East Central Energy cogeneration and small power production: tiers, fees and insurance

How the size is measured

the capacity rating, which East Central Energy defines as the aggregation of production ability for the units making up the system, excluding the electric load of the service, measured in kilowatts alternating current at the point of connection during a fifteen minute interval. Note the rules are internally inconsistent: one part uses nameplate capacity of less than 40 kilowatts while the defined term is capacity rating, so treat it as AC at the point of connection and confirm anything near the line.

Size bands and what each one obliges

Under 40 kW, average retail rate compensation Size 0 to 39.999 kW	Below 40 kW the member may take the average retail rate or a roll over credit. The 2026 residential cogeneration rate is 13.127 cents per kWh. Wheeling charges apply at 30 kilowatts or greater. No fee, no insurance and no timeline are published. The facility must be owned by the member; membership cannot be established solely to interconnect generation
40 kW to 100 kW, time of day required Size 40 to 100 kW	From 40 kW to 100 kW the member must take a time of day rate. Standby service is defined for qualifying facilities greater than 40 kW. Time of day rate Standby service arrangement above 40 kW
Above 100 kW, negotiated contract Size 100.001 to 20000 kW	Above 100 kW a negotiated contract is required. Negotiated contract

Under 40 kW, average retail rate compensation Size 0 to 39.999 kW

Below 40 kW the member may take the average retail rate or a roll over credit. The 2026 residential cogeneration rate is 13.127 cents per kWh. Wheeling charges apply at 30 kilowatts or greater. No fee, no insurance and no timeline are published.

The facility must be owned by the member; membership cannot be established solely to interconnect generation

40 kW to 100 kW, time of day required Size 40 to 100 kW

From 40 kW to 100 kW the member must take a time of day rate. Standby service is defined for qualifying facilities greater than 40 kW.

Time of day rate
Standby service arrangement above 40 kW

Above 100 kW, negotiated contract Size 100.001 to 20000 kW

Above 100 kW a negotiated contract is required.

Negotiated contract

The screens that decide it

One mile aggregation rule for average retail rate eligibility
Multiple qualifying facilities of the same generation type are treated as a single facility for average retail rate eligibility if they are within the same one mile radius and owned, in whole or part and directly or indirectly through a business entity, by the same members as identified by taxpayer identification or social security number. Only one may take the average retail rate; the rest get avoided cost. Installers routinely miss this on a second property or a farm with several meters.

Ask the utility this, before you sell it

What is the monthly Grid Access Charge for this member? The rules say a qualifying facility shall be assessed one to recover fixed costs not already paid, and the amount is not published anywhere. It is mandatory and cannot be priced from public documents.
Where is Schedule 3, the cooperative’s adopted interconnection process, safety standards and technical requirements? The rules require it to exist and to be on the website, and it could not be found on the cogeneration, renewable energy, solar energy, solar toolkit or rates pages. That means the screens, the fees and the review timeline are all unavailable.
Does the member already own generation of the same type within a one mile radius? That changes the compensation.

Worth knowing before you quote

No fees, no insurance requirement, no review timeline, no aggregate cap, no screens and no storage or non export provisions appear anywhere in the rules, all confirmed by reading the document in full. The rules are PURPA shaped and never mention storage or export limiting. Roll over credits expire annually: any excess kilowatt hours remaining at the end of each calendar year cancel with no additional compensation. Net credits are returned by check or comparable electronic payment within 15 days of the billing date. The qualifying facility must be owned by the member, and membership cannot be established solely for the purpose of interconnecting generation, which rules out a special purpose entity owned third party structure. East Central Energy also serves northwest Wisconsin and is a listed adopter of the Wisconsin cooperative interconnection requirements for that territory, so a Wisconsin address in its service area may be governed by that document instead.

Source

East Central Energy Cooperative Cogeneration Rules Implementing Minnesota Statutes 216B.164, with the member owned renewable energy guidance revised January 2026

Read and recorded 2026-09-12. Rural electric cooperative. East Central Energy’s board adopted a local authority resolution on 15 September 2017. Its own board, not the Public Utilities Commission, approves the cogeneration tariff annually and hears disputes, with mediation costs split 90 percent cooperative and 10 percent member. The rules document itself carries no effective or revision date.

All Minnesota interconnection rules

Size bands and what each one obliges

The screens that decide it

Ask the utility this, before you sell it

Worth knowing before you quote

What to do with this