition, a final synopsis on the resulting rulemaking and its implications on the electric utility industry could be issued at the conclusion of the twelve to fifteen month process. This would be offered as a subscription package.

Pricing is to be determined, probably in the range of $5,000, assuming a sufficient number of subscribers. UFTO Client Companies would be eligible to subscribe at a substantial discount.

Please let me know how this idea strikes you, and what your level of interest might be.

****************************************
****************************************
ORDER INSTITUTING RULEMAKING

Summary
By this order, we open a rulemaking proceeding to consider whether the Commission should pursue reforms in the structure and regulatory framework governing electricity distribution service. The purpose of this proceeding is to gather additional information to assist us in framing proposals to the Legislature and our stakeholders for whatever reforms may be necessary in light of current developments in California’s electric industry.

This rulemaking will provide the opportunity for the Commission to begin consulting with the Legislature and collaborating with the Administration, interested stakeholders, and other state/local agencies who may have jurisdiction or interest in electric distribution and generation issues. In particular, we believe that our consideration of issues focusing on distributed generation and/or distribution competition will benefit from a collaborative effort among the Commission, the California Energy Commission (CEC), and the California Electricity Oversight Board (EOB). This process will allow us to work with these parties to identify the range of issues on distributed generation and distribution competition, and their interrelationships; explore whether we should undertake a focused analysis of distributed generation or a more comprehensive consideration of distribution competition issues; and determine those issues we can address more narrowly and more expeditiously. At the end of this process, we anticipate issuing a proposal that reflects our coordination with the CEC and the EOB, outlining the specific steps we will undertake, in cooperation with the Legislature, in addressing the issues and considering proposed changes in our regulatory policies and rules.

We solicit comments and proposals regarding the scope and substance of issues that need to be addressed, possible policy options, and the procedural steps that the Commission could pursue in adopting and implementing needed reforms that are consistent with the state’s goals and objectives in electric restructuring. We invite responses to our questions in Appendix A of this rulemaking. Respondents shall and interested parties may file opening comments on or before March 17, 1999, and reply comments on or before May 17, 1999. Given the collaborative efforts we intend to undertake with the CEC and the EOB in this proceeding, respondents and interested parties should also provide copies of their comments to these two agencies. We intend to consider a proposal from the Assigned Commissioner in the summer of 1999.

APPENDIX A

Rulemaking Questions

From a policy perspective, does consideration of DG necessarily require a broader, more comprehensive look at distribution competition and the role of the UDC?

Where has competition, as it relates to distribution, emerged or not emerged in California? Has there been growth in irrigation, municipal, and other public utility districts in the existing service areas of the UDCs? What has been the market penetration of DG, self-generation, and T&D substitutes in California?

Is there a need for further reforms in the structure and regulatory framework governing electricity distribution service, in light of current market developments described in your response to Q2 above? If so, what are they? What is the UDC’s ultimate role in this restructured energy market?

How would competition in distribution service be effected? Please give specific examples or scenarios manifesting competition in distribution facilities and/or services. What is the Commission’s role and the roles of other state/local agencies?

How would the integrity, reliability, safety, and efficiency of the T&D system be affected by a more competitive electric distribution and/or DG market? Please provide policy options.

What are the regulatory jurisdictional effects, if any, of allowing more competition in distribution and/or DG? Please provide policy options.

Provide an assessment of the possible environmental impacts of increased competition in distribution and/or DG. Please provide policy options.

Provide an assessment of the possible social, economic, and labor impacts, including implications for public purpose programs (i.e., energy efficiency and low-income programs), of increased competition in distribution and/or DG. Please provide policy options.

What are the ratemaking consequences of introducing or encouraging more competition in distribution and/or DG? Please provide policy options.

Describe the potential costs of promoting competition in distribution and/or DG? What are the potential stranded costs? What are the benefits? How should the potential costs and benefits be analyzed and quantified?

Does competition in electric distribution service have implications on the delivery infrastructure for natural gas? Please describe any such interrelationship and the resulting impacts on customer benefits, the environment, and regulatory structure?

What procedural steps should be pursued? Should there be a more focused analysis of DG issues, or a more comprehensive consideration of issues surrounding distribution competition? Are there issues which are more appropriately considered in workshops, full panel hearings, and/or other procedural forums?

Distrib Power Meeting; Interconnection Stds

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The Distributed Power Coalition of America (DPCA) is holding its annual meeting this week in Washington, with a special session on Interconnection Issues.

The website is quite informative…see material below, and go to — http://www.dpc.org/events/annual98/agenda.html

In addition (as will be discussed in detail at the meeting), the IEEE standards activity in this area has become quite intense. There was a preliminary session in St. Louis last month in conjunction with the IEEE-IAS Society meeting.
**************************
“IEEE-SCC21″ Standards Development Coordinations for Fuel Cells, PV, Dispersed Generation, and Energy Storage”

Meeting is scheduled for Dec 9-11, also in Washington

Chair is Dick DeBlasio of NREL, 303-384-6452, dick_deblasio@nrel.gov

For a registration form contact: Kim Taylor Conference Coordinator, 303-275-4358, kimberly_taylor@nrel.gov

Meeting will coordinate development of consensus standards within the IEEE-SCC21 committee and its working groups. Emphasis will be placed on technology-specific standards, needs, standards project development, and establishment of working groups. Standards such as utility interconnection and testing protocols will be addressed and coordinated.

