Distributed Generation Guidelines for Customer-Owned Generation

Federal Energy Regulator Commission (FERC) provides standards for small generation (less then 20 MW) interconnection for facilities within the jurisdiction of the commission. This generally applies to transmission-level interconnection. Distribution-level interconnection is usually regulated by each state's public utilities commission.

Generator interconnections to the Southwestern Public Service Company (“SPS”) distribution system, not subject to Southwest Power Pool (“SPP”) Open Access Transmission Tariff (“OATT”), may still require studies to identify impacts on SPS’s transmission system. SPS will notify SPP of interconnection requests of 5 MW or more to be studied pursuant to SPP’s Affected System Generation Interconnection Impact study process (“Impact Study or Studies”). SPP and/or SPS will evaluate each interconnection request not subject to OATT requirements and will make the final determination whether the interconnection impact study will be performed by SPP. In instances where further study is warranted, such studies will be performed by SPP, at the direction of SPS. Non-jurisdictional generator interconnection customers may be required to enter into the appropriate study agreements with SPP to facilitate an Affected System Agreement. Additionally, requests for non-jurisdictional generator interconnections may be required to be coordinated with SPP in accordance with North American Electric Reliability Corporation (“NERC”) standards.

Although such studies may be performed within SPP’s Generation Interconnection Process (“GIP”) for planning purposes, the non jurisdictional generator interconnection customer will not be subject to the OATT. In such instances, the following shall apply:

1. When notified, SPP is responsible for conducting any required studies to determine if the request may impact the Transmission System.
2. Should SPP determine that the generator interconnection may impact the Transmission System, SPP shall notify SPS of such impacts and provide to SPS any system impact studies that detail such impacts.
3. As an impacted system, SPP will determine what additional studies will be required to coordinate the impacts, up to and including studying the impact in the Definitive Interconnection System Impact Studies (“DSIS”). SPS shall require as a condition of interconnection with the generation customer making request for interconnection, that all SPP required studies be completed. SPS shall have the option to enter into the applicable Affected System study agreements and to be financially responsible for such studies, or as a condition of interconnection, to require the interconnection customer to submit a request to enter the DSIS process or other SPP study process as applicable.
4. It shall remain SPS’s responsibility to complete any generator interconnection agreements in accordance with SPS’s generator interconnection procedures regarding the completion of Network Upgrades required on the Distribution System and on SPS’s Transmission System.

Distributed generation in excess of the net distribution load on a substation will result in power flowing into the transmission system.  Net distribution load is the sum of the traditional load and any pre-existing generation under normal operating conditions.  For this situation, the substation is considered an impact to the transmission system and could require upgrades.  Facilities 2 MW and less may be eligible for the fast track process in lieu of the DISIS.
SPS shall have the option to enter into the applicable Affected System study agreements and to be financially responsible for such studies, or as a condition of interconnection, to require the interconnection customer to submit a request to enter the DSIS process or other SPP study process as applicable.

Impact Studies are performed in a “cluster” method twice a year in April and October. SPS will require the party requesting interconnection to provide initial funding in the amount of $30,000 to determine if upgrades will be needed to the effected transmission system. All funding and DG generator interconnection information must be provided to SPS no less than 30 days prior to April or October. Impact Studies typically take four to six months to be completed. Multiple studies and additional funding are always a possibility. After the SPP Impact Study process is completed and provided to SPS, SPS will contact the party requesting interconnection with any transmission system upgrades required along with the distribution system upgrades. If any funding is not used for the Impact Study, it will be refunded to the party requesting interconnection.

The New Mexico state interconnection rules as adopted by the New Mexico Public Regulation Commission (PRC) are report in rules 568, 569, 570, and 572.

Electric Rules

• Interconnection of Generation to a Utility System (up to 10MW)
  • Rule NMAC 17.9.568
• Interconnection of Generation to a Utility System (over 10MW)
  • Rule NMAC 17.9.569
• Governing Power and Small Power Production
  • Rule NMAC 17.9.570
• Renewable Energy for Public Utilities
  • Rule NMAC 17.9.572
  • Amendment to Rule NMAC 17.9.572
• All Electric Services Rules
  • NMAC Title 17 Chapter 9

New Mexico Tariffs relating to distributed generation can be found in the below sections of the New Mexico Electric Rate Book.

Xcel Energy New Mexico Tariffs

• Purchasing from Qualifying Facilities (3018)
• Service to Qualifying Facilities (3017)
• Photovoltaic Water Pumping Systems (7201)
• Renewable Energy Rate Rider (7202)
• Small Solar Distributed Generation Program (5004)
• Medium Solar Distributed Generation Program (5005)
• Large Solar Distributed Generation Program (5006)
• Small Biomass Distributed Generation Program (5007)
• Medium Biomass Distributed Generation Program (5008)
• Small SDG-REC Purchase Program (5009)
• Medium SDG-REC Purchase Program (5010)

Requirements applying to interconnections less than or equal to 10MW as referenced in state rule 568 are including below in the New Mexico Interconnection Manual. The manual includes interconnection process, agreements, and applications. Separated documents are also included below.

New Mexico Interconnection Manual

• Application Instructions
• General Review of Process
• Utility Review Process Flow Chart
• Simplified Interconnection Application
• Standard Interconnection Application
• Interconnection Agreement

Xcel Energy Guidance to Interconnection Rules

• Level I Flow Chart (up to 10kW)
• Level II Flow Chart (10kW to 2MW)
• Level III Flow Chart (2MW to 10MW)

Solar*Rewards Interconnection Information

Jaclyn Webb
Program Manager
1800 Larmier Street
Denver, CO 80202
Phone: 303-294-2633
Email: Jaclyn.Webb@xcelenergy.com
Email: NMSolarProgram@xcelenergy.com

Distributed Generation Interconnection Information

Brian G. Fleming
Xcel Energy Services – Resource Planning
600 S. Tyler, Suite 2900
Amarillo, TX 79101
Phone: 806-378-2460
Fax: 806-378-2995
Email: Brian.Fleming@xcelenergy.com

Transmission Voltage Interconnection Information

Annette Gallegos
Principal Transmission Representative
Phone: 806-640-6302
Email: Annette.Gallegos@xcelenergy.com