SOLAR PHOTOVOLTAIC STANDARD OFFER PROGRAM 2016 Program Manual December 2015
Table of Contents TABLE OF CONTENTS 1 PROGRAM DESIGN... 1 1.1 PROGRAM DESCRIPTION... 1 1.2 PROGRAM PARTICIPANTS... 2 1.3 PROJECT OPTIONS... 4 1.3.1 SOLAR PHOTOVOLTAIC STANDARD OFFER PROGRAM... 4 1.4 SERVICE PROVIDER, CUSTOMER, MEASURE, AND PROJECT ELIGIBILITY... 4 1.4.1 SERVICE PROVIDER ELIGIBILITY... 4 1.4.2 HOST CUSTOMER ELIGIBILITY... 5 1.4.3 ENERGY EFFICIENCY MEASURE ELIGIBILITY... 6 1.4.4 PROJECT SIZE... 6 1.5 INCENTIVE BUDGETS AND PRICING... 7 1.5.1 AVAILABLE BUDGETS... 7 1.5.2 PRICES... 7 1.5.3 INCENTIVE LIMITATIONS... 8 1.6 PROGRAM PROCESS AND TIMELINE... 11 1.6.1 PROGRAM APPLICATION... 11 1.6.2 PROJECT APPLICATION PROCESS... 12 1.7 ADDENDUM TERMINATIONS... 12 2 PROGRAM APPLICATION... 13 2.1 GENERAL PROGRAM APPLICATION GUIDELINES... 13 2.2 APPLICATION PROCESS... 13 2.2.1 PROVIDER INFORMATION... 14 2.2.2 QUALIFICATIONS... 15 2.3 PROJECT APPLICATION SUBMITTAL PROCEDURE... 16 2.3.1 COMMERCIAL LARGE OPTION PROJECT APPLICATION SUBMISSION... 18 2.4 PROJECT APPLICATION REVIEW PROCEDURES... 19 2.4.1 PROJECT APPLICATION EVALUATION... 19 2.4.2 APPLICATION CONFIDENTIALITY... 20 2.4.3 SUBMISSION OF FALSE, MISLEADING, OR INCORRECT INFORMATION... 20 2.4.4 SPVSOP PARTICIPATION COSTS... 20 2.4.5 PARTICIPATION RESTRICTIONS AND ADDITIONAL QUALIFICATIONS... 20 3 PRODUCTION PERIOD... 21 3.1 PRODUCTION PERIOD... 21 3.2 REQUIRED SUBMITTALS... 21 3.2.1 SAVINGS REPORTS... 21 3.2.2 HOST CUSTOMER AGREEMENT AND INSTALLATON NOTICE CUSTOMER CERTIFICATE... 22 3.2.3 PROJECT INVOICES... 22 3.2.4 ADDITIONAL DOCUMENTS... 22 3.3 SUBMITTAL REVIEW PROCEDURES... 24 3.3.1 ADMINISTRATIVE REVIEW... 24 3.3.2 PRE-INSPECTION... 24 3.3.3 POST-INSPECTION... 25 3.3.4 INCENTIVE ADJUSTMENTS... 26 3.3.5 PROJECT SUBMITTAL PROCESS... 26 3.4 EQUIPMENT AND INSTALLATION... 28 3.4.1 MAJOR EQUIPMENT (MODULES, INVERTERS)... 28 3.4.2 INTERCONNECTION... 28 3.5 CODES, STANDARDS, AND PERMITS... 29 3.6 QUALITY ASSURANCE AND THREE STRIKE POLICY... 29 4 CONTRACTUAL PROVISIONS... 31 4.1 COMPLIANCE WITH PROGRAM REQUIREMENTS... 31 4.1.1 CO-BRANDING GUIDELINES... 32 4.2 REQUIRED PROGRAM DOCUMENTS... 33 2016 Solar Photovoltaic Standard Offer Program ii
Table of Contents 4.3 PROJECT IMPLEMENTATION... 33 4.4 INCENTIVE PAYMENTS... 34 4.5 AUDIT AND RECORDS... 34 4.6 AMENDMENT... 35 4.7 PERMITS, LICENSES, AND COMPLIANCE WITH LAW... 35 4.8 INDEPENDENT CONTRACTOR... 35 4.9 FORCE MAJEURE... 36 4.10 MISCELLANEOUS... 36 APPENDIX... 38 APPENDIX A PROGRAM ADDENDUM... 39 APPENDIX B INITIAL APPLICATION AGREEMENT... 41 APPENDIX C RESERVATION OF FUNDS AGREEMENT... 42 APPENDIX D INSTALLATION NOTICE CUSTOMER CERTIFICATION... 43 APPENDIX E SAVINGS REPORT... 44 APPENDIX F HOST CUSTOMER AGREEMENT... 45 APPENDIX G INSURANCE REQUIREMENTS... 47 APPENDIX H ONCOR CORE VALUES... 48 This Program Manual summarizes the goals, pricing and application process of the Oncor Solar Photovoltaic (PV) Standard Offer Program. It includes information about eligibility requirements, incentive payments, the participation process and descriptions and samples of enrollment materials developed by Oncor for participants. Additional Program information is located in the Texas State Technical Reference Manual Version 3.0 (TRM). The information included in this Program Manual and the TRM is subject to change. The latest information and application forms can be found on Oncor s Energy Efficiency Program website, oncoreepm.com. 2016 Solar Photovoltaic Standard Offer Program iii
Chapter 1, Program Design 1 PROGRAM DESIGN 1.1 PROGRAM DESCRIPTION Oncor is a regulated electric transmission and distribution service provider that serves 10 million customers across Texas. Using cutting edge technology, more than 3,000 employees work to safely maintain reliable electric delivery service with the largest distribution and transmission system in Texas, made up of approximately 118,000 miles of lines and more than 3 million meters across the state. But Oncor delivers more than just electricity. Each day, Oncor helps Texans meet the challenge of rethinking energy use for greater efficiency, cost savings and positive environmental impact. For more than 100 years, we ve built a reputation as a company that cares about our communities, whether it involves supporting the environment, promoting safety, or teaching school children about electricity. The Oncor 2016 Solar Photovoltaic Standard Offer Program ( SPVSOP or the Program ) offers financial incentives to Energy Efficiency Service Providers (e.g., energy service companies, Retail Electric Providers, or customers) for the installation of eligible distributed solar energy generating equipment on the premises of Oncor Residential and Commercial Customers (as defined by the Public Utility Commission of Texas ( PUCT of Commission ) Energy Efficiency Rule 25.181 and have not opted out of the Energy Efficiency Cost Recovery Factor. the Texas State Technical Reference Manual Version 3.1(the TRM ). The TRM is incorporated herein. In the SPVSOP each metered point of delivery shall be considered a separate customer. The Program complies with the standard offer program requirements promulgated by the PUCT. This Program Manual is intended to inform Service Providers of the SPVSOP requirements and processes. Service Providers should also review, and are required to comply with, PUCT Substantive Rule 25.181 related to Energy Efficiency Programs. For definitions of certain capitalized terms used herein, see the Glossary provided on the EEPM website at oncoreepm.com (located under Resources ). The primary objective of the SPVSOP is to achieve cost-effective reduction in Energy Savings and Peak Demand Savings. Additionally, the Program is designed to do the following: Encourage private sector delivery of Energy Efficiency products and services. Achieve customer energy and cost savings. Significantly reduce barriers to participation by streamlining Program procedures. Encourage participation by a wide range of Service Providers. Oncor is not involved in the sales or installation of Energy Efficiency services to its customers. Through the SPVSOP, Oncor pays incentives to Service Providers who market, sell/lease, and install solar photovoltaic systems to Commercial and Residential Customers served by Oncor. One of the features of the SPVSOP is that Oncor will rely upon the marketing capabilities of the Service Providers to sell or lease the solar 2016 Solar Photovoltaic Standard Offer Program 1
