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PACIFIC GAS AND ELECTRIC COMPANY <br /> GENERATING FACILITY INTERCONNECTION AGREEMENT <br /> (3� PARTY NON-EXPORTING) <br /> APPENDIX D <br /> (When applicab/e) <br /> PRODUCER'S WARRANTY THAT THE GENERATING FACILITY IS A <br /> "DISTRIBUTED ENERGY RESOURCES GENERATION" <br /> FACILITY PURSUANT TO SECTION 353.1 OF THE <br /> CALIFORNIA PUBLIC UTILITIES CODE <br /> For the purpose of securing the tariff charge exemption available under Section 353.3 of the California <br /> Public Utilities Code(PU Code), Producer hereby declares that the Generating Facility meets the <br /> requirements for Distributed Energy Resources Generation as such term is used in Section 353.1 of <br /> the PU Code(DERG Requirements). <br /> Producer warrants that, beginning on the date of Initial Operation and continuing throughout the term <br /> of this Agreement, its Generating Facility shall continue to meet the DERG Requirements. If Producer <br /> becomes aware that the Generating Facility has ceased to meet the DERG Requirements, Producer <br /> shall promptly provide PG&E with Notice of such change pursuant to Section 9.1 of the Agreement. If <br /> at any time during the term of this Agreement PG&E determines in its sole discretion that Producer's <br /> Generating Facility may no longer meet the DERG Requirements, PG&E may require Producer to <br /> provide evidence that the Generating Facility continues to meet the DERG Requirements within 15 <br /> business days of PG&E's request for such evidence. Additionally, PG&E may periodically(typically, <br /> once per year)inspect Producer's Generating Facility and/or require documentation from Producer to <br /> monitor the Generating Facility's compliance with the DERG Requirements. If PG&E determines in its <br /> sole judgment that Producer either failed to provide evidence in a timely manner or that it provided <br /> insufficient evidence that its Generating Faciliry continues to meet the DERG Requirements, then the <br /> Distributed Energy Resources Generation status of the Generating Facility shall be deemed ineffective <br /> until such time as Producer again demonstrates to PG&E's reasonable satisfaction that the <br /> Generating Facility meets the requirements for a Distributed Energy Resources Generation facility(the <br /> DERG Status Change). <br /> PG&E shall revise its records and the administration of this Agreement to reflect the DERG Status <br /> Change and provide Notice to Producer of the DERG Status Change pursuant to Section 9.1 of this <br /> Agreement. Such Notice shall specify the effective date of the DERG Status Change. This date shall <br /> be the first day of the calendar year for which PG&E determines in its sole discretion that the <br /> Generating Facility first ceased to meet the DERG Requirements. PG&E shall invoice the Producer <br /> electric Service Account through which the Generating Facility is Interconnected with PG&E's <br /> Distribution System for any tariff charges that were not previously billed during the period between the <br /> effective date of the DERG Status Change and the date of the Notice in reliance upon Producer's <br /> representations that the Generating Facility complied with the DERG Requirements and therefore was <br /> eligible for the exemption from tariff charges available under Section 353.3 of the PU Code. <br /> Any amounts to be paid or refunded by Producer, as may be invoiced by PG&E pursuant to the terms <br /> of this warranty, shall be paid to PG&E within 30 days of Producer's receipt of such invoice. <br /> Form 79-988 <br /> Automated Document,Preliminary Statement Part A Advice 4110-E <br /> Revised September 2012 <br /> Page 14 of 15 <br />