Bill Text - SB98 (2013)

(New Title) authorizing group net metering for limited electrical energy procedures and establishing a committee to study reimbursement rates for excess electricity generated by customer-generator groups.


Revision: March 28, 2013, midnight

SB 98 – AS AMENDED BY THE SENATE

03/28/13 1080s

03/28/13 1111s

2013 SESSION

13-0893

06/09

SENATE BILL 98

AN ACT authorizing group net metering for limited electrical energy procedures and establishing a committee to study reimbursement rates for excess electricity generated by customer-generator groups.

SPONSORS: Sen. Kelly, Dist 10; Sen. Larsen, Dist 15; Sen. Watters, Dist 4; Sen. D'Allesandro, Dist 20; Sen. Fuller Clark, Dist 21; Rep. Shepardson, Ches 10; Rep. Borden, RockĀ 24; Rep. Bouchard, Merr 18

COMMITTEE: Energy and Natural Resources

AMENDED ANALYSIS

This bill:

I. Adds and modifies certain definitions related to net energy metering.

II. Authorizes utilities to charge customer-generators for system upgrades.

III. Establishes a committee to study reimbursement rates for excess electricity generated by customer-generator groups.

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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03/28/13 1080s

03/28/13 1111s

13-0893

06/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT authorizing group net metering for limited electrical energy procedures and establishing a committee to study reimbursement rates for excess electricity generated by customer-generator groups.

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

1 Limited Electrical Energy Producers; Definitions. Amend RSA 362-A:1-a, II-b to read as follows:

II-b. “Eligible customer-generator’’ [or], “customer-generator’’, or “customer-generator group” means an electric utility customer or group of customers [who], at least one of whom owns or operates [an] electrical generating [facility] facilities either powered by renewable energy or which [employs] employ a heat led combined heat and power system, with a total peak generating capacity of [not more than 100 kilowatts, or that first begins operation after July 1, 2010 and has a total peak generating capacity of 100 kilowatts or more] up to and including one megawatt, that is located behind a retail meter on the customer’s premises [is] or, in the case of a customer-generator group, on the premises of a customer who is a member of the group, are interconnected and [operates] operate in parallel with the electric grid, and [is] are used [in the first instance] to offset the customer’s own electricity requirements. A customer generator may be incremental generation added to an existing generation facility, that does not itself qualify for net metering, as long as such incremental generation meets the qualifications of this paragraph and is metered separately from the nonqualifying facility. An eligible customer-generator group shall only include customers served by the same electric distribution utility and shall be limited to 10 separate accounts. Customer-generator groups shall further be limited to electric distribution systems of facilities rated below 69 kilovolts and shall not utilize the electric distribution system of facilities rated 69 kilovolts and above.

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

I. Standard tariffs providing for net energy metering shall be made available to eligible customer-generators, or customer-generator groups, by each electric distribution utility in conformance with net metering rules adopted and orders issued by the commission. Each net energy metering tariff shall be identical, with respect to rates, rate structure, and charges, to the tariff under which a customer-generator would otherwise take default generation supply service from the distribution utility. Such tariffs 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 or operated by eligible customer-generators, or customer-generator groups, totals a number equal to 50 megawatts multiplied by each such utility's percentage share of the total 2010 annual coincident peak energy demand distributed by all such utilities as determined by the commission. No more than 4 megawatts of such total rated generating capacity shall be from a combined heat and power system as defined in RSA 362-A:1-a, I-d.

3 Net Energy Metering. Amend RSA 362-A:9, III through VI(a) to read as follows:

III. Metering shall be done in accordance with normal metering practices. A single net meter that shows the customer’s net energy usage by measuring both the inflow and outflow of electricity internally shall be the extent of metering that is required at facilities with a total peak generating capacity of not more than 100 kilowatts. A bi-directional metering system that records the total amount of electricity that flows in each direction from the customer premises, either instantaneously or over intervals of an hour or less, shall be required at facilities with a total peak generating capacity of more than 100 kilowatts. Customer-generators or customer-generator groups shall not be required to pay for the installation of net meters, but shall pay for the installation of all bi-directional metering systems as outlined in utility interconnection tariffs or rules.

IV.(a) For facilities with a total peak generating capacity of not more than 100 kilowatts, when billing a customer-generator or customer-generator group under a net energy metering tariff that is not time-based, the utility shall apply the customer’s net energy usage when calculating all charges that are based on kilowatt hour usage. Customer net energy usage shall equal the kilowatt hours supplied to the customer over the electric distribution system minus the kilowatt hours generated by the customer-generator and fed into the electric distribution system over a billing period.

(b) For facilities with a total peak generating capacity of more than 100 kilowatts, the customer-generator shall pay all applicable charges on all kilowatt hours supplied to the customer over the electric distribution system, less a credit on default service charges equal to the metered energy generated by the customer-generator and fed into the electric distribution system over a billing period.

V. When a customer-generator’s or customer-generator group’s net energy usage is negative (more electricity is fed into the distribution system than is received) over a billing period, such surplus shall either:

(a) Be credited to the customer-generator’s or customer-generator group’s account on an equivalent basis for use in subsequent billing cycles as a credit against the customer’s net energy usage or bill in a manner consistent with either subparagraph IV(a) or IV(b), as applicable; or

(b) Except as provided in paragraph VI, the customer-generator may elect to be paid or credited by the electric distribution utility for its excess generation at rates that are equal to the utility’s avoided costs for energy and capacity to provide default service as determined by the commission consistent with the requirements of the Public Utilities Regulatory Policy Act of 1978 (PURPA). The commission shall determine reasonable conditions for such an election, including the frequency of payment and how often a customer-generator may choose this option versus the option in subparagraph (a).

VI. Instead of the option in subparagraph V(b), an electric distribution utility providing default service to customer-generators may voluntarily elect, annually, on a generic basis, by notification to the commission, to purchase or credit such excess generation from customer-generators at a rate that is equal to the generation supply component of the applicable default service rate, provided that payment is issued at least as often as whenever the value of such credit, in excess of amounts owed by the customer-generator, is greater than $50.

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

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

5 New Paragraph; Net Energy Metering. Amend RSA 362-A:9 by inserting after paragraph XIII the following new paragraph:

XIV. Customer-generator groups shall be responsible for:

(a) Any electric distribution system upgrades that may be required as a result of the group net meter installation as determined by the commission.

(b) Any costs necessary to upgrade a utility’s information systems in order to bill or make refunds to group net metered customers as determined by the commission.

6 Committee Established. There is established a committee to study reimbursement rates for excess electricity generated by customer-generator groups.

7 Membership and Compensation.

I. The members of the committee shall be as follows:

(a) One member of the senate, appointed by the president of the senate.

(b) Three members of the house of representatives, appointed by the speaker of the house of representatives.

II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.

8 Duties. The committee shall study reimbursement rates for excess electricity generated by customer-generator groups.

9 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the senate member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Three members of the committee shall constitute a quorum.

10 Report. The committee shall report its findings and any recommendations for proposed legislation to the president of the senate, the speaker of the house of representatives, the senate clerk, the house clerk, the governor, and the state library on or before November 1, 2013.

11 Effective Date.

I. Sections 1 through 5 of this act shall take effect July 1, 2014.

II. The remainder of this act shall take effect upon its passage.

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