Connecting renewable energy resources to Palmetto Electric's system

Palmetto Electric allows members to connect renewable energy systems (i.e. – solar photovoltaic, wind-powered, biomass-fueled, or micro-hydro generating system) located and used at the member’s primary legal residence or business where a part or all of the electrical requirements of the member can be supplied from the member’s generating system.

In response to the Energy Policy Act of 2005, Palmetto Electric considered and adopted Net Metering/Billing & Interconnection Standards which allow members to connect to its grid. The retail members that own and operate a renewable energy system and meet the provisions of Palmetto Electric’s Net Billing Rider for Residential & Commercial Rates are eligible to receive service from this rider.

Beginning July 1, 2024, revisions to Palmetto Electric’s existing Net Metering Rider will take effect, and a newly created Net Billing Rider will be implemented. Members who are currently enrolled on the Net Metering Rider prior to June 30, 2024, will have the option to convert to the new Net Billing Rider after July 1, or remain on the revised rider until the sunset date of December 31, 2027. Members who wish to remain on the revised rider do not need to take any action.

After December 31, 2027, the Net Metering Rider will no longer be available. Members on the Net Metering Rider as of the sunset date will automatically be transitioned to the cooperative’s Net Billing Rider.

Application and Approval Process

Members must submit the Interconnection Application with the application fee and sign the Interconnection Agreement prior to connecting their generator to Palmetto Electric’s system. The Interconnection Agreement must be signed by the member receiving service (account holder of that location).

Click here to view a Sample Interconnection Agreement 

Click here to submit an Interconnection Application

Applications should be submitted as either a Residential Rate Schedule I or Commercial Rate Schedule II or LPS I application, as described below. Palmetto Electric may reject any application for violations of any code, standard, or regulation related to reliability or safety; however, Palmetto Electric will work with the member to resolve those issues to the extent practicable.

Members may contact Palmetto Electric to check on the status of an application or with questions prior to submitting an application. Palmetto Electric's contact information can be found on the application form. Under the standard, Palmetto Electric will provide its members with contact information for inquiries regarding Palmetto Electric’s net metering/net billing program and application process. Electronic and phone contact information will be provided on all net metering/billing application forms and on the utility’s website or in member bill inserts if no website is available.

In its simplest form, net billing employs a standard electrical meter to record the flow of energy back and forth between a customer-generator and the utility’s power grid. Net billing is usually created as an incentive for homeowners and small businesses to invest in renewable power systems.

Eligible electric generating facilities

  • Solar photovoltaic
  • Wind-powered
  • Biomass-fueled
  • Micro-hydro generating system

The renewable energy generator must:

  • Be located on the customer's premises

  • Be owned and operated by the customer

  • Connect in parallel with Palmetto Electric's distribution system

  • Have the primary purpose of supplying all or part of the customer's electricity requirements

  • Get an electrical inspection from the local governing body

The rated capacity of the member’s generating system shall not exceed the lesser of (a) the member’s estimated maximum annual kilowatt demand or (b) 20 kilowatts for a residential system or 100 kilowatts for a nonresidential system.

Net Metering: No. Net Billing credits members' accounts in kilowatt-hours. If you generate more power than you consume during a billing period, you will receive credits on your bill which will carry forward to future billing cycles. Excess energy not used in the current billing month to reduce billed kilowatt-hour usage shall be accumulated and used to reduce usage in future months; however, any accumulated excess energy not used to reduce billed kilowatt-hour usage shall be reset to zero each June 1. Excess energy delivered prior to November 1 will only be used to reduce usage provided by the Cooperative prior to November 1.

Net Billing: Yes. Net Billing credits members’ accounts in a monetary amount. For each billing period, any energy production supplied to the grid for that billing period will be credited by a monetary amount per kilowatt-hour at the Cooperative’s Value of Renewable Generation. If the energy credit is larger than the bill amount, the remaining monetary credit rolls over to the next month as long as the account remains active.

 

Palmetto Electric provides a standard kilowatt-hour metering system capable of measuring the flow of electricity in two directions. Any additional meter, meters, or distribution upgrades needed to monitor the flow in each direction shall be installed at the customer’s expense.

Net billing is available to eligible customer-generators in Palmetto Electric’s service territory, upon request, and on a first-come, first-served basis

Residential Service Members – $100

Non-Residential Service Members – $250

Palmetto Electric will require an inspection and witness test of the system before it begins operation. The system may not be operated until the commissioning is successfully completed, except Palmetto Electric permits the customer to perform operational testing (which is not to exceed two hours).

All renewable energy systems must obtain an electrical inspection from the local governing body. 

