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HomeMy WebLinkAboutResolution No. UB- 10-C88RESOLUTION NO. 10-C88 A RESOLUTION OF THE AZUSA UTILITY BOARD OF THE CITY OF AZUSA, AMENDING AZUSA LIGHT & WATER'S RULES AND REGULATIONS TO INCLUDE A NET GENERATOR PAYMENT SCHEDULE FOR ELECTRIC UTILITY CUSTOMERS. WHEREAS, pursuant to Section 2-414 of the Azusa Municipal Code, the Utility Board is empowered to adopt rules regarding various utility related services; and WHEREAS, on February 26, 2010, the State of California approved AB 510, which requires electric utilities to set payment amounts to compensate customers with solar power systems that generate more electricity than they consume on an annual basis for the net energy produced; and WHEREAS, Azusa Light & Water staff have calculated the value of electricity produced by net -customer -generators based on purchase power costs for FY 2010-11; and WHEREAS, the value of electricity produced by net -customer -generators is set forth in "Exhibit A — Schedule NGP - Net Generator Payment" attached to this Resolution and made a part hereof; and WHEREAS, AB 510 requires that such Net Generator Payment schedule be adopted and effective by January 1, 2011; NOW, THEREFORE, THE UTILITY BOARD OF THE CITY OF AZUSA, CALIFORNIA, DOES FIND AND DECLARE THAT: SECTION 1. Adoption of Net Generator Payment Schedule. That the Azusa Light & Water Rules and Regulations are hereby amended to include the attached Net Generator Payment schedule as set forth in Exhibit "A" which is attached to this Resolution and made a part hereof. SECTION 2. Effective Date. The attached Net Generator Payment schedule shall be effective on January 1, 2011. PASSED, APPROVED AND ADOPTED this 22nd day of November, 2010. J eph R. Rocha, Mayor ATTEST: Vera Mendoza, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I, Vera Mendoza, City Clerk of the City of Azusa, do hereby certify that the foregoing Resolution No.10-C88 was duly introduced and adopted at a regular meeting of the Azusa Utility Board/City Council on the 22nd day of November 2010, by the following vote, to wit: AYES: NOES: ABSENT: COUNCILMEMBERS: GONZALES, CARRILLO, HANKS, MACIAS, ROCHA COUNCILMEMBERS: NONE COUNCILMEMBERS: NONE City Clerk EXHIBIT "A" SCHEDULE NGP NET GENERATOR PAYMENT Applicability: The purpose of this Schedule is to establish a per kilowatt hour rate that will be paid by Azusa Light & Water to electric customers that generate an annual net surplus of electricity. This rate is intended to provide an incentive to customers for installation of solar generation systems and to comply with Assembly Bill 510 which was signed into law on February 26, 2010. Territory: Within the electric service territory of the City of Azusa. Net Generator Payment Amount Effective January 1, 2011 thru June 30, 2011: Net Generator Payment per kWh: $0.09041 Special Conditions: 1. Each eligible customer is to have an approved interconnection agreement with Azusa Light & Water and be in compliance with said agreement. 2. Each eligible customer must generate more electricity than customer consumes from Azusa Light & Water during each twelve month period beginning with the month of initial production. 3. Any net surplus of electricity generated by customer in one month shall be carried forward to the next month. 4. All monthly carried forward net surpluses of electricity will be reduced by any net consumption in the following month(s). 5. Payments by Azusa Light & Water for net surplus of electricity will be made annually within 30 days following the month of initial production. 6. The Net Generator Payment Amount shall be administratively updated on July 1 of each year with the signature of the Director of Utilities and shall be based on the approved budget for purchased power costs divided by forecasted consumption. 7. The Net Generator Payment shall be effective from July 1 through June 30, unless otherwise indicated, and the effective period shall be used to calculate the Net Generator Payment Amount. 8. Customers should be aware that purchased power costs can vary significantly and Azusa Light & Water reserves the right to change the Net Generator Payment Amount at any time. 9. Azusa Light & Water is not responsible for any customer financial losses associated with decisions by the customer to invest in solar power generation based on the Net Generator Payment Amount.