Chapter 1, Program Design photovoltaic systems to eligible Oncor customers. Oncor may generally educate Service Providers and the public about the SPVSOP, but will not market any specific Energy Efficiency-related product or service to its customers. Entering into an agreement with a Service Provider in the SPVSOP does not constitute Oncor s endorsement or approval of any company, product, or service. Service Providers participating in the SPVSOP must meet minimum eligibility criteria and comply with all SPVSOP rules and procedures. To participate in the Program, Service Providers undergo an application process for the Residential and/or the Commercial option for the SPVSOP and then enter into a Program Addendum (the Program Addendum ) to the Amended and Restated Texas Energy Efficiency Market Agreement (the Umbrella Contract ) for each option. A sample of the Program Addendum is included in Appendix A. The Program participation process, in summary, is as follows: Customers work with participating Service Providers to determine eligibility, define the technical specifications of a solar photovoltaic system suitable for their property and obtain approval from Oncor for grid connection. The selected Service Provider completes an incentive application and submits technical details of the proposed solar photovoltaic system and information on the Project location to Oncor for review by the Program Manager as part of the preinspection process. The Program Manager reviews the incentive application, and either approves the application or informs the Service Provider of the reason for denial. Approvals indicate the incentive dollar amount reserved and the period of time the incentive reservation is valid. The Service Provider installs the proposed solar photovoltaic system, submits a final application form and passes a post-inspection. The Program Manager sends an incentive check directly to the Service Provider. 1.2 PROGRAM PARTICIPANTS The SPVSOP involves three types of participants: the 1) Program administrator (Oncor), 2) Service Providers and 3) Energy Efficiency customers that provide the Projects ( Host Customers ). Oncor s responsibilities include: Approving or rejecting Program Applications and Program Addendums based on Service Provider qualifications, references and performance history. Conducting workshops for potential Service Providers. Reviewing and approving or rejecting all Project Applications (a set of standard forms, submitted by an entity wanting to participate in the SPVSOP as a Service Provider). 2016 Solar Photovoltaic Standard Offer Program 2
Chapter 1, Program Design Performing or arranging for certain inspection activities, with the number of inspections to be determined by Oncor in its sole discretion. 1 Approving or rejecting projects based on inspection results and authorizing and issuing incentive payments. Monitoring Service Provider performance and determining continuance in the SPVSOP. A Service Provider s responsibilities include: Executing an Umbrella Contract within the Energy Efficiency Program Management ( EEPM ) Solution application and a standard Program Addendum. Maintain a list of any subcontractors that will be used to perform approved installations and their associated information in EEPM. Submitting a complete Project Application and other required supplemental Project information. Conducting marketing activities to potential Host Customers. Complying with customer protection provisions, including those required by PUCT Substantive Rule 25.181(u). Completing the installation of approved Projects as required. Performing all on-site activities according to PUCT-specified regulations and procedures and Oncor SPVSOP requirements. Developing and submitting Project documentation in accordance with SPVSOP procedures and deadlines. Providing customer service to Host Customers, including the satisfactory resolution of any Host Customer complaints. Attending workshops and meetings as may be required by Oncor. Submitting any additional information when requested for measure verification. The summary above is not an exclusive list of requirements. Oncor views the preparation of the Project documentation as crucial to the success of the SPVSOP and will offer periodic workshops to acquaint potential Service Providers with SPVSOP requirements. The Oncor Energy Efficiency Program website (oncoreepm.com) will also provide key information and should be checked regularly for any SPVSOP updates. A Host Customer s responsibilities include: Committing to an Energy Efficiency Project. 1 Oncor reserves the right to contract with a third party to verify installations in the SPVSOP on its behalf. 2016 Solar Photovoltaic Standard Offer Program 3
Chapter 1, Program Design Providing Oncor and any statewide measurement and verification contractor access to the Project Site both before and after Project completion for installation inspection. Signing the Host Customer Agreement and the Installation Notice. Note: All electronic signatures must contain a security verified mark like Docusign, Adobe certificate or other similar secured software. Obtaining an executed Interconnection Agreement with Oncor. 1.3 PROJECT OPTIONS 1.3.1 SOLAR PHOTOVOLTAIC STANDARD OFFER PROGRAM Oncor has developed the SVPSOP to encourage Program participation by Service Providers and by customers served by Oncor. For each Project Application in the SVPSOP, a Service Provider will select one of the two following options in EEPM: Commercial Project Option Large and Small A Commercial Project Option is available for those customers that receive electric service from Oncor at a commercial electric rate and meet the definition of a Commercial Customer as stated in PUCT Substantive Rule 25.181. Commercial Customers can include cities, local governments, agriculture, school districts, churches and governmental facilities. The Commercial Solar PV Program will have two options based on the energy demand size of the project. The Large Option will be for projects larger than 100 kw and the Small Option that will include projects less than or equal to 100 kw. Any project in the Small Option installed larger than 100 kw can be rejected by Oncor. Residential Project Option A Residential Project Option is available for Residential Customers that receive electric service from Oncor at a residential electric rate. Once a Service Provider has been granted authorization to proceed by the Program Manager, it may submit Projects. Service Providers may continue submitting completed Projects for each Project Option until November 18, 2016, or until all budget funds have been exhausted, whichever occurs first. Project documentation must be attached under the Attachment tab in the Project Application in EEPM. 1.4 SERVICE PROVIDER, CUSTOMER, MEASURE, AND PROJECT ELIGIBILITY 1.4.1 SERVICE PROVIDER ELIGIBILITY Any Service Provider meeting the SPVSOP Application requirements that proposes to install an eligible solar photovoltaic system measure at a commercial or residential customer site served by Oncor is eligible to participate in the SPVSOP as a Service Provider, provided that the Service Provider has not been terminated from participating 2016 Solar Photovoltaic Standard Offer Program 4
