HB 741 2022 CODING: Words stricken are deletions; words underlined are additions. hb0741-00 Page 1 of 4 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S A bill to be entitled 1 An act relating to net metering; amending s. 366.91, 2 F.S.; revising and providing legislative findings 3 relating to the redesign of net metering to avoid 4 cross-subsidization of electric service costs between 5 classes of ratepayers; requiring the Public Service 6 Commission to propose new net metering rules that 7 comply with specified criteria by a certain date; 8 authorizing certain customers who own or lease 9 renewable generation before a specified date to remain 10 under the existing net metering rules for a specified 11 time; providing applicability; requiring certain 12 public utilities to provide a specified report to the 13 commission; providing an effective date. 14 15 Be It Enacted by the Legislature of the State of Florida: 16 17 Section 1. Subsections (6) through (9) of section 366.91, 18 Florida Statutes, are renumbered as subsections (7) through 19 (10), respectively, subsections (1) and present (7) of that 20 section are amended, and a new subsection (6) is added to that 21 section, to read: 22 366.91 Renewable energy. — 23 (1) The Legislature finds that : 24 (a) It is in the public interest to continue promote the 25 HB 741 2022 CODING: Words stricken are deletions; words underlined are additions. hb0741-00 Page 2 of 4 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S development of renewable energy resources in this state in a 26 manner that is fair and equitable to all public utility 27 customers. Renewable energy resources have the potential to help 28 diversify fuel types to meet Florida's growing dependency on 29 natural gas for electric production, minimize the volatility of 30 fuel costs, encourage investment within the state, improve 31 environmental conditions, and make Florida a leader in new and 32 innovative technologies. The development and maturation of the 33 solar energy industry, the substantial decline in the cost of 34 solar panels, and the increa se in customer-owned and leased 35 renewable generation support the redesign of net metering by the 36 commission. 37 (b) Customer-owned and leased renewable generation are not 38 available to many public utility customers who lack the 39 financial resources to purchas e or lease rooftop solar panels or 40 who reside in multitenant buildings. The substantial growth of 41 customer-owned and leased renewable generation has resulted in 42 increased cross-subsidization of the full cost of electric 43 service onto the public utility's ge neral body of ratepayers. 44 Therefore, the redesigned net metering rate structures required 45 in paragraph (6)(a) must ensure that public utility customers 46 who own or lease renewable generation pay the full cost of 47 electric service and are not cross -subsidized by the public 48 utility's general body of ratepayers. 49 (6)(a) On or before January 1, 2023, the commission shall 50 HB 741 2022 CODING: Words stricken are deletions; words underlined are additions. hb0741-00 Page 3 of 4 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S propose a revised net metering rule that complies with the 51 following criteria: 52 1. The net metering rate structures and billing must 53 ensure that public utility customers owning or leasing renewable 54 generation pay the full cost of electric service and are not 55 subsidized by the public utility's general body of ratepayers. 56 2. The net metering must ensure that all energy delivered 57 by the public utility is purchased at the public utility's 58 applicable retail rate and that all energy delivered by the 59 customer-owned or leased renewable generation to the public 60 utility is credited to the customer at the public utility's full 61 avoided costs. 62 3. The net metering may include fixed charges, including 63 base facilities charges, electric grid access fees, or monthly 64 minimum bills, to help ensure that the public utility recovers 65 the fixed costs of serving customers who engage in net metering 66 and that the general body of public utility ratepayers do not 67 subsidize customer-owned or leased generation. 68 (b) Any public utility customer who owns or leases 69 renewable generation that is in service before January 1, 2023, 70 pursuant to a standard interconnection agreement o ffered by a 71 public utility, shall be granted 10 years to continue to use the 72 net metering rate design and rates that applied before the 73 revised net metering rule was adopted under paragraph (a). This 74 paragraph applies to customers who purchase or lease re al 75 HB 741 2022 CODING: Words stricken are deletions; words underlined are additions. hb0741-00 Page 4 of 4 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S property upon which customer -owned or leased renewable 76 generation is installed for all or part of that 10 -year period. 77 (c) The commission shall require a public utility 78 requesting a change in base rates under s. 366.06 to report to 79 the commission the impact of net metering on the public 80 utility's revenues and cost of service. 81 (8)(7) Under the provisions of subsections (5) and (7)(6), 82 when a utility purchases power generated from biogas produced by 83 the anaerobic digestion of agricultural waste, includ ing food 84 waste or other agricultural byproducts, net metering shall be 85 available at a single metering point or as a part of conjunctive 86 billing of multiple points for a customer at a single location, 87 so long as the provision of such service and its associa ted 88 charges, terms, and other conditions are not reasonably 89 projected to result in higher cost electric service to the 90 utility's general body of ratepayers or adversely affect the 91 adequacy or reliability of electric service to all customers, as 92 determined by the commission for public utilities, or as 93 determined by the governing authority of the municipal electric 94 utility or rural electric cooperative that serves at retail. 95 Section 2. This act shall take effect July 1, 2022. 96