Bill Text: MI HB4881 | 2015-2016 | 98th Legislature | Introduced

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Bill Title: Energy; electricity; net metering; authorize increased customer generating capacity. Amends sec. 173 of 2008 PA 295 (MCL 460.1173).

Spectrum: Slight Partisan Bill (Democrat 5-2)

Status: (Introduced - Dead) 2015-09-22 - Printed Bill Filed 09/18/2015 [HB4881 Detail]

Download: Michigan-2015-HB4881-Introduced.html

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HOUSE BILL No. 4881

 

September 17, 2015, Introduced by Reps. McBroom, Robinson, Hovey-Wright, Dianda, Irwin, Cochran and Inman and referred to the Committee on Energy Policy.

 

     A bill to amend 2008 PA 295, entitled

 

"Clean, renewable, and efficient energy act,"

 

by amending section 173 (MCL 460.1173).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 173. (1) The commission shall establish a statewide net

 

metering program by order, issued not later than 180 days after the

 

effective date of this act. No later than 180 days after the

 

effective date of this act, and the commission shall promulgate

 

rules regarding any time limits on the submission of net metering

 

applications or inspections of net metering equipment and any other

 

matters the commission considers necessary to implement this part.

 

Any rules adopted regarding time limits for approval of parallel

 

operation shall recognize reliability and safety complications

 

including those arising from equipment saturation, use of multiple

technologies, and proximity to synchronous motor loads. The program

 

shall apply to all electric utilities and alternative electric

 

suppliers in this state. Except as otherwise provided under this

 

part, customers a customer of any class are is eligible to

 

interconnect an eligible electric generators generator with the

 

customer's local electric utility and operate the generators

 

generator in parallel with the distribution system. The program

 

shall be designed for a period of not less than 10 20 years. and

 

limit each customer to generation capacity designed to meet only

 

the customer's electric needs. The commission may waive the

 

application, interconnection, and installation requirements of this

 

part for customers participating in the net metering program under

 

the commission's March 29, 2005 order in case no. U-14346.

 

     (2) An electric utility or alternative electric supplier is

 

not required to allow for net metering that is greater than 1% of

 

its in-state peak load for the preceding calendar year. The utility

 

or supplier shall notify the commission if its net metering program

 

reaches the 1% requirement under this subsection. The 1% limit

 

under this subsection shall be allocated as follows:

 

     (a) No more than 0.5% for customers with a system capable of

 

generating 20 kilowatts or less.

 

     (b) No more than 0.25% for customers with a system capable of

 

generating more than 20 kilowatts but not more than 150 kilowatts.

 

     (c) No more than 0.25% for customers with a system capable of

 

generating more than 150 kilowatts.

 

     (2) (3) Selection of customers who have submitted a completed

 

application for participation in the net metering program shall be

 

based on the order in which the applications for participation in

 

the net metering program are received by the electric utility or

 

alternative electric supplier.solely on meeting the interconnection

 

and equipment requirements for participation. An electric utility

 

or alternative electric supplier shall not restrict the number of

 

participants in the net metering program unless it demonstrates to

 

the satisfaction of the commission that the restriction is

 

necessary to protect the public health and safety or the integrity

 

of the distribution system in a hearing before the commission.

 

     (3) (4) An electric utility or alternative electric supplier

 

shall not refuse to provide or and shall not discontinue electric

 

service to a customer solely for the reason that because the

 

customer participates in the net metering program.

 

     (4) (5) The program created under subsection (1) shall include

 

all of the following:

 

     (a) Statewide uniform interconnection requirements for all

 

eligible electric generators. The interconnection requirements

 

shall be designed to protect electric utility workers and equipment

 

and the general public.

 

     (b) Net metering equipment Requirements that an eligible

 

electric generator and its installation must meet all current local

 

and state electric and construction code requirements. Any

 

equipment that is certified by a nationally recognized testing

 

laboratory to IEEE 1547.1 testing standards and in compliance with

 

UL 1741 scope 1.1A, effective May 7, 2007, or updates of those

 

testing standards and the UL scope that are adopted by the

 

commission, and that is installed in compliance with this part is

 

considered to be eligible equipment. Within the time provided by

 

the commission in rules promulgated under subsection (1) and

 

consistent with good utility practice, protection of electric

 

utility workers, protection of electric utility equipment, and

 

protection of the general public, an electric utility may study,

 

confirm, and ensure that an eligible electric generator

 

installation at the customer's site meets the IEEE 1547 anti-

 

islanding requirements. or a commission-adopted update to those

 

requirements. Utility testing and approval of the interconnection

 

and execution of a parallel operating agreement must be completed

 

prior to the equipment operating in parallel with the distribution

 

system of the utility.

 

     (c) A uniform application form and process to be used by all

 

electric utilities and alternative electric suppliers in this

 

state. Customers who are served by an alternative electric supplier

 

shall submit a copy of the application to the electric utility for

 

the customer's service area.

 

     (d) Net metering customers with a system capable of generating

 

20 kilowatts or less qualify for true net metering.

 

     (e) Net metering customers with a system capable of generating

 

more than 20 kilowatts qualify for modified net metering.

 

     (5) (6) Each electric utility and alternative electric

 

supplier shall maintain records of all applications and up-to-date

 

records of all active eligible electric generators located within

 

their its service area.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.