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CSI LIMITATIONS  165


                       Grid Interconnection

                       and Metering Requirements


                       The main criteria for grid integration are that the solar power cogeneration system must
                       be permanently connected to the main electrical service network. As such, portable
                       power generators are not considered eligible. In order to receive the incentive payment,
                       the administrator must receive proof of grid interconnection.  To receive additional
                       incentives, customers whose power demands coincide with California’s peak electricity
                       demand become eligible to apply for time-of-use (TOU) tariffs that could increase their
                       energy payback. All installed meters must be physically located so as to allow the
                       administrator’s authorized agents to have easy access for tests or inspection.



                       Inspection


                       All systems rated from 30 to 100 kW that have not adopted a PBI will be inspected
                       by specially designated inspectors. In order for the system to receive the incentive
                       payment, the inspectors must verify system operational performance, installation
                       conformance to application, eligibility criteria, and grid interconnection. System
                       owners who have opted for EPBB incentives must install the PV panels in the proper
                       orientation and produce power that is reflected in the incentive application.
                         In the event of inspection failure, the owner will be advised by the administrator about
                       shortcomings regarding materials or compliance, and they must be mitigated within
                       60 days. Failure to correct the problem could result in cancellation of the application and
                       a strike against the installer, applicant, seller, or any other party deemed responsible.
                       Entities identified as responsible for mitigating the problem, if failed 3 times, will be
                       disqualified from participating in CSI programs for a period of 1 year.


                       CSI Limitations


                       Prerequisites for processing in the CSI program are based on the premise that a project’s
                       total installed, out-of-pocket expenses by the owner do not exceed the eligible costs. For
                       this reason, the owner or applicant must prepare a detailed project cost breakdown that
                       will highlight only the relative embedded costs of the solar power system. A worksheet
                       designed for this purpose is available on the CSI Web page.
                         It is important to note that clients are not permitted to receive incentives from other
                       sources. In the event that a project may be qualified to receive an additional incentive
                       from another source for the same power cogenerating system, the first incentive
                       amount will be discounted by the amount of the second incentive received. In essence,
                       the overall combined incentive amount must not exceed total eligibility costs.
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