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ISSUE: NET METERING

In this section, you will find summaries of state net metering activity. For more information on a specific program, click on the link within the summary to access the full text of the rule, order, or legislation.

Alabama

There is no activity to date.

Alaska

There is no activity to date.

Arizona Net Billing Rules

Arizona Corporation Commission Decision No. 52345 (July 27, 1981) allowed net metering for qualifying facilities (under the Public Utilities Regulatory Policy Act of 1978 [PURPA] and rules set forth by the Federal Energy Regulatory Commission [FERC]) of 100 kW or less. Excess customer generation would be purchased by utilities at the avoided cost. The commission’s decision applies to all utilities in Arizona, including investor-owned utilities and rural electric cooperatives. However, no tariffs were filed by the utilities to implement it because there was no subsequent customer demand for net metering. In 1993, Arizona Public Service Company (APS) filed a net metering tariff, EPR-3, to accommodate residential customers who installed photovoltaic systems.

Subsequently, in July 1996, EPR-3 was replaced by EPR-4 which allowed all renewable energy technologies instead of only solar. Tariffs are for APS’ residential customers only. The installed capacity limit is 10 kW or less, not the 100 kW permitted under the 1981 order. A single non-ratcheted meter is allowed to turn backward to register the net energy consumed or produced during a normal billing cycle. Customers buy electricity from APS at the standard retail rate for their class. Excess generation is purchased at APS’ avoided energy cost. No special liability insurance requirement is imposed. There are currently less than five net metering customers in the APS system.

For further information, refer to Arizona Corporation Commission Decision No. 52345.

Arkansas Net Billing Law

On April 19, 2001, Arkansas Governor Mike Huckabee signed into law a bill (HB 2325) requiring the state’s electric utilities to offer net metering for solar, wind, hydroelectric, geothermal, and biomass systems, and fuel cells and microturbines fueled by renewable sources. Eligible systems include residential systems of up to 25 kW and commercial systems of up to 100 kW located in state. The legislation, which takes effect on October 1, 2001, tasks the Arkansas Public Service Commission (PSC) to develop rules covering the terms and conditions of interconnection and net metering contracts. According to the Act, the PSC “may authorize an electric utility to assess a net-metering customer a greater fee or charge, of any type, if the electric utility’s direct costs of interconnection and administration of net-metering outweigh the distribution system, environmental and public policy benefits of allocating the costs among the electric utility’s entire customer base.”

For further information, refer to the full text of the bill (HB 2325).

Contact: Chris Benson
Arkansas Department of Economic Development (Energy Office)
Phone: (501) 682-8065
E-Mail: [email protected]
Website: http://www.1-800-arkansas.com/

California Net Metering Law

On April 11, 2001, California Governor Gray Davis signed into law a bill (ABX1 29) modifying the state’s net metering law by raising the capacity requirement for eligible solar and wind systems from 10 kilowatts to 1 megawatt. Under the law, utilities are required to bill net metered customers on an annual basis and any excess generation is granted to the utility at the end of the year. The law also requires utilities to develop standard net metering contracts and to provide customers with net electricity consumption information on a monthly basis. The provisions remain in effect until January 1, 2003.

For further information, refer to the bill, ABX1 29.

Contact: Les Nelson
California Solar Energy Industries Association
Phone: (714) 586-2470
E-Mail: [email protected]

Colorado Net Metering Program

Net metering is not required by the state, but several utilities offer net metering options for their customers with small generators. For example, the Public Service Company (PSC) of Colorado has had a net metering option for small qualifying facilities and small customer-owned generators of 10 kW or less since 1994. The net metering option is specified in the company’s Safety, Interference and Interconnection Guidelines for Cogenerators, Small Power Producers, and Customer-Owned Generators, revised in April 1994. A single meter is allowed to run backward to register net customer consumption or net generation. Any excess generation during the normal billing cycle is granted to the utility without compensation. The PSC cited reducing administration and account costs as the reason for implementing net metering for small qualifying facilities and customer-owned generators.

Holy Cross Electric Association, Inc. offers a net metering option to customers with photovoltaic (PV) systems. All customers can participate and there is no limit on the size of individual PV systems, but the pilot program has a 50 kW cap on the total PV capacity under net metering. Customers will not be compensated for any excess generation during the normal billing cycle. The City of Glenwood Springs Electric Department also allows net metering for residential customers with small PV systems.

For further information, refer to PSCo’s Safety, Interference and Interconnection Guidelines for Cogenerators, Small Power Producers, and Customer-Owned Generators - Revised, April 1994.

