Revision: April 8, 2009, midnight
HB 395 – AS AMENDED BY THE HOUSE
24Mar2009… 0873h
2009 SESSION
09/10
HOUSE BILL 395
AN ACT requiring electric utilities to offer renewable energy source options.
SPONSORS: Rep. S. Harvey, Hills 21; Rep. Borden, Rock 18; Rep. Sad, Ches 2; Sen. Merrill, Dist 21; Sen. Fuller Clark, Dist 24
COMMITTEE: Science, Technology and Energy
This bill requires electric utilities to offer one or more renewable energy source options.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
24Mar2009… 0873h
09-0053
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nine
AN ACT requiring electric utilities to offer renewable energy source options.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Electric Utilities; Renewable Energy Source Option. RSA 374-F:3, V(f) is repealed and reenacted to read as follows:
(f)(1) For purposes of subparagraph (f), “renewable energy source” (RES) means a source of electricity, as defined in RSA 362-F:2, XV, that would qualify to receive renewable energy certificates under RSA 362-F, whether or not it has been designated as eligible under RSA 362-F:6, III.
(2) A utility shall provide to its customers one or more RES options, as approved by the commission, which may include RES default service provided by the utility or the provision of retail access to competitive sellers of RES attributes. Costs associated with selecting an RES option should be paid for by those customers choosing to take such option. A utility may recover all prudently incurred administrative costs of RES options from all customers, as approved by the commission.
(3) RES default service should have either all or a portion of its service attributable to a renewable energy source component procured by the utility, with any remainder filled by standard default service. The price of any RES default service shall be approved by the commission.
(4) Under any option offered, the customer shall be purchasing electricity generated by renewable energy sources or the attributes of such generation, either in connection with or separately from the electricity produced. The regional generation information system of energy certificates administered by the ISO-New England and the New England Power Pool (NEPOOL) should be considered at least one form of certification that is acceptable under this program.
(5) A utility that is required by statute to provide default service from its generation assets should use any of its owned generation assets that are powered by renewable energy for the provision of standard default service, rather than for the provision of a renewable energy source component.
(6) Utilities should include educational materials in their normal communications to their customers that explain the RES options being offered and the health and environmental benefits associated with them. Such educational materials should be compatible with any environmental disclosure requirements established by the commission.
(7) For purposes of consumer protection and the maintenance of program integrity, reasonable efforts should be made to assure that the renewable energy source component of an RES option is not separately advertised, claimed, or sold as part of any other electricity service or transaction, including compliance with the renewable portfolio standards under RSA 362-F.
(8) If RES default service is not available for purchase at a reasonable cost on behalf of consumers choosing an RES default service option, a utility may, as approved by the commission, make payments to the renewable energy fund created pursuant to RSA 362-F:10 on behalf of customers to comply with subparagraph (f).
(9) The commission shall implement subparagraph (f) through utility-specific filings. Approved RES options shall be included in individual tariff filings by utilities.
(10) A utility, with commission approval, may require that a minimum number of customers, or a minimum amount of load, choose to participate in the program in order to offer an RES option.
2 Effective Date. This act shall take effect 120 days after its passage.
LBAO
09-0053
Amended 04/07/09
HB 395 FISCAL NOTE
AN ACT requiring electric utilities to offer renewable energy source options.
FISCAL IMPACT:
The Public Utilities Commission states this bill, as amended by the House (Amendment #2009-0873h), may increase state, county, and local expenditures by an indeterminable amount in FY 2010 and each year thereafter. There will be no fiscal impact on state, county, and local revenue.
METHODOLOGY:
The Public Utilities Commission states this bill requires electric utilities to offer renewable energy source (RES) options. The Commission states if the state, counties, or municipalities chose to take service under the proposed RES option, they will incur additional costs. However, as it is unknown which renewable sources may be used to generate the activity, the level of customer participation, and what portion of the RES default service will be from renewable sources (i.e., 100% from renewable sources versus 50% from renewable sources), the fiscal impact cannot be determined at this time. The Commission states it will be able to set RES default service rates using existing resources.