2011 PV PPA RFO
Questions and Answers from February 8, 2011 Bidders’ Conference
Interconnection
Q: If a new WDAT interconnection application were filed during the RFO period, would that interconnect timeline be reasonable and/or would PG&E be willing to expedite that process if the project were shortlisted?
A: PG&E treats all interconnection requests with no bias. PG&E uses the same reasonable efforts in processing and analyzing Interconnection Requests from all Interconnection Customers, whether they are the selected RFO customer, shortlisted, or have a PPA with a third party.
Q: What has been the historical success rate for projects interconnecting via the fast track process? What is the likelihood of being able to meet the test screens?
A: Historically, not many have qualified for fast track due to the failure of Screen 10. Specifically, Screen 10 is the following:
“No construction of facilities by the Distribution Provider on its own system shall be required to accommodate the Small Generating Facility.”
PG&E has reviewed its interpretation of Screen 10 and will be making a clarification that if the project triggers the construction of distribution upgrades or transmission network upgrades, then the project will fail this screen. However, if the project only triggers construction of interconnection facilities, the project may pass this screen if no distribution upgrades or transmission network upgrades are required. As a result of this clarification, PG&E believes that more projects may qualify under the fast track process.
Q: Is there an "independent study" that must be performed by the developer on the fast track application?
A: There is no “independent study” that PG&E requires for any of the interconnection study processes. However, PG&E does encourage the developer to have completed its own independent review prior to applying for interconnection.
Q: Will getting into March 2011 cluster qualify our project for this RFO?
A: No. Due to the timelines associated with the upcoming March 2011 WDT cluster, projects processed under this cluster will not have studies completed prior to June 3, 2011.
Q: How will PG&E reconcile fast track projects with regard to deliverability?
A: PG&E is currently assessing the deliverability aspects of fast track projects and will be working with the CAISO on this matter.
Q: What efforts are being made by PG&E's T&D group to notify and/or work with the affected CA counties, in that, a significant effort to bring on / interconnect more solar is being made and permitting in affecting counties will need to facilitate such interconnection effort and solar PV effort?
A: Permitting issues vary by county and PG&E has partnered with various entities that are looking to address these permitting issues.
Q: Will the mapping be provided in GIS shape files for developer mapping?
A: PG&E will investigate the feasibility of providing GIS shape files and, if practical, will make these available.
Q: What is the current URL address for mapping info?
A: You can link to the map and the underlying data on PG&E's PV RFO site, http://www.pge.com/b2b/energysupply/wholesaleelectricsuppliersolicitation/PVRFO/index.shtml.
Q: Two of my projects are within the PG&E territory but not on the map shown during the presentation.
A: The map shown during the presentation focused on the Bay Area. You can use the map on our website to maneuver to other areas of the PG&E service territory.
Q: For interconnection, does PG&E require full deliverability study to be done or is energy only sufficient?
A: For this RFO, you must apply for a full deliverability study when it becomes available.
Q: How can we get the physical address of the locations marked on the current PV program map? What do the codes mean in relationship of each city location?
A: There is no way to get the physical address of the locations marked on the current PV program map. When PG&E implements the new map, it should be much easier to geographically relate properties to electric facilities. With respect to the second question, there is no specific relationship between the codes (by “codes,” PG&E believes the question is referring to the boxes on the current PV map) and each city location.
Q: How can an estimated date of completion of interconnection be provided to PG&E if only an interconnection queue position is required?
A: You only need to provide the date if you have it. If you do not have one, leave this field blank in the Offer Form.
Q: The presentation shows that projects in the current CAISO SGIP transition cluster will qualify for this RFO. Our understanding from the CAISO is "final" reports are not due until July 2011. Does a project in the SGIP transition cluster qualify for this RFO?
A: GIPR Transition Cluster projects can qualify for this year’s RFO. SGIP Transition Cluster will not qualify for this RFO since their studies will not be completed prior to June 3, 2011.
Q: Since you are asking for interconnection cost information, how will it be used?
A: We will not use this information as part of the offer evaluation and selection. But if you have this information we request you provide it to further our overall understanding of your project.
Q: What are the expected costs for interconnection studies? Fast track? Independent? Cluster?
A: Please refer to the Afternoon Detailed Interconnection Presentation from the February 8, 2011 bidders’ conference for this information.
Q: If we are tied into an existing interconnection process, what will the process be like for that study?
A: The study process for new Interconnection Requests and those that do not meet the transition qualifications are described in the applicable Generator Interconnection Procedure. For projects in transition, the study process will be conducted per the Small and Large Generator Interconnection Procedure in place prior to the GIP reform.
Q: On the site, it states that the CAISO transition cluster will qualify for this RFO's study requirements. Although, CAISO states the studies won't be complete until July 31st?
A: SGIP Transition Cluster will not qualify for this RFO.
Q: When assessing interconnection costs, are there any assumptions made with units that may not be successfully constructed, yet are ahead in that queue? Or in the case of a cluster analysis units that may not be built?
A: Queued ahead projects or clusters are assumed to come to fruition in evaluating impacts and capital improvements required.
Q: Are there one (1) or two (2) transmission clusters per year?
