Directs the public service commission to issue an order governing the equitable sharing of interconnection costs for distributed generation resources

4 Co-sponsors

• Joseph P. Addabbo Jr.
• Jesse Hamilton
• Brad Hoylman-Sigal
• David J. Valesky

Title of bill

An act to direct the public service commission to issue an order governing the equitable sharing of interconnection costs for distributed generation resources

Purpose

To provide for cost sharing in instances when two or more distributed generation resources share equipment necessary for interconnection.

Summary of provisions

This special act would:

*define distributed generation resources to mean solar, farm waste, micro-hydroelectric, combined heat and power, fuel cell and wind generating electric equipment under § 66-j and § 66-1 of the Public Service Law and equipment necessary for community net-metering. direct the PSC to issue an order within 365 days to provide standards for the reasonable sharing of costs where two or more distributed generation (DG) resources would utilize the same dedicated electrical equipment;

*direct the commission to provide standards for the reimbursement of costs to customer-generators and persons who previously paid for the installation of dedicated equipment which would be utilized by another customer-generator or person.

*direct PSC to establish a process to provide a refund of interconnection costs borne by customers of a community net-metering facility in the event the facility's owner receives a cost-sharing payment.

Justification

In July 2015, the Public Service Commission approved an order authorizing community net-metering. This community net-metering model promises to provide millions of New Yorkers the ability to participate in renewable energy production. As in other states which have adopted similar models, New York is likely to experience considerable development of shared facilities.

Many of these facilities will be located near others and thus necessitate the sharing of dedicated electrical infrastructure, including wires, transformers and substations. This bill will ensure that those who have paid for the installation of such equipment will be reimbursed for a portion of their costs in the event another project significantly utilizes such equipment. We want the playing field in New York to be as even as possible to encourage responsible siting of distributed generation. The sharing of certain costs is a critical piece of that goal.

Fiscal implications

None.

Effective date

Immediate.