Net Billing Rider

The Net Billing Rider is available in conjunction with the Cooperative’s Residential Rate Schedule I and the Cooperative’s Commercial Rate Schedule II or LPS I, excluding Advance Pay billing accounts, effective on July 1, 2024. For electric service under the Cooperative’s Residential Rate Schedule I and the Cooperative’s Commercial Rate Schedule II or LPS I:

  • The facilities charge shall be determined and billed as set forth in the applicable rate schedule as described in the Availability section above.
  • Energy charges shall be based on the rates in the applicable rate schedules as described in the Availability section above. For each billing period, any energy production supplied to the grid for that billing period will be credited by an amount per kilowatt-hour at the Cooperative’s Value of Renewable Generation. If the energy credit is larger than the bill amount, the remaining credit rolls over to the next month as long as the account remains active.
  • The Cooperative’s determination of the Value of Renewable Generation shall be developed in accordance with good utility practice based on Cooperative’s wholesale power supplier’s value of renewable generation with adjustments to account for use at the retail level. The Value of Renewable Generation shall be updated annually and approved by the Cooperative Board.
  • The annual Cooperative’s Value of Renewable Generation will be posted on the Cooperative’s website by May 1 and will apply to bills starting on July 1.

Revised Net Metering Rider

NEW Interconnection Applications, as of July 1, 2024, are NOT ELIGIBLE for the Revised Net Metering Rider. 

The revised Net Metering Rider is available with the Cooperative’s standard Residential Rate Schedule I and Commercial Rate Schedule II or LPS I. For electric service under the Cooperative’s Residential Rate Schedule I and the Cooperative’s Commercial Rate Schedule II or LPS I:

  • The facilities charge shall be determined and billed as set forth in the applicable rate schedule as described in the Availability section above.
  • Energy charges (or credits) shall be based on the rates in the applicable rate schedules as described in the Availability section above. For purposes of calculating monthly energy in kilowatt-hours, member’s usage shall be reduced by the total of (a) any excess energy delivered to the Cooperative in the current month plus (b) any accumulated excess energy balance remaining from prior months. Excess energy delivered to the Cooperative shall be defined as energy produced by the member’s renewable energy generating facility that exceeds the energy delivered by the Cooperative during a given time period.
  • Total energy in kilowatt-hours billed to members shall never be less than zero. For any billing month during which excess energy exceeds the member’s usage in total, producing a net credit, the respective energy charges for the month shall be zero. Credits shall not offset the facilities charge for the applicable rate schedule.
  • Excess energy not used in the current billing month to reduce billed kilowatt-hour usage shall be accumulated and used to reduce usage in future months; however, any accumulated excess energy not used to reduce billed kilowatt-hour usage shall be reset to zero each November 1, beginning in 2025. Excess energy delivered prior to November 1 will only be used to reduce usage provided by the Cooperative prior to November 1.
  • There will be no compensation paid to the retail member for excess energy granted to the Cooperative.
  • For each nameplate kW of installed solar photovoltaic generating capacity, there is a $5.00 per month distribution service charge. However, for the term of the rider, this charge to the consumer will be waived by the Cooperative.
  • For each nameplate kW of installed, wind-powered, biomass-fueled, or micro-hydro generation, the monthly distribution service charge will be determined on a case-by-case basis. However, for the term of the rider, this charge to the consumer will be waived by the Cooperative.

YEAR

CO-OP VALUE OF RENEWABLE GENERATION

2024-2025

$0.0484

2025-2026

$0.04329

 

Agreements shall be written for a period of not less than one (1) year and shall be renewed for successive one (1) year periods. After the initial period, either party may terminate service under the Net Billing Rider by giving a sixty (60) day notice in writing.

General Provisions

1.      To qualify for this rider, the retail member must first qualify for and be served on one of the rate schedules as described in the availability section. The member must also meet all other qualifications as outlined in the availability section.

2.      All provisions of the applicable residential or commercial rate schedules described will apply to the service supplied under this rider.

3.      The retail member must execute an Interconnection Agreement prior to receiving service under this rider. The agreement shall include a description of the conditions related to the interconnection of the member generation with the Cooperative’s electrical system.

4.      Any RECs associated with excess generation shall be granted to the Cooperative.

The member shall maintain general liability insurance coverage (through a standard homeowner’s, commercial, or other policy) as outlined in the Standard for Interconnecting Distributed Resources Less Than 2 MVA for both Residential Rate Schedule I and Commercial Rate Schedule II or LPS I generating facilities. Palmetto Electric will ask the member to provide proof of such insurance at the time the application is made for net metering.

A member’s generating facility is transferable to other persons or service locations only after notification to Palmetto Electric has been made and verification that the installation is in compliance with this tariff and the new Customer has executed an Interconnection Agreement with Palmetto Electric.