Chapter 1, Program Design in any of Oncor s Energy Efficiency programs. This includes subcontractors and other third party entities. Eligible Service Providers may include: National or local energy service companies. Retail Electric Providers. National or local companies that provide energy-related services or products. Self-sponsors whose commercial Peak Demand exceeds 50 kw. To ensure that the SPVSOP incentive budget is allocated to Projects that are likely to meet with success, all Service Providers will be required to demonstrate a commitment to fulfilling Program objectives and competency in completing the proposed Project. Service Providers will be required to submit the following information in EEPM: A description of the Service Provider firm, including relevant experience, areas of expertise, and references. Proof of applicable insurance, licenses, and permits in the Service Provider s business name. A list of any subcontractors that the Service Provider uses to complete approved projects. It is the responsibility of the Service Provider to ensure that these contractors are eligible to participate in Oncor s Energy Efficiency programs and that they are in compliance with Program requirements. Failure to maintain this list can result in the Service Provider being locked out of the program or terminated. These requirements are described in further detail in Chapter 2 of this Program Manual. Service Providers for the SPVSOP are required to have on staff at least one licensed Texas Electrical Contractor or Master Electrician. Information on these staff members should be provided at the profile level in EEPM (under the Employee tab) and shall include a copy of their current license(s). 1.4.2 HOST CUSTOMER ELIGIBILITY Commercial and Residential Customers served by Oncor are eligible to have Energy Efficiency Measures installed at their facilities as part of the SPVSOP provided they sign an Interconnection Agreement with Oncor. To qualify for an incentive through the SPVSOP, Project Sites must be considered permanent and appropriate for a solar photovoltaic installation. Oncor reserves the right to deem a Project Site ineligible if the site exhibits evidence of lack of accessibility, permanency or ability to comply with the SPVSOP or PUCT rules. Commercial Customers who wish to self-install a solar photovoltaic system may do so only if they meet all Service Provider eligibility requirements in Section 1.4.1 of this Program Manual and register as a Service Provider in the Program. Commercial Customers may also contract with a registered Service Provider who will apply for funding, oversee the installation and applicable permitting, and provide the required 2016 Solar Photovoltaic Standard Offer Program 5
Chapter 1, Program Design warranty. Residential Customers are not allowed to register as a Service Provider and self-install a solar photovoltaic system. Service Providers are required by the Program to have a lead role in every Project in order to promote safety and quality in the design and installation process, and to maintain consistency with Oncor interconnection rules. Any customer or rate class that has opted out of contributing to the Energy Efficiency Cost Recovery in the Oncor service area shall not be eligible to participate in the SPVSOP. Participation in the SPVSOP does not affect a customer s eligibility to participate in other Oncor Energy Efficiency Programs. 1.4.3 ENERGY EFFICIENCY MEASURE ELIGIBILITY Solar photovoltaic systems between 90 and 270 degrees azimuth that reduce electric energy consumption and/or reduce energy consumption and system Peak Demand at the customer site(s) are eligible for the SPVSOP. Eligible Energy Efficiency Measures for the SPVSOP must be new equipment and must be used for individually metered commercial or residential buildings or facilities. Used, refurbished, and existing solar photovoltaic systems are not eligible to receive incentives for the Program. Service Providers must provide an installed invoice for each installation. New Construction New Home construction will not be eligible for a Residential Solar option incentive. New Commercial construction will be accepted as an approved measure in both commercial options. Installation Requirements All Energy and Peak Demand Savings must be measurable and verifiable. Any proposed Energy Efficiency Measure that has been installed prior to the execution of the Program Addendum will cause the Project to be rejected. Oncor, in its sole discretion, will determine whether any particular Energy Efficiency Measure is eligible for incentives. Installations which do not meet the minimum performance thresholds will not receive an incentive. All measures must be installed using industry best practices. Systems deemed unsafe or installed inappropriately will not be eligible to receive an incentive. Projects installed at commercial site locations must include a solar metering system that tracks system production and performance. 1.4.4 PROJECT SIZE Each Project is subject to the following size requirements for the solar photovoltaic system: Commercial Solar PV Program 2016 Solar Photovoltaic Standard Offer Program 6
