Connecticut 2017 Regular Session

Connecticut House Bill HB07228 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	General Assembly Substitute Bill No. 7228
2		-	January Session, 2017 _____HB07228CE____032117____
	1	+	General Assembly Raised Bill No. 7228
	2	+	January Session, 2017 LCO No. 4721
	3	+	04721_______CE_
	4	+	Referred to Committee on COMMERCE
	5	+	Introduced by:
	6	+	(CE)
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4	8		General Assembly
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6		-	~~Substitute~~ Bill No. 7228
	10	+	Raised Bill No. 7228
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8	12		January Session, 2017
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10		-	_____HB07228CE____032117____
	14	+	LCO No. 4721
	15	+
	16	+	04721_______CE_
	17	+
	18	+	Referred to Committee on COMMERCE
	19	+
	20	+	Introduced by:
	21	+
	22	+	(CE)
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12	24		AN ACT CONCERNING VIRTUAL NET METERING ON BROWNFIELDS.
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14	26		Be it enacted by the Senate and House of Representatives in General Assembly convened:
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16	28		Section 1. Section 16-244u of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2017):
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18	30		(a) As used in this section:
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20	32		(1) "Beneficial account" means an in-state retail end user of an electric distribution company designated by a customer host, a brownfield customer host or an agricultural customer host in such electric distribution company's service area to receive virtual net metering credits from a virtual net metering facility, a brownfield virtual net metering facility or an agricultural virtual net metering facility;
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22	34		(2) "Customer host" means an in-state retail end user of an electric distribution company that owns, leases or enters into a long-term contract for a virtual net metering facility and participates in virtual net metering;
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24	36		(3) "Agricultural customer host" means an in-state retail end user of an electric distribution company that uses electricity for the purpose of agriculture, as defined in subsection (q) of section 1-1, owns, leases or enters into a long-term contract for an agricultural virtual net metering facility and participates in agricultural virtual net metering;
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26	38		(4) (A) "Unassigned virtual net metering credit" means, in any given electric distribution company monthly billing period, a virtual net metering credit that remains after both the customer host and its beneficial accounts have been billed for zero kilowatt hours related to the generation service charges and a declining percentage of the transmission and distribution charges on such billings through virtual net metering;
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28	40		(B) "Unassigned agricultural virtual net metering credit" means, in any given electric distribution company monthly billing period, an agricultural virtual net metering credit that remains after both the agricultural customer host and its beneficial accounts have been billed for zero kilowatt hours related to the generation service charges and a declining percentage of the transmission and distribution charges on such billings through agricultural virtual net metering;
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30	42		(C) "Unassigned brownfield virtual net metering credit" means, in any given electric distribution company monthly billing period, a brownfield virtual net metering credit that remains after both the brownfield customer host and its beneficial accounts have been billed for zero kilowatt hours related to the generation service charges and a declining percentage of the transmission and distribution charges on such billings through brownfield virtual net metering;
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32	44		(5) "Virtual net metering" means the process of combining the electric meter readings and billings, including any virtual net metering credits, for a municipal, state, brownfield or agricultural customer host and a beneficial account related to such customer host's account through an electric distribution company billing process related to the generation service charges and a declining percentage of the transmission and distribution charges on such billings;
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34	46		(6) "Virtual net metering credit" means a credit equal to the retail cost per kilowatt hour the customer host may have otherwise been charged for each kilowatt hour produced by a virtual net metering facility that exceeds the total amount of kilowatt hours used during an electric distribution company monthly billing period; [and]
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36	48		(7) (A) "Virtual net metering facility" means a Class I renewable energy source or a Class III source that: (i) Is served by an electric distribution company, owned, leased or subject to a long-term contract by a customer host and serves the electricity needs of the customer host and its beneficial accounts; (ii) is within the same electric distribution company service territory as the customer host and its beneficial accounts; and (iii) has a nameplate capacity rating of three megawatts or less; [and]
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38	50		(B) "Agricultural virtual net metering facility" means a Class I renewable energy source that is operated as part of a business for the purpose of agriculture, as defined in subsection (q) of section 1-1, that: (i) Is served by an electric distribution company on land owned or controlled by an agricultural customer host and serves the electricity needs of the agricultural customer host and its beneficial accounts; (ii) is within the same electric distribution company service territory as the agricultural customer host and its beneficial accounts; and (iii) has a nameplate capacity rating of three megawatts or less; [.] and
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40	52		(C) "Brownfield virtual net metering facility" means a Class I renewable energy source that is operated on a brownfield, as defined in section 32-760, that: (i) Is served by an electric distribution company on land owned or controlled by a brownfield customer host and serves the electricity needs of the brownfield customer host and its beneficial accounts; (ii) is within the same electric distribution company service territory as the brownfield customer host and its beneficial accounts; and (iii) has a nameplate capacity rating of three megawatts or less;
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42	54		(8) "Declining percentage of the transmission and distribution charges" means, during the period commencing on the first day of commercial operation of a virtual net metering facility, a brownfield virtual net metering facility or an agricultural virtual net metering facility and ending after one year, eighty per cent of the transmission and distribution charges, during the period commencing at the beginning of the second year of commercial operation of a virtual net metering facility, a brownfield virtual net metering facility or an agricultural virtual net metering facility and ending after one year, sixty per cent of the transmission and distribution charges, and commencing at the beginning of the third year of commercial operation of a virtual net metering facility, brownfield virtual net metering facility or an agricultural virtual net metering facility and for each year thereafter, forty per cent of the transmission and distribution charges; and
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44	56		(9) "Brownfield customer host" means an in-state retail end user of an electric distribution company that owns, leases or enters into a long-term contract for a brownfield virtual net metering facility and participates in virtual net metering.
