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A10474 Summary:

BILL NOA10474
 
SAME ASSAME AS S08273
 
SPONSOREnglebright
 
COSPNSRCusick, Carroll, Santabarbara, Barron, Hunter, Gottfried, Ortiz, Colton, Arroyo, Lifton, Abinanti, Jaffee, Lupardo, Sepulveda, Davila, Mosley, Seawright, Simon, Williams, Hyndman, Niou, D'Urso, Woerner, Murray, Dickens, Pellegrino, Galef, Stirpe, Rosenthal L, Magnarelli, Wallace, Steck, Weprin, Peoples-Stokes, Glick
 
MLTSPNSRBuchwald, Cook, Miller ML, Thiele
 
Amd 66-j, Pub Serv L
 
Relates to rate schedules for net energy metering and to directing the Long Island power authority to adopt a methodology for the establishment of a value of distributed energy resources crediting mechanism.
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A10474 Actions:

BILL NOA10474
 
04/26/2018referred to energy
05/30/2018reported referred to ways and means
06/11/2018reported referred to rules
06/13/2018reported
06/13/2018rules report cal.188
06/13/2018ordered to third reading rules cal.188
06/19/2018passed assembly
06/19/2018delivered to senate
06/19/2018REFERRED TO RULES
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A10474 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10474
 
                   IN ASSEMBLY
 
                                     April 26, 2018
                                       ___________
 
        Introduced  by  M.  of  A.  ENGLEBRIGHT,  CUSICK, CARROLL, SANTABARBARA,
          BARRON, HUNTER, GOTTFRIED, ORTIZ, COLTON,  ARROYO,  LIFTON,  ABINANTI,
          JAFFEE,   LUPARDO,   SEPULVEDA,   DAVILA,  MOSLEY,  SEAWRIGHT,  SIMON,
          WILLIAMS, HYNDMAN, NIOU, D'URSO -- Multi-Sponsored  by  --  M.  of  A.
          BUCHWALD,  COOK,  THIELE -- read once and referred to the Committee on
          Energy

        AN ACT to amend the public service law, in relation  to  rate  schedules
          for net energy metering; and directing the Long Island power authority
          to adopt a methodology for the establishment of a value of distributed
          energy resources crediting mechanism
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision 1 of section 66-j of the public service law, as
     2  amended by chapter 355 of the laws of 2009, paragraph (a) as amended and
     3  paragraph (h) as added by chapter 546 of the laws of 2011, subparagraphs
     4  (iv) and (v) of paragraph (a) as  separately  amended  and  subparagraph
     5  (vi)  of  paragraph  (a) as added by chapter 530 of the laws of 2011 and
     6  subparagraphs (vii) and (viii) of paragraph (a) as amended and  subpara-
     7  graph (ix) of paragraph (a) as added by chapter 494 of the laws of 2014,
     8  paragraph  (d)  as amended by chapter 253 of the laws of 2013, paragraph
     9  (e) as amended by section 1 of part Z of chapter 58 of the laws of 2016,
    10  and paragraph (g) as amended by chapter 518 of  the  laws  of  2014,  is
    11  amended to read as follows:
    12    1.  Definitions.  As  used  in this section, the following terms shall
    13  have the following meanings:
    14    (a) "Customer-generator" means: (i) a residential customer of an elec-
    15  tric corporation, who owns or operates solar electric generating  equip-
    16  ment  located  and  used  at his or her residence; (ii) a customer of an
    17  electric corporation, who owns or operates farm waste electric  generat-
    18  ing  equipment  located and used at his or her "farm operation," as such
    19  term is defined in subdivision eleven of section three  hundred  one  of
    20  the  agriculture and markets law; (iii) a non-residential customer of an
    21  electric corporation which owns or operates  solar  electric  generating
    22  equipment  located and used at its premises; (iv) a residential customer
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15427-04-8

