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| 4 | 4 | | |
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| 5 | 5 | | 2023 -- S 0170 |
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| 6 | 6 | | ======== |
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| 7 | 7 | | LC000912 |
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| 8 | 8 | | ======== |
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| 9 | 9 | | S TATE OF RHODE IS LAND |
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| 10 | 10 | | IN GENERAL ASSEMBLY |
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| 11 | 11 | | JANUARY SESSION, A.D. 2023 |
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| 12 | 12 | | ____________ |
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| 13 | 13 | | |
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| 14 | 14 | | A N A C T |
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| 15 | 15 | | RELATING TO PUBLIC UTILITIES AND CARRIERS -- NET-METERING |
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| 16 | 16 | | Introduced By: Senators Murray, Euer, Kallman, Valverde, Miller, Britto, Lawson, |
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| 17 | 17 | | Lauria, and DiMario |
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| 18 | 18 | | Date Introduced: February 16, 2023 |
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| 19 | 19 | | Referred To: Senate Commerce |
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| 20 | 20 | | |
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| 21 | 21 | | |
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| 22 | 22 | | It is enacted by the General Assembly as follows: |
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| 23 | 23 | | SECTION 1. Sections 39-26.4-2 and 39-26.4-3 of the General Laws in Chapter 39-26.4 1 |
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| 24 | 24 | | entitled "Net Metering" are hereby amended to read as follows: 2 |
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| 25 | 25 | | 39-26.4-2. Definitions. 3 |
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| 26 | 26 | | Terms not defined in this section herein shall have the same meaning as contained in 4 |
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| 27 | 27 | | chapter 26 of this title. When used in this chapter: 5 |
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| 28 | 28 | | (1) “Community remote net-metering system” means a facility generating electricity using 6 |
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| 29 | 29 | | an eligible net-metering resource that allocates net-metering credits to a minimum of one account 7 |
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| 30 | 30 | | for a system associated with low- or moderate-income housing eligible credit recipients, or three 8 |
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| 31 | 31 | | (3) eligible credit-recipient customer accounts, provided that no more than fifty percent (50%) of 9 |
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| 32 | 32 | | the credits produced by the system are allocated to one eligible credit recipient, and provided further 10 |
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| 33 | 33 | | at least fifty percent (50%) of the credits produced by the system are allocated to the remaining 11 |
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| 34 | 34 | | eligible credit recipients in an amount not to exceed that which is produced annually by twenty-12 |
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| 35 | 35 | | five kilowatt (25 KW) AC capacity. The community remote net-metering system may transfer 13 |
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| 36 | 36 | | credits to eligible credit recipients in an amount that is equal to or less than the sum of the usage of 14 |
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| 37 | 37 | | the eligible credit recipient accounts measured by the three-year (3) average annual consumption 15 |
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| 38 | 38 | | of energy over the previous three (3) years. A projected annual consumption of energy may be used 16 |
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| 39 | 39 | | until the actual three-year (3) average annual consumption of energy over the previous three (3) 17 |
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| 40 | 40 | | years at the eligible credit recipient accounts becomes available for use in determining eligibility 18 |
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| 41 | 41 | | of the generating system. The community remote net-metering system may be owned by the same 19 |
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| 42 | 42 | | |
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| 43 | 43 | | |
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| 44 | 44 | | LC000912 - Page 2 of 10 |
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| 45 | 45 | | entity that is the customer of record on the net-metered account or may be owned by a third party. 1 |
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| 46 | 46 | | (2) “Electric distribution company” shall have the same meaning as § 39-1-2, but shall not 2 |
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| 47 | 47 | | include Block Island Power Company or Pascoag Utility District, each of whom shall be required 3 |
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| 48 | 48 | | to offer net metering to customers through a tariff approved by the public utilities commission after 4 |
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| 49 | 49 | | a public hearing. Any tariff or policy on file with the public utilities commission on the date of 5 |
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| 50 | 50 | | passage of this chapter shall remain in effect until the commission approves a new tariff. 6 |
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| 51 | 51 | | (3) “Eligible credit recipient” means one of the following eligible recipients in the electric 7 |
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| 52 | 52 | | distribution company’s service territory whose electric service account or accounts may receive 8 |
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| 53 | 53 | | net-metering credits from a community remote net-metering system. Eligible credit recipients 9 |
