Md. Code Regs. 20.50.09.06 - General Requirements
A. For small
generator facilities at a site for which the applicant seeks a single point of
interconnection, the interconnection request shall be evaluated for total
exports on the basis of the net system capacity.
B. An interconnection request is required for
the interconnection of a new small generator facility, or to increase the total
exports, change the energy sales strategy pursuant to Regulation .01C of this
chapter, or change the proposed use of an existing small generator facility.
Any time a new interconnection request is processed for an existing small
generator facility, the utility will apply any standards in effect at the time
of the interconnection request and, if approved, a new interconnection
agreement will be required. The interconnection request shall be evaluated on
the basis of the total net system capacity of the small generator
facility.
C. Utility Provided
Information.
(1) A utility shall designate a
contact person, and provide contact information on its website and for the
Commission's website for submission of all interconnection requests, and from
whom information on the interconnection request process and the utility's
electric distribution system can be obtained.
(2) The information provided by the utility
on its website shall include studies and other materials useful to an
understanding of the feasibility of interconnecting a small generator facility
on the utility electric distribution system, except to the extent providing the
materials would violate security requirements or confidentiality agreements, or
be contrary to law.
(3) For
projects with a nameplate capacity over 20kW, the utility shall:
(a) Provide the applicant an opportunity to
request a pre-application report, which may require payment of a fee listed in
the utility's tariff;
(b) Publicly
post the fee amount on the utility's website; and
(c) Provide the pre-application report within
20 business days, once the fee is paid.
(4) The pre-application report shall rely
largely on pre-existing utility data and shall, at a minimum, include the
following items:
(a) Initial proposed point
of interconnection of the small generator facility, including address or GIS
coordinates;
(b) Closest electrical
facilities to the initial proposed point of interconnection of the small
generator facility, including voltage level, feeder identification, substation,
and including distance to that substation;
(c) Amount of generation hosting capacity
available on the closest feeder, if this information is in possession of or
easily obtainable by the utility; and
(d) Any other items specified by the
Commission.
(5) In
appropriate circumstances, the utility may require an applicant to execute an
appropriate confidentiality agreement prior to release or access to
confidential or restricted information.
D. If an interconnection request is
determined to be complete, any material modification, other than a minor
equipment modification, that is not agreed to in writing by the utility, shall
require submission of a new interconnection request.
E. If an applicant is not currently a
customer of the utility at the location for the proposed small generator
facility, upon request from the utility, the applicant shall provide proof of
site control evidenced by a property tax bill, deed, lease agreement, contract,
or other acceptable document.
F.
Connection of Multiple Small Generator Facilities by Single Interconnection.
(1) To minimize the cost of interconnecting
multiple small generator facilities, the utility or the applicant may propose a
single point of interconnection for multiple small generator facilities located
at a single site.
(2) If an
applicant rejects a utility proposal for a single point of interconnection, the
applicant shall pay any additional cost of providing separate points of
interconnection for each small generator facility.
(3) If a utility unreasonably rejects a
customer proposal for a single point of interconnection without providing a
written technical explanation, the utility shall pay any additional cost of
providing separate points of interconnection for each small generator
facility.
G. Electrical
Isolation of a Small Generator Facility.
(1)
A small generator facility shall be capable of being isolated from the utility
electric distribution system.
(2)
For a small generator facility interconnecting to a primary or secondary line,
the isolation shall be by means of a lockable, visible-break isolation device
accessible by the utility.
(3) The
isolation device shall be installed, owned, and maintained by the
interconnection customer for the small generator facility, and located
electrically between the small generator facility and the point of
interconnection.
(4) A draw-out
type circuit breaker with a provision for padlocking at the draw-out position
satisfies the requirement for an isolation device.
H. Use of Lockbox for Access to Isolation
Device.
(1) An interconnection customer may
elect to provide the utility access to an isolation device that is contained in
a building or area that may be unoccupied and locked or not otherwise readily
accessible to the utility, by installing a lockbox provided by the utility that
shall allow ready access to the isolation device.
(2) The lockbox shall be in a location that
is readily accessible by the utility, and the interconnection customer shall
permit the utility to affix a placard in a location of its choosing that
provides clear instructions to utility operating personnel on access to the
isolation device.