Contact: Chief
Colorado Public Utilities Commission
Phone: (303) 894-2000
E-Mail: [email protected]

Connecticut Net Metering Order

According to Connecticut’s restructuring law Public Act 98-28 (RB 5005), the state’s investor-owned utilities must offer net metering to all residential customers generating electricity with solar, wind, hydro, fuel cell, or sustainable biomass systems, effective January 1, 2000. Net metering provisions were included in utility tariffs approved by the Connecticut Department of Public Utility Control (DPUC). The tariffs call for utilities to offer net metering for qualifying facilities with a generating capacity up to 50 kW (100 kW for renewable energy resources). Net metering was required as early as 1990 under rate tariffs filed with the DPUC (CPUCA No. 159).

For further information, see the Restructuring Law, Public Act 98-28 (RB 5005).

Contact: Mark Quinlan
Connecticut Department of Public Utility Control
Phone: (860) 827-2691
Fax: (860) 827-2613

Delaware Net Energy Metering Law

In 1999, the state legislature adopted an amendment to HB10 and required all utilities in the state to offer net metering to customers operating renewable energy systems of 25 kilowatts or less. The requirement applies to all classes of customers and there is no statewide limit. The treatment of any excess generation is to be determined by the Delaware Public Service Commission.

Contact: Charlie Smisson
Delaware Energy Office
Phone: (302) 739-5644
E-Mail: [email protected]

District of Columbia Net Metering Law

Residential and commercial utility customers in the District of Columbia can net meter renewables, fuel cells, and microturbines up to 100 kW in capacity.

Contact: Charles Clinton
District of Columbia Energy Office
Phone: (202) 673-6700
Fax: (202) 673-6725

Florida Net Metering Programs

Florida has no state-wide net metering program, although there are several isolated utilities offering net metering options.

JEA (formerly Jacksonville Electric Authority) offers net metering and will provide, at the customer’s expense, a second meter to measure energy deliveries to the utility.

Contact: Bruce Dugan of JEA
Phone: (904) 665-6232
E-Mail: [email protected]
Website: http://www.jea.com

New Smyrna Beach Utilities Commission offers net metering for photovoltaics for commercial, industrial, residential customers and schools and follows the Florida Solar Energy Center and industry standards regarding standards of equipment.

Contact: Gregg Goldsworthy
New Smyrna Beach Utilities Commission
Phone: (386) 427-1361
E-Mail: [email protected]
Website: http://www.ucnsb.net

Georgia Net Energy Metering Law

On April 28, 2001, Georgia Governor Roy Barnes signed into law a net metering requirement that allows customer generators to be compensated at a higher than avoided cost rate if the utility uses the power to supply a green pricing program. Under the law, customers can be compensated for any power produced in excess of on-site needs or for all of the power generated from the system, depending on the metering arrangement selected.

The net metering requirement applies to solar photovoltaic, fuel cell, and wind systems of up to 10 kilowatts (kW) in size for residential applications and up to 100 kW for commercial applications. Utilities are required to purchase the excess power from an eligible customer generator until the cumulative renewable energy capacity reaches 0.2% of the utility’s system peak load.

For further information, see the full text of legislation, Georgia Cogeneration and Net Metering Act (SB93).

Contact: Rita Kilpatrick
Georgians for Clean Energy
Phone: (404) 659-5675
E-Mail: [email protected]
Website: http://www.cleanenergy.org/

Hawaii Net Energy Metering Law

On June 25, 2001, Hawaii Governor Benjamin Cayetano signed into law a bill (HB173) requiring the state’s electric utilities to offer net metering to residential and small commercial customers with solar, wind, biomass and hydroelectric systems of 10 kW or less. Under the law, customers who produce more electricity than they consume during a month will be able to net their energy use to zero, but will not receive any compensation for any excess generation. The law requires utilities to use uniform, standardized interconnection contracts and offer net metering to customers on a first-come first-served basis until total net metering capacity equals 0.5% of each utility’s peak demand.

For further information, refer to HB 173.

Contact: Maria Tome
Hawaii Department of Business, Economic Development, and Tourism
Phone: (808) 587-3809
E-Mail: [email protected]
Website: http://www.state.hi.us/dbedt/ert/

Idaho Net Metering Order

Idaho PUC issued Order No. 26750 on January 22, 1997 modifying the original net metering legislation of 1980. Under the new tariff, net metering is available only to residential and small commercial class customers who do not have demand metering. There are no restrictions on generation technologies, but the generating capacity must be 100 kW or less. The excess generation is purchased by Idaho Power at the avoided cost. There is an extra monthly charge to recover the nongeneration-related cost of the utility. Net metering customers are required to have $1,000,000 liability insurance. The net metering orders apply to investor-owned utilities only. Rural electric cooperatives in Idaho are not rate-regulated by PUC, and they do not offer net metering to their customers.