Chapter 1, Program Design There is a minimum limit of 1,000 watts DC STC 2 and maximum limit of 100,000 watts DC STC 2 of electric output for each solar photovoltaic system in the Small Option. o Any project over 100 kw installed will not be accepted into the Small Option. Any project that has installed more than 100 kw will not be accepted as a Small project and may be rejected back to the Service Provider. o Any project over 100 kw installed must go thru the Large Option program requirements o This includes a Service Provider installing equipment that exceeds 100 kw but only applying for 100 kw. The 100 kw limit applies to the size of the installation and not the size of the incentive The Large Option requires a system to be larger than 100,000 watts DC STC 2. For both Commercial Project Options, the electric output of the installed solar photovoltaic system is limited to 75% of the Host Customer s Peak Demand (kw) during the previous 12 months. Residential Solar PV Program There is a minimum limit of 1,000 watts DC STC of electric output for each solar photovoltaic system. There is a maximum limit of 10,000 watts DC STC of electric output for each solar photovoltaic system. 1.5 INCENTIVE BUDGETS AND PRICING 1.5.1 AVAILABLE BUDGETS Oncor has assigned the following SPVSOP incentive budgets for the 2016 Program year: Commercial Solar PV Program - $ 7,625,974 Residential Solar PV Program - $ 4,432,136 Oncor reserves the right to adjust the budget during the Program year for each Project Option as it deems necessary, in its sole discretion. 1.5.2 PRICES Incentive levels applicable to each SPVSOP Project Option are as follows: Commercial Solar PV Program 2 Watts DCSTC refers to the system s factory-rated output at standard test conditions, which assumes 1,000 w/m 2 of solar radiation and 25 degree Celsius cell operating temperature. 2016 Solar Photovoltaic Standard Offer Program 7
Chapter 1, Program Design Small Option: $39.98/kW AC is the base incentive or $538.53/kW using Net Present Value $0.0187/kWh AC is the base incentive or $0.2519/kWh using Net Present Value Large Option: Service Provider bid option; not to exceed $65/ watts DC STC Residential Solar PV Program $39.98/kW AC is the base incentive or $538.53/kW using Net Present Value $0.0187/kWh AC is the base incentive or $0.2519/kWh using Net Present Value 1.5.3 INCENTIVE LIMITATIONS Maximum Service Provider Incentives To ensure that incentives are available to multiple Service Providers, no Service Provider or its Affiliates may reserve or receive more than 20% of the SPVSOP budget for each Project Option inclusive of its Affiliates. Service Providers will be required to verify their Affiliate status in EEPM. A definition of Affiliate can be found in the glossary provided on the EEPM website at oncoreepm.com. Oncor reserves the right to adjust the Service Provider incentive cap if the total amount of incentives for reserved Projects is not sufficient to meet the Program incentive budget. Incentive funding is offered to eligible Service Providers with an approved Project Application on a first-come, firstserved basis. Net Present Value The incentive calculation will use a discount rate of 8.14% and an inflation rate of 2%. Cost of Project Incentives will be limited to a percentage of the installed cost of the Project which shall be supplied by the Service Provider. In no case will Oncor pay incentives in an amount that exceeds 50% of the installed cost (as determined by Oncor, in its sole discretion, based on information provided by Service Provider and any supplemental information gathered or requested by Oncor) of the Project (i.e., Oncor will pay incentives equal to a maximum of 50% of Project installed cost). Documentation of Cost The Service Provider shall provide Oncor with a breakdown of the installed cost of the Project. This will include a copy of the Host Customer s invoice or contract. The Project cost shall be provided prior to the post-inspection. 1.5.4 INCENTIVE CALCULATION Solar photovoltaic system incentive values are calculated based on the system s rated 2016 Solar Photovoltaic Standard Offer Program 8
Chapter 1, Program Design watts DC STC. Only solar photovoltaic systems that result in net reductions of the Host Customer s energy and demand usage qualify for incentives. The SPVSOP uses two methods to calculate the incentive payment for a solar photovoltaic system: Deemed Savings Method The Deemed Savings method provides predetermined Peak Demand and Energy Savings amounts for solar photovoltaic system installations where the solar array azimuth is within +/- 20 degrees of south and the tilt angle is between 0 (horizontal) and latitude +15 degrees. The Deemed Savings method has been approved by the PUCT and can be located in the State Technical Reference Manual Version 1.0, Volume 3, Section 2.7. The Deemed Savings Values of Energy and Demand are as follows: Deemed Energy Savings (kwh) = 1,600 * kw DC STC installed Deemed Demand Savings (kw) = 0.83 * kw DC STC installed PVWatts Method The PVWatts method provides Peak Demand and Energy Savings amounts for solar photovoltaic system installations where the solar array azimuth is not within +/- 20 degrees of south or the tilt angle is not between 0 (horizontal) and latitude +15 degrees. The PVWatts method has been approved by the PUCT and more information on these savings values can be located in the State Technical Reference Manual, Volume 3, Section 2.7 and at the following websites: http://www.nrel.gov/rredc/pvwatts/ http://rredc.nrel.gov/solar/calculators/pvwatts/ Oncor s E12 file, located on oncoreepm.com, allows for using the Deemed Savings method and the PVWatts method for multiple arrays in a single Project. Multiple Arrays When one site has multiple arrays the peak time for the sum of the arrays will be used to calculate the incentive. This is done by finding the maximum demand and the hour associated with that demand by summing all of the hours across all of the arrays. Peak demand production is calculated in PV Watts for each array. The data from each array is broken down hour by hour in PV Watts Use this data to determine the overall system production by hour. The largest kw production for the system that is within the peak period will be the kw savings used for the incentive calculation. o Peak Period for Summer is June 1 to September 30 from 1pm to 7pm weekdays excluding Federal Holidays 2016 Solar Photovoltaic Standard Offer Program 9