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| 54 | 54 | | include the following definitions: 10 |
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| 55 | 55 | | (i) Residential accounts in good standing. 11 |
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| 56 | 56 | | (ii) “Low- or moderate-income housing eligible credit recipient” means an electric service 12 |
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| 57 | 57 | | account or accounts in good standing associated with any housing development or developments 13 |
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| 58 | 58 | | owned or operated by a public agency, nonprofit organization, limited-equity housing cooperative, 14 |
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| 59 | 59 | | or private developer that receives assistance under any federal, state, or municipal government 15 |
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| 60 | 60 | | program to assist the construction or rehabilitation of housing affordable to low- or moderate-16 |
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| 61 | 61 | | income households, as defined in the applicable federal or state statute, or local ordinance, 17 |
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| 62 | 62 | | encumbered by a deed restriction or other covenant recorded in the land records of the municipality 18 |
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| 63 | 63 | | in which the housing is located, that: 19 |
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| 64 | 64 | | (A) Restricts occupancy of no less than fifty percent (50%) of the housing to households 20 |
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| 65 | 65 | | with a gross, annual income that does not exceed eighty percent (80%) of the area median income 21 |
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| 66 | 66 | | as defined annually by the United States Department of Housing and Urban Development (HUD); 22 |
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| 67 | 67 | | (B) Restricts the monthly rent, including a utility allowance, that may be charged to 23 |
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| 68 | 68 | | residents, to an amount that does not exceed thirty percent (30%) of the gross, monthly income of 24 |
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| 69 | 69 | | a household earning eighty percent (80%) of the area median income as defined annually by HUD; 25 |
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| 70 | 70 | | (C) Has an original term of not less than thirty (30) years from initial occupancy. 26 |
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| 71 | 71 | | Electric service account or accounts in good standing associated with housing 27 |
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| 72 | 72 | | developments that are under common ownership or control may be considered a single low- or 28 |
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| 73 | 73 | | moderate-income housing eligible credit recipient for purposes of this section. The value of the 29 |
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| 74 | 74 | | credits shall be used to provide benefits to tenants. 30 |
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| 75 | 75 | | (iii) “Educational institutions” means public and private schools at the primary, secondary, 31 |
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| 76 | 76 | | and postsecondary levels. 32 |
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| 77 | 77 | | (4) “Eligible net-metering resource” means eligible renewable energy resource, as defined 33 |
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| 78 | 78 | | in § 39-26-5 including biogas created as a result of anaerobic digestion, but, specifically excluding 34 |
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| 79 | 79 | | |
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| 80 | 80 | | |
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| 81 | 81 | | LC000912 - Page 3 of 10 |
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| 82 | 82 | | all other listed eligible biomass fuels. 1 |
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| 83 | 83 | | (5) “Eligible net-metering system” means a facility generating electricity using an eligible 2 |
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| 84 | 84 | | net-metering resource that is reasonably designed and sized to annually produce electricity in an 3 |
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| 85 | 85 | | amount that is equal to, or less than, the renewable self-generator’s usage at the eligible net-4 |
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| 86 | 86 | | metering system site measured by the three-year (3) average annual consumption of energy over 5 |
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| 87 | 87 | | the previous three (3) years at the electric distribution account(s) located at the eligible net-metering 6 |
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| 88 | 88 | | system site. A projected annual consumption of energy may be used until the actual three-year (3) 7 |
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| 89 | 89 | | average annual consumption of energy over the previous three (3) years at the electric distribution 8 |
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| 90 | 90 | | account(s) located at the eligible net-metering system site becomes available for use in determining 9 |
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| 91 | 91 | | eligibility of the generating system. The eligible net-metering system may be owned by the same 10 |
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| 92 | 92 | | entity that is the customer of record on the net-metered accounts or may be owned by a third party 11 |
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| 93 | 93 | | that is not the customer of record at the eligible net-metering system site and which may offer a 12 |
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| 94 | 94 | | third-party, net-metering financing arrangement or net-metering financing arrangement, as 13 |
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| 95 | 95 | | applicable. Notwithstanding any other provisions of this chapter, any eligible net-metering 14 |
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| 96 | 96 | | resource: (i) Owned by a public entity, educational institution, hospital, nonprofit, or multi-15 |