For further information on existing net metering legislation, refer to Order No. 16025 and Order No. 26750.

Idaho’s net metering law is currently being revised. Please call the Idaho Public Utilities Commission for more information.

Contact: Rick Sterling
Idaho Public Utilities Commission
Phone: (208) 334-0351
Fax: (208) 334-3762

Illinois Net Metering Program

In April 2000, ComEd, the investor-owned utility serving the city of Chicago and surrounding areas, began a Wind and Photovoltaic (PV) Generating Pricing Experiment, through which it is offering net metering on a limited basis for wind and photovoltaic systems of up to 40 kW in size. Under the program, ComEd pays customers its avoided costs for any excess power put back into the grid each month. ComEd will also pay each customer on an annual basis for the total kilowatts put back into the grid (up to the amount of power the customer received from the utility). Customers will be paid at a rate representing the difference between the average avoided cost paid to the customer and the average retail rate paid by the customer during the year.

For further information, see the description of ComEd’s Wind And Photovoltaic Generation Pricing Experiment.

Contact: Denise Bechen
Exelon Corporation
ComEd Energy
Phone: (630) 576-6783
E-Mail: [email protected]

Indiana Net Billing Order

Net metering is available in Indiana under the 170 Indiana Administrative Code 4-4.1-7 issued in 1985. Qualifying facilities that generate less than 1000 kWh per month can request the net metering option. Excess generation is granted to the utilities. If the qualifying facility can generate more than 1000 kWh a month, it may request that the utility purchase its generation, but two meters will be installed to measure the production and usage. The utility will buy back the energy at the avoided cost. About 20 small wind power facilities statewide have signed up for this program. Rural electric cooperatives in Indiana are not rate-regulated by the Indiana Utility Regulatory Commission, and they are not required to offer net billing to their customers.

For further information, refer to 170 Indiana Administrative Code 4-4.1-7.

Contact: Laura Cvengros
Indiana Utility Regulatory Commission
Phone: (317) 233-5315
E-Mail: [email protected]

Iowa Net Billing Order

Created by the Iowa Utilities Board in 1983, Iowa’s net metering rule allows customers with alternative energy generation systems to sell electricity to their investor-owned utilities on a netted basis against their metered retail usage. The rule applies to all customer classes and requires that customers’ net excess generation be purchased by the utilities at their avoided cost. It is worth noting that Iowa Utilities Board has also required the state’s investor owned utilities to purchase up to a total of 105 MW of renewable energy under a separate ruling.

An Iowa district court order (issued 8/24/99) currently prevents the IUB from enforcing its net metering rule. This court ruling may be reconsidered in the future, in light of a recent FERC ruling (issued 3/28/01) upholding the IUB rule.

For further information, refer to Iowa Administrative Code Paragraph 15.11(5).

Contact: John Pearce
Iowa Utilities Board
Phone: (515) 281-5679
E-Mail: [email protected]

Kansas

There is no activity to date.

Kentucky Net Metering Law

On March 14, 2002, the Kentucky Public Service Commission issued an order allowing Louisville Gas and Electric and Kentucky Utilities to offer net metering on a limited basis to qualifying customers. The pilot net metering programs will be offered to the first 25 customers of each utility for 36 months. Eligible systems include solar, hydro, or wind energy systems of up to 10 kW for residential customers and up to 25 kW for non-residential customers. Any excess generation is to be carried forward to the next billing period. Customers will not be paid for excess generation.

For further information, refer to the March 14, 2002 Order (PDF Download: 16K).

Contact: Joshua Bills
Kentucky Solar Partnership
Phone: (606) 256-0077
E-Mail: [email protected]
Website: http://www.a-spi.org/solar

Louisiana

There is no activity to date.

Maine Net Metering Rule

In December 1998, the Maine Public Utilities commission adopted a net metering rule (Ch. 13 of PUC Rules and Regulations), that is to take effect when the market is open to retail competition on March 1, 2000. When the rule takes effect, customers will be able to put excess electricity generated from renewable sources back on the grid and receive a credit for any excess kilowatt hours generated on the next monthly bill. The rule applies to all utilities in the state and to qualifying facilities with a capacity of less than or equal to 100 kW.

Net metering in Maine has been available since 1987. It is ordered by the Maine Public Utilities Commission (PUC) through Code ME R., Chapter 36, Sections 1(A)(18) and (19), Section 4(C)(4) which provides cogeneration and small power production regulations. Qualifying facilities with a generating capacity less than 100 kW are eligible for the net metering program. Excess generation is purchased at the utility’s avoided cost. There are no limits on how many customers can qualify or on total capacity under the net metering program.

