California Solar Initiative

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• California Solar Initiative

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Content

• General Overview of CSI
• Whats New
• CSI Status Update
• CSI Application Process
• CSI Inspections
• CSI Metering

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General Overview of CSI
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General Overview of CSI

• The California Solar Initiative (CSI) program is
  designed to provide incentives for the
  installation and operation of solar photovoltaic
  (PV) projects
• Authorized by the California Public Utilities
  Commission (CPUC) and Senate Bill 1
• Total CSI budget of 2.165 billion authorized by
  CPUC
• CPUC commitment to a long term 10-year program
• Provides incentives to residential retrofit and
  non-residential retrofit and new construction
  solar projects except for residential new
  construction projects which will be funded
  through the CEC New Solar Homes Partnership
• Transitions from capacity based incentives to
  performance based incentives
• Replaces solar incentives previously offered
  through the Self-Generation Incentive Program and
  CEC Emerging Renewables Program

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CSI Budget

• Total authorized CPUC CSI budget is 2.165
  Billion
• Funded by electric distribution rates
• Regional CSI incentive budgets are as follows

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CSI Eligible Customers

• Eligible customer projects must be within the
  service territory of and must receive retail
  level electric service from
• Pacific Gas and Electric (PGE)
• Southern California Edison (SCE)
• San Diego Gas Electric (SDGE)
• The California Center for Sustainable Energy
  administers the CSI in the SDGE Service
  Territory
• Municipal electric utility customers are not
  eligible to receive incentives
• Municipal electric utilities are required to have
  a CSI solar program for their customers starting
  in 2008

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CSI Eligible Projects

• Residential Retrofit Projects1
• Non-Residential Retrofit and New Construction
  Projects
• Minimum System Size of 1 kW
• Maximum System Size of 5 MW
• Incentives will be capped to the First MW
• 1 MW under SGIP and 1 MW under CSI allowed
• Future system expansions allowed
• Installed capacity at site may not exceed actual
  energy consumed during previous 12 months
• Maximum System Capacity 12-months previous kWh
  usage / (0.18 x 8760 hr/year)
• New Construction and Future Load Growth must be
  substantiated

1) New construction residential projects
administered by the CEC under the New Solar Homes
Partnership Program
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CSI Installer Warranty Requirements

• CSI Installer Requirements
• Must be listed with Program Administrators to be
  eligible
• Self-Installations allowed
• Must have active A, B, C-10, or C-46 license
• Must maintain Commercial General Liability,
  Workers Compensation and Auto Insurance
  requirements
• Refer to CSI Handbook
• Section 2.1.4 - Installer Eligibility
• Section 2.6.2 - Installer Insurance Requirements
• CSI Warranty Requirements
• All systems must have minimum 10-year warranty
  covering the solar generating system provided for
  no cost repair or replacement
• Refer to CSI Handbook, Section 2.4

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CSI Incentive Structure

• As of January 1, 2007, the CSI program pays
• Expected Performance-Based Buydown (EPBB)
  incentives for PV projects lt 100 kW
• EPBB is an up-front incentive based on an
  estimate of the system's future performance
• EPBB combines the benefits of rewarding PV System
  performance with the administrative simplicity of
  a one-time incentive paid at the time of project
  installation
• Performance-Based Incentives (PBI) for PV
  projects gt 100 kW
• Monthly payments based on measured kWh output of
  solar power produced over a 5-year period

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Expected Performance Based Buydown (EPBB)

• Applies to Systems lt 100 kW
• Paid upfront, based on the following incentive
  rates (based on current incentives reserved)
• EPBB Incentive EPBB Incentive Rate x System
  Rating x Design Factor
• Design Factor Simulated solar output of
  proposed system/Simulated solar output for
  optimal system
• Takes into consideration location, orientation,
  tilt and shading effects on system performance
• EPBB Design Factor Tool www.csi-epbb.com

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Performance Based Incentives (PBI)

• Applies to systems 100 kW
• Paid monthly over a 5-year period, based on the
  following incentive rates
• PBI Incentive PBI Incentive Rate x Measured PV
  System Energy Output
• Reservation Amount will vary by capacity factor
  used
• Reservation Amount PBI Incentive Rate x .18 x
  8760 x CSI System Size x 5 year (fixed systems)
• Reservation Amount PBI Incentive Rate x .22 x
  8760 x CSI System Size x 5 year (tracking
  systems)
• Customers may opt into PBI for systems lt 100 kW

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CSI Incentive Rates

• Incentive structure
• Rebates automatically decline based upon
  reservations reserved
• Higher rebates for non-taxable entities