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| 97 | 97 | | municipal collaborative or (ii) Owned and operated by a renewable-generation developer on behalf 16 |
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| 98 | 98 | | of a public entity, educational institution, hospital, nonprofit, or multi-municipal collaborative 17 |
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| 99 | 99 | | through a net-metering financing arrangement shall be treated as an eligible net-metering system 18 |
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| 100 | 100 | | and all accounts designated by the public entity, educational institution, hospital, nonprofit, or 19 |
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| 101 | 101 | | multi-municipal collaborative for net metering shall be treated as accounts eligible for net metering 20 |
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| 102 | 102 | | within an eligible net-metering system site. 21 |
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| 103 | 103 | | (6) “Eligible net-metering system site” means the site where the eligible net-metering 22 |
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| 104 | 104 | | system or community remote net-metering system is located or is part of the same campus or 23 |
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| 105 | 105 | | complex of sites contiguous to one another and the site where the eligible net-metering system or 24 |
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| 106 | 106 | | community remote net-metering system is located or a farm in which the eligible net-metering 25 |
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| 107 | 107 | | system or community remote net-metering system is located. Except for an eligible net-metering 26 |
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| 108 | 108 | | system owned by or operated on behalf of a public entity, educational institution, hospital, 27 |
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| 109 | 109 | | nonprofit, or multi-municipal collaborative through a net-metering financing arrangement, the 28 |
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| 110 | 110 | | purpose of this definition is to reasonably assure that energy generated by the eligible net-metering 29 |
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| 111 | 111 | | system is consumed by net-metered electric service account(s) that are actually located in the same 30 |
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| 112 | 112 | | geographical location as the eligible net-metering system. All energy generated from any eligible 31 |
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| 113 | 113 | | net-metering system is, and will be considered, consumed at the meter where the renewable energy 32 |
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| 114 | 114 | | resource is interconnected for valuation purposes. Except for an eligible net-metering system 33 |
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| 115 | 115 | | owned by, or operated on behalf of, a public entity, educational institution, hospital, nonprofit, or 34 |
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| 116 | 116 | | |
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| 117 | 117 | | |
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| 118 | 118 | | LC000912 - Page 4 of 10 |
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| 119 | 119 | | multi-municipal collaborative through a net-metering financing arrangement, or except for a 1 |
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| 120 | 120 | | community remote net-metering system, all of the net-metered accounts at the eligible net-metering 2 |
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| 121 | 121 | | system site must be the accounts of the same customer of record and customers are not permitted 3 |
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| 122 | 122 | | to enter into agreements or arrangements to change the name on accounts for the purpose of 4 |
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| 123 | 123 | | artificially expanding the eligible net-metering system site to contiguous sites in an attempt to avoid 5 |
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| 124 | 124 | | this restriction. However, a property owner may change the nature of the metered service at the 6 |
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| 125 | 125 | | accounts at the site to be master metered in the owner’s name, or become the customer of record 7 |
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| 126 | 126 | | for each of the accounts, provided that the owner becoming the customer of record actually owns 8 |
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| 127 | 127 | | the property at which the account is located. As long as the net-metered accounts meet the 9 |
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| 128 | 128 | | requirements set forth in this definition, there is no limit on the number of accounts that may be net 10 |
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| 129 | 129 | | metered within the eligible net-metering system site. 11 |
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| 130 | 130 | | (7) “Excess renewable net-metering credit” means a credit that applies to an eligible net-12 |
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| 131 | 131 | | metering system or community remote net-metering system for that portion of the production of 13 |
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| 132 | 132 | | electrical energy beyond one hundred percent (100%) and no greater than one hundred twenty-five 14 |
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| 133 | 133 | | percent (125%) of the renewable self-generator’s own consumption at the eligible net-metering 15 |
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| 134 | 134 | | system site or the sum of the usage of the eligible credit recipient accounts associated with the 16 |
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| 135 | 135 | | community remote net-metering system during the applicable billing period. Such excess 17 |
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| 136 | 136 | | renewable net-metering credit shall be equal to the electric distribution company’s avoided cost 18 |