For further information, refer to Maine Public Utilities Commission’s Code ME R., Chapter 36,
Sections 1(A)(18) and (19), Section 4(C)(4).

Contact: James Connors
Maine State Planning Office
Phone: (207) 287-8938
E-Mail: [email protected]

Maryland Net Metering Law

Maryland enacted a net metering law (Annotated Code of Maryland Article 78, Section 54M, Provision to provide net energy metering for electric customer-generators) on October 1, 1997.

Only residential customers with solar energy facilities are eligible for net metering in Maryland. The individual solar electricity generating facility cannot be more than 80 kW in size. A statewide limit of 34.722 MW (0.2% of the projected state 1998 peak load) is contained in the law. Utilities must develop a standard contract for net metering customer-generators. They cannot assess any special or extra charges for customer-generators. Billing is done monthly. The solar energy facilities must meet all applicable national safety and performance standards. Utilities cannot require additional control devices or testing if a customer-generator’s facility meets these standards. However, the law allows Public Utilities Commission to adopt additional control and testing requirements to protect public safety and maintain system reliability.

Net-metering customers receive no credits for any excess electricity flowing into the utility grid. The law also requires that net-metering customers pay the applicable customer charges for the months that excess generation occurs.

For further information, refer to Annotated Code of Maryland Article 78, Section 54M, Provision to provide net energy metering for electric customer-generators.

Contact: Geri Nicholson
Maryland Energy Administration
Phone: (410) 260-7207
E-Mail: [email protected]
Website: http://energy.state.md.us

Massachusetts Net Metering Program

The Massachusetts net metering program was originally ordered by the Department of Public Utilities through 220 Code of Massachusetts Regulation, Section 8.04(2)(C), in 1982. In 1997, the Department of Telecommunications and Energy amended the net metering program through 220 Code of Massachusetts Regulation, Section 11.04(7)(C). The 1997 amendments increase the allowable capacity from 30 to 60 kW or less and stipulate that any net energy generated by the qualifying facility during the course of a month be credited at the average monthly market rate to the next month’s bill. It is assumed, however, that there will be no net generation on a yearly basis, and any credits are therefore carried over from month to month. At no point does the utility actually purchase power from the facility. The intent of the program is to encourage small power production facilities and diversify the resource mix of the state.

For further information, refer to 220 Code of Massachusetts Regulation, Section 11.04(7)(C).

Contact: Public Information Officer
Massachusetts Division of Energy Resources
Phone: (617) 727-4732
E-Mail: [email protected]
Website: http://www.mass.gov/doer

Michigan

There is no activity to date.

Mississippi

There is no activity to date.

Missouri

There is no activity to date.

Minnesota Net Billing Law

Net metering in Minnesota is authorized under §216B.164, subp. 5, of the Minnesota Statutes and Section 7835.0100 - 7835.9910 of the Minnesota Department of Public Service Rules.

Minnesota’s statute based net metering laws were established in 1983 and apply to all of the state’s utilities’ investor-owned utilities, municipalities and rural cooperatives. Qualifying facilities of 40 kW or less are eligible for the program and there is no limit to statewide capacity allowed under net metering. Utilities must purchase net excess generation at the average retail utility rate. The average retail rate is the total annual class revenue from sales of electricity minus the annual revenue resulting from fixed charges, divided by the annual class kWh sales.

The purchase of net excess generation at retail rates distinguishes Minnesota’s net metering legislation from programs in most other states. Only Wisconsin also provides for the purchase of net excess generation at retail rates. It is also worth noting that Minnesota, Maryland, Nevada, New York, and California are the only states where net metering is mandated in statute by the state legislature. As of 2000, the Minnesota Department of Commerce reported that there were 110 facilities with net billing arrangements (23 photovoltaic and 87 wind facilities).

For further information, refer to Minnesota Statutes 1997 - 216B.164 - Cogeneration and small power production.

Contact: Mike Taylor
Minnesota Department of Commerce (Energy Division)
Phone: (651) 296-5175
E-Mail: [email protected]
Website: http://www.commerce.state.mn.us/pages/EnergyMain.htm

Montana Net Metering Law

In 1999, the state legislature adopted legislation (SB 409) requiring all investor-owned utilities in the state to offer net metering to customers with solar, wind, and hydroelectric systems of 50 kilowatts or less. All classes of customers are eligible to receive net metering and there is no statewide limit. Customers can apply the credit for electricity generated from their system to the following month; however, at the end of each calendar year, any excess generation is granted to the utility.

