NY State Senate Bill 2019-S3578

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to energy and telecommunications
Feb 11, 2019	referred to energy and telecommunications

co-Sponsors

2019-S3578 (ACTIVE) - Details

Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Add §66-p, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2011-2012: S3625
2013-2014: S3217
2015-2016: S2792
2017-2018: S3893

2019-S3578 (ACTIVE) - Summary

Authorizes virtual net energy metering; provides for the ownership and operation of energy generating equipment by municipalities and groups of farmers and businesses for their joint benefit; provides for the net energy metering of the electricity used by the members of such entities.

2019-S3578 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S3578

SPONSOR: PARKER
 
TITLE OF BILL:  An act to amend the public service law, in relation to
authorizing virtual net energy metering

 
PURPOSE OR GENERAL IDEA OF BILL:

Virtual net metering creates the option of receiving energy credits on
electric meters in locations where a renewable energy project is not
currently, or may never be able to be installed

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 provides necessary definitions.

Section 2 provides for a virtual net metering interconnection by the
electric corporation. Also provides that customer-generator must enter
into corporation's net energy metering contract and comply with the
corporation's net energy metering schedule, standards and requirements.

Section 3 provides that each electric corporation develop a model
contract with reasonable rates, terms, conditions and schedules. It also
provides that the customer-generator shall pay the costs of installing a
dedicated transformer or transformers, should it be necessary in provid-
ing virtual net metering interconnection without compromise of other
customers' energy services. There shall be no other fee or charge for
the provision of virtual net energy metering to customer-generators.

Section 4 provides for fair rate calculation and timely crediting (at
avoided cost) of energy created that exceeds customer-generator use.

Section 5 provides safety standards to be established by each electric
corporation necessary for safe and adequate service.

 
JUSTIFICATION:

Net metering has served as an important incentive for consumer invest-
ment in solar. However, until recently, to capture net metering credits,
there needed to be a one-to-one relationship between the solar gener-
ation system's meter and the meter associated with the offsetting elec-
tricity load. Moreover, the two needed to be co-located and tied to the
same electric service account.

In order to lessen those restrictions, various states have tried commu-
nity-based net metering and remote net metering. However, even those
adaptations of the basic net metering principle require close proximity
of the generator to the customer. For large urban areas with completely
built environments, such proximity is difficult or impossible to real-
ize. Therefore, it is necessary to institute virtual net metering.

Virtual Net Metering (VNM) is an electric tariff that allows for the
net-metering credits from a single solar generating system to be
distributed among multiple electric service accounts, such as a high-
density multiple dwelling unit (i.e., a high-rise apartment building or
high-density housing development).

Net metering has been around since the 1980s. Now, 43 states as well as
the District of Columbia allow net metering. VNM, however, is a rela-
tively new concept. Massachusetts, for example, has implemented a
"neighborhood net metering" program, which allows groups of at least 10
"neighbors" to spread the net metering credits from a single PV system
across the electric accounts of the participating neighbors.  Rhode
Island offers VNM for certain customer classes such as local and state
governments. Neither, however, has implemented VNM across all customer
classes. California has taken a similar approach, piloting the concept
with a select group of customers, namely the multi-family low-income
segment. New Jersey and Pennsylvania have also instituted VNM, leaving
New York to be one of the last of the states with significant urban
areas to update its net metering policies.

 
PRIOR LEGISLATIVE HISTORY:

2017/18: S3893 - Referred to Energy and Telecommunications
2015-16: S.2792 - Referred to Energy and Telecommunications
2013-14: S.3217/A.6065 - Referred to Energy and Telecommunications
2011-12: S.3625 - Referred to Energy & Telecommunications
2009-10: A.11200 - Referred to Energy and Telecommunications

 
FISCAL IMPLICATIONS:

None to the State.

