Pacific Gas & Electric (PCG)

10.2. Interconnection.

        10.2.1    Obligation to Interconnect.    The Parties shall be obligated to allow interconnection to the ISO Controlled Grid in a non-discriminatory manner, subject to the conditions specified in this Section 10 and the applicable legal requirements.

        10.2.2    Standards.    All Interconnections shall be designed and built in accordance with Good Utility Practice, all Applicable Reliability Criteria, and applicable statutes and regulations.

        10.2.3    System Upgrades.    A Participating TO shall be entitled to require a entity requesting Interconnection to pay for all necessary system reliability upgrades on its side of the Interconnection and on the ISO Controlled Grid, as well as for all required studies, inspection and testing, to the extent permitted by FERC policy. The entity requesting Interconnection shall be required to execute an Interconnection Agreement in accordance with the ISO Tariff and the TO Tariff as applicable, provided that the terms of the ISO Tariff shall govern to the extent there is any inconsistency between the ISO Tariff and the TO Tariff, and must comply with all of their provisions, including provisions related to creditworthiness and payment for Facility Studies.

        10.2.4    A Local Furnishing Participating TO shall not be obligated to construct or expand interconnection facilities or system upgrades unless and until the conditions stated in Section 4.1.2 hereof have been satisfied.

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10.3. Interconnections Responsibilities.

        10.3.1    Applicability.    The provisions of this Section 10.3 shall apply only to those facilities over which a Participating TO has legal authority to effectuate proposed interconnections to the ISO Controlled Grid. Where a Participating TO does not have the legal authority to compel interconnection, the Participating TO's obligations with respect to interconnections shall be as set forth in its Commission approved TO Tariff which shall contain an obligation for the Participating TO, at a minimum, to submit or assist in the submission of, expansion and/or interconnection requests from third parties to the appropriate bodies of a project pursuant to the individual project agreements to the full extent allowed by such agreements and the applicable laws and regulations.

        10.3.2    Technical Standards.    Each Participating TO shall develop technical standards for the design, construction, inspection, and testing applicable to proposed Interconnections of Load and/or Generation Unit and apparatus to that part of the ISO Controlled Grid Facilities owned by the Participating TO. Such standards shall be consistent with Applicable Reliability Criteria and shall be developed in consultation with the ISO. The Participating TO shall periodically review and revise its criteria to ensure compliance with Applicable Reliability Criteria.

        10.3.3    Review of Participating TO Technical Standards.    Participating TOs shall provide the ISO with copies of their technical standards for Interconnection developed pursuant to Section 10.3.2 of this Agreement and all amendments so that the ISO can satisfy itself as to their compliance with the Applicable Reliability Criteria. The ISO shall develop consistent Interconnection standards across the ISO Controlled Grid, to the extent possible given the circumstances of each Participating TO, in consultation with Participating TOs. Any differences in Interconnection standards shall be addressed through negotiations and dispute resolution proceedings, as set forth in the ISO Tariff, between the ISO and the Participating TO.

        10.3.4    Notice.    A list of the Interconnection standards and procedures developed by each Participating TO pursuant to Section 10.3.2, including any revisions, shall be made available to the public through the information board (e.g. WEnet or ISO internet website). In addition, the posting will provide information on how to obtain the Interconnection standards and procedures. The Participating TO shall provide these standards to any party, upon request.

        10.3.5    Interconnection.    Each Participating TO and the ISO shall process Interconnection requests in accordance with the ISO Tariff and the TO Tariff as applicable, provided that the terms of the ISO Tariff shall govern to the extent there is any inconsistency between the ISO Tariff and the TO Tariff. Any differences in the procedures for interconnection contained in the ISO Tariff and the TO Tariff shall be addressed through negotiations and dispute resolution procedures, as set forth in the ISO Tariff, between the ISO and the Participating TO.

        10.3.6    Acceptance of Interconnection Facilities.    The Participating TO shall perform all necessary site inspections, review all relevant equipment tests, and ensure that all necessary agreements have been fully executed prior to accepting Interconnection facilities for operation.

        10.3.7    Collection of Payments.    The Participating TO shall collect all payments owed under any System Impact Study Agreement, Facility Study Agreement or other agreement entered into pursuant to this Section 10.3 or the provisions of the ISO Tariff and its TO Tariff as applicable relating to Interconnection.

        10.3.8    On-Site Inspections.    The ISO may at its own expense accompany a Participating TO during on-site inspections and tests of Interconnections or, by pre-arrangement, may itself inspect Interconnections or perform its own additional inspections and tests.

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