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    <div class="moz-cite-prefix">Thanks for this info Phil, we were just
      consulting on  PG&E project that took a turn for the worse.  <br>
      It seems that the limit would just be the inverter capacity. 
      Couldn't you have a larger battery bank and keep the inverter
      continuous sell capacity below 10 kW to meet the rule? (like the
      Radian....)<br>
      Many batteries would not do well at a 2 hr discharge rate, or even
      a 6 hr rate.  A 20 hr. max discharge rate would make more sense,
      and be more compliant with battery industry standards.<br>
      <pre class="moz-signature" cols="72">R.Ray Walters
CTO, Solarray, Inc
Nabcep Certified PV Installer, 
Licensed Master Electrician
Solar Design Engineer
303 505-8760</pre>
      On 7/3/2014 3:48 PM, Phil Undercuffler wrote:<br>
    </div>
    <blockquote
cite="mid:CAPLQxE+oXx0yb72yY76720nFT3C1ETvLZwOu+sfwziicbqaWgw@mail.gmail.com"
      type="cite">
      <div dir="ltr">
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">Hi
          all,</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small"><br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">
          The kW is correct, although it does run counter to most every
          definition of a battery we're used to -- I guess you could say
          the vectors of physics and policy are not always aligned.  </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">
          <br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">The
          entire "kW" issue ties back to the self-generation incentive
          program (SGIP), which currently pays about $1.80/Watt for
          energy storage.  I had many long discussions this past year
          with policymakers and the program administrators at the CCSE,
          and they really helped me understand the reasons behind how
          energy storage came to be defined in kW, not kWh. The Governor
          and other policymakers want to achieve reduced greenhouse gas
          emissions, and in order to do that we need a more efficient
          grid -- renewables are now as cheap or cheaper than
          traditional generation, but due to the variability (of loads
          and generation) and increased reliance on natural gas GHG
          emissions are trending up, not down.  We can't generate our
          way out of this cycle; storage is a key tool in moving to the
          next stage, and the policymakers wanted to provide tools to
          increase the adoption of storage on the grid.</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small"><br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">In
          the sometimes convoluted way that policy sometimes takes, the
          best tool they had available was SGIP, so they added Advanced
          Energy Storage to SGIP.  Since SGIP is a "generator" program,
          in order to make this work they had to define AES in terms of
          a generator.  Therefore, the battery is rated in terms of the
          capacity that it can provide to (or the capacity that it
          replaces from) the grid, for a period of time, which is
          defined as a two hour period.</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small"><br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">To
          turn that into actual (if rough) numbers, let's say you have a
          200 AH battery. The 200 AH is only at the 100 hour rate, so
          you need a manufacturer that provides the one or two hour
          rate, where it's good for 103 AH, or 4.944 kWh per string to
          total exhaustion.  You don't want to flatline the battery, so
          let's use  80% DOD, which would be 3.95 kWh per string.  You
          need to be able to provide this capacity for two hours, so cut
          that number in half for 1.97 kWh rated capacity.  Per the SGIP
          handbook, "<span
            style="font-size:16px;color:rgb(1,1,1);font-family:Arial">The
            purpose of the SGIP is to contribute to Greenhouse Gas (GHG)
            emission reductions, demand </span><span
            style="font-size:16px;color:rgb(1,1,1);font-family:Arial">reductions
            and reduced customer electricity purchases, resulting in the
            electric system reliability through </span><span
            style="font-size:16px;color:rgb(1,1,1);font-family:Arial">improved
            transmission and distribution system utilization; as well as
            market transformation for distributed </span><span
            style="font-size:16px;color:rgb(1,1,1);font-family:Arial">energy
            resource (DER) technologies."  </span>Put two strings of
          that battery together with a ~4kW battery based inverter and a
          program that meets that purpose, and you're off to the races.</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small"><br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">If
          the inverter/battery is 10kW or less per this definition,
          there are no metering requirements.  For systems larger than
          10kW, or if you wish to use the metering requirements of
          systems larger than 10kW you can meter the load, the
          generation and the total energy flow at the PCC, and the
          utility can't charge you more than $600 for all of this
          metering.  There's a writeup on the OutBack website on how to
          use two meters plus a NEM meter to do this.</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small"><br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">Hope
          this helps,</div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">
          <br>
        </div>
        <div class="gmail_default"
          style="font-family:arial,helvetica,sans-serif;font-size:small">Phil
          Undercuffler</div>
      </div>
      <div class="gmail_extra"><br>
        <br>
        <div class="gmail_quote">On Thu, Jul 3, 2014 at 8:56 AM, Bruce
          Erickson <span dir="ltr"><<a moz-do-not-send="true"
              href="mailto:bruce@mendocinosolar.com" target="_blank">bruce@mendocinosolar.com</a>></span>
          wrote:<br>
          <blockquote class="gmail_quote" style="margin:0 0 0
            .8ex;border-left:1px #ccc solid;padding-left:1ex">
            <div style="word-wrap:break-word">Hi Wrenches,
              <div><br>
              </div>
              <div>Here is the only info I've seen regarding NEM with
                batteries in California. It's a May 15 news post from
                CALSEIA, which Brad allowed me to post here.</div>
              <div><br>
              </div>
              <div>One problem clearly is defining the categories,
                because what is a storage system "larger than 10 kW"?