(3) In the event
the interconnection customer fails to comply with the terms of this section and
the utility needs to gain access to the isolation device, the utility may not
be held liable for any damages resulting from any necessary utility action to
isolate the small generator facility.
I. Metering.
(1) Any metering necessitated by a small
generator facility interconnection shall be installed, operated, and maintained
in accordance with the applicable utility tariff.
(2) Any small generator facility metering
requirements shall be clearly identified as part of the interconnection
agreement executed by the interconnection customer and the utility.
J. Utility Monitoring and Control
of Small Generator Facility.
(1) Utility
monitoring or control of a small generator facility shall be permitted subject
to the conditions in § J of this regulation.
(2) Any utility monitoring or control
requirements shall be:
(a) Consistent with
the utility published requirements, as available on the utility's website;
and
(b) Clearly identified in an
interconnection agreement executed by the interconnection customer and the
utility.
(3) For a small
generator facility under a nameplate capacity of 2 MW, utility monitoring or
control is not permitted unless:
(a) The
Commission approves a utility monitoring and control plan addressing such
facilities in the aggregate; or
(b)
The interconnection customer consents to utility monitoring or
control.
(4) Equipment
certified under the latest published editions of IEEE 1547, IEEE 1547.1, and UI
1741 shall be permitted to be used for monitoring or control upon mutual
agreement of the utility and the interconnection customer.
(5) A utility monitoring and control plan
submitted to the Commission pursuant to §J(3)(a) of this regulation shall
include:
(a) Technical requirements;
(b) Cost;
(c) Benefits;
(d) Comparison to IEEE 1547-2018 compliant
monitoring and control alternatives, if applicable;
(e) Customer permissions plan; and
(f) Project management plan
K. Good Small Generator
Facility Cybersecurity Practice. A small generator facility's cybersecurity
shall be:
(1) Designed;
(2) Installed;
(3) Maintained; and
(4) Operated to the extent reasonable and
practical, in accordance with accepted industry standards and meet utility
cybersecurity requirements.
L. Witness Test of Small Generator Facility.
(1) The utility shall have the option of
performing a witness test after construction of the small generator facility is
completed.
(2) The applicant shall
provide the utility at least 5 business days notice of the planned
commissioning test for the small generator facility.
(3) If the utility elects to perform a
witness test, the utility shall contact the applicant to schedule the witness
test at a mutually agreeable time within 10 business days of the scheduled
commissioning test.
(4) If the
utility does not perform the witness test within 10 business days of the
commissioning test, the witness test is considered waived unless the utility
and applicant agree to extend the time for conducting the witness
test.
(5) If the results of the
witness test are not acceptable to the utility, the applicant shall address and
resolve any deficiencies within 30 calendar days, which may be extended upon
the request of the applicant prior to the expiration of the 30-calendar-day
period. A request for extension may not be unreasonably denied by the
utility.
(6) If the applicant fails
to address and resolve the deficiencies to the satisfaction of the utility, the
interconnection request shall be considered withdrawn.
(7) If a witness test is not performed by the
utility or an entity approved by the utility, the applicant shall satisfy the
interconnection test specifications and requirements specified in Section 8 of
IEEE Standard 1547.1-2020.
(8) For
interconnection equipment that has not been certified or approved under
Regulation .07 of this chapter, the witness test may also include the
verification by the utility specified in Section 8 of IEEE Standard
1547.1-2020.
(9) All tests verified
by the utility shall be performed in accordance with the test procedures
specified in Section 8 of IEEE Standard 1547.1-2020.
(10) The applicant shall, if requested by the
utility, provide a copy of all documentation in its possession regarding
testing conducted under Section 8 of IEEE Standard 1547.1-2020.
(11) The applicant shall demonstrate that it
meets the smart inverter requirements of §O of this regulation, if
applicable.
M.
Interconnection Studies and Applicant Information.
(1) If requested by the applicant, the
utility shall provide the applicant copies of any interconnection studies
performed in analyzing an interconnection request.
(2) An applicant may provide any other
prospective applicant copies of interconnection studies to aid in streamlining
a future utility review.
