S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  1163--B
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                              January 7, 2021
                                ___________
 
 Introduced  by Sen. BENJAMIN -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations  --  committee  discharged, bill amended, ordered reprinted as
   amended and recommitted to said  committee  --  committee  discharged,
   bill  amended,  ordered  reprinted  as amended and recommitted to said
   committee
 
 AN ACT to amend the public service law, in relation to net energy meter-
   ing for fuel-flexible linear generator electric generating equipment
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Subdivision 2-b of section 2 of the public service law, as
 amended by chapter 6 of the laws of 2011, is amended to read as follows:
   2-b. The term "alternate energy production  facility,"  when  used  in
 this chapter, includes any solar, wind turbine, fuel cell, FUEL-FLEXIBLE
 LINEAR  GENERATOR  ELECTRIC  GENERATING  EQUIPMENT,  tidal, wave energy,
 waste management resource recovery, refuse-derived  fuel,  wood  burning
 facility,  or energy storage device utilizing batteries, flow batteries,
 flywheels or  compressed  air,  together  with  any  related  facilities
 located  at  the same project site, with an electric generating capacity
 of up to eighty megawatts, which produces  electricity,  gas  or  useful
 thermal energy.
   § 2. The section heading of section 66-j of the public service law, as
 amended  by  chapter  546  of  the  laws  of 2011, is amended to read as
 follows:
   Net energy metering for residential solar, farm waste, non-residential
 solar electric generating systems, micro-combined heat and power  gener-
 ating  equipment, fuel cell electric generating equipment, FUEL-FLEXIBLE
 LINEAR GENERATOR ELECTRIC GENERATING EQUIPMENT, and  micro-hydroelectric
 generating equipment.
   §  3.  Subparagraphs (v) and (vi) of paragraph (a) of subdivision 1 of
 section 66-j of the public service law, subparagraph (v)  as  separately
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              
             
