Xcel Energy - Experimental Advanced Renewable Energy Purchase Service

January 25, 2013

Summary

The subscription cap for the Experimental Advanced Renewable Energy Purchase Service has been met and applications are no longer being accepted. The program is unlikely to reopen. This entry is for informational purposes only.

Xcel Energy will purchase 100% of the electricity and associated renewable energy credits (RECs) generated by its Wisconsin customers using qualifying renewable energy systems. The purchase will take the form of a 10-year, fixed-rate contract between the customer and the utility. Distributed generation systems must use a renewable resource and have an initial placed in service date of no earlier than January 1, 2008. Renewable resources are defined as all resources eligible under the Wisconsin RPS (Wis. Stat. § 196.378(1)(h)), except refuse-derived fuels. This definition includes wind, solar photovoltaic (PV), solar thermal electric, biomass, biogas, fuel cells using renewable fuels, geothermal electric, tidal, wave, and small hydroelectric systems.

Predetermined per-kWh purchase prices have been set for wind systems, biomass/biogas, and solar systems, while rates for other technologies will be negotiated on a case-by-case basis between the utility and the customer generator.  Solar projects also receive a $1.50 per kW incentive in addition to the $0.11/kWh rate. There is no minimum size requirement, and maximum capacity limits vary with project type: solar is limited to 10 kW; biomass, biogas, and wind systems are limited to 5 MW for community-based projects and 2 MW for non-community projects. All systems must meet the state interconnection requirements and be connected to the grid at a voltage of 50 kV or less.

The customer is responsible for the installation of a separate electric meter and all other associated equipment and installation costs. The tariff also contains monthly metering charges ranging from $6.40 to $13.80 per month for different sized systems. The program will remain open until aggregate subscriptions account for 0.25% of previous year retail sales.

Program Overview

Implementing Sector: Utility
Category: Financial Incentive
State: Wisconsin
Incentive Type: Performance-Based Incentive
Web Site: http://www.xcelenergy.com/About_Us/Rates_&_Regulations/Rates,_Rights_&_Service_Rules/WI_Regulatory_Rates_and_Tariffs
Administrator: Xcel Energy
Start Date: 01/09/2008
Eligible Renewable/Other Technologies:
  • Geothermal Electric
  • Solar Photovoltaics
  • Wind (All)
  • Biomass
  • Landfill Gas
  • Tidal
  • Wave
  • Hydroelectric (Small)
  • Anaerobic Digestion
  • Fuel Cells using Renewable Fuels
Incentive Amount: Biomass/Biogas Tier 1: $0.086/kWh
Biomass/Biogas Tier 2: $0.082/kWh
Biomass/Biogas Tier 3 (Community-Based Projects): $0.080/kWh
Wind Tier 1: $0.080/kWh
Wind Tier 2: $0.075/kWh
Wind Tier 3 (Community-Based Projects): $0.070/kWh
Solar: $1.50/watt plus $0.11/kWh
Maximum Incentive: Solar per-watt incentive capped at $15,000
Terms: 10-year contract period
Eligible System Size: Biomass/Biogas Tier 1: 800 kW maximum
Biomass/Biogas Tier 2: 2 MW maximum
Biomass/Biogas Tier 3 (Community-Based Projects): 5 MW maximum
Wind Tier 1: 100 kW maximum
Wind Tier 2: 2 MW maximum
Wind Tier 3 (Community-Based Projects): 5 MW maximum
Solar: 10 kW maximum
All Community-Based Projects: 5 MW maximum
Equipment Requirements: Customer must furnish and install meter and pay monthly metering charges
Ownership of Renewable Energy Credits: Xcel Energy retains the rights and ownership of RECs, methane offsets, carbon credits, etc.

Authorities

Name: Advanced Renewable Energy Purchase Tariff
Effective Date: 01/01/2012

Contact

Name: David Donovan
Organization: Xcel Energy Services
Address: 10 East Doty, Suite 511
Madison WI 53703
Phone: (608) 280-7308
Email: david.d.donovan@xcelenergy.com

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.