Net Metering Program for Wind and Solar Systems
Net metering is a tool for valuing and measuring the electricity generated from renewable resources and used by a utility consumer for all or part of their electricity needs. Under net metering, when a member uses electricity supplied by the cooperative, the electricity meter moves forward. When the member’s wind generator produces more electricity than the member needs at any particular time, the excess is fed back into the grid, and the meter “rolls backwards.” Please see the Interconnection Process section below for an application, and more information on the state’s rules, regulations, and policies regarding net metering and interconnection.
Cloverland Electric Cooperative participates in a uniform statewide net metering program for wind and solar systems. Members can purchase and install small, renewable electric generation systems sized to meet, not to exceed, their annual energy needs and receive a credit on their electric bill for the excess generation delivered onto the cooperative’s distribution system at the full retail rate.
Net metering participants are required to comply with electric distribution interconnection rules and standards established by the Michigan Public Service Commission and sign an interconnection agreement before operation of a renewable generator can commence within the co-op’s net metering program.
The cooperative must approve the project for the parallel operation of your generator with the utility grid. Small renewable systems can affect the safety and reliability of the distribution system. Interconnection rules and standards help ensure that the cooperative can continue to provide members with safe and reliable electricity.
The net metering program is open to all residential and commercial members who operate renewable electric generators (20 kw or less) that are interconnected with the cooperative’s system and generate all or a portion of their own retail electricity.
The electric generator must be fueled by a qualified renewable energy resource as outlined in the generator interconnection requirements approved by the Michigan Public Service Commission. The generator must be installed on the member’s premises, serve only those premises and sized to meet the member’s electric needs. The nameplate capacity of the generator must not exceed 20 kw and may not exceed the member’s annual energy needs in kilowatt-hours (kwh).
- Complete and Submit Generator Interconnection Application (Non-refundable Application Fee)
- Complete Interconnection and Parallel Operating Agreement including Site Plan and One-Line Electrical Diagram
- Cloverland Electric Cooperative Electrical Site Evaluation
All application fees, procedures, and requirements are contained in the Michigan Public Service Commission’s Interconnection Standards Rules (R 460.481-460.489) and the Commission-approved Generator Interconnection Requirements. A State of Michigan or local electrical authority will require an inspection before final electrical connections are made.
Member is required to submit electrical diagrams and schematics documenting the interconnection and technical specifications of the interconnection equipment as part of the Interconnection Agreement and Application. The cooperative reserves the right to refuse any system design it deems unsafe and/or improperly engineered. Interconnection equipment must be UL-1471 approved for grid tie applications and meet IEEE 519 and 1547 standards.
Facilities must be designed and operated in parallel with Cloverland’s system without adversely affecting the operation of Cloverland’s equipment, other members’ services, or presenting any safety hazards.
The interconnection rules and requirements will determine whether any additional equipment is required for the interconnection and to calculate and determine the assignment of costs. The member is responsible for all costs incurred by the cooperative to install and/or upgrade facilities to handle the member’s interconnected generation.
The cooperative will replace your current electronic meter with a bi-directional billing meter. This meter ensures proper billing credit for any excess generation. All metering equipment will be installed, maintained, read and owned by the cooperative.
Members are responsible for all installation costs and any required upgrades to the utility service. Other fees include a $100 interconnection application fee.
Members will be billed for the total amount of electricity (kwh) used at the premises. The bill will include a credit for the amount of electricity generated on-site up to the amount of the monthly billed consumption.
For any energy generated beyond the current month’s consumption (billing period), you will receive Net Excess Generation credits (NEG). These NEG credits, if any, carry over to the next billing period and are used to offset the energy charges in the next billing period.
Members continue to pay the retail price for all purchased power based on MPSC-approved rate schedules. The NEG credit is currently the applicable retail rate (excluding any monthly facility charge).