Contact: Mark Hines
Montana Department of Environmental Quality
Planning, Prevention and Assistance Division
Phone: (406) 444-6769
E-Mail: [email protected]
Website: http://www.deq.state.mt.us/ppa/

Nebraska

There is no activity to date.

Nevada Net Metering Law

Net metering was established in Nevada by Senate Bill 255 on July 1, 1997. The law provides for net metering for customer-generators using wind or solar energy systems of less than 10 kW. Utilities are required to offer net metering to 100 customer-generators in their service territories.

Utilities are also required to supply a two-way meter to measure flow in both directions, and utilities are prohibited from adding any additional charges to the bills of those customers participating in net metering. Furthermore, utilities cannot place any additional standards or requirements on customer-generators beyond those requirements established by the National Electric Code and Underwriters Laboratories. Utilities are not required to pay for any net excess generation by the customer-generator. Customers have the option of annualizing the net metering calculation by having net excess generation at the end of a month credited toward the following month’s bill.

For further information, refer to Nevada Senate Bill 255.

Contact: Diana Howard
Office of the Governor: Nevada State Office of Energy
Phone: (775) 687-5975
E-Mail: [email protected]
Website: http://energy.state.nv.us

New Hampshire Net Metering Order

In January, 2001, the New Hampshire Public Utilities Commission (PUC) issued final net metering rules implementing the state’s net metering law, HB485. Under the law, all utilities selling power in New Hampshire are required to allow net metering for customers with generating facilities using wind, solar, or hydro power. The eligible generating system has to be located on the customer’s premises and with generating capacity of 25 kW or less. New Hampshire wants to limit the availability of net metering to early adopters of small-scale renewable generating technologies only and, therefore, set a low limit of 0.05% of the utility annual peak demand as the overall available net metering capacity of each utility. This limit will be reviewed by the Public Utility Commission within six months after the limit is reached in any one utility’s service area to see if they should be continued or amended.

Net metering will be accomplished using a single meter capable of registering the electricity flow in two directions. Utilities can install two meters at their own expenses. The customers under net metering program can sell electricity to up to three retail customers other than the local electric utility with whom they are interconnected. Excess net generation by the net metering facilities is carried over to the next billing period as a credit to the customers. Detailed interconnection requirements regarding safety, reliability, and power quality will be determined by the Public Utility Commission.

For information on the rules, contact Peter Kelley of the PUC or see Final Rules - PUC 900.

For additional information, refer to New Hampshire HB485, January 15, 1998.

Contact: Tom Frantz
New Hampshire Public Utilities Commission
Phone: (603) 271-2431
E-Mail: [email protected]
Website: http://www.puc.state.nh.us/

New Jersey Net Metering Rule

In January 1999, the New Jersey legislature enacted restructuring legislation (Bill #A16) requiring all utilities in the state to offer net metering to residential and small commercial customers generating electricity with photovoltaic and wind systems of any size. The law requires any net excess generation to be credited to the following month and any unused credit at the end of the year to be purchased by the utility at its avoided cost. The law caps net metering at 0.1% of the utility’s peak demand or at an annual financial impact of $2,000,000. As of January 2000, the NJ Board of Public Utilities (BPU) issued a draft rule to implement the requirement, entitled Net Metering, Safety, & Power Quality Standards for Wind & Solar Photovoltaic Systems.

For further information, refer to Restructuring Bill #A16: HTML or PDF

Contact: Cameron Johnson
State of New Jersey Board of Public Utilities
Phone: (609) 777-3316
E-Mail: [email protected]
Website: http://www.bpu.state.nj.us

New Mexico Net Metering Rule

On September 30, 1999, the New Mexico Public Regulation Commission (PRC) issued a rule requiring all utilities regulated by the PRC to offer net metering for cogeneration facilities and small power producers with systems of 10 kW or less. Municipal utilities are exempt because they are not regulated by the PRC. Excess electricity generated by a qualifying system must be purchased at the utility’s “energy rate” or be credited to the consumer and carried over to the next month. When a customer leaves the system, utilities must pay the customer for any extra credits. There is no statewide cap on the number of systems eligible for net metering.

For further information, refer to New Mexico, Title 17, Chapter 10, Part 571 - Net Metering Of Customer - Owned Qualifying Facilities Of 10kW Or Smaller.