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46	58		(b) Each electric distribution company shall provide virtual net metering to its municipal, state, brownfield or agricultural customer hosts and shall make any necessary interconnections for a virtual net metering facility, a brownfield virtual net metering facility or an agricultural virtual net metering facility. Upon request by a municipal, state, brownfield or agricultural customer host to implement the provisions of this section, an electric distribution company shall install metering equipment, if necessary. For each municipal, state, brownfield or agricultural customer host, such metering equipment shall (1) measure electricity consumed from the electric distribution company's facilities; (2) deduct the amount of electricity produced but not consumed; and (3) register, for each monthly billing period, the net amount of electricity produced and, if applicable, consumed. If, in a given monthly billing period, a municipal, state, brownfield or agricultural customer host supplies more electricity to the electric distribution system than the electric distribution company delivers to the municipal, state, brownfield or agricultural customer host, the electric distribution company shall bill the municipal, state or agricultural customer host for zero kilowatt hours of generation and assign a virtual net metering credit to the municipal, state, brownfield or agricultural customer host's beneficial accounts for the next monthly billing period. Such credit shall be applied against the generation service component and a declining percentage of the transmission and distribution charges billed to the beneficial accounts. Such credit shall be allocated among such accounts in proportion to their consumption for the previous twelve billing periods.
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48	60		(c) An electric distribution company shall carry forward any unassigned virtual net metering credits earned by the municipal or state customer host, unassigned brownfield virtual net metering credits earned by the brownfield customer host or unassigned agricultural virtual net metering credits earned by the agricultural customer host from one monthly billing period to the next until the end of the calendar year. At the end of each calendar year, the electric distribution company shall compensate the municipal, state, brownfield or agricultural customer host for any unassigned virtual net metering generation credits at the rate the electric distribution company pays for power procured to supply standard service customers pursuant to section 16-244c and a declining percentage of the transmission and distribution charges.
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50	62		(d) At least sixty days before a municipal or state customer host's virtual net metering facility, a brownfield customer host's brownfield net virtual metering facility or an agricultural customer host's agricultural virtual net metering facility becomes operational, the municipal, state, brownfield or agricultural customer host shall provide written notice to the electric distribution company of its beneficial accounts. The municipal, state, brownfield or agricultural customer host may change its list of beneficial accounts not more than once annually by providing another sixty days' written notice. The municipal or state customer host shall not designate more than five beneficial accounts, except that such customer host may designate up to five additional nonstate or municipal beneficial accounts, provided such accounts are critical facilities, as defined in subdivision (2) of subsection (a) of section 16-243y, and connected to a microgrid. The agricultural customer host shall not designate more than ten beneficial accounts, each of which shall (1) use electricity for the purpose of agriculture, as defined in subsection (q) of section 1-1, (2) be a municipality, or (3) be a noncommercial critical facility, as defined in subdivision (2) of subsection (a) of section 16-243y. The brownfield customer host shall not designate more than ten beneficial accounts, each of which shall be (A) a municipality, or (B) a noncommercial critical facility, as defined in subdivision (2) of subsection (a) of section 16-243y.
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52		-	(e) (1) On or before October 1, 2013, the Public Utilities Regulatory Authority shall conduct a proceeding to develop the administrative processes and program specifications, including, but not limited to, a cap of ten million dollars per year apportioned to each electric distribution company based on consumer load, for credits provided to beneficial accounts pursuant to subsection [(c~~)] (b~~) of this section and payments made pursuant to subsection [(d~~)] (c~~) of this section, provided the municipal, state and agricultural customer hosts, each in the aggregate, and the designated beneficial accounts of such customer hosts, shall receive not more than forty per cent of the dollar amount established pursuant to this subdivision.
