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Cost-Effectiveness of Distributed Generation Technologies increased gas transportation costs were valued according to rates available within the E3 gas avoided cost workbook. The model does not incorporate higher transportation costs for commercial customers within the PA test because these customers are modeled as wholesale gas (noncore) customers and were set to zero. Net Energy Metering Costs NEM costs would typically be included in the costs for the PA. However, in the SGIPce model we assumed that the DG systems never exported electricity to the grid; therefore, these PA costs do not exist in SGIPce model. Nonbypassable Charges With some DG programs, when electrical load departs, departing load (DL) charges can be avoided depending on the technology and fuel source. These costs are known as non-bypassable charges or cost responsibility charges (CRC). These CRCs include a number of liabilities such as Department of Water (DWR) bond charges or DWR power charges14, and historic procurement charges (HPCs). The majority of these costs are not paid by DG systems up to a particular size or depending on how they are classified. See Table 3-11 below for a summary or reference D.03-04-030 for a complete breakdown on these costs and the rationale for determining which technologies are exempt. Generally, customer generation DL that is under 1 MW and eligible for the CPUC or the CEC’s incentive programs does not incur any CRC per the seventh ordering paragraph D.03-04-030. Nuclear decommissioning and public purpose charges are not part of the CRC. 14 The DWR Power Charge has long since been replaced by the Power Charge Indifference Adjustment (PCIA). Itron, Inc. 3-17 Critical Inputs and AssumptionsPDF Image | Cost-Effectiveness of Distributed Generation Technologies
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