Chapter 1, Program Design o Peak Period for Winter is December 1 to February 28 from 6am to 10 am and 6pm to 10pm. weekdays excluding Federal Holidays The data from PV Watts will be pasted into the E12 to calculate the kw savings for the system when there are multiple arrays. Derate Calculation All Projects will start with a derate factor of.83. Adjustments should be made to the Shading Factor only in the PVWatts Calculator. The PVWatts Calculator is located at http://rredc.nrel.gov/solar/calculators/pvwatts/. Start with the factors located below to get the.83 derate factor. All Projects will require a Shading Study to be performed by the Service Provider, preferably a Solmetric Suneye report. To conduct the Shading Study, the Service Provider will need to calculate the annual unshaded area where the panels will be installed. Once the annual shading percentage is determined the following protocol should be followed to calculate the Project savings. Any submitted shading study must show the annual unshaded percentage. Pictures, hand-drawn maps or other similar attachments will be returned to Service Provider for correction. Deemed Savings If the system has 10% or less annual shading, the Service Provider may use deemed savings to calculate the Project savings. If the annual unshaded is.90 or greater the Service Provider should use.83 as the derate factor. If there is more than 10% shading 2016 Solar Photovoltaic Standard Offer Program 10
Chapter 1, Program Design the Project must use PVWatts. PVWatts If the Service Provider is using PVWatts to calculate the Project savings, 10% shading will be allowed. If the annual un-shaded is.90 or greater the Service Provider should use.83 as the derate factor. If there is more than 10% annual shading the Service Provider should calculate the derate factor starting at.83 and adjust the Shading Factor in the derate equation from 1 to the percent of annual un-shaded area to calculate the appropriate derate factor. The derate factor for a Project that is shaded more than 10% will always be less than.83. Required Shading Documents in EEPM Solmetric Suneye report or other approved report that shows the annual unshaded area must be attached for each Project. This report should be attached when submitting the Project for post-inspection if there is shading. The report should clearly state the annual unshaded percentage for the installed project. Reports that do not have this calculated percentage in the report will be returned to the Service Provider for correction. Any study not performed by an industry accepted tool, for example hand-written or drawn, will be returned to the Service Provider for correction. 1.6 PROGRAM PROCESS AND TIMELINE 1.6.1 PROGRAM APPLICATION All Service Providers must first complete an Umbrella Agreement (located at oncoreepm.com) and be associated with a Program. After execution of the Umbrella Agreement, the Service Provider may contact the EEPM Help Desk to associate with a Program. The first step of association is the completion of a Program Addendum. Oncor s Standard Offer Program Addendums are on-going, but terminable by Oncor at will, as well as for other events of default by Service Provider. This allows Service Providers to avoid resubmitting a new Program Addendum each Program year; however, it does require the Service Provider to submit updated documentation for each Program year of the Program Addendum using the Program online application. It is solely the responsibility of the Service Provider to make Oncor aware of changes required to the documentation and to provide copies of such documentation. Failure to provide documentation may be a breach of the Program Addendum, which can be grounds for termination of the Addendum with the Service Provider. A sample of Program Addendum for Standard Offer Programs can be found in Appendix A. Oncor will not entertain proposed modifications to the Program Addendum unless unique circumstances merit and require revision, at the sole discretion of Oncor. Applicants are urged to review the sample Program Addendum prior to submitting a Project Application. The Program Addendum does not in any way guarantee the Service Provider funding during the Program year of the Program Addendum. The Program Addendum does not in any way obligate Oncor to the SPVSOP. 2016 Solar Photovoltaic Standard Offer Program 11
Chapter 1, Program Design 1.6.2 PROJECT APPLICATION PROCESS The first step in the SPVSOP Project Application process is for the Service Provider to submit a completed Project Application via EEPM. Project Applications will be accepted for Projects that will be completed with a request for post-inspection by November 18, 2016, 5:00 p.m. Central Time, or until all SPVSOP funding for the 2016 Program year has been exhausted. Available funding can be found in the Service Provider s SPVSOP Application in EEPM, which may be accessed by clicking on SPVSOP Application at oncoreepm.com. Chapter 2 of this Program Manual contains a detailed description of the application process. During the Project implementation period (the Production Period ), the Service Provider performs marketing, sales, and installation activities and reports Project progress on a regular basis to Oncor. See Section 3 for details about these requirements. 1.7 ADDENDUM TERMINATIONS Oncor may terminate any or all Program Addendums, in whole or in part, at any time, in its sole discretion, by providing written notice of termination to Service Provider. The notice of termination will specify the effective date of any termination, and that the Program Addendum is terminated in its entirety. In the event a Program Addendum is terminated by Oncor, the applicable Service Provider will finish any Project already commenced that cannot be discontinued without breaching the Host Customer Agreement (see Appendix B). Oncor will have no obligations with respect to any contractual obligations entered into between Host Customer and Service Provider after Service Provider s receipt of Oncor s notice of termination unless there is evidence of fraud. In the event the Program is terminated, Oncor's only liability will be to pay Service Provider the unpaid balance due Service Provider for the portion of a Project already commenced that cannot be discontinued without breaching the Host Customer Agreement unless there is evidence of fraud. In the event that fraud is suspected or discovered, Oncor reserves the right to terminate impacted Projects and not pay the reserved incentive. Oncor may refuse a Service Provider the opportunity to complete an Addendum in the SPVSOP for any reason in Oncor s sole discretion, including based on Service Provider s prior participation in the Program or any other Energy Efficiency Program offered by Oncor. Please refer to the Umbrella Contract and Program Addendum for actual termination provisions. Please note that this Section is only a summary of certain terms in the Umbrella Contract and Program Addendum, and that the terms of the actual Umbrella Agreement and Program Addendum supersede and control over this summary in the event of any conflict. 2016 Solar Photovoltaic Standard Offer Program 12