  PGE (MW) PGE (MW) EPBB Payments (per Watt) EPBB Payments (per Watt) EPBB Payments (per Watt) PBI Payments (per kWh) PBI Payments (per kWh) PBI Payments (per kWh)
Step Res Non-Res Residential Commercial Gov't / Nonprofit Residential Commercial Gov't / Nonprofit
1 - - n/a n/a n/a n/a n/a n/a
2 10.1 20.5 2.50 2.50 3.25 0.39 0.39 0.50
3 14.4 29.3 2.20 2.20 2.95 0.34 0.34 0.46
4 18.7 38.1 1.90 1.90 2.65 0.26 0.26 0.37
5 23.1 46.8 1.55 1.55 2.30 0.22 0.22 0.32
6 27.4 55.6 1.10 1.10 1.85 0.15 0.15 0.26
7 31 62.9 0.65 0.65 1.40 0.09 0.09 0.19
8 36.1 73.2 0.35 0.35 1.10 0.05 0.05 0.15
9 41.1 83.4 0.25 0.25 0.90 0.03 0.03 0.12
10 50.5 102.5 0.20 0.20 0.70 0.03 0.03 0.10
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As of June 13, 2007 http//www.csi-trigger.com
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Statewide Trigger Point Tracker
http//www.csi-trigger.com
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Whats New
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Whats New

• Recent TOU decision
• Next CSI Program Forum to be held on June 29th in
  Irwindale (Southern California)
• CSI Program Administrators hired technical
  experts to asses incentives and filed CSI
  Handbook changes on June 1, 2007
• Beta testing statewide database began in June

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Update on Time of Use (TOU) Rate Requirements

• TOU tariffs are now optional for CSI applicants
  not otherwise required to take service on TOU
  tariffs, until the new tariffs CPUC develops
  requirements and approves new PGE TOU tariffs.
• Customers who have already applied for CSI
  rebates have the option of remaining on their TOU
  rate schedule or returning to their prior
  electricity rate schedule or an otherwise
  applicable flat rate schedule for which they
  qualify.
• If customers were required to switch to a TOU
  rate schedule in order to receive their CSI
  rebate, they may be eligible to receive a credit
  for any difference between their bill under the
  TOU rate schedule and a qualifying flat rate
  schedule.

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CSI Status Update
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Program Activity to date
As of June 13, PGE has received over 1500 CSI
applications and issued payments totaling
175,000.
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Program Activity to date
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Annual PGE Solar Interconnections
As of May 31, 2007, 16,318 PGE customers have
installed 135.9 MW of solar generation
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Annual PGE Solar Interconnections
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CSI Application Process
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Energy Efficiency Requirements

• Host Customers must perform an energy efficiency
  audit to be eligible for CSI incentives
• Host Customer are exempt if they
• Provide documentation of an energy efficiency
  audit performed at the facility in the last three
  years
• Submit proof of Title 24 energy efficiency
  compliance within the past three years
  Measurement Evaluation
• Demonstrate the have one of the following two
  national certifications of energy efficiency for
  the facility
• Energy Star
• LEED

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Energy Efficiency Requirements

• PGE audits
• Residential audits
• Phone Audit Call the Smarter Energy Line (SEL)
  at 1-800-933-9555
• On line Home Energy Analyzer
• Non-Residential audits
• Phone Audit Call the Business Customer Center
  (BCC) at 1-800-468-4PGE(4743)
• On line audits Business Energy Analyzer
• Onsite Contact your local Pacific Gas and
  Electric Company division Account Representative,
  or call the Business Customer Center at
  1-800-468-4PGE (4743)
• Agricultural Pump Tests
• Onsite Contact the Agricultural Pumping
  Efficiency Program at 1-800-845-6038
• Third party provided audits are acceptable
  provided
• At the customers expense

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CSI EPBB Tool and Online Application Tool

• CSI EPBB Tool
• Developed by AESC
• Questions Comments CSI-EPBB_at_aesc-inc.com
• CSI Online Application Tool
• Clean Power Research PowerClerk

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EPBB Tool Key CPUC Decision Orders

• All systems oriented between 180º and 270º,
  facing south, southwest, and west, will be
  treated equally.
• An optimal reference orientation tilt optimized
  for summer production.
• An optimal reference latitude tilt that relates
  to local latitude.
• Location-specific criteria which account for
  weather variation and varying degrees of solar
  insolation, based on local climate and geography.