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| 137 | 137 | | rate, which is hereby declared to be the electric distribution company’s standard-offer service 19 |
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| 138 | 138 | | kilowatt hour (KWh) charge for the rate class and time-of-use billing period (if applicable) 20 |
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| 139 | 139 | | applicable to the customer of record for the eligible net-metering system or applicable to the 21 |
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| 140 | 140 | | customer of record for the community remote net-metering system. The commission shall have the 22 |
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| 141 | 141 | | authority to make determinations as to the applicability of this credit to specific generation facilities 23 |
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| 142 | 142 | | to the extent there is any uncertainty or disagreement. 24 |
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| 143 | 143 | | (8) “Farm” shall be defined in accordance with § 44-27-2, except that all buildings 25 |
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| 144 | 144 | | associated with the farm shall be eligible for net-metering credits as long as: (i) The buildings are 26 |
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| 145 | 145 | | owned by the same entity operating the farm or persons associated with operating the farm; and (ii) 27 |
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| 146 | 146 | | The buildings are on the same farmland as the project on either a tract of land contiguous with, or 28 |
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| 147 | 147 | | reasonably proximate to, such farmland or across a public way from such farmland. 29 |
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| 148 | 148 | | (9) “Hospital” means and shall be defined and established as set forth in chapter 17 of title 30 |
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| 149 | 149 | | 23. 31 |
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| 150 | 150 | | (10) “Multi-municipal collaborative” means a group of towns and/or cities that enter into 32 |
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| 151 | 151 | | an agreement for the purpose of co-owning a renewable-generation facility or entering into a 33 |
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| 152 | 152 | | financing arrangement pursuant to subsection (14). 34 |
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| 153 | 153 | | |
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| 154 | 154 | | |
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| 155 | 155 | | LC000912 - Page 5 of 10 |
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| 156 | 156 | | (11) “Municipality” means any Rhode Island town or city, including any agency or 1 |
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| 157 | 157 | | instrumentality thereof, with the powers set forth in title 45. 2 |
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| 158 | 158 | | (12) “Net metering” means using electrical energy generated by an eligible net-metering 3 |
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| 159 | 159 | | system for the purpose of self-supplying electrical energy and power at the eligible net-metering 4 |
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| 160 | 160 | | system site, or with respect to a community remote net-metering system, for the purpose of 5 |
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| 161 | 161 | | generating net-metering credits to be applied to the electric bills of the eligible credit recipients 6 |
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| 162 | 162 | | associated with the community net-metering system. The amount so generated will thereby offset 7 |
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| 163 | 163 | | consumption at the eligible net-metering system site through the netting process established in this 8 |
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| 164 | 164 | | chapter, or with respect to a community remote net-metering system, the amounts generated in 9 |
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| 165 | 165 | | excess of that amount will result in credits being applied to the eligible credit-recipient accounts 10 |
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| 166 | 166 | | associated with the community remote net-metering system. 11 |
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| 167 | 167 | | (13) “Net-metering customer” means a customer of the electric distribution company 12 |
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| 168 | 168 | | receiving and being billed for distribution service whose distribution account(s) are being net 13 |
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| 169 | 169 | | metered. 14 |
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| 170 | 170 | | (14) “Net-metering financing arrangement” means arrangements entered into by a public 15 |
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| 171 | 171 | | entity, educational institution, hospital, nonprofit, or multi-municipal collaborative with a private 16 |
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| 172 | 172 | | entity to facilitate the financing and operation of a net-metering resource, in which the private entity 17 |
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| 173 | 173 | | owns and operates an eligible net-metering resource on behalf of a public entity, educational 18 |
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| 174 | 174 | | institution, hospital, nonprofit, or multi-municipal collaborative, where: (i) The eligible net-19 |
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| 175 | 175 | | metering resource is located on property owned or controlled by the public entity, educational 20 |
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| 176 | 176 | | institution, hospital, or one of the municipalities, as applicable; and (ii) The production from the 21 |
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| 177 | 177 | | eligible net-metering resource and primary compensation paid by the public entity, educational 22 |
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| 178 | 178 | | institution, hospital, nonprofit, or multi-municipal collaborative to the private entity for such 23 |
