Technical Interconnection Issues

Idaho has not established uniform interconnection rules and procedures for net-metered systems or for large distributed generation (DG) systems. However, through their respective net metering tariffs, Idaho Power and Avista Utilities have established outlines for the interconnection of small renewable energy systems up to 25 kW. Idaho Power’s guidelines also address interconnection of systems over 1 MVA.

Avista Utilities' (Idaho) interconnection guidelines do not specify in any detail the technical requirements for interconnection. For systems under 25 kW that are eligible for net metering, a lockable disconnect is required, as is compliance with UL, NEC and IEEE standards.

For more information, contact:
Doug Young
Avista Corporation
Phone: (800) 227-9187 Ext.4521
doug.young@avistacorp.com
http://www.avistautilities.com

Idaho Power’s interconnection tariff and guidelines, which were revisited by the Idaho Public Utilities Commission in August 2002, cover net-metered systems up to 25 kW as well as larger DG over 1 MW. Idaho Power’s rules are broken down for systems < 100 kW; 100 kW - 1 MW; and > 1 MW. The rules are intended to be simple for systems under 100kW, particularly for net-metered systems under 25 kW:

• For small net-metered systems, simple bi-directional meters are used.
• Dedicated transformers can be required by the utility but are not expected to be required for systems under 100 kW.
• Manual, lockable disconnect switches are required for all systems.
• All electrical specifications such as voltage ranges, harmonics, and power factor are based on current UL, IEEE, and NEC standards.
• Control relays are required for systems not using IEEE 929 compliant inverters.
• Acceptance testing is not required for UL listed inverters.
• Systems < 25 kW must be inspected once every three years if the projects use interconnection equipment that meets nationally recognized standards and are approved by Idaho Power in advance. All other projects must be inspected annually.

For more information, contact:
Rowena Bishop
Idaho Power Company
P.O. Box 70
Boise, ID 83707
Phone: (208) 388-2658
rbishop@idahopower.com
http://www.idahopower.com

Utah Power & Light's net metering tariff was approved by the Idaho Public Utilities Commission on June 20, 2003. Utah Power & Light Company allows net metering to residential and small-commercial customers generating up to 25 kW of electricity using solar, wind, biomass or hydropower, and to irrigators and large commercial customers generating up to 100 kW. Enrollment is limited to 0.1% of the company’s Idaho retail peak demand in 2002.

For more information, contact:
Customer Service - UT Power
Utah Power & Light Company
825 NE Multnomah
Portland, OR 97232
Phone: (888) 221-7070
customerservice@pacificorp.com
http://www.utahpower.net

Avista Utilities For larger, non-net metered systems, Avista Utilities has established a 7-step process for system interconnection. Rates for buyback of distributed generation (DG) net excess generation are established in Avista's Schedule 62 tariff, which also includes rules for net metering. Before interconnecting, DG system owners must submit an interconnection application. Net metering system owners should contact Avista directly for instructions on how to initiate the process.

Idaho Power Company charges an extra monthly fee to recover the nongeneration-related cost of the utility. Net metering customers are required to have $1,000,000 liability insurance.

Utah Power & Light Company customers can interconnect their generators on to the company’s system, but must pay interconnection and any additional metering costs that may be necessary. Residential and small-commercial customers are credited the current retail rate for excess energy they produce, while irrigation and large commercial customers will receive a credit equal to 85% of the Dow Jones Mid-C Index Price for non-firm energy.

Idaho Power Company’s interconnection requirements for DG systems larger than 100 kW are more complex than for smaller systems. Specific requirements are detailed in the company's interconnection guidelines. The interconnection process for all systems begins with the company's interconnection application and project questionnaire.

For more information, contact:
Rowena Bishop
Idaho Power Company
P.O. Box 70
Boise, ID 83707
Phone: (208) 388-2658
rbishop@idahopower.com
http://www.idahopower.com

PERSONAL INCOME TAX DEDUCTION

Statute 63-3022C of the Idaho Statutes allows taxpayers an income tax deduction of 40% of the cost of a solar, wind or geothermal device used for heating or electricity generation. Taxpayers can apply this 40% deduction in the year in which the system is installed and can also deduct 20% of the cost for three years thereafter. The maximum deduction in any one year is $5,000. Total maximum deduction is $20,000.

Sales Tax Exemption

Section 63-3622QQ of Idaho Code provides sales/use tax rebate for qualifying equipment and machinery used to generate electricity from fuel cells, low impact hydro, wind, geothermal resources, biomass, cogeneration, solar or landfill gas. Purchasers may qualify for a rebate only if equipment is used to develop a facility or project capable of generating not less than 25 kW of electricity.  

