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Public Act 095-0420


 

Public Act 0420 95TH GENERAL ASSEMBLY



 


 
Public Act 095-0420
 
SB0680 Enrolled LRB095 07321 MJR 27460 b

    AN ACT concerning regulation.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Public Utilities Act is amended by adding
Section 16-107.5 as follows:
 
    (220 ILCS 5/16-107.5 new)
    Sec. 16-107.5. Net electricity metering.
    (a) The Legislature finds and declares that a program to
provide net electricity metering, as defined in this Section,
for eligible customers can encourage private investment in
renewable energy resources, stimulate economic growth, enhance
the continued diversification of Illinois' energy resource
mix, and protect the Illinois environment.
    (b) As used in this Section, (i) "eligible customer" means
a retail customer that owns or operates a solar, wind, or other
eligible renewable electrical generating facility with a rated
capacity of not more than 2,000 kilowatts that is located on
the customer's premises and is intended primarily to offset the
customer's own electrical requirements; (ii) "electricity
provider" means an electric utility or alternative retail
electric supplier; (iii) "eligible renewable electrical
generating facility" means a generator powered by solar
electric energy, wind, dedicated crops grown for electricity
generation, anaerobic digestion of livestock or food
processing waste, fuel cells or microturbines powered by
renewable fuels, or hydroelectric energy; and (iv) "net
electricity metering" (or "net metering") means the
measurement, during the billing period applicable to an
eligible customer, of the net amount of electricity supplied by
an electricity provider to the customer's premises or provided
to the electricity provider by the customer.
    (c) A net metering facility shall be equipped with metering
equipment that can measure the flow of electricity in both
directions at the same rate. For eligible residential
customers, this shall typically be accomplished through use of
a single, bi-directional meter. If the eligible customer's
existing electric revenue meter does not meet this requirement,
the electricity provider shall arrange for the local electric
utility or a meter service provider to install and maintain a
new revenue meter at the electricity provider's expense. For
non-residential customers, the electricity provider may
arrange for the local electric utility or a meter service
provider to install and maintain metering equipment capable of
measuring the flow of electricity both into and out of the
customer's facility at the same rate and ratio, typically
through the use of a dual channel meter. For generators with a
nameplate rating of 40 kilowatts and below, the costs of
installing such equipment shall be paid for by the electricity
provider. For generators with a nameplate rating over 40
kilowatts and up to 2,000 kilowatts capacity, the costs of
installing such equipment shall be paid for by the customer.
Any subsequent revenue meter change necessitated by any
eligible customer shall be paid for by the customer.
    (d) An electricity provider shall measure and charge or
credit for the net electricity supplied to eligible customers
or provided by eligible customers in the following manner:
        (1) If the amount of electricity used by the customer
    during the billing period exceeds the amount of electricity
    produced by the customer, the electricity provider shall
    charge the customer for the net electricity supplied to and
    used by the customer as provided in subsection (e) of this
    Section.
        (2) If the amount of electricity produced by a customer
    during the billing period exceeds the amount of electricity
    used by the customer during that billing period, the
    electricity provider supplying that customer shall apply a
    1:1 kilowatt-hour credit to a subsequent bill for service
    to the customer for the net electricity supplied to the
    electricity provider. The electricity provider shall
    continue to carry over any excess kilowatt-hour credits
    earned and apply those credits to subsequent billing
    periods to offset any customer-generator consumption in
    those billing periods until all credits are used or until
    the end of the annualized period.
        (3) At the end of the year or annualized over the
    period that service is supplied by means of net metering,
    or in the event that the retail customer terminates service
    with the electricity provider prior to the end of the year
    or the annualized period, any remaining credits in the
    customer's account shall expire.
    (e) An electricity provider shall provide to net metering
customers electric service at non-discriminatory rates that
are identical, with respect to rate structure, retail rate
components, and any monthly charges, to the rates that the
customer would be charged if not a net metering customer. An
electricity provider shall not charge net metering customers
any fee or charge or require additional equipment, insurance,
or any other requirements not specifically authorized by
interconnection standards authorized by the Commission, unless
the fee, charge, or other requirement would apply to other
similarly situated customers who are not net metering
customers. The customer will remain responsible for all taxes,
fees, and utility delivery charges that would otherwise be
applicable to the net amount of electricity used by the
customer. Subsections (c) through (e) of this Section shall not
be construed to prevent an arms-length agreement between an
electricity provider and an eligible customer that sets forth
different prices, terms, and conditions for the provision of
net metering service, including, but not limited to, the
provision of the appropriate metering equipment for
non-residential customers.
    (f) Notwithstanding the requirements of subsections (c)
through (e) of this Section, an electricity provider must
require dual-channel metering for non-residential customers
operating eligible renewable electrical generating facilities