        A. 10474                            2
 
     1  of an electric corporation who owns, leases or  operates  micro-combined
     2  heat  and power generating equipment located on the customer's premises;
     3  (v) a residential customer of an electric corporation who  owns,  leases
     4  or  operates  fuel  cell  generating equipment located on the customer's
     5  premises; and (vi) a non-residential customer of an electric corporation
     6  who owns, leases or operates fuel cell generating equipment located  and
     7  used  at  the  customer's  premises;  (vii) a residential customer of an
     8  electric corporation, who owns or operates micro-hydroelectric  generat-
     9  ing equipment located and used at his or her residence; (viii) a non-re-
    10  sidential  customer  of  an  electric corporation which owns or operates
    11  micro-hydroelectric generating equipment located and used at  its  prem-
    12  ises;  and  (ix)  a  non-residential customer of an electric corporation
    13  which owns or operates farm waste electric generating equipment  located
    14  and used at its premises.  Customer-generators also include all residen-
    15  tial  and  non-residential  customers  eligible  to receive credits from
    16  remote net-metered and community  distributed  generating  equipment  as
    17  defined  in  paragraph  (e) of subdivision three of this section and the
    18  commission's orders for implementing a community net metering program.
    19    (b) "Net energy meter" means a meter that measures the reverse flow of
    20  electricity to register the difference between the electricity  supplied
    21  by an electric corporation to the customer-generator and the electricity
    22  provided to the corporation by that customer-generator.
    23    (c) "Net energy metering" means the use of a net energy meter to meas-
    24  ure,  during  the billing period applicable to a customer-generator, the
    25  net amount of  electricity  supplied  by  an  electric  corporation  and
    26  provided to the corporation by a customer-generator.
    27    (d)  "Solar electric generating equipment" means a photovoltaic system
    28  (i) (A) in the case of a residential customer (other than a farm utiliz-
    29  ing a residential meter), with a rated capacity of not more  than  twen-
    30  ty-five  kilowatts; (B) in the case of a customer who owns or operates a
    31  farm operation as such term is defined in subdivision eleven of  section
    32  three  hundred  one of the agriculture and markets law utilizing a resi-
    33  dential meter with a rated capacity of not more than one  hundred  kilo-
    34  watts;  and  (C) in the case of a non-residential customer, with a rated
    35  capacity of not more than [two] five thousand kilowatts; and  (ii)  that
    36  is  manufactured,  installed, and operated in accordance with applicable
    37  government and industry standards, that is  connected  to  the  electric
    38  system and operated in conjunction with an electric corporation's trans-
    39  mission  and distribution facilities, and that is operated in compliance
    40  with any standards and requirements established under this section.
    41    (e) "Farm waste electric generating equipment"  means  equipment  that
    42  generates   electric  energy  from  biogas  produced  by  the  anaerobic
    43  digestion of agricultural  waste,  such  as  livestock  manure,  farming
    44  wastes and food processing wastes with a rated capacity of not more than
    45  [two] five thousand kilowatts, that is:
    46    (i)  manufactured, installed, and operated in accordance with applica-
    47  ble government and industry standards;
    48    (ii) connected to the electric system and operated in conjunction with
    49  an electric corporation's transmission and distribution facilities;
    50    (iii) operated in  compliance  with  any  standards  and  requirements
    51  established under this section;
    52    (iv)  fueled  at  a  minimum  of  ninety percent on an annual basis by
    53  biogas produced from the anaerobic digestion of agricultural waste  such
    54  as livestock manure materials, crop residues, and food processing waste;
    55  and

