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Why connect to the grid?
Connecting your system to the utility grid allows you to sell any excess power that you generate to the utility, as well as to buy electricity from the utility when your needs exceed your wind-powered generation. Interconnected systems do not require batteries. If your utility offers a net metering or billing arrangement, you can even sell your excess power at the same price you pay for electricity you purchase, thereby increasing the value of your wind energy system investment.

AWEA's Net Metering FAQs:
www.awea.org/faq/netbdef.html

Model Interconnection Language:
AWEA's Small-Wind Utilities Page

How do I connect to the grid?
Most utilities and other electricity providers require that you enter into a formal agreement with them before you interconnect with the grid.

  • Non-technical issues: Interconnection agreements usually address two sets of non-technical issues: the terms and conditions for installing and operating your wind turbine; and the terms and conditions for the exchange or purchase of power from your facility. See AWEA's non-technical issues interconnection page
  • Technical issues: If your wind turbine is connected to the local utility grid so that any of the power produced by your wind turbine is delivered to the grid, then your utility also has legitimate concerns about safety and power quality that need to be addressed.
  • Guide to Grid Interconnection: "Connecting to the Grid" by the Interstate Renewable Energy Council

How does interconnection affect my system's economics?
Federal law (PURPA) requires utilities to purchase power from independent providers at the utility's "avoided cost" - usually much less than the retail price you pay for the electricity you buy. However, a number of states require some or all utilities to offer net metering to customers with qualifying interconnected energy generation systems. In this case, all the electricity you generate is valued at the same (retail) price; excess generation can be "banked" with the utility for a month or even up to a year. Standard electricity meters can spin both forward and backward, simplifying accounting for both you and the utility.
 
Whether or not you can obtain a net metering arrangement, interconnection means that you will not need to install batteries. However, net metering increases the value of the electricity you generate, thereby improving system economics.
 
Grid-connected systems
Small wind energy turbines may be installed as stand-alone systems, or they may be connected to the utility grid. Connecting to the grid requires the approval of the utility. Technical and insurance requirements for interconnection vary, as do metering arrangements. AWEA has state-by-state information for several states.



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