 
EFFECTIVE DATE:
Immediately upon enactment

2019-S3578 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3578
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             February 11, 2019
                                ___________
 
 Introduced by Sens. PARKER, BAILEY, MONTGOMERY -- read twice and ordered
   printed,  and  when printed to be committed to the Committee on Energy
   and Telecommunications
 
 AN ACT to amend the public  service  law,  in  relation  to  authorizing
   virtual net energy metering

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The public service law is amended by adding a  new  section
 66-p to read as follows:
   §  66-P.  VIRTUAL NET ENERGY METERING. 1. DEFINITIONS. AS USED IN THIS
 SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "CUSTOMER-GENERATOR" MEANS: (I) A CITY, TOWN, VILLAGE  OR  SPECIAL
 DISTRICT  WHICH  OWNS  OR  OPERATES  ENERGY GENERATING EQUIPMENT FOR THE
 BENEFIT OF THE RESIDENTS THEREOF WHO ARE CUSTOMERS OF A SINGLE  ELECTRIC
 CORPORATION;  (II)  A  GROUP  OF NONRESIDENTIAL CUSTOMERS OF AN ELECTRIC
 CORPORATION, WHO HAVE ENTERED INTO AN AGREEMENT TO JOINTLY OWN OR  OPER-
 ATE  ENERGY  GENERATING  EQUIPMENT; AND (III) A GROUP OF FARM OPERATIONS
 CUSTOMERS OF AN ELECTRIC CORPORATION, WHO HAVE ENTERED INTO AN AGREEMENT
 TO JOINTLY OWN OR OPERATE ENERGY GENERATING EQUIPMENT.
   (B) "ENERGY GENERATING EQUIPMENT" MEANS FARM WASTE ELECTRIC GENERATING
 EQUIPMENT, FUEL CELL ELECTRIC GENERATING EQUIPMENT, MICRO-COMBINED  HEAT
 AND  POWER  GENERATING  EQUIPMENT,  SOLAR  ELECTRIC GENERATING EQUIPMENT
 AND/OR WIND ELECTRIC GENERATING EQUIPMENT.
   (C) "FARM OPERATIONS CUSTOMER"  MEANS  THE  CUSTOMER  OF  AN  ELECTRIC
 CORPORATION  WHO  USES ELECTRIC ENERGY IN HIS, HER OR ITS FARM OPERATION
 AS DEFINED IN SUBDIVISION ELEVEN OF SECTION THREE  HUNDRED  ONE  OF  THE
 AGRICULTURE AND MARKETS LAW.
   (D)  "FARM  WASTE  ELECTRIC GENERATING EQUIPMENT" MEANS EQUIPMENT THAT
 GENERATES  ELECTRIC  ENERGY  FROM  BIOGAS  PRODUCED  BY  THE   ANAEROBIC
 DIGESTION  OF  AGRICULTURAL  WASTE,  SUCH  AS  LIVESTOCK MANURE, FARMING
 WASTES AND FOOD PROCESSING WASTES, THAT IS:
   (I) MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH APPLICABLE
 GOVERNMENT AND INDUSTRY STANDARDS;