(3) Queue
position for all small generator facilities shall be prioritized based on the
date the interconnection request is submitted.
(4) Each utility shall publicly and electronically
provide an interconnection queue, updated monthly, that includes the following
information about each interconnection request for any small generator facility
with a nameplate capacity greater than 500 kW:
(a) Size (MW or kW);
(b) Proposed circuit number and
substation;
(c) County and zip
code;
(d) Interconnection request
received date;
(e) Queue position
on the system's proposed circuit number and substation;
(f) Review status;
(g) Interconnection request approved date;
and
(h) Any other information
requested by the Commission.
(5) A small generator facility shall remain
on the list for at least 3 years after the interconnection request was approved
by the utility, unless subsequently cancelled or removed from the
interconnection queue pursuant to §N of this regulation.
(6) A utility may provide any additional
information to a prospective applicant if the utility determines that doing so
would streamline the utility's review of an interconnection request.
(7) A utility has no obligation to provide
any prospective applicant any information regarding prior interconnection
requests, including a prior applicant's name, copies of prior interconnection
studies performed by the utility, or any other information regarding a prior
applicant or request.
N.
Validity of Conditional Approval.
(1) The
notice of conditional approval shall clearly identify the applicable deadline
and the consequences of failing to either deliver the certification of
completion or request an extension by the deadline.
(2) Once the utility delivers notice of
conditional approval to the applicant, the applicant shall deliver the
certification of completion within the following time frames:
(a) For an application for a small generator
facility -with a nameplate capacity smaller than or equal to 100 kW, the
applicant:
(i) Shall deliver the
certification of completion within 6 months;
(ii) Shall receive a 6-month extension of the
specified deadline, upon request; and
(iii) May receive one or more additional
extensions of at least 6 months upon good cause shown after an initial 6-month
extension; and
(b) For an
application for a small generator facility with a nameplate capacity larger
than 100 kW, the applicant:
(i) Shall deliver
the certification of completion within 12 months;
(ii) Shall receive a 6-month extension of the
specified deadline, upon request; and
(iii) May receive one or more additional
extensions of at least 6 months upon good cause shown after an initial 6-month
extension.
(3)
A project participating in the Community Solar pilot program under COMAR 20.62
is not subject to this section.
O. Smart Inverters.
(1) After January 1, 2024, any small
generator facility requiring an inverter that submits an interconnection
request shall use a smart inverter with either a default or a site-specific
utility required inverter settings profile, as determined by a
utility.
(2) Any small generator
facility may replace an existing inverter with a similar spare inverter that
was purchased prior to January 1, 2024, for use at the small generator
facility. This requirement does not apply to inverter replacements conducted
under manufacturer warranty
(3)
Prior to January 1, 2024, all utilities will establish default utility required
inverter settings profiles for smart inverters pursuant to §O(5) of this
regulation. A utility with a total number of less than 150,000 customers served
in Maryland may use a Statewide utility required inverter settings profile as
their default utility required inverter settings profile.
(4) To the extent reasonable, pursuant to any
modifications required by §O(5) of this regulation, all utility required
inverter setting profiles shall be consistent with applicable smart inverter
recommendations from PJM Interconnection, LLC that are applicable.
(5) A default utility required inverter
settings profile shall be established by a utility to optimize the safe and
reliable operation of the electric distribution system, and shall serve the
following objectives:
(a) The primary
objective is to incur no involuntary real power inverter curtailments incurred
during normal operating conditions and minimal real power involuntary
curtailments during abnormal operating conditions.
(b) The secondary objective is to enhance
electric distribution system hosting capacity and to optimize the provision of
grid support services.
(6) A site-specific utility required inverter
settings profile may be established by a utility as necessary to optimally meet
the objectives established in §O(5) of this regulation.
(7) All default and site-specific utility
required inverter settings profiles shall be documented in interconnection
agreements.
(8) A default utility
required inverter settings profile shall be published on the utility's website.
(9) A utility with a total number
of 150,000 or more customers served in Maryland shall:
(a) File an initial default utility required
inverter settings profile with the Commission for approval by October 1, 2023
to be effective by January 1, 2024.