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| 179 | 179 | | production is directly tied to the consumption of electricity occurring at the designated net-metered 24 |
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| 180 | 180 | | accounts. 25 |
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| 181 | 181 | | (15) “Nonprofit” means a nonprofit corporation as defined and established through chapter 26 |
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| 182 | 182 | | 6 of title 7, and shall include religious organizations that are tax exempt pursuant to 26 U.S.C. § 27 |
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| 183 | 183 | | 501(d). 28 |
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| 184 | 184 | | (16) “Person” means an individual, firm, corporation, association, partnership, farm, town 29 |
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| 185 | 185 | | or city of the state of Rhode Island, multi-municipal collaborative, or the state of Rhode Island or 30 |
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| 186 | 186 | | any department of the state government, governmental agency, or public instrumentality of the 31 |
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| 187 | 187 | | state. 32 |
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| 188 | 188 | | (17) “Project” means a distinct installation of an eligible net-metering system or a 33 |
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| 189 | 189 | | community remote net-metering system. An installation will be considered distinct if it is installed 34 |
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| 190 | 190 | | |
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| 191 | 191 | | |
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| 192 | 192 | | LC000912 - Page 6 of 10 |
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| 193 | 193 | | in a different location, or at a different time, or involves a different type of renewable energy. 1 |
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| 194 | 194 | | (18) “Public entity” means the federal government, the state of Rhode Island, 2 |
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| 195 | 195 | | municipalities, wastewater treatment facilities, public transit agencies, or any water distributing 3 |
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| 196 | 196 | | plant or system employed for the distribution of water to the consuming public within this state 4 |
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| 197 | 197 | | including the water supply board of the city of Providence. 5 |
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| 198 | 198 | | (19) “Renewable net-metering credit” means a credit that applies to an eligible net-6 |
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| 199 | 199 | | metering system or a community remote net-metering system up to one hundred percent (100%) of 7 |
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| 200 | 200 | | either the renewable self-generator’s usage at the eligible net-metering system site or the sum of 8 |
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| 201 | 201 | | the usage of the eligible credit-recipient accounts associated with the community remote net-9 |
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| 202 | 202 | | metering system over the applicable billing period. This credit shall be equal to the total kilowatt 10 |
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| 203 | 203 | | hours of electrical energy generated up to the amount consumed on-site, and/or generated up to the 11 |
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| 204 | 204 | | sum of the eligible credit-recipient account usage during the billing period multiplied by the sum 12 |
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| 205 | 205 | | of the distribution company’s: 13 |
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| 206 | 206 | | (i) Standard-offer service kilowatt-hour charge for the rate class applicable to the net-14 |
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| 207 | 207 | | metering customer, except that for remote public entity and multi-municipality collaborative net-15 |
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| 208 | 208 | | metering systems that submit an application for an interconnection study on or after July 1, 2017, 16 |
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| 209 | 209 | | and community remote net-metering systems, the standard-offer service kilowatt-hour charge shall 17 |
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| 210 | 210 | | be net of the renewable energy standard charge or credit; 18 |
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| 211 | 211 | | (ii) Distribution kilowatt-hour charge; 19 |
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| 212 | 212 | | (iii) Transmission kilowatt-hour charge; and 20 |
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| 213 | 213 | | (iv) Transition kilowatt-hour charge. 21 |
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| 214 | 214 | | Notwithstanding the foregoing, except for systems that have requested an interconnection 22 |
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| 215 | 215 | | study for which payment has been received by the distribution company, or if an interconnection 23 |
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| 216 | 216 | | study is not required, a completed and paid interconnection application, by December 31, 2018, the 24 |
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| 217 | 217 | | renewable net-metering credit for all remote public entity and multi-municipal collaborative net-25 |
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| 218 | 218 | | metering systems shall not include the distribution kilowatt-hour charge commencing on January 26 |
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| 219 | 219 | | 1, 2050. 27 |
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| 220 | 220 | | (20) “Renewable self-generator” means an electric distribution service customer of record 28 |
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| 221 | 221 | | for the eligible net-metering system or community remote net-metering system at the eligible net-29 |
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| 222 | 222 | | metering system site which system is primarily designed to produce electrical energy for 30 |