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How to Access the EPBB Tool

• http//www.csi-epbb.com
• Compatible w/ Major PC Mac Browsers
• Internet Explorer
• Opera
• Fire Fox
• Safari

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3-Step vs. 2-Step Reservation Process

• 3-Step Reservation Process
• Non-Residential System size gt10 kW
• Subject to Application Fee of 1 of Requested
  Incentive Amount
• Customers may opt-in to Expedited 3-Step
• 2-Step Reservation Process
• Residential System of any size
• Non-Residential Systems lt10 kW
• No Application Fee
• Reservation Period
• 12-months for retrofit projects
• 18-months for new construction/government/non-prof
  it
• All forms available at www.pge.com/csi

Refer to CSI Handbook, Section 4.1
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3 Step Process
Refer to CSI Handbook, Section 4.2
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3 Step Process
Refer to CSI Handbook, Section 4.2
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3 Step Process
Refer to CSI Handbook, Section 4.7.2
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2 Step Process
Refer to CSI Handbook, Section 4.1
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2 Step Process
Refer to CSI Handbook, Section 4.1
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Avoid Common Mistakes

• Include host customer e-mail information
• If a customer is a public entity, be sure to
  provide the AB1407 letter
• If a customer is a non-profit, be sure to provide
  confirmation that the system will not be
  receiving tax benefits
• In the Applicant section, please provide a
  contact for the person who will be handling the
  paperwork and data requests.
• Please provide future load documentation for
  non-residential new construction or added load
  projects.
• Whenever possible, include the application fee
  check with the initial application

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CSI Inspection Process
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CSI Inspections

• Inspections will check for
• Verification that equipment nameplates and counts
  match those submitted on the Incentive Claim Form
• Measurements to verify that system tilt,
  orientation, and shading values are consistent
  with values used in the EPBB calculator and
  submitted along with the Incentive Claim Form
• Verification that system is operational and
  output is reasonable for conditions at time of
  inspection

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Common Mistakes

• Azimuth
• Not corrected for magnetic declination
• Compass used near metal or magnet
• Bad compass
• Shading
• Misunderstanding of minimal shading
• Incorrect shading analysis

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Avoiding Mistakes

• Azimuth
• Add magnetic declination to compass reading
• Stay 10-15 ft. away from metal or magnets
• Check reading against tools like GoogleEarth
• Shading
• Minimal shading requires at least 21 distance to
  height ratio (equal to 27 altitude angle)
• Account for tilt azimuth in shading analysis

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Failed Inspections

• Material mechanical failure A failure that
  results in a decline in the expected performance
  of the system (i.e., one or more of the system
  components is not operating properly).
• Immaterial mechanical failure minor failures
  that can be corrected within 60 days.
• Material compliance failure the system as
  verified does not match the applications stated
  system and/or the system does not meet the CSI
  program eligibility requirements (i.e., the EPBB
  characteristics are incorrect, the system
  components or number of components are incorrect,
  etc.)
• Immaterial compliance failure failures that
  have no impact on the expected performance of the
  system and can be corrected within 60 days (i.e.
  submission of erroneous system data)

Refer to CSI Handbook, Section 2.10.1
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Failed Inspections

• If an entity fails 3 inspections, they will be
  disqualified from the CSI Program
• Failed inspection for mechanical failures 60
  calendar days will be allowed to bring the system
  into compliance after a failed inspection,
  subject to re-inspection
• High volume installers (gt 200 installed systems
  per year)
• If the installer accumulates two strikes, the
  entity will be placed on probation. If no
  additional strikes are accumulated within the
  first year, their first strike is removed and
  they continue on probation until the second
  strikes probation year ends. If they acquire no
  additional strikes, the second strike is removed,
  and they will be restored to a zero-strike status.

Refer to CSI Handbook, Section 2.10.1
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CSI Inspections Forms
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CSI Metering
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Meter Requirements

• All Systems Must Have Metering Performance
  Monitoring
• Meters are separate from utility revenue meters
• Must have 5-yrs of performance monitoring service
• Subject to certain exemptions (See Table 16 in
  CSI Handbook)
• Meter Costs
• Customer must bear all costs for metering and 5
  years of data communication and performance
  monitoring service
• Costs not to exceed 1 of system costs for 30kW
  and below, 0.5 above 30kW (See Table 16 for
  exemptions)
• EPBB vs. PBI Accuracy Requirements
• EPBB lt 10 kW /- 5 accurate (inverter meters
  allowed)
• EPBB gt 10 kW All PBI /- 2 accurate

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CSI Handbook
Refer to CSI Handbook, Section 2.8 and Appendix B
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Meter Data Requirements

• Two Separate Data Streams
• Performance Data to Customer
• Daily, hourly or real-time performance data to
  customer
• Data maintained by Performance Monitoring
  Reporting Service (PMRS) provider per Handbook
  requirements
• Only PMRS providers listed with the CEC currently
  eligible
• PBI Data to Program Administrator
• Monthly kWh produced 15-min. interval data
• Submitted via approved Performance Data
  Provider (PDP)
• Program Administrators developing PDP
  requirements
• Electronic Data Interchange (EDI) 867 format
  (proposed)

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Meter Installation Options

• Customers may contract with utility or qualified
  3rd party providers.
• Can use any qualified provider for the meter
  installation, so long as the meter is
  CEC-approved installed to NEC and applicable
  local codes.
• We recommend using experienced meter installers
  for safety reliability reasons. (See CPUC web
  site for certified Meter Service Providers)
• Customer responsible for installing meter socket
  for utility-provided meters.
• Customers should decide early in the process who
  will provide meter, MDMA PMRS services to avoid
  delays, minimize cost and ensure compatibility.