                          
                                                                            LBD04973-05-1
 S. 1163--B                          2
 
 amended  by  chapters  530  and 546 of the laws of 2011 and subparagraph
 (vi) as added by chapter 530 of the laws of 2011, are amended to read as
 follows:
   (v) a residential customer of an electric corporation who owns, leases
 or  operates  fuel  cell  generating  equipment  OR FUEL-FLEXIBLE LINEAR
 GENERATOR ELECTRIC GENERATING EQUIPMENT located on the customer's  prem-
 ises; and (vi) a non-residential customer of an electric corporation who
 owns, leases or operates fuel cell generating equipment OR FUEL-FLEXIBLE
 LINEAR  GENERATOR  ELECTRIC GENERATING EQUIPMENT located and used at the
 customer's premises;
   § 4. Paragraph (f) of subdivision 1 of  section  66-j  of  the  public
 service  law, as added by chapter 355 of the laws of 2009, is amended to
 read as follows:
   (f) "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,  FUEL-FLEXIBLE LINEAR GENERATOR, or other technology, with a rated
 capacity of at least one kilowatt and not more than ten kilowatts  elec-
 tric  and  any  thermal output that at full load has a design total fuel
 use efficiency in the production of heat and  electricity  of  not  less
 than  eighty  percent, and annually produces at least two thousand kilo-
 watt hours of useful energy in the form of electricity that may work  in
 combination  with supplemental or parallel conventional heating systems,
 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.
   § 5. Subdivision 1 of section  66-j  of  the  public  service  law  is
 amended by adding a new paragraph (i) to read as follows:
   (I)  "FUEL-FLEXIBLE LINEAR GENERATOR ELECTRIC GENERATING EQUIPMENT" OR
 "FUEL-FLEXIBLE LINEAR GENERATOR" MEANS AN INTEGRATED  SYSTEM  CONSISTING
 OF  OSCILLATORS, CYLINDERS, ELECTRICITY CONVERSION EQUIPMENT AND ASSOCI-
 ATED BALANCE OF PLANT COMPONENTS THAT DIRECTLY CONVERT THE LINEAR MOTION
 OF THE OSCILLATORS INTO ELECTRICITY  AND  WHICH  HAS  A  COMBINED  RATED
 CAPACITY OF NOT MORE THAN TWO THOUSAND KILOWATTS.
   §  6.  Subdivision  2  of  section  66-j of the public service law, as
 amended by chapter 546 of the laws  of  2011,  is  amended  to  read  as
 follows:
   2.  Interconnection  and  net energy metering. An electric corporation
 shall provide for the interconnection of solar and farm  waste  electric
 generating  equipment,  micro-combined  heat and power generating equip-
 ment, fuel cell  electric  generating  equipment,  FUEL-FLEXIBLE  LINEAR
 GENERATOR ELECTRIC GENERATING EQUIPMENT and micro-hydroelectric generat-
 ing  equipment  owned  or  operated  by a customer-generator and for net
 energy metering, provided that the customer-generator 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 under this section.
   §  7.  Subparagraph (iii) of paragraph (a) of subdivision 3 of section
 66-j of the public service law, as amended by chapter 546 of the laws of
 2011, is amended to read as follows:
   (iii) Each electric corporation shall make such contract and  schedule
 available  to  customer-generators  on a first come, first served basis,
 until the total rated generating capacity for solar and farm waste elec-
 tric generating equipment,  micro-combined  heat  and  power  generating
 equipment, fuel cell electric generating equipment, FUEL-FLEXIBLE LINEAR
 S. 1163--B                          3
 GENERATOR ELECTRIC GENERATING EQUIPMENT and micro-hydroelectric generat-
 ing  equipment  owned,  leased or operated by customer-generators in the
 corporation's service area is equivalent to one percent  of  the  corpo-
 ration's  electric  demand for the year two thousand five, as determined
 by the department.
   § 8. Paragraph (c) of subdivision 3 of  section  66-j  of  the  public
 service law, as amended by chapter 546 of the laws of 2011, subparagraph
 (iii)  as amended by chapter 494 of the laws of 2014, is amended to read
 as follows:
   (c) 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:
   (i) In the case of a customer-generator who  owns  or  operates  solar
 electric  generating equipment, micro-combined heat and power generating
 equipment, fuel cell electric generating equipment, FUEL-FLEXIBLE LINEAR
 GENERATOR ELECTRIC GENERATING EQUIPMENT or micro-hydroelectric  generat-
 ing  equipment  located and used at his or her residence, or a non-resi-
 dential customer-generator who owns or operates solar electric  generat-
 ing  equipment  with  a  rated  capacity  of  not  more than twenty-five
 kilowatts, up to a maximum amount of three hundred fifty dollars;
   (ii) In the case of a customer-generator who  owns  or  operates  farm
 waste electric generating equipment located and used at his or her "farm
 operation,"  up  to  a  total  amount of five thousand dollars per "farm
 operation"; and
   (iii) In the case of a non-residential customer-generator who owns  or
 operates  solar  electric  generating  equipment  or  fuel cell electric
 generating equipment OR FUEL-FLEXIBLE LINEAR GENERATOR ELECTRIC GENERAT-
 ING EQUIPMENT or micro-hydroelectric generating equipment or farm  waste
 generating  equipment as described in subparagraph (ix) of paragraph (a)
 of subdivision one of this section, with a rated capacity of  more  than
 twenty-five  kilowatts located and used at its premises, such cost shall
 be as determined by the electric corporation subject to review, upon the
 request of such customer-generator, by the department.
   § 9. Paragraph (g) of subdivision 3 of  section  66-j  of  the  public
 service  law, as added by chapter 200 of the laws of 2013, is amended to
 read as follows:
   (g) A customer who owns or operates a farm operation as such  term  is
 defined  in subdivision eleven of section three hundred one of the agri-
 culture and markets law,  or  a  non-residential  customer-generator  as
 defined  by  subparagraph  (viii) of paragraph (a) of subdivision one of
 this section that locates fuel cell  electric  generating  equipment  OR
 FUEL-FLEXIBLE  LINEAR GENERATOR ELECTRIC GENERATING EQUIPMENT with a net
 energy meter on property owned or leased by such customer-generator  may
 designate all or a portion of the net metering credits generated by such
 equipment  to  meters  at any property owned or leased by such customer-
 generator within the service territory of the same electric  corporation
 to  which  the customer-generator's net energy meters are interconnected
 and being within the same load zone as determined by the location  based
 marginal price as of the date of initial request by the customer-genera-
 tor  to  conduct  net metering. The electric corporation will credit the
 accounts of the customer by applying any  credits  to  the  highest  use
 meter  first,  then subsequent highest use meters until all such credits
 S. 1163--B                          4
 