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| 223 | 223 | | consumption by that same customer at its distribution service account(s), and/or, with respect to 31 |
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| 224 | 224 | | community remote net-metering systems, electrical energy which generates net-metering credits to 32 |
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| 225 | 225 | | be applied to offset the eligible credit-recipient account usage. 33 |
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| 226 | 226 | | (21) “Third party” means and includes any person or entity, other than the renewable self-34 |
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| 227 | 227 | | |
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| 228 | 228 | | |
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| 229 | 229 | | LC000912 - Page 7 of 10 |
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| 230 | 230 | | generator, who or that owns or operates the eligible net-metering system or community remote net-1 |
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| 231 | 231 | | metering system on the eligible net-metering system site for the benefit of the renewable self-2 |
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| 232 | 232 | | generator. 3 |
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| 233 | 233 | | (22) “Third-party, net-metering financing arrangement” means the financing of eligible 4 |
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| 234 | 234 | | net-metering systems or community remote net-metering systems through lease arrangements or 5 |
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| 235 | 235 | | power/credit purchase agreements between a third party and renewable self-generator, except for 6 |
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| 236 | 236 | | those entities under a public entity net-metering financing arrangement. A third party engaged in 7 |
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| 237 | 237 | | providing financing arrangements related to such net-metering systems with a public or private 8 |
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| 238 | 238 | | entity is not a public utility as defined in § 39-1-2. 9 |
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| 239 | 239 | | (23) "Multi-unit property" means a residential building with more than one residential unit 10 |
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| 240 | 240 | | serviced by individual electric meters. 11 |
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| 241 | 241 | | 39-26.4-3. Net metering. 12 |
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| 242 | 242 | | (a) The following policies regarding net metering of electricity from eligible net-metering 13 |
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| 243 | 243 | | systems and community remote net-metering systems and regarding any person that is a renewable 14 |
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| 244 | 244 | | self-generator shall apply: 15 |
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| 245 | 245 | | (1)(i) The maximum allowable capacity for eligible net-metering systems, based on 16 |
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| 246 | 246 | | nameplate capacity, shall be ten megawatts (10 MW), effective sixty (60) days after passage. The 17 |
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| 247 | 247 | | aggregate amount of net metering in the Block Island Utility District doing business as Block Island 18 |
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| 248 | 248 | | Power Company and the Pascoag Utility District shall not exceed a maximum percentage of peak 19 |
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| 249 | 249 | | load for each utility district as set by the utility district based on its operational characteristics, 20 |
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| 250 | 250 | | subject to commission approval; and 21 |
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| 251 | 251 | | (ii) Through December 31, 2018, the maximum aggregate amount of community remote 22 |
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| 252 | 252 | | net-metering systems built shall be thirty megawatts (30 MW). Any of the unused MW amount 23 |
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| 253 | 253 | | after December 31, 2018, shall remain available to community remote net-metering systems until 24 |
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| 254 | 254 | | the MW aggregate amount is interconnected. After December 31, 2018, the commission may 25 |
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| 255 | 255 | | expand or modify the aggregate amount after a public hearing upon petition by the office of energy 26 |
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| 256 | 256 | | resources. The commission shall determine within six (6) months of such petition being docketed 27 |
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| 257 | 257 | | by the commission whether the benefits of the proposed expansion exceed the cost. This aggregate 28 |
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| 258 | 258 | | amount shall not apply to any net-metering financing arrangement involving public entity facilities, 29 |
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| 259 | 259 | | multi-municipal collaborative facilities, educational institutions, the federal government, hospitals, 30 |
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| 260 | 260 | | or nonprofits. By June 30, 2018, the commission shall conduct a study examining the cost and 31 |
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| 261 | 261 | | benefit to all customers of the inclusion of the distribution charge as a part of the net-metering 32 |
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| 262 | 262 | | calculation. 33 |
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| 263 | 263 | | (2) For ease of administering net-metered accounts and stabilizing net-metered account 34 |
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| 264 | 264 | | |
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| 265 | 265 | | |
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| 266 | 266 | | LC000912 - Page 8 of 10 |
