5.4. ERMUSR 10-11-2016 Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Torn Sagstetter—Conservation and Key Accounts
John Dietz—Chair Manager
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
October 11,2016 5.4
SUBJECT:
Commercial All Electric with Ground Source Heat Pump Tariff
DISCUSSION:
As part of service territory transfer there was a commercial customer class that ERMU did not
have represented in the available programs for load management rates. ERMU currently offers
load management rates for customers that can manage their energy use or are participating in an
electric program that warrants a separate customer class. Examples of these programs include
but are not limited to the commercial off-peak program, electric thermal storage (water and space
heat), dual fuel, and electric vehicle charging.
The Commercial All Electric with Ground Source Heat Pump tariff is a program designed for
customers that have made a commitment to operate their facility as efficiently as possible using
only electric energy for all their requirements. They have embraced and committed to the
progressive technology of ground source heat pumps. The GSHPs systems are large and have
between 50 and 150 kW of connected load for heating and cooling purposes. The facilities will
have other energy needs over and above the energy and demand to heat and cool.
The benefits to ERMU of having customers on this program include: increasing system load
factor, increased energy use in the colder months, and more predictable energy consumption for
all twelve months of the year.
As ERMU's existing commercial tariffs and load management rates are unable to accommodate
the special circumstances for existing customers on this Connexus rate, staff is requesting the
approval of a new Commercial All Electric with Ground Source Heat Pump tariff.
ACTIONS REQUESTED:
Commission approval of the new Commercial All Electric with Ground Source Heat Pump tariff
for existing and future customers effective September 20, 2016.
ATTACHMENT:
• Proposed Commercial All Electric with Ground Source Heat Pump Tariff
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ELK RIVER MUNICIPAL UTILITIES
Commercial All Electric with Ground Source Heat Pump (GSHP)
Available: Within Elk River Municipal Utilities (ERMU) established service territory.
Applicable: To commercial customers having a single meter that includes a GSHP in
excess of 50 kW but no more than 150 kW in aggregated name plate capacity of the
GSHP equipment (condensers and pumps).
Character of Service: AC, 60 cycles, 120/240 volts, three wire, and three-phase.
Special Conditions: This Program is available to commercial customers. A GSHP will
be the only central heating and/or cooling system for the commercial work spaces.
Commercial structures that are classified as Utility and Miscellaneous Group U by the
International Code Council are not eligible for this rate. GSHPs that qualify for this
program will not be interrupted. A GSHP paired with another heating source such as
natural gas, fuel oil, or propane may qualify for the Dual Fuel Program.
Meter to be accessible to our service department at anytime.
To qualify for the special rate, the customer shall provide:
1. The GSHP is the only heat source. Only closed loop GSHPs are eligible for
this rate beginning September 1, 2016.
2. ERMU and the customer will agree on a meter location prior to the meter
socket installation.
3. Commercial customers may have a separate meter to determine the energy
and demand of the GSHP. Electric usage for the non-heating/cooling energy
use of the building may be metered and priced using the appropriate rate
(demand, or non-demand) schedule.
4. Accommodations for a meter and associated wiring installed according to the
applicable electrical codes and will be installed by a qualified electrician.
5. Inspection by a State certified inspector and representative of ERMU.
6. Customers on this rate will not be eligible for the Cycled Air Conditioning or
Dual Fuel Programs.
Rate: Subject to application of Power Cost Adjustment (PCA).
Ground Source Heat PumpService:
Basic Monthly Electric Charge: $30.00 per month
Plus:
Summer Winter
$0.0900/ kWh $0.0900/ kWh
Sales tax is applicable only in summer months.
Summer: The summer rate shall apply to the Customer's use from May 1 through
September 30.
Winter: The winter rate shall apply to the Customer's use from October 1 through April
30.
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ELK RIVER MUNICIPAL UTILITIES
Commercial All Electric with Ground Source Heat Pump (GSHP)
Minimum Bill: Basic Monthly Electric Charge
Terms of Payment: Bills are due and payable upon receipt and are considered
delinquent if not paid by the due date noted on the bill. There will be a ten (10) percent
late payment charge added to all accounts that are not paid by the due date.
Terms and Conditions:
1. Usage may be fractionalized on the actual days of service for application of a change
in rate, or changing from summer to winter or from winter to summer rates.
2. Service will be furnished pursuant to Elk River Municipal Utilities' rules.
3. Extensions made for service under this schedule are subject to the provisions of Elk
River Municipal Utilities' rules governing Extension of Service and Facilities.
4. The rates set forth herein may be modified by the amount of any governmental
changes imposed and levied on transmission, distribution, production, or the sale of
electrical power.
5. Exceptions by management approval only.
Approved Adopted October 11, 2016
Effective September 20, 2016
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