To receive the rebate, the taxpayer must pay any sales/use tax on purchase. Once a public utility, a cooperative, a municipality or the public utilities commission certifies the project will generate at least 25 kW of electricity, the taxpayer may file a refund request with the state tax commission. A claim for this rebate must be filed on or before the last day of the third calendar year following the year in which the taxes sought to be refunded were paid. The rebate is scheduled to sunset July 1, 2011.

Contact:
Idaho Tax Commission
PO Box 36
800 Park Blvd. #4
Boise, ID 83722-0410
Phone: (208) 334-7660
Phone 2: (800) 972-7660
Fax: (208) 334-7846
Web site: http://tax.idaho.gov/

Renewable Energy Project Bond Program

Effective July 1, 2005, Senate Bill 1192 allows independent (non-utility) developers of renewable energy projects in the state to request financing from the Idaho Energy Resources Authority, a new state bonding authority created in March 2005 through the Environment, Energy and Technology Energy Resources Authority Act (House Bill 106). The Authority was created to finance the construction of electric generation and transmission projects by electric utilities. SB 1192 extends the financing opportunities to independent renewable energy producers.

LOW-INTEREST LOAN PROGRAM

This low interest loan program, administered by the Energy Division of the Idaho Department of Water Resources, makes funds available at a 4% interest rate for active solar, photovoltaic, wind, geothermal, hydropower and biomass energy projects. The program also makes loans for energy conservation projects. Residential loans are available from $1,000 to $10,000. In commercial and industrial sectors there is a minimum loan amount of $1,000 and a maximum cap of $100,000. Loans are repaid in five years or less.

Loans for 80% of the project costs are available to residents for on-grid, residential PV systems, with a maximum of $10,000. Payback criteria are waived for these projects only.

Certain restrictions apply to this program. For existing homes or businesses, the savings from reduced usage of conventional fuel must be sufficient to pay for the project’s installation cost (e.g. simple payback of 10 years or less). For new projects, use of a renewable energy resource must be the least cost alternative. Renewable energy projects that are intended to sell the energy generated or the commodity produced are not eligible. While the program’s financing requires repayment within five years, this further stipulation for existing homes and businesses states that the project’s cumulative energy savings over a ten year period must be great enough to offset the cost of the project.

For more information about State Programs,
contact:
Idaho Department of Water Resources
Energy Division
322 E Front St.
Boise, ID 83720-0098
Phone: (208) 287-4894
jbcrocke@idwr.state.id.us
http://www.idwr.state.id.us/energy/wind

There is currently no information regarding incentives for small wind systems provided by specific utilities. Please refer to each utility’s interconnection technical and non-technical requirements for relevant information.

Regional Utility Information

BONNEVILLE ENVIRONMENTAL FOUDATION (BEF)

Using revenues generated from the sales of Green Tags, Bonneville Environmental Foundation (BEF), a not-for-profit organization, accepts proposals for funding for renewable energy projects located in the Pacific Northwest (OR, WA, ID, MT). Any private person, organization, local or tribal government located in the Pacific Northwest may participate. Projects that generate electricity are preferred. Acceptable projects include solar photovoltaics, solar thermal electric, solar hot water, wind, hydro, biomass, and animal waste-to-energy.

BEF may deliver funding through various means, including grants, loans, convertible loans, guarantees, and direct investments in renewable energy projects. BEF renewable energy grants and investments may range from a few thousand dollars for small installations, to significant investments in central station grid-connected renewable energy projects.

To inquire about funding for a project, please visit the web site and download information regarding the submittal of a Letter of Inquiry.

BEF generally does not fund residential and small business renewable energy projects with grants or investments. Rather, BEF supports installations for residential and small businesses customers through two cooperatives: Our Wind Coop and
the Northwest Solar Coop.

Contact:
Renewable Energy Programs - BEF
Bonneville Environmental Foundation
133 SW 2nd Avenue, Suite 410
Portland, OR 97204
Phone: (503) 248-1905
Fax: (503) 248-1908
information@B-E-F.org
http://www.B-E-F.org

New wind maps for the Northwest are now available online through a project coordinated by NW Sustainable Energy for Economic Development (NWSEED) and the NW Cooperative Development Center (NWCDC) and sponsored by the National Renewable Energy Laboratory (NREL), the Bonneville Power Administration (BPA), and numerous other organizations. A new high-resolution,map of wind energy potential is now available for Idaho.

The National Renewable Energy Laboratory (NREL) has recently validated a new wind map for Idaho. You may also find the definitions of Wind Power Classes for the maps helpful.

There is additional information in the Wind Energy Atlas of the United States, where you can review maps for other locations in the US or get more information about how the maps were created.

The US Department of Energy’s Energy Efficiency and Renewable Energy Network has also published wind resource data for Idaho.

