Expands New York's net metering law by adding non-residential micro-combined heat and power generating equipment systems to the list of currently eligible technologies that can be net metered.
STATE OF NEW YORK
________________________________________________________________________
4326
2023-2024 Regular Sessions
IN ASSEMBLY
February 14, 2023
___________
Introduced by M. of A. LEMONDES -- read once and referred to the Commit-
tee on Energy
AN ACT to amend the public service law and the public authorities law,
in relation to net-metering for non-residential customers of electric
corporations which own, lease or operate micro-combined heat and power
generating equipment
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph (a) of subdivision 1 of section 66-j of the
2 public service law, as amended by chapter 546 of the laws of 2011,
3 subparagraph (iv) as separately amended by chapter 530 of the laws of
4 2011, subparagraphs (v) and (vi) as amended by chapter 691 of the laws
5 of 2022 and subparagraphs (vii) and (viii) as amended and (ix) as added
6 by chapter 494 of the laws of 2014, is amended to read as follows:
7 (a) "Customer-generator" means: (i) a residential customer of an elec-
8 tric corporation, who owns or operates solar electric generating equip-
9 ment located and used at his or her residence; (ii) a customer of an
10 electric corporation, who owns or operates farm waste electric generat-
11 ing equipment located and used at his or her "farm operation," as such
12 term is defined in subdivision eleven of section three hundred one of
13 the agriculture and markets law; (iii) a non-residential customer of an
14 electric corporation which owns or operates solar electric generating
15 equipment located and used at its premises; (iv) a residential customer
16 of an electric corporation who owns, leases or operates micro-combined
17 heat and power generating equipment located on the customer's premises;
18 (v) a residential customer of an electric corporation who owns, leases
19 or operates fuel cell generating equipment or fuel-flexible linear
20 generator electric generating equipment located on the customer's prem-
21 ises; [and] (vi) a non-residential customer of an electric corporation
22 who owns, leases or operates fuel cell generating equipment or fuel-
23 flexible linear generator electric generating equipment located and used
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01254-02-3
A. 4326 2
1 at the customer's premises; (vii) a residential customer of an electric
2 corporation, who owns or operates micro-hydroelectric generating equip-
3 ment located and used at his or her residence; (viii) a non-residential
4 customer of an electric corporation which owns or operates micro-hydroe-
5 lectric generating equipment located and used at its premises; [and]
6 (ix) a non-residential customer of an electric corporation which owns or
7 operates farm waste electric generating equipment located and used at
8 its premises; and (x) a non-residential customer of an electric corpo-
9 ration which owns, leases or operates micro-combined heat and power
10 generating equipment located on the customer's premises.
11 § 2. Paragraph (f) of subdivision 1 of section 66-j of the public
12 service law, as amended by chapter 691 of the laws of 2022, is amended
13 to read as follows:
14 (f) "Micro-combined heat and power generating equipment" means (i) (A)
15 in the case of residential customer, an integrated, cogenerating build-
16 ing heating and electrical power generation system, operating on any
17 fuel and of any applicable engine, fuel cell, fuel-flexible linear
18 generator, or other technology, with a rated capacity of [at least one
19 kilowatt and] not more than ten kilowatts electric and any thermal
20 output that at full load has a design total fuel use efficiency in the
21 production of heat and electricity of not less than eighty percent, and
22 annually produces at least two thousand kilowatt hours of useful energy
23 in the form of electricity that may work in combination with supple-
24 mental or parallel conventional heating systems[,]; and (B) in the case
25 of a non-residential customer, an integrated, cogenerating building
26 heating and electrical power generation system, operating on any fuel
27 and of any applicable engine, fuel cell, or other technology, with a
28 rated capacity of not more than twenty-five kilowatts electric and any
29 thermal output that a full load has a design total fuel use efficien-
30 cy in the production of heat and electricity of not less than eighty
31 percent, and annually produces at least two thousand kilowatt hours of
32 useful energy in the form of electricity that may work in combination
33 with supplemental or parallel conventional heating systems; and (ii)
34 that is manufactured, installed and operated in accordance with applica-
35 ble government and industry standards, that is connected to the electric
36 system and operated in conjunction with an electric corporation's trans-
37 mission and distribution facilities.