with a nameplate rating over 40 kilowatts and up to 2,000
kilowatts. In such cases, electricity charges and credits shall
be determined as follows:
        (1) The electricity provider shall assess and the
    customer remains responsible for all taxes, fees, and
    utility delivery charges that would otherwise be
    applicable to the gross amount of kilowatt-hours supplied
    to the eligible customer by the electricity provider.
        (2) Each month that service is supplied by means of
    dual-channel metering, the electricity provider shall
    compensate the eligible customer for any excess
    kilowatt-hour credits at the electricity provider's
    avoided cost of electricity supply over the monthly period
    or as otherwise specified by the terms of a power-purchase
    agreement negotiated between the customer and electricity
    provider.
        (3) For all eligible net metering customers taking
    service from an electricity provider under contracts or
    tariffs employing time of use rates, any monthly
    consumption of electricity shall be calculated according
    to the terms of the contract or tariff to which the same
    customer would be assigned to or be eligible for if the
    customer was not a net metering customer. When those same
    customer-generators are net generators during any discrete
    time of use period, the net kilowatt-hours produced shall
    be valued at the same price per kilowatt-hour as the
    electric service provider would charge for retail
    kilowatt-hour sales during that same time of use period.
    (g) For purposes of federal and State laws providing
renewable energy credits or greenhouse gas credits, the
eligible customer shall be treated as owning and having title
to the renewable energy attributes, renewable energy credits,
and greenhouse gas emission credits related to any electricity
produced by the qualified generating unit. The electricity
provider may not condition participation in a net metering
program on the signing over of a customer's renewable energy
credits; provided, however, this subsection (g) shall not be
construed to prevent an arms-length agreement between an
electricity provider and an eligible customer that sets forth
the ownership or title of the credits.
    (h) Within 120 days after the effective date of this
amendatory Act of the 95th General Assembly, the Commission
shall establish standards for net metering and, if the
Commission has not already acted on its own initiative,
standards for the interconnection of eligible renewable
generating equipment to the utility system. The
interconnection standards shall address any procedural
barriers, delays, and administrative costs associated with the
interconnection of customer-generation while ensuring the
safety and reliability of the units and the electric utility
system. The Commission shall consider the Institute of
Electrical and Electronics Engineers (IEEE) Standard 1547 and
the issues of (i) reasonable and fair fees and costs, (ii)
clear timelines for major milestones in the interconnection
process, (iii) nondiscriminatory terms of agreement, and (iv)
any best practices for interconnection of distributed
generation.
    (i) All electricity providers shall begin to offer net
metering no later than April 1, 2008.
    (j) An electricity provider shall provide net metering to
eligible customers until the load of its net metering customers
equals 1% of the total peak demand supplied by that electricity
provider during the previous year. Electricity providers are
authorized to offer net metering beyond the 1% level if they so
choose. The number of new eligible customers with generators
that have a nameplate rating of 40 kilowatts and below will be
limited to 200 total new billing accounts for the utilities
(Ameren Companies, ComEd, and MidAmerican) for the period of
April 1, 2008 through March 31, 2009.
    (k) Each electricity provider shall maintain records and
report annually to the Commission the total number of net
metering customers served by the provider, as well as the type,
capacity, and energy sources of the generating systems used by
the net metering customers. Nothing in this Section shall limit
the ability of an electricity provider to request the redaction
of information deemed by the Commission to be confidential
business information. Each electricity provider shall notify
the Commission when the total generating capacity of its net
metering customers is equal to or in excess of the 1% cap
specified in subsection (j) of this Section.
    (l) Notwithstanding the definition of "eligible customer"
in item (i) of subsection (b) of this Section, each electricity
provider shall consider whether to allow meter aggregation for
the purposes of net metering on:
        (1) properties owned or leased by multiple customers
    that contribute to the operation of an eligible renewable
    electrical generating facility, such as a community-owned
    wind project or a community methane digester processing
    livestock waste from multiple sources; and
        (2) individual units, apartments, or properties owned
    or leased by multiple customers and collectively served by
    a common eligible renewable electrical generating
    facility, such as an apartment building served by
    photovoltaic panels on the roof.
    For the purposes of this subsection (l), "meter
aggregation" means the combination of reading and billing on a
pro rata basis for the types of eligible customers described in
this Section.
    (m) Nothing in this Section shall affect the right of an
electricity provider to continue to provide, or the right of a
retail customer to continue to receive service pursuant to a
contract for electric service between the electricity provider
and the retail customer in accordance with the prices, terms,
and conditions provided for in that contract. Either the
electricity provider or the customer may require compliance
with the prices, terms, and conditions of the contract.
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 8/24/2007