You may also find useful information at the web site for the National Renewable Energy Laboratory (NREL). This site contains extensive information about wind resources in the United States. 

An electronic copy of the U.S. Department of Energy's 23-page Consumer’s Guide to Small Wind Electric Systems is available at the Wind Powering America web site. A state-specific Consumer’s Guide is available for Idaho.

The Database of State Incentives for Renewable Energy (DSIRE) is a comprehensive source of information on state, local, utility, and selected federal incentives that promote renewable energy. Another item of interest is the Interstate Renewable Energy Council’s strong web site on wind energy projects and wind energy events/news occurring through out the country.

AVISTA CORPORATION (dba AVISTA UTILITIES)
Doug Young
P.O. Box 3727, MSC-7
Spokane, WA 99220
Phone: (800) 227-9187 Ext.4521
doug.young@avistacorp.com
http://www.avistautilities.com

BONNEVILLE ENVIRONMENTAL FOUDATION (BEF)
Renewable Energy Programs - BEF
Bonneville Environmental Foundation
133 SW 2nd Avenue, Suite 410
Portland, OR 97204
Phone: (503) 248-1905
Fax: (503) 248-1908
information@B-E-F.org
http://www.B-E-F.org

IDAHO POWER COMPANY
Rowena Bishop
P.O. Box 70
Boise, ID 83707
Phone: (208) 388-2658
rbishop@idahopower.com
http://www.idahopower.com

PACIFICORP (dba UTAH POWER & LIGHT COMPANY)
Customer Service - UT Power
Utah Power & Light Company
825 NE Multnomah
Portland, OR 97232
Phone: (888) 221-7070
customerservice@pacificorp.com
http://www.utahpower.net

Government Contacts

Idaho Department of Water Resources

John Crockett
Idaho Department of Water Resources
Energy Division
322 E Front St.
Boise, ID 83720-0098
Phone: (208) 287-4894
jbcrocke@idwr.state.id.us
http://www.idwr.state.id.us/energy/wind

Idaho Public Utilities Commission

Rick Sterling
Idaho Public Utilities Commission
Statehouse Mail
Boise, ID 83720-0074
Phone: (208) 334-0351
rsterli@puc.state.id.us
http://www.puc.state.id.us/

Idaho Tax Commission

PO Box 36
800 Park Blvd. #4
Boise, ID 83722-0410
Phone: (208) 334-7660
Phone 2: (800) 972-7660
Fax: (208) 334-7846
Web site: http://tax.idaho.gov/

Local Organizations Interested in Renewable Energy Issues

BONNEVILLE ENVIRONMENTAL FOUDATION (BEF)

Using revenues generated from the sales of Green Tags, Bonneville Environmental Foundation (BEF), a not-for-profit organization, accepts proposals for funding for renewable energy projects located in the Pacific Northwest (OR, WA, ID, MT). Any private person, organization, local or tribal government located in the Pacific Northwest may participate. Projects that generate electricity are preferred. Acceptable projects include solar photovoltaics, solar thermal electric, solar hot water, wind, hydro, biomass, and animal waste-to-energy.

BEF may deliver funding through various means, including grants, loans, convertible loans, guarantees, and direct investments in renewable energy projects. BEF renewable energy grants and investments may range from a few thousand dollars for small installations, to significant investments in central station grid-connected renewable energy projects.

To inquire about funding for a project, please visit the web site and download information regarding the submittal of a Letter of Inquiry.

BEF generally does not fund residential and small business renewable energy projects with grants or investments. Rather, BEF supports installations for residential and small businesses customers through two cooperatives: Our Wind Coop and the Northwest Solar Coop.

NW Energy Coalition

The NW Energy Coalition is an alliance of more than 85 environmental, civic and human service organizations, utilities and businesses from Oregon, Washington, Idaho, Montana, Alaska and British Columbia. It promotes energy conservation and renewable energy resources.

Northwest SEED

Northwest Sustainable Energy For Economic Development (SEED) builds partnerships to mobilize consumers and maximize local benefits from harvesting "home grown" energy resources - wind, solar, biomass, geothermal, low-impact hydro, conservation, and bio-based products - while maintaining reliable electric service and creating new revenue streams and high quality jobs throughout the Pacific Northwest. Modeled on High Plains SEED, Northwest SEED supports and develops creative programs, policies, and financing approaches to build rural economies and meet the region's power needs through affordable, distributed "green" generation.

Renewable Northwest Project
Green Power is catching on, according to the Renewable Northwest Project, a broad coalition of public-interest organizations and energy companies created to promote renewable energy development in the region. Since its inception, RNP has been a forceful advocate in Oregon, Washington, Idaho and Montana, for basing the region’s energy future on clean, renewable resources, such as solar, wind and geothermal.

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