        A. 10474                            3
 
     1    (v)  fueled  by  biogas generated by anaerobic digestion with at least
     2  fifty percent by weight of its feedstock being livestock manure  materi-
     3  als on an annual basis.
     4    (f)  "Micro-combined  heat  and  power  generating equipment" means an
     5  integrated, cogenerating building heating and  electrical  power  gener-
     6  ation  system,  operating on any fuel and of any applicable engine, fuel
     7  cell, or other technology, with a rated capacity of at least  one  kilo-
     8  watt  and  not  more  than ten kilowatts electric and any thermal output
     9  that at full load  has  a  design  total  fuel  use  efficiency  in  the
    10  production  of heat and electricity of not less than eighty percent, and
    11  annually produces at least two thousand kilowatt hours of useful  energy
    12  in  the  form  of  electricity that may work in combination with supple-
    13  mental or parallel conventional heating systems, that  is  manufactured,
    14  installed  and  operated  in  accordance  with applicable government and
    15  industry standards, that is connected to the electric system  and  oper-
    16  ated  in  conjunction  with  an  electric corporation's transmission and
    17  distribution facilities.
    18    (g) "Fuel cell electric generating equipment" means:
    19    (i)(A) in the case of a residential customer, a  solid  oxide,  molten
    20  carbonate,  proton exchange membrane or phosphoric acid fuel cell with a
    21  combined rated capacity of not more than ten kilowatts; and (B)  in  the
    22  case  of  a  non-residential  customer, a solid oxide, molten carbonate,
    23  proton exchange membrane or phosphoric acid fuel cell  with  a  combined
    24  rated capacity of not more than [two] five thousand kilowatts; and
    25    (ii)  that  is manufactured, installed and operated in accordance with
    26  applicable government and industry standards, that is connected  to  the
    27  electric  system and operated in parallel with an electric corporation's
    28  transmission and  distribution  facilities,  and  that  is  operated  in
    29  compliance  with  any  standards and requirements established under this
    30  section.
    31    (h) "Micro-hydroelectric generating equipment" means  a  hydroelectric
    32  system  (i)  (A)  in  the  case  of a residential customer, with a rated
    33  capacity of not more than twenty-five kilowatts; and (B) in the case  of
    34  a non-residential customer, with a rated capacity of not more than [two]
    35  five  thousand  kilowatts; and (ii) that is manufactured, installed, and
    36  operated in accordance with applicable government  and  industry  stand-
    37  ards,  that is connected to the electric system and operated in conjunc-
    38  tion with an electric corporation's transmission and distribution facil-
    39  ities, and that  is  operated  in  compliance  with  any  standards  and
    40  requirements established under this section.
    41    (i)  "Distributed  energy  resources" includes, but is not limited to,
    42  farm waste electric generating equipment, fuel cell electric  generating
    43  equipment, micro-combined heat and power generating equipment, micro-hy-
    44  droelectric  generating  equipment,  or solar electric generating equip-
    45  ment.
    46    § 2. Subparagraph (iii) of paragraph (a) of subdivision 3  of  section
    47  66-j of the public service law, as amended by chapter 546 of the laws of
    48  2011, is amended to read as follows:
    49    (iii)  Each electric corporation shall make such contract and schedule
    50  available to customer-generators on a first come,  first  served  basis,
    51  until the total rated generating capacity for solar and farm waste elec-
    52  tric  generating  equipment,  micro-combined  heat  and power generating
    53  equipment, fuel cell electric generating equipment and  micro-hydroelec-
    54  tric  generating equipment owned, leased or operated by customer-genera-
    55  tors in the corporation's service area is  equivalent  to  [one]  twelve

        A. 10474                            4
 
     1  percent  of  the corporation's electric demand for the year two thousand
     2  five, as determined by the department.
     3    §  3.  Paragraph  (a)  of  subdivision 3 of section 66-j of the public
     4  service law is amended by adding a new  subparagraph  (iv)  to  read  as
     5  follows:
     6    (iv)  The  model contracts and schedule of rates, terms and conditions
     7  for net energy metering customer-generators approved by  the  commission
     8  pursuant  to  subparagraphs (i) and (ii) of this paragraph and that were
     9  in effect as of March first, two thousand  seventeen,  shall  remain  in
    10  full  force  and  effect  and,  subject  to  the limitation set forth in
    11  subparagraph (iii) of this paragraph, shall be  available  to  customer-
    12  generators  who  execute  an interconnection agreement with the electric
    13  corporation prior to December thirty-first, two thousand twenty-one, and
    14  shall remain available to those customer-generators for the lifetime  of
    15  the generating equipment.
    16    §  4.  Paragraph  (a)  of  subdivision 3 of section 66-j of the public
    17  service law is amended by adding a  new  subparagraph  (v)  to  read  as
    18  follows:
    19    (v)(A)  No  later  than  June  thirtieth, two thousand twenty-one, the
    20  commission shall adopt a methodology for the establishment of a value of
    21  distributed energy resources crediting mechanism for customer-generators
    22  which shall fully and accurately account for  the  energy  and  capacity
    23  value  of  the electricity generated, as well as for the long-term value
    24  of public benefits provided by such resources, including but not limited
    25  to, grid security and resilience, climate security, reduced emissions of
    26  greenhouse gases and other air and water pollutants, and  reduced  expo-
    27  sure  to  fuel  price  volatility, environmental justice attributes, and
    28  avoided societal and ratepayer costs from the reduction of energy  bills
    29  for low-income customers. In addition, the commission shall also seek to
    30  ensure  the  predictability  and  simplicity  of the application of this
    31  methodology to  customer-generators.  No  later  than  February  twenty-
    32  eighth,  two  thousand  twenty-one, the department shall publish a draft
    33  methodology for public comment and shall provide a public comment period
    34  of no less than ninety days. Further, the commission shall hold at least
    35  four public hearings about the draft methodology. These  hearings  shall
    36  be held in different regions of the state, shall be held no earlier than
    37  sixty  days  after  the  draft  methodology  is  published, and shall be
    38  announced at least thirty days in advance.
    39    (B)(I) On or before three months after the  commission's  adoption  of
    40  the  methodology required by clause (A) of this subparagraph, each elec-
    41  tric corporation shall file with the commission a model contract  and  a
    42  schedule  that  establishes  consistent  and reasonable rates, terms and
    43  conditions  for  the  value  of  distributed  energy  resource  services
    44  provided  by  residential customer-generators, according to the require-
    45  ments of this section. The commission shall  render  a  decision  within
    46  three months from the date on which the contract and schedule are filed.
    47    (II)  On  or  before  three  months  after  the effective date of this
    48  subparagraph, each electric corporation shall file with the commission a
    49  model contract and a schedule that establishes consistent and reasonable
    50  rates,  terms  and  conditions  for  the  value  of  distributed  energy
    51  resources  services  provided  by  non-residential  customer-generators,
    52  according to the requirements of  this  section.  The  commission  shall
    53  render  a decision within three months of the date on which the contract
    54  and schedule are filed.
    55    (III)  In  lieu  of  its  previously  effective  net  energy  metering
    56  contracts  and  schedules,  each  electric  corporation  shall  make the

