Bill Text: OR HB2435 | 2013 | Regular Session | Enrolled


Bill Title: Relating to energy; and prescribing an effective date.

Spectrum: Committee Bill

Status: (Passed) 2013-07-25 - Chapter 648, (2013 Laws): Effective date October 7, 2013. [HB2435 Detail]

Download: Oregon-2013-HB2435-Enrolled.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

                            Enrolled

                         House Bill 2435

Introduced and printed pursuant to House Rule 12.00. Presession
  filed (at the request of House Interim Committee on Energy,
  Environment and Water)

                     CHAPTER ................

                             AN ACT

Relating to energy; creating new provisions; amending ORS 319.530
  and 757.300; and prescribing an effective date.

Be It Enacted by the People of the State of Oregon:

  SECTION 1. ORS 319.530 is amended to read:
  319.530. (1) To compensate this state partially for the use of
its highways, an excise tax hereby is imposed at the rate of 30
cents per gallon on the use of fuel in a motor vehicle.
   { +  (2) + } Except as otherwise provided in subsections
 { - (2) and (3) - }  { +  (3) and (4) + } of this section, 100
cubic feet of fuel used or sold in a gaseous state, measured at
14.73 pounds per square inch of pressure at 60 degrees
Fahrenheit, is taxable at the same rate as a gallon of liquid
fuel.
    { - (2) - }   { + (3) + } One hundred twenty cubic feet of
compressed natural gas used or sold in a gaseous state, measured
at 14.73 pounds per square inch of pressure at 60 degrees
Fahrenheit, is taxable at the same rate as a gallon of liquid
fuel.
    { - (3) - }   { + (4) + } One and three-tenths liquid gallons
of propane at 60 degrees Fahrenheit is taxable at the same rate
as a gallon of other liquid fuel.
   { +  (5)(a) Except as provided in paragraph (b) of this
subsection, the excise tax imposed under subsection (1) of this
section does not apply to diesel fuel blended with a minimum of
20 percent biodiesel that is derived from used cooking oil.
  (b) The exemption provided under paragraph (a) of this
subsection does not apply to fuel:
  (A) Used in motor vehicles that have a gross vehicle weight
rating of 26,001 pounds or more;
  (B) That is not sold in retail operations; or
  (C) That is sold in operations involving fleet fueling or bulk
sales. + }
  SECTION 2.  { + The amendments to ORS 319.530 by section 1 of
this 2013 Act apply to fuel sold on or after January 1, 2014. + }
  SECTION 3. ORS 319.530, as amended by section 1 of this 2013
Act, is amended to read:
  319.530. (1) To compensate this state partially for the use of
its highways, an excise tax hereby is imposed at the rate of 30
cents per gallon on the use of fuel in a motor vehicle.