Contact 1: Terry Rodriguez (505) 827-6954
Contact 2: Tom Halpin (505) 827-6940
New Mexico Public Utility Commission
E-Mail: [email protected]

New York Net Metering Law

New York’s net metering law (Laws of New York 1997, Chapter 399) was signed by the governor on August 13, 1997. The law has established a net metering program for the utility’s residential photovoltaic (PV) systems of 10 kW or less. It limits the total installed solar electric generating capacity under net metering to 0.1% of each utility’s 1996 peak demand as determined by the Public Service Commission (~ 23.4 MW) . Individual utilities, however, can choose to allow a greater capacity to enroll in net metering. The capacity limit will be reviewed by the PSC in 2005 to determine whether it should be increased.

New York’s law requires all utilities in the state (investor-owned, publicly owned, municipally owned, and cooperatives) to offer net metering to eligible customers and that they do not impose any extra charges or fees not imposed to other non-net metering customers. The law specifies that billing for net metering customers should be annualized. At the end of each month, net excess generation is credited toward the following month’s bill. At the end of the annual billing cycle, if there is any net excess generation by the customer, consumers are paid the utility’s avoided cost for that generation. If a customer uses more electricity than the customer generates during one billing period, the customer will pay regular residential rate for the energy used.

In addition to usual requirements of customer-owned PV systems, New York’s law specifically stated that a customer-owned PV system must include extra specified safety features. To help defray the additional interconnection cost for safety and service reliability, New York’s net metering law contains a small income tax credit for residents who own PV equipment. Residential customers can claim a credit of twenty-five (25%) percent of the cost of a qualifying photovoltaic system. The income tax credit amounts to $0.375 per watt of PV capacity, and it began in 1998.

For further information, refer to Laws of New York 1997, Chapter 399.

Contact: Charles Puglisi
New York State Department of Public Service
Phone: (518) 474-2530
E-Mail: [email protected]

North Carolina

There is no activity to date.

North Dakota Net Metering Order

Net metering has been available in North Dakota since 1991 under the North Dakota Administration Code, Section 69-09-07-09, ordered by the Public Utility Commission. Customer-owned renewable energy generators or qualifying facilities under 100 kW are eligible. Utilities are to install a single meter to measure the net electricity consumption or production of such customers. Excess generation by customer-owned generators will be purchased by utilities at the avoided cost. There is no limit on the total capacity under the net metering program. The net metering order applies to investor-owned utilities only. The rural electric cooperatives in North Dakota are not rate-regulated by the Public Utility Commission, and therefore, do not have to offer net metering to their customers.

For further information, refer to North Dakota Administration Code, Section 69-09-07-09.

Contact: Joe Murphy
Division of Community Services
Phone: (701) 328-2697
E-Mail: [email protected]
Website: http://www.state.nd.us/dcs/Energy/default.html

Ohio Net Metering Rule

On July 6, 1999, Ohio Governor Bob Taft signed into law legislation opening the state’s electricity market to competition starting January 2001. The bill included a net metering provision applicable to all customers who operate renewable generation units, microturbines, and fuel cells. No limits were placed on the size of the resource; however, total customer-generation capacity is not to exceed 1% of a power provider’s peak demand. Therefore, net metering will be offered to the first customers who apply up to the limit. Excess power will be credited on the following month’s bill at the unbundled generation rate. The requirement takes effect in October 1999.

For further information, refer to SB 3.

Contact: Kurt Waltzer
Ohio Environmental Council
Phone: (614) 487-7506
E-Mail: [email protected]

Oklahoma Net Billing Order

Net metering has been available in Oklahoma since 1988 under Oklahoma Corporate Commission Order 326195. Utilities under the jurisdiction of the Oklahoma Corporate Commission (investor-owned utilities and Rural Electric Administration [REA] cooperatives) are required to file a net billing tariff for customer-owned renewable energy generating facilities rated 100 kW or less. The Oklahoma order also includes an energy limitation on net-billing of 25,000 kWh per year on generating facilities allowed.

For eligible customer-owned generating facilities, utilities must allow parallel operation with a single meter to register the net energy consumed. Other than industry standard protection devices and normal customer charges that apply to all customers in the same class, utilities are not allowed to make additional requirements or extra charges for the interconnection of the customer-owned generating facilities. However, utilities are not required to purchase any electricity from customers under the net billing program. Meters are read monthly. Any excess generation is granted to the utilities. There is no limit on how many customers may participate in this program, nor a cap on the total installed generating capacity under the net metering program.

For more information, refer to Oklahoma Corporate Commission Order 326195.