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09601-01-9

 S. 3578                             2
 
   (II) CONNECTED TO THE ELECTRIC SYSTEM AND OPERATED IN CONJUNCTION WITH
 AN ELECTRIC CORPORATION'S TRANSMISSION AND DISTRIBUTION FACILITIES;
   (III)  FUELED  AT  A  MINIMUM  OF NINETY PERCENT ON AN ANNUAL BASIS BY
 BIOGAS PRODUCED FROM THE ANAEROBIC DIGESTION OF AGRICULTURAL WASTE  SUCH
 AS LIVESTOCK MANURE MATERIALS, CROP RESIDUES AND FOOD PROCESSING WASTES;
 AND
   (IV)  FUELED  BY BIOGAS GENERATED BY ANAEROBIC DIGESTION WITH AT LEAST
 FIFTY PERCENT BY WEIGHT OF ITS FEEDSTOCK BEING LIVESTOCK MANURE  MATERI-
 ALS ON AN ANNUAL BASIS.
   (E)  "FUEL  CELL  ELECTRIC  GENERATING EQUIPMENT" MEANS A SOLID OXIDE,
 MOLTEN CARBONATE, PROTON EXCHANGE MEMBRANE OR PHOSPHORIC ACID FUEL  CELL
 THAT IS MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH APPLICA-
 BLE GOVERNMENT AND INDUSTRY STANDARDS, THAT IS CONNECTED TO THE ELECTRIC
 SYSTEM  AND  OPERATED  IN PARALLEL WITH AN ELECTRIC CORPORATION'S TRANS-
 MISSION AND DISTRIBUTION FACILITIES.
   (F) "MEMBER" MEANS ANY RESIDENT OF A MUNICIPALITY THAT IS A  CUSTOMER-
 GENERATOR,  OR  ANY  MEMBER  OF  A GROUP OF ELECTRIC CUSTOMERS THAT IS A
 CUSTOMER-GENERATOR.
   (G) "MICRO-COMBINED HEAT AND  POWER  GENERATING  EQUIPMENT"  MEANS  AN
 INTEGRATED,  COGENERATING  BUILDING  HEATING AND ELECTRICAL POWER GENER-
 ATION SYSTEM, OPERATING ON ANY FUEL AND OF ANY APPLICABLE  ENGINE,  FUEL
 CELL  OR OTHER TECHNOLOGY THAT MAY WORK IN COMBINATION WITH SUPPLEMENTAL
 OR  PARALLEL  CONVENTIONAL  HEATING  SYSTEMS,  THAT   IS   MANUFACTURED,
 INSTALLED  AND  OPERATED  IN  ACCORDANCE  WITH APPLICABLE GOVERNMENT AND
 INDUSTRY STANDARDS, THAT IS CONNECTED TO THE ELECTRIC SYSTEM  AND  OPER-
 ATED  IN  CONJUNCTION  WITH  AN  ELECTRIC CORPORATION'S TRANSMISSION AND
 DISTRIBUTION FACILITIES.
   (H) "NET ENERGY METER" MEANS METERS THAT MEASURE THE REVERSE  FLOW  OF
 ELECTRICITY  TO REGISTER THE DIFFERENCE BETWEEN THE ELECTRICITY SUPPLIED
 BY AN ELECTRIC CORPORATION TO THE MEMBERS OF  A  CUSTOMER-GENERATOR  AND
 THE ELECTRICITY PROVIDED TO THE CORPORATION BY THAT CUSTOMER-GENERATOR.
   (I)  "NET ENERGY METERING" MEANS THE USE OF NET ENERGY METERS TO MEAS-
 URE, DURING THE BILLING PERIOD APPLICABLE TO THE MEMBERS OF A  CUSTOMER-
 GENERATOR,  THE NET AMOUNT OF ELECTRICITY SUPPLIED BY AN ELECTRIC CORPO-
 RATION AND PROVIDED TO THE CORPORATION BY SUCH CUSTOMER-GENERATOR.
   (J) "SOLAR ELECTRIC GENERATING EQUIPMENT" MEANS A PHOTOVOLTAIC  SYSTEM
 THAT IS MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH APPLICA-
 BLE GOVERNMENT AND INDUSTRY STANDARDS, THAT IS CONNECTED TO THE ELECTRIC
 SYSTEM AND OPERATED IN CONJUNCTION WITH AN ELECTRIC CORPORATION'S TRANS-
 MISSION AND DISTRIBUTION FACILITIES.
   (K) "WIND ELECTRIC GENERATING EQUIPMENT" MEANS ONE OR MORE WIND GENER-
 ATORS  THAT  ARE MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH
 APPLICABLE GOVERNMENT AND INDUSTRY STANDARDS, THAT IS CONNECTED  TO  THE
 ELECTRIC  SYSTEM AND OPERATED IN PARALLEL WITH AN ELECTRIC CORPORATION'S
 TRANSMISSION AND DISTRIBUTION FACILITIES.
   2. INTERCONNECTION AND NET ENERGY METERING.  AN  ELECTRIC  CORPORATION
 SHALL  PROVIDE  FOR  THE  INTERCONNECTION OF ENERGY GENERATING EQUIPMENT
 OWNED OR OPERATED BY A CUSTOMER-GENERATOR AND FOR NET ENERGY METERING OF
 THE MEMBERS OF SUCH CUSTOMER-GENERATOR, PROVIDED THAT THE  CUSTOMER-GEN-
 ERATOR  ENTERS  INTO A NET ENERGY METERING CONTRACT WITH THE CORPORATION
 OR COMPLIES WITH THE CORPORATION'S  NET  ENERGY  METERING  SCHEDULE  AND
 COMPLIES  WITH  STANDARDS  AND REQUIREMENTS ESTABLISHED PURSUANT TO THIS
 SECTION.
   3. CONDITIONS OF SERVICE. (A) ON OR  BEFORE  THREE  MONTHS  AFTER  THE
 EFFECTIVE  DATE OF THIS SECTION, EACH ELECTRIC CORPORATION SHALL DEVELOP
 A MODEL CONTRACT AND FILE A SCHEDULE  THAT  ESTABLISHES  CONSISTENT  AND

