SUMMARY--Provides for net energy metering for electric utility's customers who have installed photovoltaic system. (BDR 58-1348)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State or on Industrial Insurance: No.
EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.
AN ACT relating to energy; providing for net energy metering for an electric utility's customers who have installed a photovoltaic system; specifying standards applicable to such systems; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1 Chapter 704 of NRS is hereby amended by adding thereto the provisions set forth as sections 2 to 10, inclusive, of this act.
Sec. 2 It is hereby declared to be the purpose and policy of the legislature in enacting sections 2 to 10, inclusive, of this act to:
1. Encourage private investment in renewable energy resources;
2. Stimulate the economic growth of this state; and
3. Enhance the continued diversification of the energy resources used in this state.
Sec. 3 As used in sections 3 to 10, inclusive, of this act, unless the context otherwise requires, the words and terms defined in sections 4 to 7, inclusive, of this act have the meanings ascribed to them in those sections.
Sec. 4 "Customer-generator" means a residential user of a photovoltaic system.
Sec. 5 "Net energy metering" means measuring the difference between the electricity supplied by a utility and the electricity generated by a customer-generator and fed back to the utility over the applicable billing period.
Sec. 6 "Photovoltaic system" means a device for generating electricity from solar energy that:
1. Has a generating capacity of not more than 10 kilowatts;
2. Is located on the customer-generator's premises;
3. Operates in parallel with the utility's transmission and distribution facilities; and
4. Is intended primarily to offset part or all of the customer-generator's requirements for electricity.
Sec. 7 "Utility" means a public utility that supplies electricity in this state.
Sec. 8 1. Every customer-generator is entitled, upon written request to the utility that supplies him with electricity, to net energy metering as set forth in section 10 of this act.
2. A utility:
(a) Shall offer to make available to each of its customers that has installed a photovoltaic system an energy meter that is capable of registering the flow of electricity in two directions.
(b) May, at its own expense and with the written consent of the customer-generator, install one or more additional meters to monitor the flow of electricity in each direction.
(c) Shall not charge a customer-generator any fee or charge that would increase the customer-generator's minimum monthly charge to an amount greater than that of other customers of the utility in the same rate class as the customer-generator.
Sec. 9 1. A photovoltaic system used by a customer-generator must meet all applicable safety and power quality standards established by:
(a) The National Electrical Code; and
(b) Underwriters Laboratories, Inc.
2. A customer-generator whose photovoltaic system meets such safety and quality standards must not be required by the utility to:
(a) Comply with additional standards or requirements;
(b) Perform additional tests;
(c) Install additional controls; or
(d) Purchase additional liability insurance,
arising solely from his status as a customer-generator.
Sec. 10 1. The billing period for net energy metering may be either a monthly period or, with the written consent of the customer-generator, an annual period.
2. Except as otherwise provided in subsection 3, the net energy measurement must be calculated in the following manner:
(a) The utility shall measure the net electricity produced or consumed during the billing period, in accordance with normal metering practices.
(b) If the electricity supplied by the utility exceeds the electricity generated by the customer-generator and fed back to the utility during the billing period, the customer-generator must be billed for the net electricity supplied by the utility.
(c) If the electricity generated by the customer-generator and fed back to the utility exceeds the electricity supplied by the utility during the billing period, the customer-generator must be credited for the excess kilowatt hours generated at the payment rate for electricity applicable to qualifying small power producers filed under tariff by the utility with the commission. The utility shall apply the credit on the customer-generator's next bill. If the amount of the credit appearing on the bill exceeds $25, the utility shall, upon the request of the customer-generator, issue a check payable to the customer-generator in the amount of the credit.
Sec. 11 This act becomes effective on July 1, 1997.