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| 267 | 267 | | bills, the electric distribution company may elect (but is not required) to estimate for any twelve-1 |
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| 268 | 268 | | month (12) period: 2 |
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| 269 | 269 | | (i) The production from the eligible net-metering system or community remote net-3 |
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| 270 | 270 | | metering system; and 4 |
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| 271 | 271 | | (ii) Aggregate consumption of the net-metered accounts at the eligible net-metering system 5 |
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| 272 | 272 | | site or the sum of the consumption of the eligible credit-recipient accounts associated with the 6 |
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| 273 | 273 | | community remote net-metering system, and establish a monthly billing plan that reflects the 7 |
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| 274 | 274 | | expected credits that would be applied to the net-metered accounts over twelve (12) months. The 8 |
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| 275 | 275 | | billing plan would be designed to even out monthly billings over twelve (12) months, regardless of 9 |
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| 276 | 276 | | actual production and usage. If such election is made by the electric distribution company, the 10 |
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| 277 | 277 | | electric distribution company would reconcile payments and credits under the billing plan to actual 11 |
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| 278 | 278 | | production and consumption at the end of the twelve-month (12) period and apply any credits or 12 |
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| 279 | 279 | | charges to the net-metered accounts for any positive or negative difference, as applicable. Should 13 |
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| 280 | 280 | | there be a material change in circumstances at the eligible net-metering system site or associated 14 |
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| 281 | 281 | | accounts during the twelve-month (12) period, the estimates and credits may be adjusted by the 15 |
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| 282 | 282 | | electric distribution company during the reconciliation period. The electric distribution company 16 |
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| 283 | 283 | | also may elect (but is not required) to issue checks to any net-metering customer in lieu of billing 17 |
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| 284 | 284 | | credits or carry-forward credits or charges to the next billing period. For residential-eligible net-18 |
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| 285 | 285 | | metering systems and community remote net-metering systems twenty-five kilowatts (25 KW) or 19 |
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| 286 | 286 | | smaller, the electric distribution company, at its option, may administer renewable net-metering 20 |
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| 287 | 287 | | credits month to month allowing unused credits to carry forward into the following billing period. 21 |
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| 288 | 288 | | (3) If the electricity generated by an eligible net-metering system or community remote 22 |
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| 289 | 289 | | net-metering system during a billing period is equal to, or less than, the net-metering customer’s 23 |
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| 290 | 290 | | usage at the eligible net-metering system site or the sum of the usage of the eligible credit-recipient 24 |
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| 291 | 291 | | accounts associated with the community remote net-metering system during the billing period, the 25 |
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| 292 | 292 | | customer shall receive renewable net-metering credits, that shall be applied to offset the net-26 |
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| 293 | 293 | | metering customer’s usage on accounts at the eligible net-metering system site, or shall be used to 27 |
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| 294 | 294 | | credit the eligible credit-recipient’s electric account. 28 |
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| 295 | 295 | | (4) If the electricity generated by an eligible net-metering system or community remote 29 |
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| 296 | 296 | | net-metering system during a billing period is greater than the net-metering customer’s usage on 30 |
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| 297 | 297 | | accounts at the eligible net-metering system site or the sum of the usage of the eligible credit-31 |
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| 298 | 298 | | recipient accounts associated with the community remote net-metering system during the billing 32 |
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| 299 | 299 | | period, the customer shall be paid by excess renewable net-metering credits for the excess 33 |
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| 300 | 300 | | electricity generated up to an additional twenty-five percent (25%) beyond the net-metering 34 |
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| 301 | 301 | | |
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| 302 | 302 | | |
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| 303 | 303 | | LC000912 - Page 9 of 10 |
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| 304 | 304 | | customer’s usage at the eligible net-metering system site, or the sum of the usage of the eligible 1 |
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| 305 | 305 | | credit-recipient accounts associated with the community remote net-metering system during the 2 |
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| 306 | 306 | | billing period; unless the electric distribution company and net-metering customer have agreed to 3 |
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| 307 | 307 | | a billing plan pursuant to subsection (a)(2). 4 |
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| 308 | 308 | | (5) The rates applicable to any net-metered account shall be the same as those that apply 5 |
