Net Metering Across the U.S. and in Arizona

Net Metering Across the U.S.and in Arizona

Jason Keyes

Keyes, Fox & Wiedman LLP

May 29, 2013RUCO Workshop on Net Metering and Distributed Energy

Net Metering Basics

• For customer-sited renewable energy generation

• Most systems are solar – some bio, wind, hydro

• Excess kWh at one time exchanged for a kWh when needed – that night, later that month, later that year . . .

• “Spin the meter backwards”

• Lots of variations by state based on:– Program size

– Facility size

– Rollover

– Safe Harbor / customer charges

– Aggregation / virtual net metering

United States PV Capacity Installed

Per Year

Net Metering.www.dsireusa.org / March 2013

43 states, + Washington DC

& 4 territories, have adopted a net metering

policy.

43 states, + Washington DC

& 4 territories, have adopted a net metering

policy.Note: Numbers indicate individual system capacity limit in kilowatts. Some limits vary by customer type, technology and/or application. Other limits might also apply. This map generally does not address statutory changes until administrative rules have been adopted to implement such changes.

• Comparison of state net metering and interconnection rules

• Online with filters: able to view by key criterion and year

• Updated regularly, includes DSIRE data

• Collaborative effort, including IREC

Grading States www.freeingthegrid.org

Net Metering - Freeing the Grid 2012

Net Metering Capacity by StateApproximate data through 2011

50 – 1500 MW

20 – 50 MW

5 – 20 MW

.5 – 5 MW

U.S. Territories

<.5 MW

Arizona: One of 15 “A” States in FTG

Not SRP

• ACC rules for all but Salt River Project

• No program cap, but program under review

• Facilities cap at 125% of customer’s load

• Rollover to end of year, then avoided cost payment

• Customer owns the RECs

• Third party ownership allowed / used for 90% of systems

• Meter aggregation not addressed

• 14,000 systems in APS service territory

Where Are We Heading?• Problems

– Concern about rate impacts is stalling program expansion, leading to proposed customer charges or VOSTs

– High up-front costs

– Gradually shifting utility peak demand to later hours

– No practical access to net metering (shading, renting, etc.)

• And Solutions– Rate Impact studies showing minimal impacts

– Costs plummeting / third party ownership (90% in AZ)

– Potential to load shift utility peak back to daytime

– New models opening new markets: aggregate net metering, virtual net metering, community solar, feed-in-tariffs

IREC Supporting Material

• www.irecusa.org/publications

– IREC model net metering rules

– Connecting to the Grid Guide

– Community Solar Guide

– US Solar Market Trends 2012

• www.freeingthegrid.org

• www.solarabcs.org/rateimpact

• www.dsireusa.org

Thank You

Jason KeyesKeyes, Fox & Wiedman LLP

[email protected]