(b) File any changes to its established
default utility required inverter settings profile with the Commission for
approval.
(10) Commission
Staff shall file any changes to the established statewide utility required
inverter settings profile with the Commission for approval.
(11) A utility required inverter settings
profile or statewide utility required inverter settings profile shall be deemed
approved within 90 days upon filing, unless directed otherwise by the
Commission.
P. Flexible
Interconnection Options.
(1) Utilities shall
approve interconnection requests while considering flexible interconnection
options under a limited export agreement or, for inadvertent export, net system
capacity and a proposed use subject to the requirements of this
section.
(2) Inadvertent Export for
Energy Storage Devices.
(a) Small generator
facilities using Level 3 interconnection requests are non-exporting systems and
are not allowed to utilize inadvertent exports.
(b) A utility may not approve an inadvertent
export option if the interconnection customer lacks the appropriate
standardized controls to ensure that the small generator facility operates as
agreed upon in interconnection agreements.
(c) Small generator facilities may
inadvertently export power of a magnitude and duration as evaluated and allowed
by the utility and as specified in their interconnection agreement. Thirty
seconds shall be used as a default inadvertent export duration unless the
utility determines that this level duration violates utility evaluation
criteria.
(d) There are no limits
on the number of times inadvertent exports occur in any given customer billing
cycle.
(e) Small generator
facilities may not have total inadvertent exports greater than the generating
facility nameplate capacity multiplied by 1 hour per customer in each billing
cycle.
(f) In the event that a
small generator facility exceeds approved inadvertent export magnitude or
duration limits, the small generator facility shall immediately cease to export
power to the grid until acceptable output control has been
reestablished.
(3) Net
System Capacity and Proposed Use.
(a) An
interconnection customer may request that its interconnection request be based
on the proposed use of the small generator facility and the impact of its
proposed use on net system capacity.
(b) A utility may not approve a proposed use
if the interconnection customer lacks the appropriate standardized controls to
ensure that the small generator facility operates as agreed upon in
interconnection agreements.
(c) In
the event that a small generator facility exceeds the approved net system
capacity for the proposed use, the small generator facility shall immediately
cease to export power to the grid until acceptable output control has been
reestablished.
(4)
Limited Export Agreements.
(a) By January 1,
2025, a utility shall publish on its interconnection website a description of
their limited export agreement policies and provide a process for
interconnection customers to request these agreements to avoid the need for a
hosting capacity upgrade project to accommodate an interconnection request,
including the following:
(i) Limited export
agreements shall be made available upon request only to Level 2 and Level 4
interconnection customers;
(ii)
Limited export agreement terms shall be mutually agreed upon between a utility
and an interconnection customer for operating conditions as specified in the
interconnection agreement or in a separate limited export interconnection
customer agreement; and
(iii) The
method of implementation and control of the limited export agreement terms
shall be mutually agreed upon between a utility and the interconnection
customer and specified in the interconnection agreement or in a separate
limited export interconnection customer agreement.
(b) A utility may not approve a limited
export agreement if the interconnection customer lacks the appropriate
standardized controls to ensure that the small generator facility operates as
agreed upon in interconnection agreements.
(c) In the event that a small generator
facility does not curtail and exceeds the approved limited export parameters
stated in the interconnection agreement or a separate limited export
interconnection customer agreement, the small generator facility shall
immediately cease to export real power to the grid until acceptable output
control has been reestablished.
(5) If required by the utility, the small
generator facility shall be subject to a verification reporting plan to monitor
the small generator facility's compliance with any flexible interconnection
option limits involving net system capacity, inadvertent export, proposed use,
and limited export agreement requirements as documented in the interconnection
agreement. A verification reporting plan may include periodic reports, online
monitoring, or other verification methods, or it may be waived as agreed upon
by the utility and interconnection customer.
(6) Utilities may include a recurring
administrative fee in utility tariffs as a term in flexible interconnection
option agreements to reimburse the utility for estimated additional costs to
administer these agreements and the stated limiting conditions.
(7) Failure of a small generator facility to
demonstrate compliance with the facility's verification reporting plan may
result in the suspension of utility approvals in this section until the small
generator facility agrees and implements an acceptable corrective action plan
with the utility within 30 calendar days of notification by the
utility.
