You may be eligible to sell us electricity at our standard or negotiated rates and conditions if you own qualifying generation such as wind, solar, or hydroelectric that is interconnected directly to the electric grid of members of North Carolina Electric Membership Corporation (see a list of eligible NCEMC members below). Unless otherwise negotiated, under these options for the purchase of qualifying energy, you as the generator owner would maintain all Renewable Energy Credits associated with the output.
Eligible NCEMC Members
Cape Hatteras Electric Cooperative
Carteret-Craven Electric Cooperative
Edgecombe-Martin County EMC
Four County EMC
Lumbee River EMC
Pee Dee EMC
Pitt & Greene EMC
Roanoke Electric Cooperative
South River EMC
Surry Yadkin EMC
Union Power Cooperative
All Qualifying Facility generator developers that intend to sell energy to NCEMC are fully responsible for adhering to all utility requirements, applicable federal rules and regulations, state and local ordinances and regulations adopted by the North Carolina Utilities Commission. This website does not establish a legal or binding arrangement; it is intended solely to provide access to general information about potential options that may be available through NCEMC. Generators are responsible for consulting with appropriate legal and energy professionals in determining if generation ownership is the right choice and for assistance in navigating applicable requirements and procedures.
Options at a Glance
View a chart overview of options to sell us qualifying energy.
What you need to know:
- All developers installing generation must follow interconnection procedures of the NCEMC member including any and all required interconnection studies.
- All developers installing generation must provide a Report of Proposed Construction or, if more than 2 megawatts (MW), receive a Certificate of Public Convenience and Necessity from the NCUC.
- All developers that sell power to NCEMC must enter a Power Purchase Agreement (PPA):
- Developers of renewable generation with net capacities < 500 kW will ordinarily sell power directly to the interconnecting NCEMC member.
- Developers of renewable generation with net capacities between 500 kW and 5 MW are likely eligible for standard purchase rates under the NCEMC Schedule QF tariff. A standard PPA must be executed, as provided by NCEMC.
- Renewable energy generators that do not qualify for standard purchase rates may pursue a negotiated PPA with NCEMC.
Are you eligible for the standard option?
In order to be eligible for NCEMC’s Schedule QF rates, a generator must:
- Be a Qualifying Facility;
- Have a net capacity between 500 kW and 5 MW; and
- Be hydroelectric, solar, wind, or fueled by trash or methane derived from landfills, hog waste, poultry waste, non-animal biomass.
- Other Qualifying Facilities with net capacities between 500 kW and 5 MW, including co-generators, are eligible.
How do I use the NCEMC Schedule QF tariff in the standard option?
Eligible Qualifying Facilities are paid under the NCEMC Schedule QF tariff, which is governed by the accompanying Terms and Conditions. The Schedule QF tariff provides the rates and requirements that a generator must follow in order to sell power. Customers may choose to sell power at variable or 5-year terms. Under a variable term, rates will update annually. If choosing the 5-year option, you must remain on that rate for the entire term.
The actual payment to a customer depends on the amount of energy that is delivered to the electric grid, as measured by the billing meter. Each kilowatt-hour (kWh) of energy is eligible for both an energy and capacity payment, which are applied to the generator output depending on the month and time of day that the kWh is delivered.
For instance, energy rates vary for energy delivered between on-peak and off-peak hours. Capacity payments vary for energy delivered during summer or non-summer months. The Schedule QF tariff has full details regarding eligibility and rates. We recommend that you review the tariff to determine potential payments, based on your estimated production.
Announcement of approved changes to NCEMC's Avoided Cost Tariff
Effective August 1, 2014 and subject to RUS approval, NCEMC’s purchases from Qualifying Facilities will be subject to a new rate schedule (August 2014 Schedule QF). Absent agreement by NCEMC, the rates offered by the new schedule will only be available to new projects, and not offered to developers with existing power purchase agreements (“PPAs”):
NCEMC's August 2014 Schedule QF
- NCEMC’s August 2014 Schedule QF will be applicable to QFs with a contract capacity greater than or equal to 500kW and up to 2 MW.
- If the developer chooses the Five Year Fixed Rate option and the term of the PPA with NCEMC is greater than or equal to 10 years, NCEMC will recalculate and offer a fixed rate for the next five years of the PPA that is no lower than the expiring Five Year Fixed Rate. This recalculation will take place prior to the end of the first five years of the term.
For QFs with a contract capacity of greater than 2 MW
- NCEMC will offer a rate based on an individualized determination of the avoided cost applicable to that generator (i.e., it will be project specific), which shall remain fixed for five years. Among other factors, the determination will reflect NCEMC’s need for capacity during the PPA term.
- Assuming a PPA term of at least 10 years, NCEMC will recalculate and offer a fixed rate for the next five year period that is no lower than the expiring five year rate, with that calculation taking place prior to the end of the first five years of the term.