2 PROGRAM APPLICATION Chapter 3, Production Period 2.1 GENERAL PROGRAM APPLICATION GUIDELINES Oncor will open the 2016 SPVSOP website at 10:00 AM Central Time on November 12, 2016, so that applicants can begin filling out Applications. A Program Application is located online at oncoreepm.com. The 2016 SPVSOP website will begin accepting Project Applications on January 11, 2016 at 10:00 AM, Central Time. The Application forms will be accessible by clicking the 2016 Solar Photovoltaic SOP Application link on the website oncoreepm.com. All Project Applications will consist of four phases: Initial Application (IA), Final Application (FA), Installation Notice (IN), and Savings Report (SR). All documents will be submitted online via EEPM. Note: For the Commercial Large Option, all projects submitted will initially show a status of Waitlisted until the project review process is completed. See section 2.3.1 for additional details. 2.2 APPLICATION PROCESS Applicants for SPVSOP must submit an electronic Program Application, along with an executed (signed and dated) Program Addendum that is downloaded from the Application. The Program Addendum must be attached under the Attachment tab when the Application is submitted through the Internet. Service Providers must also provide Oncor with a certificate or certificates of insurance that meets the requirements in the Appendix. Oncor will notify applicants of their Application status within ten (10) business days of submitting the Application. If Oncor approves a Program Application, it will execute the Program Addendum, if applicable, and attach a copy to the Service Provider Documents tab. An overview of the Service Provider application process is below. 2016 Solar Photovoltaic Standard Offer Program 13
Service Provider Program Application Process Chapter 3, Production Period Service Provider (SP) Visit oncoreepm.com and complete Umbrella Agreement Oncor Oncor reviews and executes Umbrella Agreement; SP receives EEPM login SP contacts Help Desk to associate with a program; Completes Program Addendum SP completes Program Application and SP Profile in EEPM, submits Certificate of Insurance Oncor reviews and executes Program Addendum if Application is approved SP submits Project Applications 2.2.1 PROVIDER INFORMATION Service Providers that want to participate in Oncor s Energy Efficiency Programs are required to have an Umbrella Contract with Oncor. A sample agreement and instructions for application can be found at the Oncor Energy Efficiency Program website (oncoreepm.com). The information listed below is required of all applicants: Applicant name (company) Federal tax identification number of applicant Contact name Contact title 2016 Solar Photovoltaic Standard Offer Program 14
Chapter 3, Production Period Street address Mailing address Contact phone number Contact fax number Contact e-mail address Name(s) and contact information of parent company (if any) and Affiliates Any sub-contractors and with their required information. Sub-contractors must be eligible to participate in Oncor s Energy Efficiency programs Assumed name certificate filed with county or state if applicable W-9 2.2.2 QUALIFICATIONS Oncor requires applicants to demonstrate their financial, technical, and managerial qualifications as part of the Program Application process and the Service Provider Profile update requirements. This information helps to ensure that a proposed Energy Efficiency Project will be successful in delivering the Peak Demand and Energy Savings, the applicant is committed to fulfilling Program objectives, and the applicant is competent to complete a proposed Project. At a minimum, Program Applications must include the following: A brief statement of the applicant s technical and managerial capabilities and experience in implementing Energy Efficiency Projects. Evidence that applicant possesses all applicable licenses and permits. This would include a copy of the employees Texas Electrical Contractors License or a Master Electricians License. Two recent client/customer references for Projects similar in nature to that proposed in the Project Application (include contact name, address, and phone number). Evidence of applicant s financial strength and capability. This may include company description, years in business, number of employees, approximate annual revenues, trade references (include name and phone number), and/or other information deemed appropriate by the applicant. Disclosure of any legal judgments pending, or entered in the previous two years, against applicant company, its owners, and affiliates, as well as a current list of pending litigation filed against applicant, its owners, and affiliated parties. 2016 Solar Photovoltaic Standard Offer Program 15
Chapter 3, Production Period 2.3 PROJECT APPLICATION SUBMITTAL PROCEDURE The Commercial and Residential Options Project Application processes involve multiple stages that are outlined below. Additional information about each stage in the process is reviewed in Chapter 3. 2016 Solar Photovoltaic Standard Offer Program 16
Service Provider (SP) Oncor Chapter 3, Production Period Completes Umbrella Agreement & Umbrella Agmt; Identifies projects & negotiates with customers Submits Initial Application (IA) IA approval or rejection Finalize measures & timeline If approved, reserves funding Submits Final Application (FA) Pre- Inspection Production Period Signs and returns Reservation of Funds Agreement Generates Reservation of Funds Agreement INSTALL PROJECT Submits Installation Notice (IN) IN approval or rejection Submits Savings Report (SR) Post- Inspection Reviews SR and makes payment 2016 Solar Photovoltaic Standard Offer Program 17
