NY State Senate Bill 2017-S3893

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 03, 2018	referred to energy and telecommunications
Jan 27, 2017	referred to energy and telecommunications

co-Sponsors

2017-S3893 (ACTIVE) - Details

Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Service Law
Laws Affected:: Add §66-o, Pub Serv L
Versions Introduced in Other Legislative Sessions:: 2011-2012: S3625
2013-2014: S3217
2015-2016: S2792
2019-2020: S3578

2017-S3893 (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.

2017-S3893 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S3893

 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 providing 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
investment in solar. However, until recently, to capture net metering
credits, there needed to be a one-to-one relationship between the
solar generation system's meter and the meter associated with the
offsetting electricity 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 realize. 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
relatively 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 :

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

2017-S3893 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3893
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 27, 2017
                                ___________
 
 Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations
 
 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-o to read as follows:
   § 66-O. 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:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD07638-01-7

 S. 3893                             2
 
   (I) MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH APPLICABLE
 GOVERNMENT AND INDUSTRY STANDARDS;
   (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.

 S. 3893                             3
 
   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
 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

 S. 3893                             4

 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 S3893

Sponsored By

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

co-Sponsors

2017-S3893 (ACTIVE) - Details

2017-S3893 (ACTIVE) - Summary

2017-S3893 (ACTIVE) - Sponsor Memo

2017-S3893 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S3893

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

2017-S3893 (ACTIVE) - Details

2017-S3893 (ACTIVE) - Summary

2017-S3893 (ACTIVE) - Sponsor Memo

2017-S3893 (ACTIVE) - Bill Text download pdf

Comments