Contact: Gordon Gore
Oklahoma Department of Commerce
Community Affairs and Development
P.O. Box 26980
Oklahoma City, OK 73126-0980

Oregon Net Metering Order

In July 1999, the Oregon General Assembly passed H.B. 3219 requiring utilities to offer net metering for fuel cells and solar, wind, and hydro resources of 25 kilowatts or less. The bill requires utilities to offer net metering to all customer classes, but total customer-generation capacity is not to exceed 0.5% of a utility’s historic single-hour peak load. When the 0.5% of peak load limit has been reached, net metering eligibility can be limited by regulatory authority. Excess power can be purchased at the utility’s avoided cost or credited to the following month. At the end of a year, any unused credits can be granted to a low-income assistance program, credited to the customer, or dedicated to another use to be determined by the Public Utility Commission.

For more information, refer to HB 3219.

Contact: Phil Carver
Oregon Office of Energy
Phone: (503) 378-4040
Fax: (503) 373-7806

Pennsylvania Net Metering Program

Pennsylvania’s 1998 net metering rule (52 Pennsylvania Code 57.34) covers all renewable electric technologies and fuel cells up to 10 kW and is available to all customer classes. Net excess generation at the end of each month is granted to the utility. Interconnection rules are determined by each distribution utility individually.

Contact: Public Information
Pennsylvania Public Utilities Commission
P.O. Box 3265
Harrisburg, PA 17105-3265
Phone: (717) 783-1740

Rhode Island Net Metering Order

According to a 1998 order by the Rhode Island Public Utility Commission (Docket No. 2710), the state’s investor-owned utilities must offer net metering to all customers generating electricity with renewable energy systems or fuel cells of 25 kW or less. The rule requires that, at the end of each month, any power generated in excess of the customer’s needs be credited to the following month. Any used credits are granted to the utility at the end of a twelve-month period. For Narragansett Electric, the total net-metered capacity is capped at 1 MW.

For further information, refer to Public Utility Commission Order, Docket No. 2710.

Contact: Doug Hartley
Rhode Island Public Utilities Commission
Phone: (401) 941-8827
E-Mail: [email protected]
Website: http://www.ripuc.state.ri.us/

South Carolina

There is no activity to date.

South Dakota

There is no activity to date.

Texas Net Metering Order

Net metering is ordered by the Public Utility Commission of Texas under Substantive Rules, Section 23.66(f)(4), which became effective in 1986. The order requires utilities to offer a net metering option to qualifying facilities of 50 kW or less, using renewable energy resources. Utilities will install a single meter for such customers and allow the meter to turn backward to register the net energy consumption or production by the customers. Net consumption is billed at the applicable tariff, and excess generation by the customers during a billing cycle is purchased by utilities at the avoided cost (fuel cost only, no capacity component). Texas initiated the net metering program 10 years ago to promote small wind power and PV markets in the state. There is no statewide limit on the number of customers or total capacity under the net metering program.

Refer to Public Utility Commission of Texas Substantive Rules, Section 23.66(f)(4) and PUC Substantive Rule § 25.242(h)(4).
http://www.puc.state.tx.us/rules/subrules/electric/25.242/25.242.cfm

Contact: John McElroy, Jr.
Office of Public Utility Counsel
Phone: (512) 936-7518
E-Mail: [email protected]

Tennessee

There is no activity to date.

Utah Net Metering Law

On March 15, 2002, Utah Governor Mike Levitt signed into law a bill (HB 7) requiring the state’s investor-owned utilities and electric cooperatives to offer net metering to customers with solar, wind, small hydropower, or fuel cell systems of up to 25 kW in size. During each billing period, the utility must credit the customer generator for any net excess power “at a value that is at least avoided cost.” The customer may use the credit to offset purchases of electricity during future billing periods in the same year. Any unused credits expire at the end of the calendar year.

The net metering law caps total participation in the program at 0.1% of the cumulative generating capacity of the utility’s peak demand during 2001. Utilities are prohibited from imposing additional charges or fees on customers with net metering unless authorized by the Commission.

For further information, see text of 2002 HB 7.

Contact 1: Christine Watson (801) 538-4792
E-Mail: [email protected]; [email protected]
Contact 2: David Lochtefeld (801) 538-5443
Utah Department of Natural Resources
Website: http://www.nr.utah.gov/energy/home.htm

Vermont Net Metering Law

Vermont’s net metering statute became effective on April 22, 1998. In addition to allowing net metering for customers with PV, wind, and fuel cell facilities of 15 kW or less, the statute establishes a new class of net metering system called the farm system. A farm system generates energy from the anaerobic digestion of agricultural waste produced by farming and can be up to 125 kW in generating capacity.

The total generating capacity under net metering for each electric company is limited to 1% of the company’s peak demand during 1996. Excess generation during a billing period will be credited to the next billing period until the end of the calendar year. At the beginning of the next calendar year, any remaining credits will revert back to the utility without compensation to the customer.