Chapter 3, Production Period All hard copies of Applications and supplemental documentation, if required, must be electronically scanned and attached to the Project under the Attachment tab in EEPM. For a Project Measure under this Program, the E12 (see Appendix D) spreadsheet will be used for application in EEPM. All information, except model and serial numbers must be provided in the spreadsheet for the Project Application. Once the system installation is complete, the Service Provider will be required to update this spreadsheet to reflect the as-installed system including the model and serial numbers for the inverter(s). 2.3.1 COMMERCIAL LARGE OPTION PROJECT APPLICATION SUBMISSION Projects that qualify for the Commercial Large Option will be required to submit an application with supplemental information. All Projects and required information must be submitted in EEPM starting on January 11, 2016. The option will close for projects on January 15, 2016 at 5:00 CST. Projects will be reviewed and evaluated by Oncor based on budget, system size, capital cost, system location, customer acceptance, timeline and other relevant information related to the proposed project. Note: For the Commercial Large Option, all projects submitted will initially show a status of Waitlisted until the project review process is completed. Beginning January 16, 2016, Oncor will review and score each application. Applications will then be accepted based on their score, starting with the highest scoring project and progressing through the rated list until budget funds are exhausted. The following information and documentation must be submitted in EEPM by January 15, 2016. If all required information is not submitted, a project may not be eligible for review or may result in a reduced score. Solar PV Information Form. (See the Appendix for example) o Project description and customer information o Proposed system information o Pricing structure (equipment, labor and other related costs) o Project timeline Letter of commitment from the customer contingent upon incentive funding. Drawings, schematics, maps or other project design and planning documents. Incentive amount requested based on rated capacity, expressed in dollars per dc Watt (built into the E12 sheet. Input system information on Data Input tab and then input incentive amount on bid tab). Submissions that do not include a requested incentive amount may not be evaluated. Project Sponsors will be notified by January 26, 2016 of the status of their project (accepted, waitlisted or rejected). Project information submitted will be used by Oncor to evaluate the viability, potential results and impact of the project. Questions about the Program or Projects may be directed to: 2016 Solar Photovoltaic Standard Offer Program 18
Oncor Attn: Jeff Reed Solar PV Program Manager 1616 Woodall Rodgers 5M027 Dallas, TX 75202 Phone: 214-486- 6966 E-mail: jeff.reed@oncor.com Chapter 3, Production Period It is the sole responsibility of the applicant to ensure that Oncor receives all of the required Project Application materials by close of business on the applicable due date. 2.4 PROJECT APPLICATION REVIEW PROCEDURES 2.4.1 PROJECT APPLICATION EVALUATION Oncor may reject a Project Application for any reason in its sole discretion. Examples of reasons Oncor may reject a Project Application include: The Project Application is received after the budget for that Project Option has been fully committed. The Project Application does not include required information. The applicant s proposed Production Period cannot reasonably be expected to be completed by November 18, 2016. Required submittals are not received by deadlines stated in this Program Manual. The applicant fails to meet SPVSOP eligibility requirements. The applicant is found to have made material misrepresentations in the Project Application. The applicant fails to comply with applicable federal, state and local laws and regulations. Oncor determines rejection is necessary due to changes that occur in laws or regulations directly affecting the SPVSOP. Oncor, in its sole judgment, determines that the applicant is incapable of fulfilling the terms and conditions of the Program Addendum. Oncor may request clarification of, or additional information about, any item submitted as part of the Project Application. Applicants must respond to such requests within the time period specified by Oncor. If the clarification or additional information provided is not sufficiently responsive, Oncor may, at its sole discretion, request additional information or discontinue its evaluation of the submittal. 2016 Solar Photovoltaic Standard Offer Program 19
2.4.2 APPLICATION CONFIDENTIALITY Chapter 3, Production Period Oncor s SPVSOP is subject to oversight by the PUCT, which may request a copy of any SPVSOP materials that Oncor receives. Sensitive information submitted by the Service Provider to Oncor, such as financial statements and Project costs, will be treated confidentially to the extent possible. However, Oncor will not be liable to any Service Provider or other party as a result of public disclosure of any information submitted pursuant to the SPVSOP. 2.4.3 SUBMISSION OF FALSE, MISLEADING, OR INCORRECT INFORMATION Oncor reserves the right to discontinue its evaluation of all submittals from any Service Provider who submits false, misleading, or incorrect information. 2.4.4 SPVSOP PARTICIPATION COSTS Oncor will not reimburse any Service Provider for any costs incurred by participating in the SPVSOP, including costs of preparing the Project Application, reviewing or executing the Program Addendum, or preparing and submitting Savings Reports. 2.4.5 PARTICIPATION RESTRICTIONS AND ADDITIONAL QUALIFICATIONS Oncor may impose additional restrictions and qualification requirements on Service Providers to those set forth in the Program Addendum based on prior Program participation. 2016 Solar Photovoltaic Standard Offer Program 20