Enrolled House Bill 2435 (HB 2435-B)                       Page 1

  (2) Except as otherwise provided in subsections (3) and (4) of
this section, 100 cubic feet of fuel used or sold in a gaseous
state, measured at 14.73 pounds per square inch of pressure at 60
degrees Fahrenheit, is taxable at the same rate as a gallon of
liquid fuel.
  (3) One hundred twenty cubic feet of compressed natural gas
used or sold in a gaseous state, measured at 14.73 pounds per
square inch of pressure at 60 degrees Fahrenheit, is taxable at
the same rate as a gallon of liquid fuel.
  (4) One and three-tenths liquid gallons of propane at 60
degrees Fahrenheit is taxable at the same rate as a gallon of
other liquid fuel.
    { - (5)(a) Except as provided in paragraph (b) of this
subsection, the excise tax imposed under subsection (1) of this
section does not apply to diesel fuel blended with a minimum of
20 percent biodiesel that is derived from used cooking oil. - }
    { - (b) The exemption provided under paragraph (a) of this
subsection does not apply to fuel: - }
    { - (A) Used in motor vehicles that have a gross vehicle
weight rating of 26,001 pounds or more; - }
    { - (B) That is not sold in retail operations; or - }
    { - (C) That is sold in operations involving fleet fueling or
bulk sales. - }
  SECTION 4.  { + The amendments to ORS 319.530 by section 3 of
this 2013 Act apply to fuel sold on or after January 1, 2020. + }
  SECTION 5. ORS 757.300 is amended to read:
  757.300. (1) As used in this section:
  (a) 'Customer-generator' means a user of a net metering
facility.
  (b) 'Electric utility' means a public utility, a people's
utility district operating under ORS chapter 261, a municipal
utility operating under ORS chapter 225 or an electric
cooperative organized under ORS chapter 62.
  (c) 'Net metering' means measuring the difference between the
electricity supplied by an electric utility and the electricity
generated by a customer-generator and fed back to the electric
utility over the applicable billing period.
  (d) 'Net metering facility' means a facility for the production
of electrical energy that:
  (A) Generates electricity using { + :
  (i) + } Solar power  { - , - }  { + ;
  (ii) + } Wind power  { - , - }  { + ;
  (iii) + } Fuel cells  { - , - }  { + ;
  (iv) + } Hydroelectric power  { - , - }  { + ;
  (v) + } Landfill gas  { - , - }  { + ;
  (vi) + } Digester gas  { - , - }  { + ;
  (vii) + } Waste  { - , - }  { + ;
  (viii) + } Dedicated energy crops available on a renewable
basis
  { - or - }  { + ;
  (ix)  + }Low-emission, nontoxic biomass based on solid organic
fuels from wood, forest or field residues { + ; or
  (x) Geothermal energy + };
  (B) Is located on the customer-generator's premises;
  (C) Can operate in parallel with an electric utility's existing
transmission and distribution facilities; and
  (D) Is intended primarily to offset part or all of the
customer-generator's requirements for electricity.
  (2) An electric utility that offers residential and commercial
electric service:

Enrolled House Bill 2435 (HB 2435-B)                       Page 2

  (a) Shall allow net metering facilities to be interconnected
using a standard meter that is capable of registering the flow of
electricity in two directions.
  (b) May at its own expense install one or more additional
meters to monitor the flow of electricity in each direction.
  (c) May not charge a customer-generator a fee or charge that
would increase the customer-generator's minimum monthly charge to
an amount greater than that of other customers in the same rate
class as the customer-generator. However, the Public Utility
Commission, for a public utility, or the governing body, for a
municipal electric utility, electric cooperative or people's
utility district, may authorize an electric utility to assess a
greater fee or charge, of any type, if the electric utility's
direct costs of interconnection and administration of the net
metering outweigh the distribution system, environmental and
public policy benefits of allocating such costs among the
electric utility's entire customer base. The commission may
authorize a public utility to assess a greater fee or charge
under this paragraph only following notice and opportunity for
public comment. The governing body of a municipal electric
utility, electric cooperative or people's utility district may
assess a greater fee or charge under this paragraph only
following notice and opportunity for comment from the customers
of the utility, cooperative or district.
  (3)(a) For a customer-generator, an electric utility shall
measure the net electricity produced or consumed during the
billing period in accordance with normal metering practices.
  (b) If an electric utility supplies a customer-generator more
electricity than the customer-generator feeds back to the
electric utility during a billing period, the electric utility
shall charge the customer-generator for the net electricity that
the electric utility supplied.
  (c) Except as provided in paragraph (d) of this subsection, if
a customer-generator feeds back to an electric utility more
electricity than the electric utility supplies the
customer-generator during a billing period, the electric utility
may charge the minimum monthly charge described in subsection (2)
of this section but must credit the customer-generator for the
excess kilowatt-hours generated during the billing period. An
electric utility may value the excess kilowatt-hours at the
avoided cost of the utility, as determined by the commission or
the appropriate governing body. An electric utility that values
the excess kilowatt-hours at the avoided cost shall bear the cost
of measuring the excess kilowatt-hours, issuing payments and
billing for the excess hours. The electric utility also shall
bear the cost of providing and installing additional metering to
measure the reverse flow of electricity.
  (d) For the billing cycle ending in March of each year, or on
such other date as agreed to by the electric utility and the
customer-generator, any remaining unused kilowatt-hour credit
accumulated during the previous year shall be granted to the
electric utility for distribution to customers enrolled in the
electric utility's low-income assistance programs, credited to
the customer-generator or dedicated for other use as determined
by the commission, for a public utility, or the governing body,
for a municipal electric utility, electric cooperative or
people's utility district, following notice and opportunity for
public comment.
  (4)(a) A net metering facility shall meet all applicable safety
and performance standards established in the state building code.