38 § 3. Subparagraph (i) of paragraph (c) and paragraph (e) of subdivi-
39 sion 3 of section 66-j of the public service law, subparagraph (i) of
40 paragraph (c) as amended by chapter 691 of the laws of 2022, and para-
41 graph (e) as amended by chapter 546 of the laws of 2011, are amended to
42 read as follows:
43 (i) In the case of a customer-generator who owns or operates solar
44 electric generating equipment, micro-combined heat and power generating
45 equipment, fuel cell electric generating equipment, fuel-flexible linear
46 generator electric generating equipment or micro-hydroelectric generat-
47 ing equipment located and used at his or her residence, or a non-resi-
48 dential customer-generator who owns or operates solar electric generat-
49 ing equipment or micro-combined heat and power generating equipment with
50 a rated capacity of not more than twenty-five kilowatts, up to a maximum
51 amount of three hundred fifty dollars;
52 (e) A customer who owns or operates a farm operation as such term is
53 defined in subdivision eleven of section three hundred one of the agri-
54 culture and markets law, or a non-residential customer-generator as
55 defined by [subparagraph] subparagraphs (iii) and (x) of paragraph (a)
56 of subdivision one of this section that locates solar electric generat-
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1 ing equipment, micro-combined heat and power generating equipment or
2 farm waste electric generating equipment with a net energy meter on
3 property owned or leased by such customer-generator may designate all or
4 a portion of the net metering credits generated by such equipment to
5 meters at any property owned or leased by such customer-generator within
6 the service territory of the same electric corporation to which the
7 customer-generator's net energy meters are interconnected and being
8 within the same load zone as determined by the location based marginal
9 price as of the date of initial request by the customer-generator to
10 conduct net metering. The electric corporation will credit the accounts
11 of the customer by applying any credits to the highest use meter first,
12 then subsequent highest use meters until all such credits are attributed
13 to the customer. Any excess credits shall be carried over to the follow-
14 ing month.
15 § 4. Paragraphs (a), (b) and (c) of subdivision 5-a of section 66-j of
16 the public service law, as amended by chapter 546 of the laws of 2011,
17 are amended to read as follows:
18 (a) On or before three months after the effective date of this subdi-
19 vision, each electric corporation shall establish standards that are
20 necessary for net energy metering and the interconnection of non-resi-
21 dential solar electric generating equipment [or], micro-hydroelectric
22 generating equipment or micro-combined heat and power generating equip-
23 ment to its system and that the commission shall determine are necessary
24 for safe and adequate service and further the public policy set forth in
25 this section. Such standards may include but shall not be limited to:
26 (i) equipment necessary to isolate automatically the solar generating
27 system [or], micro-hydroelectric generating equipment or micro-combined
28 heat and power generating equipment from the utility system for voltage
29 and frequency deviations; and
30 (ii) a manual lockable disconnect switch provided by the customer-gen-
31 erator which shall be located on the outside of the customer-generator's
32 premises and externally accessible for the purpose of isolating the
33 solar electric generating equipment [or], micro-hydroelectric generating
34 equipment or micro-combined heat and power generating equipment.
35 (b) In the event that the total rated generating capacity of solar
36 electric generating equipment [or], micro-hydroelectric generating
37 equipment or micro-combined heat and power generating equipment that
38 provides electricity to the electric corporation through the same local
39 feeder line exceeds twenty percent of the rated capacity of the local
40 feeder line, the electric corporation may require the customer-generator
41 to comply with reasonable measures to ensure safety of the local feeder
42 line.
43 (c) Unless otherwise determined to be necessary by the commission, an
44 electric corporation may not require a customer-generator to comply with
45 additional safety or performance standards, perform or pay for addi-
46 tional tests, or purchase additional liability insurance provided that
47 the solar electric generating equipment [or], micro-hydroelectric gener-
48 ating equipment or micro-combined heat and power generating equipment
49 meets the safety standards established pursuant to this subdivision.
50 § 5. Subdivision (h) of section 1020-g of the public authorities law,
51 as amended by chapter 546 of the laws of 2011, is amended to read as
52 follows:
53 (h) To implement programs and policies designed to provide for the
54 interconnection of: (i) (A) solar electric generating equipment owned or
55 operated by residential customers, (B) farm waste electric generating
56 equipment owned or operated by customer-generators, (C) solar electric
A. 4326 4
1 generating equipment owned or operated by non-residential customers, (D)
2 micro-combined heat and power generating equipment owned, leased or
3 operated by residential customers, (E) fuel cell electric generating
4 equipment owned, leased or operated by residential customers, [and] (F)
5 micro-combined heat and power generating equipment owned, leased, or
6 operated by non-residential customers, and (G) micro-hydroelectric
7 generating equipment owned, leased or operated by customer-generators
8 and for net energy metering consistent with section sixty-six-j of the
9 public service law, to increase the efficiency of energy end use, to
10 shift demand from periods of high demand to periods of low demand and to
11 facilitate the development of cogeneration; and (ii) wind electric
12 generating equipment owned or operated by customer-generators and for
13 net energy metering consistent with section sixty-six-l of the public
14 service law.
15 § 6. This act shall take effect on the sixtieth day after it shall
16 have become a law.