                Seems like there's an "h" factor missing.</div>
              <div><br>
              </div>
              <div>Even for category 1, "internal metering devices"
                could be a Mate3 for instance, but how can a Mate report
                directly to the utility?</div>
              <div><br>
              </div>
              <div>This whole thing is a mess, IMO. I'm still curious,
                are any other California Wrenches dealing with utility
                NEM departments for systems with storage in the last few
                months, and what has been your experience?</div>
              <div><br>
              </div>
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style="border-collapse:collapse!important;color:rgb(54,54,54);font-family:Helvetica;font-size:10px;line-height:12px;padding-top:10px;padding-bottom:10px;text-align:left">Official
                                                          CALSEIA
                                                          Membership
                                                          Announcement</td>
                                                          <td
style="border-collapse:collapse!important;color:rgb(54,54,54);font-family:Helvetica;font-size:10px;line-height:12px;padding-top:10px;padding-bottom:10px;text-align:left;padding-left:20px"
                                                          width="220">Email
                                                          not displaying
                                                          correctly?<br>
                                                          <a
                                                          moz-do-not-send="true"
href="http://us4.campaign-archive2.com/?u=a0487692bb2e2f280211c4298&id=24ddc73bfb&e=01b7850b6c"
style="color:rgb(54,54,54);font-weight:normal;text-decoration:underline"
target="_blank">View it in your browser</a>.</td>
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                                                          <h1
style="color:rgb(54,54,54)!important;display:block;font-family:Helvetica;font-size:24px;font-style:normal;font-weight:normal;line-height:24px;letter-spacing:normal;margin-top:0px;margin-right:0px;margin-bottom:10px;margin-left:0px;text-align:left"><font
color="#003366"><strong>News Alert</strong></font></h1>
                                                           
                                                          <h2
style="color:rgb(54,54,54)!important;display:block;font-family:Helvetica;font-size:18px;font-style:normal;font-weight:normal;line-height:18px;letter-spacing:normal;margin-top:0px;margin-right:0px;margin-bottom:10px;margin-left:0px;text-align:left">Dear
                                                          CALSEIA
                                                          Members,</h2>
                                                          <div><br>
                                                          Earlier today,
                                                          the California
                                                          Public
                                                          Utilities
                                                          Commission
                                                          voted to
                                                          finalize the
                                                          decision on
                                                          the
                                                          interconnection
                                                          of solar
                                                          systems paired
                                                          with energy
                                                          storage
                                                          systems under
                                                          net metering.<br>
                                                          <br>
                                                          First, and
                                                          most
                                                          importantly,
                                                          the decision
                                                          restores the
                                                          ability of
                                                          solar systems
                                                          paired with
                                                          storage to
                                                          qualify under
                                                          the standard
                                                          net metering
                                                          tariff. For
                                                          the past year,
                                                          utilities had
                                                          refused to
                                                          connect
                                                          systems with
                                                          batteries
                                                          under NEM.<br>
                                                          <br>
                                                          However, the
                                                          decision
                                                          includes new
                                                          requirements.
                                                          It effectively
                                                          creates three
                                                          categories of
                                                          systems.<br>
                                                          <br>
                                                          1. Storage
                                                          systems
                                                          smaller than
                                                          10 kW maximum
                                                          output power
                                                          can be paired
                                                          with any size
                                                          solar system
                                                          and do not
                                                          have to
                                                          install a
                                                          second meter.
