Power Purchase and Grid Connection Procedures

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1 Building Your Biogas System Workshop and Grid Connection Procedures Aidan Foss.

2 ANF Energy Solutions DG grid connection specialists No project ownership Current projects Biogas 21 Landfill Gas 2 Wind 25 PV 5 Small Hydro 3 River Turbine 1 Increasing involved in research due to new connection issues

3 The Grid Connection POWER EXPORTER NET METERING HV EQUIPMENT OWNED BY FARMER HV DISCONNECT HV FUSE INTER-TIE TRANSFORMER LV DISCONNECT HV FUSE INTER-TIE TRANSFORMER UTILITY FEEDER LV FUSE M REVENUE METER M REVENUE METER INTER-TIE CIRCUIT-BREAKER TO OTHER LOADS LV DISCONNECT M TO DIGESTER & POWERHOUSE LOADS REVENUE METER LV FUSE GENERATOR CIRCUIT-BREAKER BIOGAS GENERATOR GENERATOR CIRCUIT-BREAKER BIOGAS GENERATOR

4 Getting Connected Options Grid Access Grid Connection Costs Grid Connection Process

5 Options: Embedded Retail Generator market price Net Metering to 500kW RESOP Renewable Energy incentive CESOP Clean Energy incentive -?? Green Energy Act will replace RESOP

6 Renewable Energy Standard Offer Program (RESOP) Launched in Nov c/kWh c/kWh for peak 20 year contract with OPA Up to 10MW, 50kV Requires a CIA Green, Yellow & Orange zones Driver for flood of projects Suspended in May 2008 Biogas OK to 5MW Will be superseded by Green Energy Act

7 Grid Access Rights No guaranteed access rights Distribution Code has limited capacity Until 12 February 2009, Distribution Code was First-come First-served for all generation in 10kW-10MW range

8 Hydro One Queue Substation Capacity = 20MW Queue Position Project (10 MW) (10 MW) CIA Pending CIA Pending 333 (10 MW) 444 (500 kw) Capacity limits due to feeder, switchgear and transformers Speculative projects ahead in the queue could delay your application by 2-3 years per project

9 Hydro One Queue Analysis Project Size Applications <500kW kW MW MW 971 Full Substations 117 of 151 From Hydro One queue 31-Oct-08 Over 80% in 9-10 MW range Blockages started in windy areas Great Lakes Blanket applications in Eastern Ontario Aug/Sept 07 Small biogas being shut out from many agricultural areas

10 Wind & Farm Biogas Wind & PV Typically 9-10MW Multiple applications financed by large corporations Flexible on location Farm Biogas Generally <500kW Individual applications financed by farmers Tied to farms 30-35% capacity factor % capacity factor Competition between generators Grid access is first step - companies forced to speculate Removes opportunity for small biogas Co-operation between farmers No speculation, but forced to rapidly submit Form Bs No significant impact on wind farm development

11 Distribution Code Modification 12 th February 2009 Amendment Up to 250kW: Queue exempt on feeders below 15kV Up to 500kW: Queue exempt on feeders above 15kV

12 Grid Connection Costs All costs up-front unlike load customer Distribution Network designed for load customers Deep Entry Watch out for $$$: Protection upgrades Anti-islanding protection Recloser replacement Voltage regulators

13 The Single-phase Hydraulic Recloser Extensively deployed across Ontario Restores load customers in 1-2 seconds Simple, reliable Can be a big problem for generation

14 Grid Connection Process 1. Initial Feasibility Assessment 2. Connection Impact Assessment Gives queue position 12 months to CCRA 3. Connection Cost Estimate 4. Connection Cost Recovery Agreement 5. Connection Agreement

15 Grid Connection Process Distribution Code timescales not met Hydro One swamped Generator responsibility for connection design, equipment procurement and protection design No simplified process for small generation

16 Terryland Farm 180kW Biogas Form A submitted Sept 2006 CIA issued May 2007 Commissioned August 2007 Major delay due to Antiislanding Protection

17 Fepro Farms 499kW Biogas July st Form B and CIA Highlighted several areas of unclear connection policy Pilot for new Antiislanding protection strategy Scheduled for March 2009

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