Bill Text - HB1353 (2010)

Relative to group net energy metering.


Revision: Dec. 10, 2009, midnight

HB 1353 – AS INTRODUCED

2010 SESSION

10-2348

06/10

HOUSE BILL 1353

AN ACT relative to group net energy metering.

SPONSORS: Rep. S. Harvey, Hills 21; Rep. Pastor, Graf 9; Rep. Butcher, Ches 3; Rep. Townsend, Graf 10; Sen. Fuller Clark, Dist 24; Sen. Merrill, Dist 21

COMMITTEE: Science, Technology and Energy

ANALYSIS

This bill modifies certain procedures and rules related to net energy metering.

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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

10-2348

06/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Ten

AN ACT relative to group net energy metering.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Declaration of Purpose. Amend RSA 362-A:1 to read as follows:

362-A:1 Declaration of Purpose. It is found to be in the public interest to provide for small scale and diversified sources of supplemental electrical power to lessen the state’s dependence upon other sources which may, from time to time, be uncertain. It is also found to be in the public interest to encourage and support diversified electrical production that uses indigenous and renewable fuels and has beneficial impacts on the environment and public health. It is also found that these goals should be pursued in a competitive environment pursuant to the restructuring policy principles set forth in RSA 374-F:3. It is further found that net energy metering for eligible customer-generators may be one way to provide a reasonable opportunity for small customers to choose interconnected self generation, encourage private investment in renewable energy resources, stimulate in-state commercialization of innovative and beneficial new technology, enhance the future diversification of the state’s energy resource mix, and reduce interconnection and administrative costs. [However, due to uncertain cost and technical impacts to electric utilities and other ratepayers, the general court finds it appropriate to limit the availability of net energy metering to eligible customer-generators who are early adopters of small-scale renewable electric generating technologies.]

2 Definitions. Amend RSA 362-A:1-a, II-b to read as follows:

II-b. “Eligible customer-generator” or “customer-generator” means an electric utility customer or a voluntarily associated group of customers or customer accounts served by the same electric distribution utility that [who] owns [and] or operates, or whose electrical energy needs are otherwise served by, electrical generating facilities powered by renewable energy with a total peak generating capacity of not more than [100 kilowatts] 2 megawatts that is located on the [customer’s] premises of the customer or a member of the group of customers, is interconnected and operates in parallel with the electric grid, and is intended [primarily] in the first instance to offset part or all of the customer’s or group of customers’ own electricity requirements.

3 Net Energy Metering. Amend RSA 362-A:9, I-IV to read as follows:

362-A:9 Net Energy Metering.

I. A standard contract or tariff providing for net energy metering shall be [developed and] made available to eligible customer-generators by each electric distribution utility [within 90 days of the start of retail choice of electric suppliers, or within 90 days of the final approval of] in conformance with net metering rules adopted [regulations issued] and orders issued by the commission[, whichever comes first]. Such tariffs or contracts shall be available on a first-come, first-served basis within each electric utility service area under the jurisdiction of the commission until such time as the total rated generating capacity owned and operated by eligible customer-generators totals [one] 5 percent of the annual peak energy demand distributed by each such utility as determined by the commission from time to time.

II. At each customer premises hosting a renewable electric generation facility, net energy metering shall be accomplished using a single meter capable of registering the flow of electricity in two directions. However, an additional meter or meters to monitor the flow of electricity in each direction may be installed, provided that it is not at the expense of the customer-generator unless requested by the customer-generator[, and provided that such metering shall be used only to provide the information necessary to accurately bill the customer-generator pursuant to the provisions of this section, or for research purposes]. If an additional meter or meters are installed, the net energy metering calculation shall yield the same result as when a single meter is used. The net energy metering calculation shall be made by taking the difference between the electricity supplied over the electric distribution system and the electricity generated by the eligible customer-generator and fed back into the electric distribution system over the billing period.

III. Each net energy metering contract or tariff offered by an electric distribution utility shall be identical, with respect to rates, rate structure, and periodic charges, to the contract or tariff [to] by which the same customer would [be assigned if such customer was not an eligible customer-generator] otherwise take service by choice or default. Electricity suppliers may voluntarily determine the terms, conditions, and prices under which they will agree to provide generation supply to and purchase net generation output from eligible customer-generators[; however, electricity suppliers who]. Electric utilities that provide default service [or transition service] to [such a customer] eligible customer-generators shall only bill for the net energy supplied as calculated in accordance with this section and shall provide credit for net generation in accordance with this section.

IV. The following rules shall apply to net energy measurement charges and credits:

(a) The net energy produced or consumed on a monthly basis shall be measured in accordance with normal metering practices.

(b) Where the electricity supplied to the customer-generator over the electric distribution system exceeds the electricity generated by the customer-generator during the billing period, the customer-generator shall be billed based on the net energy supplied for distribution services and other charges in accordance with this section and standard applicable rates. Charges and credits shall be given under time-based rate tariffs as determined by the commissioner.

(c) Where the electricity generated by the customer-generator exceeds the electricity supplied by the electric grid, the customer-generator shall be credited over subsequent billing periods for the excess kilowatt hours generated in accordance with this section. At least annually and instead of carrying excess generation credits forward, customer-generators that take default service may elect to be paid by the electric distribution utility for their excess generation at rates that are not less than 90 percent of the generation supply component of the applicable default service rate as determined by the commission. Such payment rates may also include payment for avoided transmission charges to the extent that such excess generation is reasonably determined to reduce wholesale transmission charges from what they would otherwise be. The difference between amounts paid to customer-generators for excess generation and the generation rate charged to other customers for such supply, up to 10 percent of such rates, may be allocated to the electric distribution utility for their costs of facilitating such transactions and to line losses, as determined by the commission.

4 New Subparagraphs; Net Energy Metering. Amend RSA 362-A:9, IV by inserting after subparagraph (c) the following new subparagraphs:

(d) Renewable energy credits shall remain the property of the customer-generator until such credits are sold or transferred.

(e) If an electric distribution utility acquires renewable energy credits from a customer-generator in conjunction with purchasing excess generation, it may apply such generation and credits to its renewable energy source default service option under RSA 374-F:3, V(f).

(f) When the customer-generator consists of a voluntarily associated group of customers or customer accounts of the same electric distribution utility, to the extent practicable excess kilowatts and kilowatt hours of generation from the host account or accounts where the renewable electrical generation facility or facilities are located may be credited against the generation supply and transmission rate components of the other customers or customer accounts within the group, all as determined by the commission after notice and hearing, on a utility-specific or generic basis.

5 Net Energy Metering. Amend RSA 362-A:9, VI to read as follows:

VI. The commission, by order, may waive any of the limitations set forth in this chapter for targeted net energy metering arrangements that are part of a utility strategy to minimize distribution or other costs.

6 Effective Date. This act shall take effect 60 days after its passage.