Committee/Subcommittee Amendment to PCS for CS/HB 741 (2022)

Summary

Committee/Subcommittee Amendment to Amendment (PCS for CSHB 741 Strike1) to PCS for CS/HB 741 (2022), offered by Representative McClure for the Commerce Committee hearing on the bill. It removes lines 28-86 of the amendment and inserts replacement text on net metering. The replacement offsets the customer's energy usage by 75 percent of the amount credited for renewable generation for which a net metering application is approved between January 1, 2024, and December 31, 2025, with 60 percent for 2026 and 50 percent for 2027 and 2028. It provides 20 years under the net metering rate design that applied when the application was approved, for applications approved before January 1, 2029, and includes a 6.5 percent penetration rate trigger for rulemaking.

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“Committee/Subcommittee Amendment to PCS for CS/HB 741 (2022).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2022-3098-commerce-committee-proposed-committee-bill-amendments-fn-pcs-7924c9796a/, SHA-256 371c45f30472be3656a75ea5004f8c7e9b7cfb6bbeba2c4720f78297be2c23f4.

Full text

                                           COMMITTEE/SUBCOMMITTEE AMENDMENT
                                        Bill No. PCS for CS/HB 741     (2022)
       Amendment No.




            COMMITTEE/SUBCOMMITTEE ACTION
       ADOPTED                       (Y/N)
       ADOPTED AS AMENDED            (Y/N)
       ADOPTED W/O OBJECTION         (Y/N)
       FAILED TO ADOPT               (Y/N)
       WITHDRAWN                     (Y/N)
       OTHER


 1     Committee/Subcommittee hearing bill:       Commerce Committee
 2     Representative McClure offered the following:
 3
 4          Amendment to Amendment (PCS for CSHB 741 Strike1) by
 5     Representative
 6          Remove lines 28-86 of the amendment and insert:
 7          a.     For energy credits produced from customer-owned or
 8     leased renewable generation for which a net metering application
 9     is approved between January 1, 2024, and December 31, 2025, the
10     customer’s energy usage shall be offset by 75 percent of the
11     amount credited;
12          b.     For energy credits produced from customer-owned or
13     leased renewable generation for which a net metering application
14     is approved between January 1, 2026, and December 31, 2026, the
15     customer’s energy usage shall be offset by 60 percent of the
16     amount credited;
     PCS for CSHB 741 AA1
      Published On: 2/23/2022 1:30:10 PM
                                    Page 1 of 4
                                           COMMITTEE/SUBCOMMITTEE AMENDMENT
                                       Bill No. PCS for CS/HB 741    (2022)
       Amendment No.


17          c.    For energy credits produced from customer-owned or
18     leased renewable generation for which a net metering application
19     is approved between January 1, 2027, and December 31, 2028, the
20     customer’s energy usage shall be offset by 50 percent of the
21     amount credited.
22          (c)    A public utility customer who owns or leases renewable
23     generation for which a net metering application is approved
24     before January 1, 2029, pursuant to a standard interconnection
25     agreement offered by a public utility, shall be granted 20 years
26     to continue to use the net metering rate design and rates that
27     applied at the time the net metering application was approved.
28     This paragraph applies to customers who purchase or lease real
29     property upon which customer-owned or leased renewable
30     generation is installed for all or part of that 20-year period.
31          (d)    On or after the effective date of the net metering
32     programs described in paragraph (b), a public utility may
33     petition the commission for approval to impose any combination
34     of fixed charges, which may include base facilities charges,
35     electric grid access fees, and monthly minimum bills, necessary
36     to ensure that the public utility recovers the fixed costs of
37     serving customers that own or lease renewable generation and
38     that the general body of public utility ratepayers do not
39     subsidize customer-owned or leased generation. Within 180 days
40     after a petition is filed by a public utility pursuant to this
41     paragraph, the commission must issue a final order on the
     PCS for CSHB 741 AA1
      Published On: 2/23/2022 1:30:10 PM
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                                           COMMITTEE/SUBCOMMITTEE AMENDMENT
                                        Bill No. PCS for CS/HB 741      (2022)
       Amendment No.


42     petition.
43          (e)     The commission must adopt new rules to become
44     effective January 1, 2029, that establish a new program design
45     for customer-owned or leased renewable generation for which a
46     net metering application is approved on or after January 1,
47     2029. The new program design must comply with the following
48     criteria:
49          1.     Public utility customers owning or leasing renewable
50     generation must pay the full cost of electric service and may
51     not be subsidized by the public utility's general body of
52     ratepayers.
53          2.     All energy delivered by the public utility must be
54     purchased at the public utility's applicable retail rate and all
55     energy delivered by the customer-owned or leased renewable
56     generation to the public utility must be credited to the
57     customer at the public utility's full avoided costs.
58          (f)1.     If at any time the penetration rate of customer-
59     owned or leased renewable generation in a public utility’s
60     service territory is reasonably expected to exceed 6.5 percent
61     within the succeeding 12 months, the commission, upon petition
62     or on its own motion, must initiate rulemaking to adopt a new
63     program design that complies with subparagraphs (e)1.-2. A new
64     program design adopted pursuant to this subparagraph becomes
65     effective 60 days after rule adoption or 60 days after the date
66     the commission determines that the actual penetration rate has
     PCS for CSHB 741 AA1
      Published On: 2/23/2022 1:30:10 PM
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                                           COMMITTEE/SUBCOMMITTEE AMENDMENT
                                      Bill No. PCS for CS/HB 741     (2022)
       Amendment No.


67     reached 6.5 percent, whichever is later, and shall apply to
68     customer-owned or leased renewable generation for which a net
69     metering application is approved after that effective date.
70




     PCS for CSHB 741 AA1
      Published On: 2/23/2022 1:30:10 PM
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