HOUSE OF REPRESENTATIVES

H.B. NO.

1508

TWENTY-EIGHTH LEGISLATURE, 2015

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to energy resources.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


SECTION 1.  The legislature finds that more than fifty thousand households in Hawaii have installed photovoltaic panels and enrolled in a net energy metering program to reduce their energy costs and that thousands of additional households seek to do so.  Although households that participate in a net energy metering program still use electrical-grid services, they also provide significant benefits to the electrical grid.

The purpose of this Act is to:

     (1)  Ensure a fair and reasonable minimum monthly charge for all households to account for basic costs for service common to all users;

     (2)  Ensure that participants and non-participants in a net energy metering program do not subsidize the costs of electrical service for each other; and

     (3)  Expand rate structures for the integration of distributed energy resources.

     SECTION 2.  (a)  The public utilities commission shall commence a proceeding by September 1, 2015, to:

     (1)  Establish for all ratepayers an equitable minimum monthly charge for basic electrical-grid services common to both participants and non-participants in a net energy metering program, which shall be identified by electric utilities in billing for all grid-connected users; and

     (2)  Establish a distributed energy resources service charge or refund for prospective participants in a net energy metering program to:

         (A)  Account for other benefits and costs that participants in the net energy metering program provide to the electrical grid; and

         (B)  Ensure that participants and non-participants in the net energy metering program do not subsidize the costs of electrical service for each other.

     (b)  In establishing the distributed energy resources service charge or refund pursuant to subsection (a)(2), the public utilities commission shall consider the gross costs and gross benefits of a net energy metering program to ratepayers within each utility grid, including but not limited to:

     (1)  The program administration costs of the net energy metering program;

     (2)  Net energy metering program bill credits;

     (3)  Transmission and distribution line loss reductions;

     (4)  Avoided capacity costs;

     (5)  Avoided energy purchase costs;

     (6)  Avoided transmission and distribution investment;

     (7)  The value of reduced volatility in fuel costs;

     (8)  Environmental benefits, including a reduction in the emission of greenhouse gases;

     (9)  Compliance with renewable portfolio standards;

    (10)  Storage and power-smoothing capacities; and

    (11)  Other electrical-grid services that advance the State's energy goals.

     SECTION 3.  This Act shall take effect upon its approval.

 

INTRODUCED BY:

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Report Title:

Net Energy Metering; Equity for All Ratepayers

 

Description:

Requires the Public Utilities Commission to commence a proceeding by September 1, 2015, regarding equity for all ratepayers in net energy metering.

 

 

 

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