SB 396 Creates the Electrical Corporation Net Metering and Easy Connection Act and modifies the renewable energy standard
Sponsor: Holsman Co-Sponsor(s)
LR Number: 1078S.07C Fiscal Note available
Committee: Commerce, Consumer Protection, Energy and the Environment
Last Action: 5/17/2013 - S Informal Calendar S Bills for Perfection--SB 396-Holsman and Chappelle-Nadal, with SCS Journal Page:
Title: SCS SB 396 Calendar Position:
Effective Date: August 28, 2013

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Current Bill Summary


SCS/SB 396 - This act modifies provisions relating to renewable energy.

ELECTRICAL CORPORATION NET METERING AND EASY CONNECTION ACT (386.890)- This act defines a customer-generator as a system as having a capacity 200 kW or less, rather than 100 kW or less, and is designed to offset not more than 100% of the customer-generator's own annual energy. If an electric supplier must install additional equipment for a customer-generator, the customer-generator must reimburse the electric supplier for costs to purchase and install the equipment. For customer-generator systems of 10 kW or less, the reimbursement is limited to the cost of the meter. If the electricity generated by the customer-generator exceeds the electricity supplied by the supplier during a billing period, this act provides that the customer shall be credited for the excess energy. The customer-generator's excess energy shall expire after a 12 month billing period, or upon service termination.

In order to obtain service from an electric supplier, a customer-generator must submit an application and up to a $100 application fee to the retail electric supplier as set forth in this act. If a customer-generator unit changes, the customer is responsible for filing a new application with the supplier. If the application is not timely, the supplier may terminate the customer's service.

An electrical corporation can recover all net metering costs using a tracking mechanism that may be used in the corporation's next general rate proceeding. The Public Service Commission retains authority to review the electrical corporation's incurred net metering costs at the corporation's next general rate proceeding.

RENEWABLE ENERGY STANDARD (393.1030) - This act makes available solar rebates to customers of electric utilities. It allows electric utilities to assess the difference in cost for generating energy by least-cost renewable sources compared to entirely non-renewable sources. Until June 2018, if the maximum average retail rate is less than or equal to 1% of the utility's solar-related projects, then additional solar rebates may be paid that would produce a retail rate increase as set forth in this act. If the payment of additional rebates exceeds 1% of the electric utility's solar-related projects, the costs may be recoverable. The amount of the customer rebate is determined by the date that the solar electric system is operational as set forth in this act. If, however, the electric utility determines that it will reach the maximum average retail rate increase in a calendar year, the utility may stop paying rebates after the Public Service Commission determines if the utility has actually reached the maximum average retail rate increase. As a condition of receiving the rebate, the customer shall transfer to the electric utility all renewable energy credits associated with the solar electric system for ten years.

NET METERING AND EASY CONNECTION ACT (394.320) - This act defines a customer-generator as a system as having a capacity 100 kW or less. If a retail electric supplier must install additional equipment for a customer-generator, the customer-generator must reimburse the electric supplier for costs to purchase and install the equipment. Any subsequent meter testing or maintenance costs shall be borne by the customer-generator. The energy produced by the customer-generator will be measured as set forth in this act. If the electricity generated by the customer-generator exceeds the electricity supplied by the supplier during a billing period, this act provides that the customer shall be credited for the excess energy.

This act is similar to HB 1305 (2012) and SB 420(2013).

KAYLA CRIDER