 S. 3578                             3
 
 REASONABLE  RATES,  TERMS  AND  CONDITIONS  FOR  NET  ENERGY METERING TO
 MEMBERS OF CUSTOMER-GENERATORS, ACCORDING TO THE  REQUIREMENTS  OF  THIS
 SECTION. THE COMMISSION SHALL RENDER A DECISION WITHIN THREE MONTHS FROM
 THE DATE ON WHICH THE SCHEDULE IS FILED.
   (B)  IN  THE EVENT THAT THE ELECTRIC CORPORATION DETERMINES THAT IT IS
 NECESSARY TO INSTALL A DEDICATED TRANSFORMER OR TRANSFORMERS,  OR  OTHER
 EQUIPMENT  TO  PROTECT  THE  SAFETY  AND  ADEQUACY  OF  ELECTRIC SERVICE
 PROVIDED TO OTHER CUSTOMERS, A CUSTOMER-GENERATOR SHALL PAY THE ELECTRIC
 CORPORATION'S ACTUAL COSTS OF INSTALLING THE  TRANSFORMER  OR  TRANSFOR-
 MERS,  OR  OTHER  EQUIPMENT  AS  DETERMINED  BY THE ELECTRIC CORPORATION
 SUBJECT TO REVIEW, UPON  REQUEST  OF  SUCH  CUSTOMER-GENERATOR,  BY  THE
 DEPARTMENT.
   (C)  AN  ELECTRIC  CORPORATION  SHALL  IMPOSE  NO OTHER CHARGE OR FEE,
 INCLUDING BACK-UP, STANDBY AND DEMAND CHARGES, FOR THE PROVISION OF  NET
 ENERGY METERING TO THE MEMBERS OF A CUSTOMER-GENERATOR.
   4.  RATES.  AN  ELECTRIC  CORPORATION SHALL USE NET ENERGY METERING TO
 MEASURE AND CHARGE FOR THE NET ELECTRICITY SUPPLIED BY  THE  CORPORATION
 AND  PROVIDED  TO  THE CORPORATION BY A CUSTOMER-GENERATOR, ACCORDING TO
 THESE REQUIREMENTS:
   (A) IN THE EVENT THAT THE AMOUNT OF ELECTRICITY SUPPLIED BY THE CORPO-
 RATION DURING THE BILLING  PERIOD  EXCEEDS  THE  AMOUNT  OF  ELECTRICITY
 PROVIDED  TO  THE MEMBERS OF A CUSTOMER-GENERATOR, THE CORPORATION SHALL
 CHARGE THE MEMBERS OF THE CUSTOMER-GENERATOR, ON A PRO-RATA  BASIS,  FOR
 THE NET ELECTRICITY SUPPLIED AT THE SAME RATE PER KILOWATT HOUR APPLICA-
 BLE  TO  SERVICE  PROVIDED  TO OTHER CUSTOMERS IN THE SAME SERVICE CLASS
 WHICH DO NOT GENERATE ELECTRICITY ONSITE.
   (B) IN THE EVENT THAT THE AMOUNT OF ELECTRICITY PRODUCED BY A  CUSTOM-
 ER-GENERATOR DURING THE BILLING PERIOD EXCEEDS THE AMOUNT OF ELECTRICITY
 USED  BY  THE  MEMBERS  OF THE CUSTOMER-GENERATOR, THE CORPORATION SHALL
 APPLY A CREDIT, ON A PRO-RATA BASIS, TO THE NEXT BILLS  FOR  SERVICE  TO
 THE  MEMBERS  OF THE CUSTOMER-GENERATOR FOR THE NET ELECTRICITY PROVIDED
