10 KREY BOULEVARD     RENSSELAER, NY  12144

 

 

October 7, 2011

 

 

By Electronic Delivery

Honorable Kimberly D. Bose, Secretary Federal Energy Regulatory Commission 888 First Street, NE

Washington, DC 20426


 

 

 

 

 

 

 

 

 

 

 

A PROFESSIONAL CORPORATION
1050 Thomas Jefferson Street N.W.

Washington, D.C. 20007 -3877 (202) 298-1800 Fax (202) 338-2416
www.vnf.com


 

Re:    Filing of an Executed Amended and Restated Standard Large Generator Interconnection
Agreement Among the New York Independent System Operator, Inc., Long Island
Lighting Company, d/b/a LIPA, a wholly-owned subsidiary of Long Island Power
Authority, and Long Island Solar Farm LLC, and Request for Waiver of the 60-Day
Notice Period, Docket No. ER11-___-000

Dear Ms. Bose:

Pursuant to Section 205 of the Federal Power Act,1 Section 35.12 of the Commission’s Regulations,2 and Section 11.3 of its Large Facility Interconnection Procedures (“LFIP”), the
New York Independent System Operator, Inc. (“NYISO”) hereby tenders for filing an Executed Amended and Restated Standard Large Generator Interconnection Agreement (“Amended
Agreement”) as Service Agreement No. 1662 among the NYISO, Long Island Lighting
Company d/b/a LIPA (“LIPA”) a wholly-owned subsidiary of Long Island Power Authority
(“Authority”), and the Developer,3 Long Island Solar Farm LLC (“Long Island Solar Farm”)
(collectively, “the Parties”).  The Authority and LIPA join in this filing.4  The Parties
respectfully request waiver of the Commission’s 60-day notice period to make this Amended
Agreement effective as of October 5, 2011.

 

 

1 16 U.S.C. § 824d (2006).

 

2 18 C.F.R. § 35.12 (2008).

 

3 Capitalized terms not otherwise defined in this letter have the meaning set forth in Attachments S and X of the NYISO’s Open Access Transmission Tariff (“OATT”).

 

4  The Authority is a corporate municipal instrumentality and a political subdivision of the State of New York.  Both the Authority and its operating subsidiary, LIPA, are non-jurisdictional municipal utilities pursuant to section 201(f) of the Federal Power Act.  See New York Independent System Operator, Inc., 111 FERC ¶ 61,266 (2005).


 

 

 

Honorable Kimberly D. Bose October 7, 2011

Page 2

 

I.Background

The Amended Agreement supersedes a Large Generator Interconnection Agreement

(“LGIA”) among the Parties that was filed in Docket Nos. ER11-1975-000 and ER11-1975-001, as Service Agreement No. 1662 (“Original Agreement”).  The Original Agreement was accepted by the Commission in Docket No. ER11-1975-000 on December 15, 2010, effective October 15, 2010, conditioned on administrative revisions to the eTariff submittal.5   Such administrative
revisions, submitted on January 14, 2011, were accepted by the Commission on February 18,
2011 in Docket No. ER11-1975-001.6

 

The Original Agreement accepted by the Commission provided for the interconnection of
Long Island Solar Farm’s 31.5 MW solar facility (“the Facility”) to LIPA’s transmission system.
The Original Agreement contained non-conforming provisions to recognize LIPA’s unique status
as a non-jurisdictional, tax exempt municipality and other circumstances specific to the Long
Island Solar Farm project, including the existence of a Power Purchase Agreement (“PPA”)
between the Authority and Long Island Solar Farm7 and the execution of the Original Agreement
prior to completion of the Class Year 2010 Interconnection Facilities Study (“Class Year 2010
Study”).

 

Long Island Solar Farm elected to seek both Energy Resource Interconnection Service and Capacity Resource Interconnection Service.  The Original Agreement was executed prior to completion of the Class Year 2010 Study, which includes evaluation of deliverability that
determines eligibility for Capacity Resource Interconnection Service.  Accordingly, the Parties modified the pro forma language in Article 4.1.1 making the provision of Energy Resource
Interconnection Service and Capacity Resource Interconnection Service subject to the
requirements of Appendix C, Section 2.