        A. 10474                            5
 
     1  contracts and schedules approved by  the  commission  pursuant  to  this
     2  paragraph  available  to all customer-generators within its service area
     3  seeking to contract with the electric corporation after such approval by
     4  the  commission.  The  limitation  on  net energy metering contracts set
     5  forth in subparagraph (iii) of this paragraph shall not apply  to  value
     6  of distributed energy resources contracts.
     7    (C) Until the commission approves the contracts and schedules filed by
     8  an  electric  corporation  pursuant  to  this subparagraph, any value of
     9  distributed energy resources contracts and  schedules  approved  by  the
    10  commission prior to the effective date of this subparagraph shall remain
    11  in  full  force and effect and shall be available to customer-generators
    12  at their request.
    13    § 5. Paragraph (b) of subdivision 3 of  section  66-j  of  the  public
    14  service  law,  as amended by chapter 546 of the laws of 2011, is amended
    15  to read as follows:
    16    (b) Nothing in this subdivision  shall  prohibit  a  corporation  from
    17  providing  net  energy  metering  to additional customer-generators. The
    18  commission shall have the authority, after January first,  two  thousand
    19  [twelve] nineteen, to increase the percent limits established by subpar-
    20  agraph  (iii) of paragraph (a) of this subdivision if it determines that
    21  additional net energy metering is in the public interest.
    22    § 6. The Long Island power authority shall adopt a methodology for the
    23  establishment of a value of distributed energy resources crediting mech-
    24  anism generally consistent with the requirements set  forth  in  section
    25  66-j of the public service law. The authority shall utilize to the full-
    26  est  extent  practicable  technologies  that  rely  on  renewable energy
    27  resources, improvements in energy efficiency,  energy  storage  systems,
    28  and shall seek to meet or exceed New York state climate change and envi-
    29  ronmental goals.  The authority shall hold no less than two public hear-
    30  ings  before  establishing  such a value of distributed energy resources
    31  crediting mechanism. Provided  however,  until  the  authority  approves
    32  contracts  and  schedules for such value of distributed energy resources
    33  crediting mechanism, any value of distributed energy resources crediting
    34  mechanism contracts and schedules approved by the authority prior to the
    35  effective date of this act shall remain in full  force  and  effect  and
    36  shall be available to customer-generators at their request.
    37    §  7.  This  act  shall take effect on the sixtieth day after it shall
    38  have become a law; provided, however,  that  effective  immediately  the
    39  public  service  commission  and  the  Long  Island  power authority are
    40  authorized and directed  to  promulgate  any  rules  and/or  regulations
    41  necessary to implement the provisions of this act.
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