For the full bill text, please see Sec. 2.30 V.S.A. § 219A; VT Legislature H. 605.

Contact: David Grover
State of Vermont Department of Public Service
Phone: (802) 828-4072
E-Mail: [email protected]
Website: http://www.state.vt.us/psd/ee/ee14.htm

Virginia Net Metering Law

In March 1999, the Virginia state legislature enacted legislation (Virginia Assembly bill SB1269) requiring net metering for small solar wind, and hydroelectric systems. The law requires all of the state’s utilities to offer net metering to residential systems of 10 kilowatts or less and non-residential systems of 25 kilowatts or less. The law limits the amount of net metered generation to 0.1% of peak demand of the previous year. Customers can apply the credit for electricity generated from their system to the following month; however, at the end of the year, any excess generation is granted to the utility.

Contact: Ken Jurman
Virginia Department of Mines, Minerals, and Energy
Phone: (804) 692-3222
E-Mail: [email protected]
Website: http://www.mme.state.va.us

Washington Net Metering Law

Washington enacted a net metering law in March 1998. Under the new law, all electric utilities in the state are required to offer net metering programs to customers who have installed small generating systems that use solar, wind and hydropower. To be eligible for net metering, each installation must be 25 kW or less in size. Total net metering capacity for each utility is set at the 0.1% of the utility’s 1996 peak demand. Excess generation at the end of each bill period will be carried over to the next billing period as credit. At the beginning of each calendar year, any excess generation accumulated during the previous year will be granted to utilities. The net metering law further specifies that utilities cannot request additional standby, capacity, interconnection or other fees or changes from net metering customers unless the Washington Utilities and Transportation Commission determines that such fees or charges are justified.

For more information, see RCW 80.60 and WA Legislature HB 2773.

Contact: Mike Nelson
Washington State University
Extension Energy Program
Phone: (206) 285-1061
E-Mail: [email protected]
Website: http://www.energy.wsu.edu

West Virginia

There is no activity to date.

Wisconsin Net Billing Order

Net metering in Wisconsin is authorized by Public Service Commission of Wisconsin (PSCW) Order 6690-UR-107, effective January 1, 1993. The order applies to all utilities under the jurisdiction of PSCW (investor-owned utilities). Rural electric cooperatives in Wisconsin are not rate-regulated by PSCW, but they often follow Commission’s rulings voluntarily, and several rural electric cooperatives are preparing to offer net metering to their customers. Wisconsin’s net metering applies to customer-owned electric generation facilities that are rated at 20 kW or less, regardless of energy sources.

The utility’s electric meter is permitted to run backward when the customer is generating electric power to feed into the utility grid. If the amount of energy supplied to the utility exceeds the amount of energy consumed, the customer will receive a credit on his monthly bill equal to the net excess kilowatt-hours of energy received by the utility multiplied by the Energy Credit Rate, including any applicable adjustment for cost of fuel, or the customer will receive a check for this amount issued by the utility. Any credits to the customer shall be reduced by the monthly customer charge of the standard applicable rate schedule. Actual issuance of a check payable to the customer shall not occur until the amount due the customer exceeds $25. If a customer-generator operates a renewable energy facility, then the utility pays the retail rate for net excess generation. For non-renewable generation sources, the utility pays their avoided cost for net excess generation.

For further information, refer to Public Service Commission of Wisconsin (PSCW) Order 6690-UR-107.

Contact: Paul Helgeson
Public Service Commission of Wisconsin
Fax: (608) 266-3957
E-Mail: [email protected]

Wyoming Net Billing Law

On February 22, 2001, Wyoming Governor Jim Geringer signed into law a bill (HB-195) requiring all of the state’s utilities, including all electric cooperatives and irrigation districts, to offer net metering for solar, wind, and hydroelectric systems of 25 kW or less. As a result, net metering took effect July 1, 2001. Under the legislation, utilities are required to compensate or credit customers on a monthly basis for any power generated and supplied to the grid in excess of the customer’s monthly consumption. At the beginning of each calendar year, any unused credits accumulated during the previous year shall be sold to the utility at the utility’s filed avoided cost.

Further Details: HB 195, Enrolled Act No. 62

Contact: Frank Smith
Wyoming Public Service Commission
Phone: (307) 777-5721
Fax: (307) 777-5700

Source 1: EREN Green Power Net Metering Summary: http://www.eren.doe.gov/greenpower/netmetering/index.shtml#WI

Source 2: Contact info & some additional state information from DSIRE Net Metering Rules: Net Metering Rules: http://www.dsireusa.org/dsire/library/includes/seeallincentivetype.cfm?type=Net
&currentpageid=7&back=regtab


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