                                                          The associated
                                                          solar systems
                                                          will have to
                                                          report system
                                                          production to
                                                          the utility
                                                          using internal
                                                          metering
                                                          devices to
                                                          make sure NEM
                                                          credits are
                                                          only going to
                                                          solar output
                                                          and not
                                                          battery
                                                          output.<br>
                                                          <br>
                                                          2. Storage
                                                          systems larger
                                                          than 10 kW
                                                          with maximum
                                                          power output
                                                          less than 150%
                                                          of solar
                                                          system
                                                          capacity will
                                                          have to
                                                          install a
                                                          second meter
                                                          at a cost of
                                                          up to $600 to
                                                          make sure NEM
                                                          credits are
                                                          only going to
                                                          solar output
                                                          and not
                                                          battery
                                                          output.<br>
                                                          <br>
                                                          3. Storage
                                                          systems larger
                                                          than 10 kW
                                                          with maximum
                                                          power output
                                                          more than 150%
                                                          of solar
                                                          system
                                                          capacity will
                                                          be on the
                                                          NEM-MT tariff
                                                          rather than
                                                          the standard
                                                          NEM tariff. In
                                                          addition to
                                                          the $600
                                                          meter, they
                                                          will have to
                                                          pay an
                                                          application
                                                          fee of $800
                                                          and could
                                                          potentially be
                                                          subject to
                                                          standby
                                                          charges and
                                                          distribution
                                                          system studies
                                                          and upgrades.
                                                          They will
                                                          still get net
                                                          metering
                                                          credits for
                                                          electricity
                                                          they put on
                                                          the grid from
                                                          the solar
                                                          system.<br>
                                                          <br>
                                                          These limits
                                                          are an
                                                          improvement
                                                          over the
                                                          limits that
                                                          were in the
                                                          proposed
                                                          decision. The
                                                          Commission did
                                                          not include
                                                          all of
                                                          CALSEIA's
                                                          recommendations,
                                                          but it
                                                          included some
                                                          significant
                                                          movement in
                                                          the right
                                                          direction.</div>
                                                          <ul>
                                                          <li>The
                                                          threshold
                                                          between the
                                                          categories
                                                          above was
                                                          changed from
                                                          100% to 150%
                                                          of the paired
                                                          generator’s
                                                          output power.</li>
                                                          <li>A kWh
                                                          storage limit
                                                          of the storage
                                                          system was
                                                          eliminated
                                                          (how many
                                                          hours worth of
                                                          electricity
                                                          can be
                                                          stored).</li>
                                                          <li>A de-rate
                                                          formula that
                                                          would have
                                                          potentially
                                                          reduced the
                                                          value of NEM
                                                          credits was
                                                          abandoned.</li>
                                                          <li>Utilities
                                                          must refund
                                                          application
                                                          fees that were
                                                          illegally
                                                          collected over
                                                          the past year.</li>
                                                          </ul>
                                                          I would be
                                                          happy to
                                                          answer any
                                                          questions you
                                                          have with
                                                          regard to how
                                                          the conditions
                                                          in the
                                                          decision would
                                                          apply to
                                                          specific
                                                          system
                                                          configurations.<br>
                                                          <br>
                                                          Thank you for
                                                          your help in
                                                          achieving this
                                                          decision.<br>
                                                          <br>
                                                          <img
style="border-top-width:0px;border-right-width:0px;border-bottom-width:0px;border-left-width:0px;border-style:initial;border-color:initial;min-height:32px;line-height:13px;outline-style:none;outline-width:initial;outline-color:initial;text-decoration:none;display:inline;max-width:600px!important;width:200px;border-style:initial;border-color:initial"
src="cid:part5.04010804.07090005@solarray.com" align="none" height="32"
                                                          width="200"><br>
                                                          Brad Heavner<br>
                                                          Policy
                                                          Director,
                                                          CALSEIA</td>
                                                          </tr>
                                                          </tbody>
                                                          </table>
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cellpadding="0" cellspacing="0" border="0" width="100%">
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style="border-collapse:collapse!important;color:rgb(54,54,54);font-family:Helvetica;font-size:10px;line-height:15px;padding-top:20px;padding-bottom:20px;text-align:left"
                                                          valign="top"><a
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target="_blank">www.calseia.org</a></td>
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                                                          <td
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                                                          valign="top"><em>Copyright
                                                          © 2014
                                                          CALSEIA, All
                                                          rights
                                                          reserved.</em> </td>
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                                  <div
style="color:rgb(0,0,0);font-family:Palatino;font-size:medium;font-style:normal"><b>Bruce
                                      Erickson</b></div>
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style="color:rgb(0,0,0);font-family:Palatino;font-size:medium;font-weight:normal;font-style:normal">Mendocino
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                                    CA 95460</div>
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                                      href="tel:707-937-1701"
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                                      target="_blank">707-937-1701</a></div>
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                                  </div>
                                  <div style="font-weight:normal"><font
                                      color="#a603a8"><i>Celebrating 20
                                        Years in Solar!</i><span> </span></font><font
                                      color="#4e3fd3">1994-2014</font></div>
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