Generating and Selling Renewable Power
Selling Excess Renewable Power
There may be times when Distributed Renewable Generation (DRG) produces more power than is used by the customer. This excess power may be sold to a Retail Electric Provider (REP) if the customer has an interconnection agreement with an electric utility. Selling excess power works in different ways depending on where you live.
Areas with retail electric competition
You may sell the excess power that you produce to a Retail Electric Provider (REP). You must sell to the REP from whom you buy your electricity; however, REPs are not required to purchase this power. Some REPs that do purchase excess DRG power may require that the customer also subscribe to a specific retail offer. Other REPs may allow the purchase and sales offers to be chosen independently by the customer.
Retail electric customers who wish to install DRG must sign an interconnection agreement with their local electric transmission and distribution utility.
Areas without retail electric competition
Most areas of Texas without electric competition are served by municipal utilities or electric cooperatives. Customers in these regions should contact their utility or cooperative directly with questions about the sale of DRG power. Before installing DRG, get an interconnection agreement from your utility that describes the terms.
For customers not served by a municipal utility or cooperative, PUC rules require the utility to purchase DRG power put onto the grid at a rate equal to its "avoided cost," as defined in §25.242(c)(1).
- Interconnection Agreement Terms. (PUC Substantive Rule §25.211)
- Interconnection Technical Requirements (PUC Substantive Rule §25.212)
- Metering for Distributed Generation (PUC Substantive Rule §25.213)
- Distributed Renewable Generation ((PUC Substantive Rule §25.217)
- Arrangements Between Qualifying Facilities and Electric Utilities (PUC Substantive Rule §25.242)