Revision: Jan. 10, 2019, 3:42 p.m.
HB 477-FN - AS INTRODUCED
2019 SESSION
19-0218
08/06
HOUSE BILL 477-FN
AN ACT relative to allowance sales under the New Hampshire regional greenhouse gas initiative program.
SPONSORS: Rep. Notter, Hills. 21; Rep. Torosian, Rock. 14
COMMITTEE: Science, Technology and Energy
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ANALYSIS
This bill distributes all proceeds from allowance sales under the New Hampshire regional greenhouse gas initiative program to ratepayers minus administrative costs.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
19-0218
08/06
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nineteen
AN ACT relative to allowance sales under the New Hampshire regional greenhouse gas initiative program.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Energy Efficiency Fund and use of Auction Proceeds. Amend RSA 125-O:23, II to read as follows:
II. All amounts in excess of the threshold price, minus administrative costs, of [$1] $0 for any allowance sale shall be rebated to all retail electric ratepayers in the state on a per-kilowatt-hour basis, in a timely manner to be determined by the commission.
2 Effective Date. This act shall take effect upon its passage.
19-0218
1/9/19
HB 477-FN- FISCAL NOTE
AS INTRODUCED
AN ACT relative to allowance sales under the New Hampshire regional greenhouse gas initiative program.
FISCAL IMPACT: [ X ] State [ X ] County [ X ] Local [ ] None
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STATE: | FY 2020 | FY 2021 | FY 2022 | FY 2023 |
Appropriation | $0 | $0 | $0 | $0 |
Revenue | $0 | $0 | $0 | $0 |
Expenditures | ($29,000) | ($29,000) | ($29,000) | ($29,000) |
Funding Source: | [ X ] General [ ] Education [ X ] Highway [ X ] Other - Energy Efficiency Fund and Multiple Others (See Methodology) | |||
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COUNTY: |
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Revenue | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease |
Expenditures | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease |
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LOCAL: |
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Revenue | ($2,000,000) | ($2,000,000) | ($2,000,000) | ($2,000,000) |
Expenditures | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease |
METHODOLOGY:
This bill changes the $1 per allowance rebate threshold for auction proceeds deposited into the Energy Efficiency Fund to $0. The change in this bill would result in all residential and commercial and industrial rate payers receiving full rebates. Therefore, this bill will impact governmental expenditures by reducing electricity costs for state, county, and local governments consuming electricity. Under this bill county and local government electricity expenditures will decrease by an indeterminable amount. However, State electricity expenditures are estimated to decrease by $29,000. Additionally, this bill would eliminate an estimated $2.7 million in funding for the following core energy efficiency programs in FY 2020 and each year thereafter: Municipal Energy Efficiency Program (estimated $2,000,000 per year); Home Energy Assistance Program (estimated $500,000 per year); and All-Fuels Program (estimated $200,000 per year). While local revenue would directly decrease by an estimated $2 million each year, some of the indirect benefits to county governments will have an impact on revenue by an indeterminable amount.
In determining how much the core energy efficiency programs would decrease by, the Public Utilities Commission and Department of Environmental Services assumes in FY 2020 the average allowance price will be $4.75 and net auction revenue would total approximately $13.65 million. Further, the Public Utilities Commission and Department of Environmental Services estimates the State’s total electricity costs will decrease by $29,000 based on the increased customer rebates under this bill and State energy consumption data from FY 2017. The decrease in state electricity costs will impact all funds used to purchase electricity.
AGENCIES CONTACTED:
Public Utilities Commission and Department of Environmental Services