Enrolled House Bill 2435 (HB 2435-B)                       Page 3

The standards shall be consistent with the applicable standards
established by the National Electrical Code, the Institute of
Electrical and Electronics Engineers and Underwriters
Laboratories or other similarly accredited laboratory.
  (b) Following notice and opportunity for public comment, the
commission, for a public utility, or the governing body, for a
municipal electric utility, electric cooperative or people's
utility district, may adopt additional control and testing
requirements for customer-generators to protect public safety or
system reliability.
  (c) An electric utility may not require a customer-generator
whose net metering facility meets the standards in paragraphs (a)
and (b) of this subsection to comply with additional safety or
performance standards, perform or pay for additional tests or
purchase additional liability insurance. However, an electric
utility shall not be liable directly or indirectly for permitting
or continuing to allow an attachment of a net metering facility,
or for the acts or omissions of the customer-generator that cause
loss or injury, including death, to any third party.
  (5) Nothing in this section is intended to prevent an electric
utility from offering, or a customer-generator from accepting,
products or services related to the customer-generator's net
metering facility that are different from the net metering
services described in this section.
  (6) The commission, for a public utility, or the governing
body, for a municipal electric utility, electric cooperative or
people's utility district, may not limit the cumulative
generating capacity of solar, wind,  { + geothermal, + } fuel
cell and microhydroelectric net metering systems to less than
one-half of one percent of a utility's, cooperative's or
district's historic single-hour peak load. After a cumulative
limit of one-half of one percent has been reached, the obligation
of a public utility, municipal electric utility, electric
cooperative or people's utility district to offer net metering to
a new customer-generator may be limited by the commission or
governing body in order to balance the interests of retail
customers. When limiting net metering obligations under this
subsection, the commission or the governing body shall consider
the environmental and other public policy benefits of net
metering systems. The commission may limit net metering
obligations under this subsection only following notice and
opportunity for public comment. The governing body of a municipal
electric utility, electric cooperative or people's utility
district may limit net metering obligations under this subsection
only following notice and opportunity for comment from the
customers of the utility, cooperative or district.
  (7) The commission or the governing body may adopt rules or
ordinances to ensure that the obligations and costs associated
with net metering apply to all power suppliers within the service
territory of a public utility, municipal electric utility,
electric cooperative or people's utility district.
  (8) This section applies only to net metering facilities that
have a generating capacity of 25 kilowatts or less, except that
the commission by rule may provide for a higher limit for
customers of a public utility.
  (9) Notwithstanding subsections (2) to (8) of this section, an
electric utility serving fewer than 25,000 customers in Oregon
that has its headquarters located in another state and offers net
metering services or a substantial equivalent offset against
retail sales in that state shall be deemed to be in compliance

Enrolled House Bill 2435 (HB 2435-B)                       Page 4

with this section if the electric utility offers net metering
services to its customers in Oregon in accordance with tariffs,
schedules and other regulations promulgated by the appropriate
authority in the state where the electric utility's headquarters
are located.
  SECTION 6.  { + This 2013 Act takes effect on the 91st day
after the date on which the 2013 regular session of the
Seventy-seventh Legislative Assembly adjourns sine die. + }
                         ----------

Passed by House May 7, 2013

Repassed by House July 3, 2013

    .............................................................
                             Ramona J. Line, Chief Clerk of House

    .............................................................
                                     Tina Kotek, Speaker of House

Passed by Senate July 2, 2013

    .............................................................
                              Peter Courtney, President of Senate

Enrolled House Bill 2435 (HB 2435-B)                       Page 5

Received by Governor:

......M.,............., 2013

Approved:

......M.,............., 2013

    .............................................................
                                         John Kitzhaber, Governor

Filed in Office of Secretary of State:

......M.,............., 2013

    .............................................................
                                   Kate Brown, Secretary of State

Enrolled House Bill 2435 (HB 2435-B)                       Page 6
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