SCC-21’s role was expanded in June to merge SCC23 (dispersed storage and generation) and SCC21 (PV)

(As of this writing, I couldn’t find anything about this on the internet.)

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Thursday, Nov. 12, 1998
“Preparing for the Millennium of Distributed Generation”

Industry-Wide Summit on Interconnection
Friday, Nov. 13, 1998
“Interconnection Issues for Distributed Generation”

Hilton Crystal City at National Airport Washington, DC

Opening Reception Crystal City Hilton
Wednesday, Nov. 11, 1998 6:00 – 7:30 p.m. Everyone Welcome!

The Distributed Power Coalition of America was launched in 1997 as an advocacy group to promote the use of distributed power generation in the marketplace. Small-scale units that produce electricity closer to the customer are becoming an economic reality. Compared to spot prices of $10,000/MWh this summer, distributed generation technology makes good sense–even if only used for limited periods of time!

Our annual meeting this year features a number of exciting case studies about the economic reality of these options in today’s market. These include advanced turbine systems, microturbines in real-life multiple settings, the combination of cutting edge technology to resolve reliability issues, and fuel cells for individual homes. Please check out the enclosed program brochure!

In addition, we are sponsoring a one-day industry-wide summit meeting on interconnection. This event brings together, for the first time, all of the major groups working on this issue–DOE, CADER, GRI, EPRI and IEEE–including case reports from working groups on standards for fuel cells and photovoltaics. This meeting may be the most comprehensive held to date to discuss how these new technologies will connect to the existing electricity grid. If you have a stake in this issue, you need to be there!

So sign up early, as hotel space is limited. We look forward to seeing you at what promises to be the most important networking event in distributed generation this year!

Sincerely,

Wayne Gardner DPCA Chair DPCA Executive Director
Sarah McKinleyDPCA Executive Director

FINAL CADER Report Available

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Forwarding note just received a few minutes ago.

Subject: FINAL CADER Report Available
Date: Fri, 17 Apr 1998 15:05:04 -0700
From: ERIC WONG
To: edbeards@ufto.com

FINAL CADER REPORT Now Available! High Quality, perfect bound edition. The 400 page report, a documentation of the work of the California Alliance for Distributed Energy Resources (CADER) and a compilation of the papers presented at the September 1997 CADER Conference is available. Please send a $10 check or money order (per copy) along with your return address to CADER, 770 L Street, Suite 810, Sacramento, CA, 95814. Make the check or money order out to CADER. Charge Card numbers will not be accepted. Upon receipt of payment, your report will be mailed via first class. Orders are being handled by Vanessa; she can be reached at 916-329-9180. The Energy Commission is not handling any orders.

Active members of CADER, that is those who served on committees, and the co-chairs, will receive one copy free. These will be mailed during the week of April 20.

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Here’s a portion of an UFTO note from July 15, 1997:
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** CADER – California Alliance for Distributed Energy Resources

CADER is an alliance of public and private organizations formed in 1996 to identify and develop specific solutions to the deployment of Distributed Resources. Initially set up with the help of the California Energy Commission, it is a self-managed organization.

Mission Statement: A consortium of manufacturers, users, energy service companies, engineering firms, utilities, power providers, research organizations, regulators, financial institutions, and others committed to facilitating the successful entry of clean, energy efficient Distributed Resources into a competitive electricity energy market.

CADER CONFERENCE SEPT 15-17, 1997, San Diego CA

CADER will host a three day conference to explore economically and environmentally viable alternatives to grid-based power systems. Key energy industry experts from across the country will assemble at this first-of-its-kind meeting to debate how distributed resources figure into the rapidly changing electricity marketplace.

The conference, entitled “Distributed Resources: Addressing the Challenges”, will take place September 15 through 17, 1997 at the Catamaran Resort Hotel, 3999 Mission Blvd., San Diego, California 92109. Hotel reservations are available by calling the hotel directly at 619-488-1081 or 800-288-0770.

The San Diego conference will highlight the latest technology developments such as photovoltaic solar systems, fuel cells, storage technologies such as flywheels and batteries, and advanced gas turbines. In addition to site visits and technical sessions, conference participants will discuss an array of environmental, regulatory and market-related issues.

Speakers invited to the CADER Conference include: Governor Pete Wilson; Congressman Dan Schaefer; California Senator Steve Peace; Amory Lovins, Rocky Mountain Institute; Federico F. Pena, Secretary, U.S. Department of Energy; and David Freeman, Trustee, ISO/PX.

Conference technical sessions will focus on the following areas:

Energy policy
Incentives and market rules
Legal, institutional and regulatory issues
Siting and environmental regulatory streamlining
Land use planning and computer tools
Manufacturer/technology issues

The conference builds on the success of CADER’s pioneering efforts to ensure the economic competitiveness of Distributed Resources and will focus on how distributed generation systems can provide local distribution utilities, end-users, independent power providers and energy service providers with another generation choice, improved power quality and more reliable service.

Contact Connie Bruins, California Energy Commission
(916) 654-4545 cbruins@energy.state.ca.us

Complete details and extensive documentation, and details about the conference, are available on the website

http://www.energy.ca.gov/CADER/