PossibleResponsestothe1998CADERReportandSitingand.ppt

Energy Commission Staff Distributed Energy Resources Training Seminar California Energy Commission, Sacramento Jairam Gopal, Judy Grau, Pramod Kulkarniand Ean O’Neill April 13, 1999 DER Development and Implementation Issues Economic Technical Regulatory Planning/Policy Permitting Air Quality Economic Issues Installed costs Economies of scale vs. Economies of production Operations and maintenance (OM) costs Levelized cost -- busbar -vs- delivered More to come in next presentation General Technical Issues Lack of proven performance by newer technologies Lack of coordination with utility system operation Lack of comprehensive list of DER environmental and safety characteristics Impact of substantial DER on natural gas infrastructure Regulatory Issues AB 1890 Competition Transition Charge (CTC) for stranded investment costs Exit fees Non-discriminatory charges for standby, back-up and other utility services UDC planning, siting, and/or ownership of DER Expansion of net metering concept Planning and Policy Issues Lack of governmental policy support and coordination Omission of distributed resources from: air attainment plans general plans long-range energy infrastructure plans Some technologies are too small to trigger the “permit” threshold Permitting Issues Slow review, or denial, of distributed energy projects due to a lack of: consolidated, clear information on siting requirements universally accepted standards clearly defined impacts and benefits Permit overload? Maybe someday... Air Quality Issues Some technologies do not trigger permit thresholds or are otherwise exempt (e.g., emergency use only) Amount and types of DER penetration not known Cumulative impacts could be significant Possible consideration of output-based emissions standards Lack of SimplifiedInterconnection Capability Presented by: Ean O’Neill Associate Electrical Engineer Number One Barrier to Distributed Resources Lack of Simplified, Low Cost Interconnection Capability Stakeholders Utilit