STATE OF CONNECTICUT

DEPARTMENT OF PUBLIC UTILITY CONTROL

TEN FRANKLIN SQUARE
NEW BRITAIN, CT 06051

DOCKET NO. 03-10-07 REQUEST OF RENTRICITY, INC. FOR A DECLARATORY

RULING FOR RENEWABLE PORTFOLIO STANDARD
CLASS I CERTIFICATION

February 18, 2004

By the following Commissioners:

John W. Betkoski, III

Linda J. Kelly
Anne C. George

DECISION
Docket No. 03-10-07 Page 2

I. INTRODUCTION

By Petition dated October 1, 2003, pursuant to the General Statutes of

Connecticut (Conn. Gen. Stat.) 4-176 and the Regulations of Connecticut State
Agencies 16-1-113, et seq., Rentricity, Inc. (Rentricity or Petitioner) requested that
the Department of Public Utility Control (Department) issue a declaratory ruling that
energy recovery from excess water pressure would qualify as a Class I renewable
energy source that meets the definition of low emission advanced renewable energy
conversion technology as defined in Conn. Gen. Stat. 16-1(26), as amended by
Public Act 03-135, An Act Concerning Revisions To The Electric Restructuring
Legislation, and Public Act 03-221, An Act Concerning Technical Revisions To The
Utility Statutes And Telecommunications Towers On Agricultural Land. Rentricity
intends to install small-scale turbine-generators in public water mains that will transform
surplus pressure into clean electric power. The targeted excess energy is the result of
elevation differences between where water is stored and where it is consumed by end-
users. Rentricity intends to commence operations in Southwest Connecticut then roll
out its technology throughout the Northeast. Each turbine-generator should produce
between 20 kilowatts (kW) and 300 kW depending on flow volume and pressure
reduction at the specific site. Rentricity expects to generate tens of megawatts in
aggregate in the State of Connecticut.

II. PETITIONERS EVIDENCE

The Petitioner states that over pressurization exists in many drinking water
systems where water is sourced from watersheds in mountainous areas then
transported by pipeline to customers at significantly lower elevations. The water flowing
downhill, in a pipe, can create a tall water column. At the bottom, water can be under
very high pressure, which must be reduced before it is distributed to end-users.
Presently, public water main systems utilize devices called pressure reduction valves
(PRVs) to reduce water pressure to ideal levels, but essentially waste the energy in the
high-pressure water. Petition p. 1. Existing PRVs are located mainly in underground
concrete vaults or small, inconspicuous aboveground blockhouse structures. The
turbine-generators proposed by Rentricity will mimic the functionality of PRVs and
transform the surplus energy into electricity. Water volume changes by hour and day
and pressure also can be variable. Therefore, the amount of available power in a water
main will not be constant. The turbine will be sized most efficiently to capture the
surplus energy and transform it into electricity. As the pressure of the water changes so
will the speed of the turbine, its attached generator and electricity output. Rentricitys
installations will contain a PRV immediately downstream of the turbine to dissipate any
excess pressure not removed by the turbine. Response to Interrogatory EL-6.

The Petitioner states in its Petition that the turbine-generators will have virtually
no environmental impact. These generators will not combust any fuel and therefore will
not produce any air emissions. Rentricity states that no expansion of dams or
impoundments is required to capture the surplus pressure in water mains. Petition pp.
1-2. The turbines installed by Rentricity would not in any way result in increased
pumping costs on the part of the host water company. Rentricity is tapping into only the
surplus energy already contained within water mains, which at present is being wasted.
Response to Interrogatory EL-11. The proposed small-scale turbine-generators usually
Docket No. 03-10-07 Page 3

will be connected to the New England Power Pool at the closest available
interconnection point to the grid. The Petitioners small-scale turbine-generators would
be separately metered. Response to Interrogatory EL-2.

The turbines will be remotely monitored using a secure data link to the internet.
Both the water utility and Rentricity will have access to the turbine and water system
performance data, which can be viewed from any computer terminal that has an Internet
connection. Initially, the turbines will not be controlled remotely; they only will be
remotely monitored. Rentricity will monitor the turbines from Rentricitys headquarters
in Skillman, NJ. If adjustment is required to a turbine, changes will be made physically
to the unit at its installation site by maintenance staff of the respective water utility.
Response to Interrogatory EL-7.

III. DEPARTMENT ANALYSIS

Conn. Gen. Stat. 16-1(26), as amended by Section 1 of PA 03-221, defines a

Class I renewable energy source as:

(A) energy derived from solar power; wind power; a fuel cell;
methane gas from landfills; ocean thermal power; wave or
tidal power; low emission advanced renewable energy
conversion technologies; a run-of-the-river hydropower
facility provided such facility has a generating capacity of not
more than five megawatts, does not cause an appreciable
change in the river flow, and began operation after the
effective date of this section; or a biomass facility, including,
but not limited to, a biomass gasification plant that utilizes
land clearing debris, tree stumps or other biomass that
regenerates or the use of which will not result in a depletion
of resources, provided such biomass is cultivated and
harvested in a sustainable manner and the average
emission rate for such facility is equal to or less than .075
pounds of nitrogen oxides per million BTU of heat input for
the previous calendar quarter, except that energy derived
from a biomass facility with a capacity of less than five
hundred kilowatts that began construction before July 1,
2003, may be considered a Class I renewable energy
source, provide such biomass is cultivated and harvested in
a sustainable manner; or (B) any electrical generation,
including distributed generation, generated from a Class I
renewable energy source.

Based on the Petitioners assertions, the Department agrees that this proposed
innovative and very-low impact technology would qualify as a low emission advanced
renewable energy conversion technology defined as a Class I renewable energy
source.
Docket No. 03-10-07 Page 4

The Department has recently created an electronic application process for

generation owners to apply for a Connecticut Renewable Portfolio Standards
registration. The application is available on the Departments website @
http://www.dpuc.state.ct.us/CTRPSGeneratorApplication.nsf.

V. CONCLUSION & ORDERS

1. CONCLUSION

Based upon the project as described herein, the Department finds that as
proposed the fuel source/technology would qualify as a low emission advanced
renewable energy conversion technology Class I renewable energy source. However,
when the proposed Rentricity operations commence, the Petitioner needs to apply for a
Connecticut Class I registration.

2. ORDERS

1. While the Department concludes in this Decision that the Rentricity project
would qualify as a Class I renewable energy source pursuant to Conn. Gen.
Stat. 16-1(26), the Petitioner must still apply for registration in the
aforementioned application system once registered in the New England
Generation Information System (GIS).

2. Rentricity will be responsible for complying with the metering/reporting

requirements of the GIS system operator as defined in the GIS Operating
Rules, as well as any other associated rules.
DOCKET NO. 03-10-07 REQUEST OF RENTRICITY, INC. FOR A DECLARATORY
RULING FOR RENEWABLE PORTFOLIO STANDARD
CLASS I CERTIFICATION

This Decision is adopted by the following Commissioners:

John W. Betkoski, III

Linda J. Kelly

Anne C. George

CERTIFICATE OF SERVICE

The foregoing is a true and correct copy of the Decision issued by the
Department of Public Utility Control, State of Connecticut, and was forwarded by
Certified Mail to all parties of record in this proceeding on the date indicated.

February 19, 2004

Louise E. Rickard Date
Acting Executive Secretary
Department of Public Utility Control