 AT THE SAME RATE PER KILOWATT HOUR APPLICABLE  TO  SERVICE  PROVIDED  TO
 OTHER  CUSTOMERS  IN  THE SAME SERVICE CLASS WHICH DO NOT GENERATE ELEC-
 TRICITY ON SITE.
   (C) AT THE END OF THE YEAR OR ANNUALIZED OVER THE PERIOD THAT  SERVICE
 IS  SUPPLIED  BY  MEANS  OF  NET  ENERGY METERING, THE CORPORATION SHALL
 PROMPTLY ISSUE PAYMENT AT ITS AVOIDED COSTS, ON A PRO-RATA BASIS, TO THE
 MEMBERS OF A CUSTOMER-GENERATOR FOR THE VALUE OF  ANY  REMAINING  CREDIT
 FOR  THE EXCESS ELECTRICITY PRODUCED DURING THE YEAR OR OVER THE ANNUAL-
 IZED PERIOD BY THE CUSTOMER-GENERATOR.
   5. SAFETY STANDARDS. ON OR BEFORE THREE  MONTHS  AFTER  THE  EFFECTIVE
 DATE  OF  THIS SECTION, EACH ELECTRIC CORPORATION SHALL ESTABLISH STAND-
 ARDS THAT ARE NECESSARY FOR NET ENERGY METERING AND THE  INTERCONNECTION
 OF  ENERGY  GENERATING  EQUIPMENT  TO ITS SYSTEM AND THAT THE COMMISSION
 SHALL DETERMINE ARE NECESSARY FOR SAFE AND ADEQUATE SERVICE AND  FURTHER
 THE PUBLIC POLICY SET FORTH IN THIS SECTION. SUCH STANDARDS MAY INCLUDE,
 BUT SHALL NOT BE LIMITED TO:
   (A) EQUIPMENT NECESSARY TO ISOLATE AUTOMATICALLY THE ENERGY GENERATING
 EQUIPMENT  FROM THE UTILITY SYSTEM FOR VOLTAGE AND FREQUENCY DEVIATIONS;
 AND
   (B) A MANUAL LOCKABLE DISCONNECT SWITCH PROVIDED BY THE  CUSTOMER-GEN-
 ERATOR  WHICH  SHALL  BE LOCATED ON THE OUTSIDE OF THE MEMBERS' PREMISES
 AND EXTERNALLY ACCESSIBLE FOR THE PURPOSE OF ISOLATING THE ENERGY GENER-
 ATING EQUIPMENT.
   § 2. This act shall take effect immediately.

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Senate Bill S3578

Sponsored By

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

co-Sponsors

2019-S3578 (ACTIVE) - Details

2019-S3578 (ACTIVE) - Summary

2019-S3578 (ACTIVE) - Sponsor Memo

2019-S3578 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S3578

Share this bill

Sponsored By

Kevin S. Parker

Archive: Last Bill Status - In Senate Committee Energy And Telecommunications Committee

co-Sponsors

Jamaal T. Bailey

Velmanette Montgomery

2019-S3578 (ACTIVE) - Details

2019-S3578 (ACTIVE) - Summary

2019-S3578 (ACTIVE) - Sponsor Memo

2019-S3578 (ACTIVE) - Bill Text download pdf

Comments