	64	+	(e) (1) On or before October 1, 2013, the Public Utilities Regulatory Authority shall conduct a proceeding to develop the administrative processes and program specifications, including, but not limited to, a cap of ten million dollars per year apportioned to each electric distribution company based on consumer load, for credits provided to beneficial accounts pursuant to subsection (c) of this section and payments made pursuant to subsection (d) of this section, provided the municipal, state and agricultural customer hosts, each in the aggregate, and the designated beneficial accounts of such customer hosts, shall receive not more than forty per cent of the dollar amount established pursuant to this subdivision.
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54		-	(2) In addition to the provisions of subdivision (1) of this subsection, the authority shall authorize six million dollars per year for municipal customer hosts, apportioned to each electric distribution company based on consumer load, for credits provided to beneficial accounts pursuant to subsection [(c~~)] (b~~) of this section and payments made pursuant to subsection [(d~~)] (c~~) of this section where such municipal customer hosts have: (A) Submitted an interconnection application to an electric distribution company on or before April 13, 2016, and (B) submitted a virtual net metering application to an electric distribution company on or before April 13, 2016.
	66	+	(2) In addition to the provisions of subdivision (1) of this subsection, the authority shall authorize six million dollars per year for municipal customer hosts, apportioned to each electric distribution company based on consumer load, for credits provided to beneficial accounts pursuant to subsection (c) of this section and payments made pursuant to subsection (d) of this section where such municipal customer hosts have: (A) Submitted an interconnection application to an electric distribution company on or before April 13, 2016, and (B) submitted a virtual net metering application to an electric distribution company on or before April 13, 2016.
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56		-	(3) On or before October 1, 2017, the Public Utilities Regulatory Authority shall conduct a proceeding to develop the administrative processes and program specifications for brownfield virtual net metering facilities and brownfield customer hosts, including, but not limited to, ~~the establishment of~~ a cap of three million dollars per year apportioned to each electric distribution company based on consumer load for credits provided to ~~the~~ beneficial accounts ~~of brownfield customer hosts pursuant to subsection (b) of this section and payments made to brownfield customer hosts~~ pursuant to subsection (c) of this section.
	68	+	(3) On or before October 1, 2017, the Public Utilities Regulatory Authority shall conduct a proceeding to develop the administrative processes and program specifications for brownfield virtual net metering facilities and brownfield customer hosts, including, but not limited to, a cap of three million dollars per year apportioned to each electric distribution company based on consumer load for credits provided to beneficial accounts pursuant to subsection (c) of this section and payments made pursuant to subsection (d) of this section, provided the brownfield customer hosts, each in the aggregate, and the designated beneficial accounts of such customer hosts, shall receive not more than forty per cent of the dollar amount established pursuant to this subsection.
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58	70		(f) On or before January 1, 2013, and annually thereafter, each electric distribution company shall report to the authority on the cost of its virtual net metering program pursuant to this section and the authority shall combine such information and report it annually, in accordance with the provisions of section 11-4a, to the joint standing committee of the General Assembly having cognizance of matters relating to energy.
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60	72		(g) A municipal, state, brownfield or agricultural customer host shall be allowed to aggregate all electric meters that are billable to such customer host.
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62	74		(h) Where a virtual net metering facility, brownfield virtual net metering facility or agricultural virtual net metering facility requires a permit from the Department of Energy and Environmental Protection under chapter 446c or chapter 446d and the municipal, state, brownfield or agricultural customer host has submitted a virtual net metering application to the electric distribution company for such virtual net metering facility, brownfield virtual net metering facility or agricultural virtual net metering facility on or before December 1, 2015, and the electric distribution company has accepted such virtual net metering application, such municipal, state, brownfield or agricultural customer host shall have eighteen months from the date of the issuance of the final permit from the Department of Energy and Environmental Protection to cause such virtual net metering facility, brownfield virtual net metering facility or agricultural virtual net metering facility to become operational.
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67	79		This act shall take effect as follows and shall amend the following sections:
68	80		Section 1 July 1, 2017 16-244u
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70	82		This act shall take effect as follows and shall amend the following sections:
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72	84		Section 1
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74	86		July 1, 2017
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76	88		16-244u
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	90	+	Statement of Purpose:
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	92	+	To allow virtual net metering on brownfields in the state.
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80		-	CE Joint Favorable Subst.
81		-
82		-	CE
83		-
84		-	Joint Favorable Subst.
	94	+	[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]