(8) A small generator
facility shall cease to export power if it fails to provide an acceptable
corrective action plan to the utility, pursuant to §P(7) of this
regulation.
Q. Hosting
Capacity.
(1) Utilities shall establish
hosting capacity policies subject to the following requirements:
(a) A utility shall designate a circuit a
closed circuit if there is no remaining hosting capacity.
(b) A utility shall designate a circuit a
restricted circuit if only reserve hosting capacity is available.
(c) A utility shall determine the amount of
reserve hosting capacity on a restricted circuit based on a circuit-specific
assessment of distributed energy resource forecasts or other factors, including
customer density, type of area served, and customer demographics of the
circuit.
(d) A utility may
determine the aggregate generation of a small generator facility permitted to
use an electric distribution circuit's reserve hosting capacity and publish
this information on their website.
(e) A utility shall report their closed
circuits, restricted circuits, and reserve hosting capacity in their hosting
capacity reporting system.
(2) A utility may submit for the Commission's
review and approval a hosting capacity upgrade plan or multiple plans to
address or otherwise increase the utility's existing distribution aggregate
circuit hosting capacity limits across the system, or in a specific area of an
electric utility's system, that are forecasted to be congested in the future if
the utility's forecast of distributed energy resource growth exceeds existing
hosting capacity. These plans may be considered by the Commission if primary
voltage hosting capacity upgrade fees, pursuant to §R of this regulation,
exceed a threshold of the utility's average cost per kilowatt for their
aggregate customer funded hosting capacity upgrade projects completed in the
previous year, unless good cause exists for a utility to request a waiver of
this requirement.
(3) Hosting
capacity upgrade plans that are submitted by a utility shall include:
(a) A description of the electric system
areas to be included in the hosting capacity upgrade plan at the feeder and
substation level;
(b) A description
of the assumptions used for establishing and prioritizing the area covered by
the hosting capacity upgrade plan and associated forecasts and timeline for
hosting capacity utilization;
(c) A
description of the assumptions used for modeling and establishing the cost of
the hosting capacity upgrade plan;
(d) If the plan proposes that ratepayers bear
any costs that would not be paid by future interconnection customers, a
justification for the percentage cost allocation proposed between
interconnection customers and ratepayers, including descriptions of:
(i) How the proposed cost allocation was
developed and what alternatives were considered, explaining and quantifying the
benefits ratepayers are expected to receive from the upgrade; and
(ii) How the utility engaged with
stakeholders, particularly the ratepayer advocate's office, the Maryland Office
of People's Counsel, in the development of the utility's cost allocation
proposal;
(e) A
description of the proposed cost allocation method in terms of dollars per
kilowatt for a primary voltage hosting capacity fee for an interconnection
customer;
(f) A description of the
proposed cost allocation to ratepayers and the risks to ratepayers of
unallocated hosting capacity upgrade costs if the hosting capacity upgrade does
not become fully utilized; and
(g)
A proposal for utility cost recovery that describes how hosting capacity
upgrade costs shall be offset by future utility revenues from interconnection
customers.
(4) A utility
shall have a procedure for calculating hosting capacity accounting for either
gross peak or gross minimum loading based on good engineering
practice.
(5) The utility shall
perform a representative sample of hosting capacity calculation validation
checks at least annually, or more frequently in areas experiencing significant
growth or distributed energy resource penetration. The hosting capacity
calculation validation check frequency shall account for the utility's
experience, good engineering practices, and judgment.
R. Maryland Cost Allocation Method.
(1) Within 1 year of the effective date of
this regulation, electric utilities shall submit an electric utility service
tariff for Commission approval for a primary voltage hosting capacity cost
sharing and allocation methodology for interconnection customers, as follows:
(a) The default hosting capacity cost sharing
and allocation methodology for primary voltage interconnection customers shall
be based on locational pricing to incentivize interconnection in areas with
higher available hosting capacity and disincentivize interconnection in areas
with lower available hosting capacity.
(b) A utility may petition the Commission to
implement a hosting capacity cost sharing and allocation methodology for
primary voltage interconnection customers that is not locationally based for
"good cause" in their tariff filing.
