Establishes provisions for the net energy metering of neighborhood electricity usage

BILL NUMBER:S1335 REVISED MEMO 02/03/2015

Title of bill

An act to amend the public service law, in relation to neighborhood net energy metering

Purpose

Establishes provisions for the net energy metering of neighborhood electricity usage.

Summary of provisions

Section 1- Amends the public service law to add a new section 66-o to set up the provisions for neighborhood net metering including definitions. The bill provides that a neighborhood net metering facility is a facility owned by or serves the energy needs of a group of ten or more residential customers that reside in a single neighborhood and are served by a single electric corporation.

The bill further sets forth for the allocation of net metering credits, the capacity limits, require the reporting by the electric corporation of the size and generation type and further authorizes the department of public service to promulgate and rules or regulations necessary.

Section 2- Contains the effective date.

Justification

Under current law, people who generate power from renewable resources such as, wind, solar, and micro-hydroelectric sources, may receive billing credit from their electric company to their meter or meters. Neighborhood net metering would expand this law to allow for a group of customers to share credits derived from a single facility.

A handful of states, including California, Maine, Massachusetts, Oregon, Vermont, and Washington have laws authorizing neighborhood net metering. This bill, like the Massachusetts law, requires that neighborhood net metering must serve a minimum of ten residential customers, but may serve additional residential customers. All of the customers served must be located within the same municipality and the service territory of a single electric company. Maine and Vermont have similar programs. California only allows neighborhood net metering in affordable housing projects.

Neighborhood net metering can promote the deployment of on-site renewable resources, which have a variety of environmental benefits including the reduction of emissions. Further, on-site generation has economic benefits, including installation jobs and potentially manufacturing jobs. Neighborhood net metering can also allow customers who would not otherwise be able to take advantage of net metering to do so. Some homeowners have roofs that are too shaded to permit installation of solar panels or do not have the size of lot needed for installation.

Legislative history

2013/14: S. 4722 Referred to Energy and Telecommunications; A. 9486 Referred to Energy

Fiscal implications

None

Local fiscal implications

None

Effective date

This act shall take effect on the first of January next succeeding the date on which it shall have become a law; provided, however, that effective immediately any rules and regulations necessary to implement the provisions of this act on its effective date are authorized and directed to be completed on or before such date.