Appendix C, Section 2 of the Original Agreement recognized that Long Island Solar
Farm is a member of Class Year 2010which was not completed as of the effective date of the
Original Agreement.  Appendix C, Section 2 also specifically anticipated amending the Original

 

 

5 See New York Independent System Operator, Inc. and Long Island Lighting Company, d/b/a LIPA, a wholly-

owned subsidiary of Long Island Power Authority, Letter Order, Docket No. ER11-1975-000 (issued December 15, 2010). (conditioning its acceptance on administrative revisions to the eTariff submittal so that the filing displayed correctly in eTariff).

 

6 See New York Independent System Operator, Inc. and Long Island Lighting Company, d/b/a LIPA, a wholly-

owned subsidiary of Long Island Power Authority, Letter Order, Docket No. ER11-1975-001 (issued February 18,
2011).

 

7 In April 2008, the Authority issued a Request for Proposals for Solar Photovoltaic Generating Projects (“RFP”)
seeking to purchase energy and related capacity and renewable energy certificates (“RECs”) for solar photovoltaic
systems to meet LIPA’s need for a diversified portfolio of electric generation on Long Island.  The Long Island
Solar Farm plant was one of the projects selected by the Authority’s Board of Trustees in February 2009.
Thereafter, negotiations between the Authority and Long Island Solar Farm occurred and a resulting PPA was
executed in February 2010.


 

 

 

Honorable Kimberly D. Bose October 7, 2011

Page 3

 

Agreement if the Parties agreed that Long Island Solar Farm may commence Trial and

Commercial Operation prior to the final settlement of the applicable Interconnection Facilities Study.  Specifically, Appendix C, Section 2 of the Original Agreement provided:

Before Trial Operation of the Large Generating Facility, the Developer shall accept the
cost allocated to the Large Generating Facility for SUFs through a Class Year
Interconnection Facilities Study and post any associated security and make any payment
required, pursuant to Attachment S of the NYISO OATT.  If, after the Effective Date, the
Developer requests, and the other Parties agree, that the Large Generating Facility may
commence Trial and Commercial Operation prior to the final settlement of the applicable
Class Year Interconnection Facilities Study, the Parties will amend this Agreement to
reflect that schedule change and require Developer agrees to accept its cost allocation
from the applicable Class Year Interconnection Facilities Study and post any required
security or make any required payment.8

 

Finally, Appendix C, Section 2 of the Original Agreement provided that Long Island

Solar Farm was not permitted to supply Unforced Capacity to the NYCA from the Facility until
the Developer had complied with the deliverability requirement pursuant to Attachment S of the
NYISO OATT, including acceptance of any cost allocated to the Facility for SDUs through the
applicable Class Year Interconnection Facilities Study and the posting of associated security or
payments.

II.Discussion of Changes

Since the filing of the Original Agreement, the NYISO, the Authority and Long Island
Solar Farm have mutually agreed that Long Island Solar Farm may commence Trial and
Commercial Operation prior to the final settlement of Class Year 2010.  Long Island Solar Farm
anticipates beginning Trial Operations on October 11, 2010; however the settlement of Class
Year 2010 has not concluded as of the date of this filing and will not conclude prior to October
11, 2011.  The Parties therefore submit this Amended Agreement, as specifically anticipated by
the Original Agreement to reflect modifications to the Original Agreement that reflect this
schedule change and that require Long Island Solar Farm to accept its cost allocation from the
Class Year 2010 Study and post any required security or make any required payment.  The
Parties, do not, however, propose to modify the language in Appendix C, Section 2 that requires
Long Island Solar Farm to complete the Class Year 2010 Study and post any associated security
or payments before being able to supply Unforced Capacity and thereby be considered an
eligible Capacity Resource.