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Meter Requirements Update

• Petition to Modify submitted on March 5th (PGE,
  CCSE, CalSEIA, PV Now, Vote Solar Initiative, SMA
  America)
• If approved, Petition would modify CSI as
  follows
• All EPBB customers allowed to use inverter
  meters.
• Remove cost cap for all PBI customers confirm
  2 meter requirement for all PBI, regardless of
  size.
• Remove requirement for PMRS providers to be
  independent of solar vendors installers.
• Awaiting CPUC action

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Meter PMRS Links

• Eligible Equipment, MSPs, MDMAs, and PMRS
  Listings
• Eligible Meters Listed on CEC website
  http//www.consumerenergycenter.org/cgi-bin/eligib
  le_meters.cgi
• MSP Listing on CPUC website
  http//www.cpuc.ca.gov/static/energy/electric/elec
  tricmarkets/metering/msps.htm
• MDMA Listed on CPUC website http//www.cpuc.ca.
  gov/static/energy/electric/electricmarkets/meteri
  ng/mdmas.htm
• PMRS Listed on CEC website http//www.consumer
  energycenter.org/erprebate/monitorsrsp.html

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Website Resources

• PGE Solar Website www.pge.com/solar
• PGE CSI Website www.pge.com/csi
• CPUC Solar Website www.gosolarcalifornia.ca.gov
• Locate Solar Installers www.find.solar.com
• CEC PV Eligible Technologies http//www.consumere
  nergycenter.org/erprebate/equipment.html

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Additional PGE Resources

• Pacific Energy Center and Stockton Training
  Center
• Solar Classes http//www.pge.com/solarclasses/
• Basics of Photovoltaic (PV) Systems for Grid-Tied
  Applications
• Solar Water Heating Systems
• Field Verification and Diagnostic Testing of
  Photovoltaic Systems for HERS Raters
• Understanding Financial Analysis Methods for
  Photovoltaic (PV) Systems
• Diagnostic Tool Lending Library
• Solar Pathfinder
• Solmetric SunEye
• All tool requests must be submitted online via
  our online tool request form at www.pge.com/pec.
  The Request to Borrow Tools link at the top of
  the page brings borrower to our online tool
  request form.
• We request 2 to 3 days lead time for tool
  requests.

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PGE Contact Information

• Website www.pge.com/csi
• Email Address solar_at_pge.com
• Contact Person
• Program Manager, Telephone [phone]
• Fax [phone]
• Mailing Address
• PGE Integrated Processing Center
• California Solar Initiative Program
• P.O. Box 7265
• San Francisco, CA 94120-7265

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Generation Interconnection Services
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GIS Role

• One point of contact for customer (or authorized
  agent) with regard to interconnecting systems
• Coordinate various activities, including
  engineering, metering, and contract
  administration
• Responsible to ensure system is installed as
  design indicates and operating according to Rule
  21
• Two types of solar interconnections NEM and
  non-NEM options

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Process Improvement

• Change in AC disconnect requirement policy
  November 2006
• NEM-MT has been approved to simplify projects
  with solar combined with other generation
  technologies
• Underway simplification of application, to be
  combined with the Agreement for NEM

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Interconnection Application and Agreement

• A separate application and process from CSI
  (recently updated)
• Process runs parallel with CSI/SGIP
• Application must be complete and include required
  documents for review
• Execute Inspection and Interconnection Agreement
  before a system is permitted to operate

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Project Review
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Inspection

• Check system to ensure built as designed (matches
  SLD)
• Install bi-directional meter (NEM)
• Verify installation of AC disconnect and
  appropriate signage (if required)
• Install Net Gen Output Meter, if needed

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Overall Timeline

• NEM projects- generally less than 30 business
  days
• Non-NEM- within 60 days, if all required
  docs/signatures and construction is on schedule

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Resources

• Standard NEM http//www.pge.com/suppliers_purchas
  ing/new_generator/solar_wind_generators/standard_e
  _net/
• Expanded NEM http//www.pge.com/suppliers_purchas
  ing/new_generator/solar_wind_generators/expanded_e
  _net/
• Non-NEM projects http//www.pge.com/suppliers_pur
  chasing/new_generator/retail_generators/
• Contact gen_at_pge.com, or 415-972-5676