[Adopted 7-19-2022 by Ord. No. 7-2022[1]]
[1]
Editor's Note: This ordinance also repealed former Art. III, Customer Generation, adopted 10-19-2010 by Ord. No. 7-2010.
This article shall be known and may be cited as the "Kutztown Borough Customer Generation Ordinance."
For the purpose of this article, an eligible customer-generator's electric generating facility must comply with all of the following requirements:
A. 
Generates electricity using wind, solar, hydroelectric, batteries, or other commercially available generation technologies;
B. 
A residential customer-generator's rated capacity shall not be in excess of 10 kilowatts;
C. 
A commercial/industrial customer-generator's rated capacity shall not be in excess of 50 kilowatts;
D. 
Is owned and operated by the customer and is located on the customer's premises;
E. 
Is intended for the primary purpose of supplying all or part of the customer's own electricity requirements. The rated capacity of the self-generator shall be sized such that the annual energy (KWh) output produced by the self-generator does not exceed the customer's prior annual energy (KWh) consumption from the Borough. The size of the self-generator (KW) along with the estimated annual energy (KWh) output shall be provided with the customer's application and plans. Self-generators sized to produce energy (KWh) in excess of the customer's annual energy consumption shall be rejected by the Borough; and
F. 
Is designed and installed to operate in parallel with the Borough's electric distribution system without adversely effecting the operation of equipment and service of the Borough and its customers and without presenting safety hazards to Borough personnel and Borough residents.
A customer seeking to interconnect an eligible electric-generating facility to the Borough's system must submit to the Borough's designated personnel a completed interconnection application on the form designated the Borough, and a one-line diagram showing the configuration of the proposed customer-generation facility. The Borough will provide copies of all applicable forms upon request. The initial application fee shall be $220. Said fee may be amended from time to time by Borough Council resolution.
An interconnection agreement between the Borough and the eligible customer-generator must be executed before the customer-generation facility may be interconnected with the Borough's system. Said agreement shall be provided by the Borough and a sample of same may be obtained from the Borough Secretary.
A customer-generator's equipment and installation must comply with the Borough's technical requirements for customer-owned generation. Said requirements shall be kept on file with the Borough Secretary. All customer-generator equipment shall be installed in accordance with the manufacturer's specifications as well as all applicable provisions of the National Electrical Code and state and local codes. All customer-generator equipment and installations shall comply with all public safety, performance and power quality standards, established by the National Electrical Code, the Institute of Electrical and Electronic Engineers and the credited testing laboratories.
The customer-generator shall provide the Borough with proof of qualified installation of the customer-generation facility. Certification by a licensed electrician shall constitute acceptable proof.
A. 
The customer-generator shall install, operate and maintain the electric generating facility in accordance with the manufacturer's suggested practices for safe, efficient and reliable operation in parallel with the Borough's electrical system.
B. 
All customer-generator facilities shall be capable of being isolated from the Borough's electrical system by means of an outdoor, weatherproof, lockable, visible-break, alternating current (AC) isolation device [Customer Owned Generation Disconnect Switch(s)] which is readily accessible to Borough personnel and is clearly labeled.
C. 
The Borough may, at its own discretion, isolate any customer-generator facility if the Borough has reason to believe that continued interconnection with said electric generating facility creates or contributes to a system of emergency.
D. 
The Borough may perform reasonable on-site inspections to verify the proper installation and continuing safe operation of the customer-generator and the interconnection facilities, at reasonable times and upon reasonable advance notice to the customer.
The customer-generator operating an electric generating facility shall maintain homeowners, commercial or other insurance providing coverage in the amount of at least $100,000 for the liability of the insured against losses or damages arising from the use of the customer's electric-generating facility. The customer must submit evidence of such insurance to the Borough with the interconnection application. The Borough's receipt of evidence of liability insurance does not imply an endorsement of the terms and conditions of the coverage.
An eligible customer-generator installation is transferable to other persons at the same location upon notification to the Borough and verification that the installation follows all applicable safety and power quality standards. All other conditions of service set forth in this article or referenced herein shall apply to the transferee.
Bi-directional energy metering shall be accomplished using a standard kilowatt-hour meter capable of measuring the flow of electricity in two directions. If the existing electrical meter installed at the customer's facility is not capable of measuring the flow of electricity in two directions, the customer shall be responsible for all expenses for the purchase and installation of an appropriate meter or meters with such capability.
A. 
Customer purchase of electricity. All kilowatt-hours (KWh) delivered to the customer shall be billed at the applicable rate as determined by the customer's rate schedule.
B. 
Customer-generator sale of electricity. All kilowatt-hours (KWh) received by the Borough from the customer-generator shall be paid to the customer-generator at the Borough's avoided cost of generation.
C. 
Customer net bill. The customer's electric energy bill shall be the net dollar amount of customer purchased electricity and the amount of total customer-generator sales to the Borough plus applicable fees, including, but not limited to, demand charges, customer charges, minimum charges, etc.
The Borough may disconnect the customer-generator's service from the Borough's electric system if the customer-generator fails to comply with any of the provisions of this article or the referenced technical specifications.