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| 309 | 309 | | to the rate classification that would be applicable to such account in the absence of net metering, 6 |
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| 310 | 310 | | including customer and demand charges, and no other charges may be imposed to offset net-7 |
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| 311 | 311 | | metering credits. 8 |
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| 312 | 312 | | (b) The commission shall exempt electric distribution company customer accounts 9 |
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| 313 | 313 | | associated with an eligible net-metering system from back-up or standby rates commensurate with 10 |
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| 314 | 314 | | the size of the eligible net-metering system, provided that any revenue shortfall caused by any such 11 |
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| 315 | 315 | | exemption shall be fully recovered by the electric distribution company through rates. 12 |
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| 316 | 316 | | (c) Any prudent and reasonable costs incurred by the electric distribution company 13 |
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| 317 | 317 | | pursuant to achieving compliance with subsection (a) and the annual amount of any renewable net-14 |
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| 318 | 318 | | metering credits or excess renewable net-metering credits provided to accounts associated with 15 |
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| 319 | 319 | | eligible net-metering systems or community remote net-metering systems, shall be aggregated by 16 |
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| 320 | 320 | | the distribution company and billed to all distribution customers on an annual basis through a 17 |
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| 321 | 321 | | uniform, per-kilowatt-hour (KWh) surcharge embedded in the distribution component of the rates 18 |
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| 322 | 322 | | reflected on customer bills. 19 |
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| 323 | 323 | | (d) The billing process set out in this section shall be applicable to electric distribution 20 |
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| 324 | 324 | | companies thirty (30) days after the enactment of this chapter. 21 |
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| 325 | 325 | | (e) Electricity generated during a billing period from an eligible net-metering system or 22 |
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| 326 | 326 | | community remote net-metering system, serving a multi-unit property, shall be allocated as net-23 |
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| 327 | 327 | | metering credits to common areas of the property and to individually metered accounts 24 |
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| 328 | 328 | | proportionally between the units and common areas based on historical data and then allocated 25 |
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| 329 | 329 | | between the units based on the size of the unit. 26 |
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| 330 | 330 | | (f) A property owner with eligible net-metering systems with a master meter may allocate 27 |
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| 331 | 331 | | excess net-metering credits to any meter on the property. This subsection shall apply to meters in 28 |
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| 332 | 332 | | the property owner's name or those with the owner listed as the customer of record. 29 |
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| 333 | 333 | | SECTION 2. This act shall take effect upon passage. 30 |
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| 334 | 334 | | ======== |
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| 335 | 335 | | LC000912 |
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| 336 | 336 | | ======== |
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| 337 | 337 | | |
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| 338 | 338 | | |
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| 339 | 339 | | LC000912 - Page 10 of 10 |
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| 340 | 340 | | EXPLANATION |
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| 341 | 341 | | BY THE LEGISLATIVE COUNCIL |
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| 342 | 342 | | OF |
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| 343 | 343 | | A N A C T |
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| 344 | 344 | | RELATING TO PUBLIC UTILITIES AND CARRIERS -- NET-METERING |
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| 345 | 345 | | *** |
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| 346 | 346 | | This act would redefine the term "eligible net-metering system" by removing the references 1 |
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| 347 | 347 | | to the three (3) year average annual consumption of energy over the previous three (3) years at the 2 |
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| 348 | 348 | | electric distribution account(s) located at the eligible net-metering system site. The act would also 3 |
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| 349 | 349 | | allow a property owner with eligible net-metering systems with a master meter to allocate excess 4 |
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| 350 | 350 | | net-metering credits to any meter on the property. This allocation would apply to meters in the 5 |
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| 351 | 351 | | property owner's name or those with the owner listed as the customer of record. 6 |
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| 352 | 352 | | This act would take effect upon passage. 7 |
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| 353 | 353 | | ======== |
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| 354 | 354 | | LC000912 |
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| 355 | 355 | | ======== |
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| 356 | 356 | | |
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