§ 114-421. Net metering policy.

(a)

City of Peru shall make available, upon request, net metering service to any customer taking service from City of Peru and who meets the requirements set forth in this policy. For purposes of this policy "net metering" means service to an electric customer under which electric energy generated by that electric customer from an eligible on-site generating facility owned by that customer and, under some circumstances, delivered to the local distribution facilities, may be used to offset electric energy provided by the electric utility to the electric customer as provided for in this policy. For multi-unit residential and commercial buildings, if all units are on the same account it qualifies as a single customer for purposes of this policy. If individual units are separately metered and individual tenants have individual accounts, then the term "customer" only refers to the building owner and any usage by the owner. The utility cannot be responsible to allocate renewable generation facilities to individual accounts in a multi-unit residential or commercial building. Before the project starts construction, customer must complete the attached application form and receive approval from the engineering and zoning department. Before the project in service date, the contractor must complete and deliver the attached certification of completion to the city engineer or designee.

(b)

For purposes of this policy an eligible on-site generating facility shall be defined as a renewable generating facility such as a photovoltaic facility and small wind turbines. Other forms of renewable generation shall be considered on a case-by-case basis. In all cases, facilities interconnected must be deemed by the utility to be renewable to qualify for this policy.

(c)

The electric generating facility must also abide by City of Peru Interconnection Standards currently in place.

(d)

Subject to the limitations set forth herein, City of Peru shall make net metering service available upon request to any City of Peru residential electric customer with a qualifying generating facility of ten kW capacity or less. For commercial and industrial accounts, the limit will be 20 kW.

(e)

Any generating facility greater than the limits in 114-421(d), but less than one MW shall be considered on a case by case basis. The decision with respect to such facilities shall be made by the city engineer or designee.

(f)

Notwithstanding the provisions in 114-421(e), City of Peru reserves the authority to limit the size of a customer net metered installation to a size such that the electrical output will not, as a matter of routine operation, exceed the electric load of the structure on which it is installed.

(g)

Total net metered capacity interconnected under this policy for the City of Peru system shall not exceed two percent of the system's peak as it existed in the prior calendar year. In the event that the system peak is reduced such that the existing net capacity exceeds the two percent level, those existing net metered customers shall be allowed to continue under this policy. However, no new interconnections will be allowed until such time as the system peak grows such that net metered capacity is again no greater than two percent of the system's peak.

(h)

The City of Peru shall install a bi-directional meter to measure both the energy used by the customer from the utility and the energy provided by the customer to the utility. Energy generated by the customer-owned generator will offset the energy required by the customer's load during the billing period. Energy used by the customer from the utility, as reflected in the meter reading, shall be billed at the appropriate utility full retail rate. For any energy generated by the customer and provided to the utility for a given billing period, as reflected in the meter reading, a credit shall be applied to the customer's bill based upon the City of Peru's avoided cost. Avoided cost shall be defined as the average cost in cents/kWh billed to the City of Peru utility by its power supplier for the previous month.

(i)

Any costs City of Peru incurs associated with the net metering program, including but not limited to changes in metering (to include installation of a bi-directional meter), other physical facilities or billing-related costs, shall be born by the participants in the net metering program provided however that such costs shall be capped at $1,000.00 to each qualifying customer interconnecting facilities of ten kW or less. For those facilities greater than ten kW that are deemed to qualify under this policy, all costs associated with the program shall be born by the participant.

(j)

City of Peru shall develop such documents as needed to implement this policy.

(Ord. No. 6295, § 2(Exh. A), 6-25-2018; Ord. No. 6321, § 2(Exh. A), 6-25-2018)

Editor's note

Per direction from the city, all forms related to net metering and interconnection conditions shall be on file at the city clerk's office and can be reviewed during regular office hours.