3 PRODUCTION PERIOD Chapter 3, Production Period 3.1 PRODUCTION PERIOD The Production Period is 10 AM Central Time on January 11, 2016, to 5 PM Central Time on November 18, 2016, or until the program funds are exhausted. This is the time period during which Energy Efficiency Measures may be installed. Any project already started or completed outside of this time period will be cancelled and could result in additional penalties. During the Production Period, the Service Provider will be performing marketing, sales, and installation activities and reporting progress on a regular basis to Oncor. All Projects will require the pre-inspection process outlined in Section 3.3.2 to be implemented prior to the Project starting. 3.2 REQUIRED SUBMITTALS 3.2.1 SAVINGS REPORTS The primary reporting instrument during the Production Period is the Savings Report, which will also serve as an invoice. Savings Reports will be completed electronically on an official Oncor Savings Report form. A completed Host Customer Agreement and Installation Notice Customer Certificate will also be required for each ESI ID included in the Project and will be assessable to the Service Provider inside its SPVSOP Application. Copies of Savings Reports must be signed and attached under the Projects Attachment tab along with other required supporting documentation. Copies of Savings Reports and any required accompanying documents must be attached to the Project Application under the Attachment tab prior to submittal in EEPM. Oncor will not make any incentive payments for any savings not included in an Installation Notice Customer Certificate electronically submitted. The final Installation Notice Customer Certificate for 2016 must be electronically submitted by 5:00 p.m. Central Time on November 18, 2016, and copies of the Installation Notice Customer Certificate and required accompanying documents must be attached prior to submittal on November 18, 2016. Each Service Provider is subject to the incentive limitations specified in Sections 1.4.4 and 1.5.3 of this Program Manual. Work submitted for an Incentive Payment must be completed only during the Program Production Period. Savings Reports shall include the following information: Host Customer name(s) and address(es) Service address(es) Oncor meter number and/or Host Customer ESI ID (account) number Host Customer telephone number(s) and best time to call Identification of the installed Project Measure 2016 Solar Photovoltaic Standard Offer Program 21
Chapter 3, Production Period kwh savings, kw savings, and incentive amount for the Project Measure For each installation, the Service Provider will enter the data listed above. Throughout the course of the installation, Service Providers will input data via the E12 spreadsheet in EEPM and may input installation data all at once or periodically. Service Providers can review this data from time to time and make any changes necessary. Once all of the data has been inputted and reviewed by the Service Provider, the Service Provider will click the submit button to electronically submit this data to Oncor. Savings Reports are generated from the installation data inputs after the post-inspection is complete. No additional data inputs are required to generate these reports. Saving Reports can be downloaded from the Project Application form under the Printed Documents tab. Copies of Savings Reports must be attached under the Attachment tab. The Service Provider shall maintain the original copies of the Saving Report for a period of four (4) years. 3.2.2 HOST CUSTOMER AGREEMENT AND INSTALLATON NOTICE CUSTOMER CERTIFICATE A signed copy of the Host Customer Agreement and Installation Notice Customer Certificate (which may not be altered) shall be attached under the Attachment tab in EEPM along with the Savings Report. Among other things, the Host Customer Agreement must be signed prior to installation of Measures at a site; it provides Oncor permission to inspect installations, which may be required before Incentive Payments are approved. An Installation Notice Customer Certificate verifies the installation of Energy Efficiency Measures. A copy of the completed Host Customer Agreement and Installation Notice Customer Certificate shall be left with the Host Customer. The Service Provider shall maintain the original copies of the Host Customer Agreement and Installation Notice Customer Certificate for a period of four (4) years. 3.2.3 PROJECT INVOICES The Savings Report will serve as the Service Provider s invoice for Incentive Payments. Oncor may adjust Incentive Payments based on findings from on-site inspections. The total incentive paid will not exceed the amount in the Reservation of Funds. 3.2.4 ADDITIONAL DOCUMENTS E12 Spreadsheet Oncor will provide the E12 spreadsheet to the Service Provider through EEPM. The E12 spreadsheet will be updated by the Service Provider and submitted in EEPM during the application process. The Service Provider will update the E12 spreadsheet to include: Project Identification (Project name, Project number, Service Provider name, ESI ID number) Project Type (Deemed Savings, PVWatts) 2016 Solar Photovoltaic Standard Offer Program 22
Chapter 3, Production Period Panel Information (Location, Manufacturer, Model number, DC Watts of Panel, Number of Panels, Azimuth, Tilt Angle, Derate Factor) Inverter Information (Location, Manufacturer, Model number, Serial number) PVWatts Calculation Results Page If the PVWatts method is used to calculate the incentive payment, the Service Provider is required to populate the E12 spreadsheet with information from the PVWatts calculator. and provide the PVWatts Results page in EEPM under the Attachments tab, Other Documents. The PVWatts Version 1 calculator can be found at the following website: http://rredc.nrel.gov/solar/calculators/pvwatts/ Complete the following steps when using the PVWatts Version 1 calculator: 1. Select Texas from the list of States and Territories 2. Select the city that is closest to the solar installation site (use Google Maps if necessary to make this determination) 3. Insert the following PV System Specifications: DC Rating (kw) DC to AC Derate Factor (this should always be 0.83 unless a Shading Study is required that results in a different shading component derate value) Array Type (this should always be Fixed Tilt ) Array Tilt (degrees) Array Azimuth (degrees) 4. Select Calculate and on the PVWatts Results page, locate the AC Energy (kwh) value in the Year row and insert this value and other required information in the E12 spreadsheet in EEPM. Shading Study Results Page A Shading Study is required and the Service Provider is required to provide a copy of the study results page in EEPM under the Attachments tab, Shading Study. Deposit A performance security deposit equal to 5% of the incentive estimate shall be included in the IA for all Projects in the Large Commercial Option. The deposit is refundable for Projects provided they meet 75% of their contracted savings goal in the Savings Report within sixty (60) calendar days after the completion date specified in the Program Addendum. Refunded deposits are included as part of the final incentive payment for the project. 2016 Solar Photovoltaic Standard Offer Program 23