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When is points generation done?

Points generation is conducted daily. If you don't get points during a day, it means something may have gone wrong, but don't worry you won't lose out on any points.

Why did my points drastically decrease?

There is a certain allocation of points for the month and the points generation system makes sure all of those points are used up by the end of the month. Months with fewer days in them will generally see more points per day than longer months, and also near the end of the month you may see a significant point increase.

How are points calculated?

Points are calculated magically. Actually, it's based off of user install base via the Curse Client v4 for Premium users. Basically it determines how many points you get by how many premium users install your project via the Curse Client.