Specifically, the Amended Agreement modifies the LGIA as follows:

  The body of the Amended Agreement reflects the following modifications to the body of
the Original Agreement: (1) a new effective date; (2) changes to reflect that this is the
“Amended and Restated” version of the Interconnection Agreement; and (3) updates to

 

8 See Original Agreement at C-1 (emphasis added).


 

 

 

Honorable Kimberly D. Bose October 7, 2011

Page 4

 

the signature block for Long Island Solar Farm, LLC to reflect its current corporate structure.

  Appendix B reflects updated dates in the Milestone table; and

  Appendix C reflects the following modifications:  (1) changes to reflect that Class Year
2010 is the applicable Class Year Interconnection Facilities Study for the Facility; (2)
changes to reflect that Long Island Solar Farm agrees to accept its cost allocation from
Class Year 2010 and post any required security or make any required payment upon final
settlement of Class Year 2010; and (3) changes to reflect that Long Island Solar Farm
need not accept its cost allocation from Class Year 2010 and post any required security or
make any required payment prior to beginning Trial and Commercial Operation.

The blacklined version attached to this filing shows all of these changes that were made to the currently effective interconnection agreement. The Parties respectfully request that the Commission accept this Amended Agreement.

 

III. Effective Date and Request for Wavier of the 60-Day Notice Period

The parties request an effective date of October 5, 2011 for the Amended Agreement,
which is the date of execution.  The Commission has allowed interconnection agreements to
become effective on the date of execution, even when that date pre-dates the date that an
interconnection agreement is filed.  Accordingly, the parties request that the Commission grant a
waiver of its prior notice requirements to the extent necessary to accommodate this requested
effective date.

IV. Communications and Correspondence

Communications regarding this filing should be directed to:For the NYISO

Robert E. Fernandez, General Counsel

Karen Georgenson Gach, Deputy General Counsel *Sara B. Keegan, Senior Attorney

New York Independent System Operator, Inc.

10 Krey Boulevard

Rensselaer, NY 12144
Tel:  (518) 356-6000
Fax: (518) 356-4702
rfernandez@nyiso.com

kgach@nyiso.com
skeegan@nyiso.com


 

 

 

Honorable Kimberly D. Bose October 7, 2011

Page 5

 

For the Long Island Lighting Company d/b/a LIPA and the Long Island Power Authority

 

*Tamika Mendoza, Esq.*Joseph B. Nelson

Assistant General CounselJeffery Winmill

Long Island Power AuthorityVan Ness Feldman, P.C.

333 Earle Ovington Boulevard1050 Thomas Jefferson Street, N.W

Suite 403Seventh Floor

Uniondale, New York 11553Washington, D.C. 20007-3877

Telephone: (516) 222-7700Telephone: (202)-298-1800

Facsimile: (516) 222-9137Facsimile: (202)-338-2416

tmendoza@lipower.orgjbn@vnf.com

jxw@vnf.com

 

 

*Designated to receive service.

V.Documents Submitted

The NYISO submits the following documents:

 

this filing letter;

 

a clean version of the Amended Agreement (Attachment I); and

a blackline showing the changes between the Original Agreement and the Amended
Agreement (Attachment II).

 

VI.Service

The NYISO will send an electronic link to this filing to the official representative of each
of its customers, to each participant on its stakeholder committees, to the New York Public
Service Commission, and to the New Jersey Board of Public Utilities.  In addition, a complete
copy of the Public documents included with this filing will be posted on the NYISO’s website at
www.nyiso.com.


 

 

 

Honorable Kimberly D. Bose October 7, 2011

Page 6

 

VII.   Conclusion

Wherefore, the NYISO respectfully requests that the Commission accept the attached Agreement effective as of October 5, 2011.

 

Respectfully submitted,

/s/ Sara B. Keegan

Sara B. Keegan
Counsel for the

New York Independent System Operator, Inc.

 

/s/ Joseph B. Nelson

Joseph B. Nelson

Counsel for the Long Island Lighting Company, d/b/a LIPA, (“LIPA”) and the Long Island Power Authority (“Authority”)