A: There is one new transmission cluster that is studied each year. There are two Cluster Application Windows associated with each Interconnection Study Cycle. The first Cluster Application Window will open on October 15 and close on November 15 of the year prior to the year in which the Interconnection Studies are performed. The second Cluster Application Window will open on March 1 and close on March 31. The Phase I Interconnection Study of each new Cluster will commence by June 1 of each year.
Q: Will the new map coming out at the end of March be available in both Google map and earth format, similar to the current map?
A: PG&E anticipates the map will be in available in either Google Map or Google Earth format. A final decision regarding which format PG&E will use is still pending.
Q: Will the MS Excel spreadsheet that will be released include geographic location data that will allow usage in GIS software programs?
A: PG&E will strive to provide a file containing geographic location data.
Q: Will the distribution map provide information as to the availability of capacity on the upstream transmission system?
A: PG&E is working towards providing capacity related information regarding the transmission system. However, it is not clear at this time when that information will be available
Q: Do the maps accurately represent the capacity available?
A: The current PV map does not represent the exact capacity at each location. As indicated in the legend, the capacity data is provided in ranges. When PG&E implements the new map, the capacity values the Company provides will be more specific.
Q: Where can we get information on transmission lines not under CAISO control?
A: PG&E or CAISO will advise you if your point of interconnection is on a transmission line that is not under CAISO control.
Developer Experience
Q: What if the developer has not completed any projects (nor issued a full notice to proceed)?
A: If the developer or member of the development team does not meet the experience requirement, their Offer will not be considered. Developer experience is a requirement per the solicitation protocol.
Q: Will experience on the broader team (such as JDA partners or EPC partners) under contract be sufficient?
A: This will be considered sufficient as long as the member with this experience has an active role in your bid project development effort.
Q: Is the 500 kW development experience a single project or accumulative?
A: The 500 kW experience relates to a single project, not multiple projects adding up to 500 kW.
Q: Does developer experience abroad count toward the requirement, or must it be "U.S.A" experience?
A: Experience abroad will count toward the requirement.
Q: For developer experience, if we have a shortlist of EPC providers that meet the requirement, does that meet your definition of experience?
A: If you are using your EPC provider to meet the developer experience requirement, we are looking for you to have the EPC provider under contract when you submit your Offer.
Q: If you are partnering with an EPC contractor who has built projects of at least 500 kW, does that meet the developers experience requirement?
A: Yes.
Q: Please define "begin construction". Is this the actual start of the on-site construction?
A: For the purpose of meeting the developer experience requirement of this RFO, "begin construction" is defined as having provided the full notice to proceed to the EPC contractor.
Supplier Diversity
Q: Supplier diversity: Are there different valuations applied to different entities?
A: The scoring is built into overall project evaluation. Each Offer will receive a supplier diversity evaluation. The pricing and supplier diversity evaluations will be combined into a single score for each Offer and Offers will be ranked based on that score.
Q: How significant is the supplier diversity participation portion of the RFO?
A: The supplier diversity weighting component is confidential.
Q: Must we be registered or confirm suppliers in order to be shortlisted?
A: No, but a good score on Supplier Diversity will help the overall ranking of your Offer.
Q: Can you please talk more about the supplier diversity. What is the goal for PG&E overall and for the program? What percent is PG&E's overall goal and percent goal for this program in terms of supplier diversity?
A: Our overall goal at PG&E is 30% spend on diverse suppliers. Our PPA expenditures do not count towards that spend, and there currently is no set goal for overall diverse supply PPA expenditures or for diverse supply expenditures in this solicitation, but we have agreed to take it into consideration.
Pricing
Q: Does price mean "the same price for each year of the term"?
A: Yes, the price you submit must be the same price for each year of the 20 year contract term.
Q: Will 2011 MPR valuations include a) LCR value b) separate REC value, c) voltage support, or d) other ancillary services?
A: The Market Price Referent is not being used in this solicitation.
Q: Does PG&E use the MPR table as a metric for PPA rate levelized contract price?
A: No. We do not compare Offer prices to the MPR.
Q: Are you going to evaluate the price of smaller projects (1 - 3 MW) and larger projects together, or separate?
A: They will be evaluated together.
Q: How will the status of resource adequacy be taken into account in pricing? If it is gained, would price be adjusted? Will generators be required to apply for it?
A: Your Offer’s pricing should assume your project provides Resource Adequacy. You must apply for deliverability studies, and there will be no price adjustments of any kind, including for reasons related to RA.
Q: Please comment on the flat pricing you are requiring. In the early years prices will be higher than necessary. In later years, developers are hit with a double whammy of lower prices + degradation.
A: We understand your concern; however we cannot change the pricing rule for this round of the solicitation. Please set your flat pricing taking onto account the impacts you have raised.
Q: Why are you not including transmission network costs triggered by a project since this will result in higher than needed costs to ratepayers?
A: Transmission network costs are not considered in the streamlined evaluation process we are using. Transmission upgrades are hoped to be minimal but it is something we will review following the 2011 round of this RFO.
Q: Is REC bundled as a value in the offering price?
A: Yes, it is part of the defined Product in the PPAs.
Q: For the NERC holidays, what TOD factor will you use?
A: For NERC holidays, Shoulder TOD factors will be used for the 6:00 AM to 10:00 PM hours and Night TOD factors will be used for all other hours. Please note that this is a correction to the verbal response given to this question at the Bidders’ Conference.