Distributed Energy Resources Services Tariff

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The Distributed Energy Resources Services (DERS) Tariff, Schedule GO-DERS, is an optional tariff service for customers which allows SoCalGas® to plan, design, procure, construct, own, operate and maintain Combined Heat and Power (CHP) as well as Waste Heat to Power (WHP) facilities on customer premises.

Distributed Energy Resources Services (DERS) are provided under this Tariff based upon arrangements mutually satisfactory to the host site and SoCalGas for design, location, construction, and operation of required DERS facilities. Examples of customer end-use applications that can be served by the Distributed Energy Resources Services Tariff include, but are not limited to: electrical loads, hot water, hot air, steam, process heat, chilled water, and chilled air.

Non-utility service providers may offer services that are the same or similar to the Distributed Energy Resources Services Tariff and customers are encouraged to explore these service options. To assist customers in understanding all of their service options, the US Department of Energy has compiled a list of suppliers1 which includes project developers, consultants, equipment manufacturers, installers and others.

Customers interested in the Distributed Energy Resources Services Tariff should be aware of the following:

  • The Distributed Energy Resources Services Tariff is a fully-elective, optional, nondiscriminatory tariff service that is neither tied to any other tariff nor non-tariff services the customer may receive from SoCalGas, nor will it change the manner in which these services are delivered. As an example, requests for a new natural gas meter are processed on a “first-come, first-served” basis for all customers, including customers that elect to take the Distributed Energy Resources Services Tariff and customers that do not.
  • Any agreement to provide service under the Distributed Energy Resources Services Tariff is at SoCalGas’ discretion and will depend on non-discriminatory factors such as safety, SoCalGas resource availability, technical feasibility, and acceptability of commercial terms.
  • SoCalGas will not engage in any activities upstream from the point of receipt for DERS facility fuel or downstream from the service delivery point for energy outputs. In particular, the establishment of the electrical interconnection is the responsibility of the tariff customer.
  • The customer is the sole owner of any energy outputs delivered by the Distributed Energy Resources Services Tariff. The customer is solely responsible for any electricity to be sold or exported back to the grid.


Frequently-asked Questions

What is the Distributed Energy Resources Services Tariff?

The Distributed Energy Resources Services (DERS) Tariff is an optional cost-based tariff service for customers that allows SoCalGas (or third-party provider on behalf of SoCalGas) to plan, design, procure, construct, own, operate, and/or maintain distributed energy equipment on or adjacent to customer premises to satisfy onsite energy requirements as requested by the customer and agreed to by SoCalGas. Non-utility service providers may offer services that are the same or similar to the DERS Tariff and customers are encouraged to explore these service options. To assist customers in understanding all of their service options, SoCalGas maintains and provides customers with a link to a list of non-utility service providers that can be found on the Environmental Protection Agency’s website at https://www.epa.gov/chp/chp-partnership-partners*. (This list includes the Department of Energy’s Qualified List of Energy Service Companies which have been approved by a qualification review board comprised of Department of Energy staff.)1

What are some examples of end-use applications that would use this tariff?

SoCalGas can provide combined heat and power (CHP) technologies, including but not limited to topping- and bottoming-cycle applications.

Is the Distributed Energy Resources Services Tariff mandatory if customers want to have a distributed energy system?

No. Customers may elect to install and maintain their own distributed energy equipment or engage a third party to install and maintain their distributed energy equipment rather than take the Distributed Energy Resources Services Tariff from SoCalGas.

Does enrollment in this tariff result in any preferential treatment when it comes to getting natual gas service?

No. The Distributed Energy Resources Services Tariff is a fully-elective, optional, non-discriminatory tariff service that is neither tied to any other tariff or non-tariff services the customer may receive from SoCalGas nor will it change the manner in which these services are delivered. As an example, requests for natural gas service are processed on a “first-come, first-served” basis for all customers, including customers that elect to take the Distributed Energy Resources Services Tariff and customers that do not.

Can anyone receive service under the Distributed Energy Resources Services Tariff?

The Distributed Energy Resources Services Tariff is not restricted to a particular customer class. Any agreement to provide service under the Distributed Energy Resources Services Tariff is at SoCalGas’ discretion and will depend on nondiscriminatory factors such as safety, system capacity, SoCalGas resource availability, technical feasibility, and acceptability of commercial terms.

Under this service, would SoCalGas be responsible for all equipment connected to the distributed energy facilities?

No, this service will not cover any activities upstream of the Distributed Energy Resources Services Tariff Receipt Point where fuel is delivered to the distributed energy system or downstream of the DER Point of Service Delivery where energy outputs are delivered to the customer.

What other limitations apply to the Distributed Energy Resources Services Tariff?

Other limitations that apply to the DERS Tariff include, but are not limited to, the following: 

  1. Combined heat and power systems provided through the DERS Tariff must meet the California Public Utilities Commission’s Self-Generation Incentive Program (SGIP) efficiency and greenhouse gas emission standards. 
  2. SoCalGas will only install combined heat and power facilities that are fueled wholly by natural gas, biogas, or other gaseous fuels such as hydrogen or hythane. 
  3. The nameplate capacity of the installed combined heat and power system will be less than or equal to 20 Megawatts (MW). If SoCalGas installs multiple systems on one customer’s premises, the total nameplate generating capacity built on that premises must be less than or equal to 20 MW. 
  4. The combined heat and power systems installed through the DERS Tariff must meet the requirement that all facilities meet the “fundamental use test” as defined in the federal definition of cogeneration, which requires the energy outputs from the system to be useful.

 

1Provided for information purposes only. There are numerous qualified non-utility providers of products and services needed for construction and operation of CHP or WHP facilities, but SoCalGas does not recommend or endorse the products or services of any particular party listed herein, or represent that the particular products or services are fit for any particular purpose or use. By publishing this list, SoCalGas is not acting in an advisory capacity, and does not assume any responsibility for use of the list by customers. Although commercially reasonable efforts are used in posting this list, no representation is made that it is complete or free from error. Related information is posted at socalgas.com. To be added to the list, please send an e-mail to marketdevelopment@semprautilities.com. Vendors are listed alphabetically and the order of listing implies no preference.

The information contained herein is made available solely for informational purposes. Although SoCalGas has used reasonable efforts to assure the accuracy of the information at the time of its inclusion, no express or implied representation is made that it is free from error or suitable for any particular use or purpose. SoCalGas assumes no responsibility for any use thereof by you, and you should discuss decisions related to this subject with your own advisors and experts.