(c) An interconnection request shall be
eligible for hosting capacity cost sharing and allocation under this section
unless they are exempted for the following reasons:
(i) The interconnection request is subject to
the PJM Interconnection, LLC Tariff;
(ii) The interconnection request is in an
area with its cost allocation governed by a hosting capacity upgrade plan
approved by the Commission;
(iii)
The interconnection is on a dedicated primary voltage feeder that may not
benefit any other interconnection customer;
(iv) The interconnection is on a dedicated
secondary voltage facility that may not benefit any other interconnection
customer;
(v) The interconnection
request is on an AC distribution grid or spot network; or
(vi) Other good cause as documented by the
utility and reported, pursuant to Regulation .14 of this chapter.
(d) If an interconnection request
is exempted, pursuant to §R(1)(c) of this regulation, the interconnection
customer shall pay all interconnection costs as determined by the utility,
unless the interconnection request is subject to the PJM Tariff or the
interconnection request is in an area with its cost allocation governed by a
hosting capacity upgrade plan approved by the Commission.
(e) If sufficient hosting capacity is not
available at a point of interconnection for a primary voltage interconnection
customer, an electric utility may propose a hosting capacity upgrade project to
the interconnection customer or customers, as follows:
(i) The utility shall charge the primary
voltage interconnection customer a hosting capacity fee for its share of the
primary voltage hosting capacity upgrade cost proportional to the
interconnection customer's utilization of hosting capacity.
(ii) If more than one interconnection request
exists in the interconnection queue that shall benefit from the electric
utility proposed hosting capacity upgrade project, these interconnection
customers shall be clustered together for the purpose of calculating hosting
capacity fees.
(iii) Hosting
capacity fees for clustered interconnection customers shall be calculated
proportional to each interconnection customer's utilization of the hosting
capacity created by the hosting capacity upgrade project.
(iv) All hosting capacity upgrade costs in
excess of hosting capacity fees collected shall be accumulated in a separate
unallocated primary voltage hosting capacity upgrade cost account for future
allocation to primary voltage interconnection customers.
(v) Unallocated hosting capacity upgrade
costs for primary voltage interconnection customers shall be shared and
allocated to other primary voltage interconnection customers using a primary
voltage hosting capacity cost sharing and allocation methodology in an electric
utility service tariff approved by the Commission.
(2) Within 1 year of the effective
date of this regulation, electric utilities shall submit an electric utility
service tariff for Commission approval for a secondary voltage cost sharing and
fee for both residential and commercial interconnection customers, as follows:
(a) If sufficient hosting capacity is not
available at a point of interconnection for a secondary voltage interconnection
customer, an electric utility may construct a hosting capacity upgrade project
for the interconnection customer or customers.
(b) All secondary voltage hosting capacity
upgrade costs shall be accumulated in separate unallocated accounts for both
residential and commercial secondary voltage interconnection customers for
future allocation in hosting capacity fees.
(c) Unallocated hosting capacity upgrade
costs for both residential and commercial secondary voltage interconnection
customers shall be shared and allocated to other secondary voltage
interconnection customers using a hosting capacity cost sharing and allocation
fee in an electric utility service tariff approved by the Commission.
(3) Hosting capacity fees for
primary voltage interconnection customers shall be reset using a cost sharing
and allocation methodology approved by the Commission in an electric utility
service tariff filing whenever a change in methodology is proposed, unless the
fee is zero or the fee change is less than $1 per kilowatt.
(4) Hosting capacity fees for secondary
voltage interconnection customers shall be reset annually using a cost sharing
and allocation methodology approved by the Commission unless the fee is zero or
the fee change is less than $1 per kilowatt from the current fee in the
electric utility's service tariff.
(5) A utility may submit for Commission
approval an administrative charge in its service tariff to recover its
administrative costs for managing the cost sharing and allocation methodology
for primary and secondary voltage interconnection customers.
(6) A utility shall describe all hosting
capacity upgrade project rightsizing projects describing their forecasts,
inputs, and assumptions in their next rate case to assist stakeholders in a
prudency review.
Notes
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