 are attributed to the customer. Any excess credits shall be carried over
 to the following month.
   §  10.  Paragraph  (b)  of subdivision 4 of section 66-j of the public
 service law, as amended by chapter 494 of the laws of 2014,  is  amended
 to read as follows:
   (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 customer-generator, the corporation shall apply a credit  to
 the  next  bill  for service to the customer-generator for the net elec-
 tricity provided at the  same  rate  per  kilowatt  hour  applicable  to
 service  provided  to other customers in the same service class which do
 not generate electricity onsite,  except  for  micro-combined  heat  and
 power or fuel cell OR FUEL-FLEXIBLE LINEAR GENERATOR customer-generators
 or  farm  waste generating equipment customer-generators as described in
 subparagraph (ix) of paragraph (a) of subdivision one of  this  section,
 who  will  be  credited  at the corporation's avoided costs. The avoided
 cost credit provided to micro-combined heat and power or  fuel  cell  OR
 FUEL-FLEXIBLE  LINEAR GENERATOR customer-generators or farm waste gener-
 ating equipment customer-generators as described in subparagraph (ix) of
 paragraph (a) of subdivision one of this section shall  be  treated  for
 ratemaking  purposes  as a purchase of electricity in the market that is
 includable in commodity costs.
   § 11. Paragraph (a) of subdivision 5 of section  66-j  of  the  public
 service  law,  as amended by chapter 546 of the laws of 2011, is amended
 to read as follows:
   (a) On or before  three  months  after  the  effective  date  of  this
 section,  each  electric  corporation shall establish standards that are
 necessary for net energy metering and the interconnection of residential
 solar or farm waste electric generating equipment,  micro-combined  heat
 and  power generating equipment and fuel cell electric generating equip-
 ment, FUEL-FLEXIBLE LINEAR GENERATOR ELECTRIC GENERATING  EQUIPMENT  and
 micro-hydroelectric  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:
   (i) equipment  necessary  to  isolate  automatically  the  residential
 solar,  farm waste, micro-combined heat and power and fuel cell electric
 generating system AND FUEL-FLEXIBLE LINEAR GENERATOR ELECTRIC GENERATING
 EQUIPMENT and micro-hydroelectric generating equipment from the  utility
 system for voltage and frequency deviations; and
   (ii) a manual lockable disconnect switch provided by the customer-gen-
 erator  which shall be located on the outside of the customer's premises
 and externally accessible for the purpose of isolating  the  residential
 solar  and farm waste electric generating equipment and micro-hydroelec-
 tric generating equipment.
   § 12. Subparagraph (i) of paragraph (b) of subdivision  5  of  section
 66-j of the public service law, as amended by chapter 546 of the laws of
 2011, is amended to read as follows:
   (i)  In  the  case  of a customer-generator who owns or operates solar
 electric generating equipment located and used at his or her  residence;
 an  electric  corporation may not require a customer-generator to comply
 with additional safety or performance  standards,  perform  or  pay  for
 additional  tests,  or  purchase additional liability insurance provided
 that the residential solar or farm waste electric generating  equipment,
 micro-combined  heat  and power generating equipment, fuel cell electric
 generating equipment, FUEL-FLEXIBLE LINEAR GENERATOR ELECTRIC GENERATING
 S. 1163--B                          5
 
 EQUIPMENT or micro-hydroelectric generating equipment meets  the  safety
 standards established pursuant to this paragraph.
   §  13.  Subdivision  1  of  section 66-p of the public service law, as
 added by chapter 106 of the laws of 2019, is amended to read as follows:
   1. As used in this section:
   (a) "jurisdictional load serving entity" means any entity  subject  to
 the  jurisdiction  of  the  commission  that secures energy to serve the
 electrical energy requirements of end-use customers in New York state;
   (b) "renewable energy systems" means systems that generate electricity
 or thermal energy through use of the following technologies: solar ther-
 mal, photovoltaics, on land and offshore wind, hydroelectric, geothermal
 electric, geothermal ground source  heat,  tidal  energy,  wave  energy,
 ocean  thermal,  [and]  fuel  cells  which  do not utilize a fossil fuel
 resource in the process of  generating  electricity,  AND  FUEL-FLEXIBLE
 LINEAR  GENERATORS  WHICH  DO  NOT UTILIZE A FOSSIL FUEL RESOURCE IN THE
 PROCESS OF GENERATING ELECTRICITY.
   § 14. This act shall take effect immediately.