1 SB305 2 218220-1 3 By Senator Elliott 4 RFD: Transportation and Energy 5 First Read: 09-MAR-22 Page 0 1 218220-1:n:03/08/2022:CMH/bm LSA2022-697 2 3 4 5 6 7 8 SYNOPSIS: This bill would require any portable 9 electrical generator to be connected in such a 10 manner as to prevent back-feeding electricity onto 11 the electrical distribution system and would 12 provide criminal penalties for a violation. 13 Amendment 621 of the Constitution of Alabama 14 of 1901, as amended by Amendment 890, now appearing 15 as Section 111.05 of the Official Recompilation of 16 the Constitution of Alabama of 1901, as amended, 17 prohibits a general law whose purpose or effect 18 would be to require a new or increased expenditure 19 of local funds from becoming effective with regard 20 to a local governmental entity without enactment by 21 a 2/3 vote unless: it comes within one of a number 22 of specified exceptions; it is approved by the 23 affected entity; or the Legislature appropriates 24 funds, or provides a local source of revenue, to 25 the entity for the purpose. 26 The purpose or effect of this bill would be 27 to require a new or increased expenditure of local Page 1 1 funds within the meaning of the amendment. However, 2 the bill does not require approval of a local 3 governmental entity or enactment by a 2/3 vote to 4 become effective because it comes within one of the 5 specified exceptions contained in the amendment 6 7 A BILL 8 TO BE ENTITLED 9 AN ACT 10 11 Relating to utilities; to provide certain 12 requirements on the use of portable electrical generators; to 13 provide criminal penalties for a violation; and in connection 14 therewith would have as its purpose or effect the requirement 15 of a new or increased expenditure of local funds within the 16 meaning of Amendment 621 of the Constitution of Alabama of 17 1901, as amended by Amendment 890, now appearing as Section 18 111.05 of the Official Recompilation of the Constitution of 19 Alabama of 1901, as amended. 20 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA: 21 Section 1. (a) The Legislature finds and declares 22 the following: 23 (1) It is the intent of the Legislature in enacting 24 this section to prevent electricity generated by permanent or 25 portable electric generators used by persons from back-feeding 26 into an electrical distribution system causing possible bodily 27 injury and harm, including death, and property damage. Page 2 1 (2) The Legislature finds that every year in the 2 State of Alabama the use of permanent or portable electric 3 generators to supply power, unless appropriate safeguards are 4 used, creates extremely hazardous conditions from back-feeding 5 electric current onto electrical distribution systems of the 6 electric supplier, as defined under Section 37-14-31, Code of 7 Alabama 1975, to which the homes or businesses are connecting, 8 causing death, bodily injury, and property damage. 9 (3) The Legislature further finds that the dangers 10 created by such portable or permanent generators may be 11 mitigated for the benefit of all, including the owner of the 12 electric generator, by enacting certain safety standards to 13 mitigate the possible bodily injury, death, or property 14 damage. 15 (b) In order to prevent back-feeding electricity 16 onto the electric distribution system of the electric 17 supplier, a portable electric generator that is capable of 18 being connected directly into the electrical system of a 19 commercial, industrial, or residential structure may only be 20 connected and used if the structure's electrical system and 21 the electricity generated by the generator are isolated, at 22 the main breaker panel of the structure, from the electrical 23 distribution system. 24 (c)(1) This section does not apply to any electric 25 generator that is capable of being permanently connected to 26 the electrical system of a commercial, industrial, or 27 residential structure by way of a transfer switch or other Page 3 1 mechanism, as approved by the applicable electric supplier, so 2 that the electricity generated by the generator is prevented 3 from back-feeding onto the electric distribution system of the 4 electric supplier, except as authorized by the applicable 5 electric supplier. 6 (2) This section does not apply to a permanently 7 connected generator that runs in parallel with the electric 8 distribution system of an electric supplier or the electrical 9 system of a structure and is approved by the applicable 10 electric supplier. 11 (3) This section does not apply to a permanently 12 connected energy storage system that receives energy from a 13 generator or the applicable electric supplier, is capable of 14 running in parallel with the electric distribution system of 15 the electric supplier or the electrical system of a structure, 16 and is approved by the applicable electric supplier. 17 (d) A person who violates this section shall be 18 guilty of a Class C misdemeanor. 19 (e)(1) As used in this section, the term "electric 20 supplier" has the same meaning as provided under Section 21 37-14-31, Code of Alabama 1975. 22 (2) As used in this section, the term "generator" 23 means a facility owned and operated by a customer of an 24 electric supplier for the production of electrical energy, 25 that is capable of transmitting electrical energy to the 26 electric distribution system of the electric supplier at any Page 4 1 time, and that is intended primarily to offset part or all of 2 the customer's requirements for electricity. 3 (f) Nothing in this act affects or modifies the 4 jurisdiction of the Alabama Public Service Commission or any 5 rates or service regulations filed with the commission. 6 Section 2. Although this bill would have as its 7 purpose or effect the requirement of a new or increased 8 expenditure of local funds, the bill is excluded from further 9 requirements and application under Amendment 621, as amended 10 by Amendment 890, now appearing as Section 111.05 of the 11 Official Recompilation of the Constitution of Alabama of 1901, 12 as amended, because the bill defines a new crime or amends the 13 definition of an existing crime. 14 Section 3. This act shall become effective on the 15 first day of the third month following its passage and 16 approval by the Governor, or its otherwise becoming law. Page 5