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| Public Act 097-0824 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Public Utilities Act is amended by changing | ||||
Sections 16-107.5 and 16-111.5B as follows: | ||||
(220 ILCS 5/16-107.5)
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Sec. 16-107.5. Net electricity metering. | ||||
(a) The Legislature finds and declares that a program to | ||||
provide net electricity
metering, as defined in this Section,
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for eligible customers can encourage private investment in | ||||
renewable energy
resources, stimulate
economic growth, enhance | ||||
the continued diversification of Illinois' energy
resource | ||||
mix, and protect
the Illinois environment.
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(b) As used in this Section, (i) "eligible customer" means | ||||
a retail
customer that owns or operates a
solar, wind, or other | ||||
eligible renewable electrical generating facility with a rated | ||||
capacity of not more than
2,000 kilowatts that is
located on | ||||
the customer's premises and is intended primarily to offset the | ||||
customer's
own electrical requirements; (ii) "electricity | ||||
provider" means an electric utility or alternative retail | ||||
electric supplier; (iii) "eligible renewable electrical | ||||
generating facility" means a generator powered by solar | ||||
electric energy, wind, dedicated crops grown for electricity | ||||
generation, agricultural residues, untreated and unadulterated | ||
wood waste, landscape trimmings, livestock manure, anaerobic | ||
digestion of livestock or food processing waste, fuel cells or | ||
microturbines powered by renewable fuels, or hydroelectric | ||
energy; and (iv) "net electricity metering" (or "net metering") | ||
means the
measurement, during the
billing period applicable to | ||
an eligible customer, of the net amount of
electricity supplied | ||
by an
electricity provider to the customer's premises or | ||
provided to the electricity provider by the customer.
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(c) A net metering facility shall be equipped with metering | ||
equipment that can measure the flow of electricity in both | ||
directions at the same rate. | ||
(1) For eligible customers whose electric service has | ||
not been declared competitive pursuant to Section 16-113 of | ||
this Act as of July 1, 2011 and whose electric delivery | ||
service is provided and measured on a kilowatt-hour basis | ||
and electric supply service is not provided based on hourly | ||
pricing, this shall typically be accomplished through use | ||
of a single, bi-directional meter. If the eligible | ||
customer's existing electric revenue meter does not meet | ||
this requirement, the electricity provider shall arrange | ||
for the local electric utility or a meter service provider | ||
to install and maintain a new revenue meter at the | ||
electricity provider's expense. | ||
(2) For eligible customers whose electric service has | ||
not been declared competitive pursuant to Section 16-113 of | ||
this Act as of July 1, 2011 and whose electric delivery | ||
service is provided and measured on a kilowatt demand basis | ||
and electric supply service is not provided based on hourly | ||
pricing, this shall typically be accomplished through use | ||
of a dual channel meter capable of measuring the flow of | ||
electricity both into and out of the customer's facility at | ||
the same rate and ratio. If such customer's existing | ||
electric revenue meter does not meet this requirement, then | ||
the electricity provider shall arrange for the local | ||
electric utility or a meter service provider to install and | ||
maintain a new revenue meter at the electricity provider's | ||
expense. | ||
(3) For all other eligible customers, the electricity | ||
provider may arrange for the local electric utility or a | ||
meter service provider to install and maintain metering | ||
equipment capable of measuring the flow of electricity both | ||
into and out of the customer's facility at the same rate | ||
and ratio, typically through the use of a dual channel | ||
meter. If the eligible customer's existing electric | ||
revenue meter does not meet this requirement, then the | ||
costs of installing such equipment shall be paid for by the | ||
customer.
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(d) An electricity provider shall
measure and charge or | ||
credit for the net
electricity supplied to eligible customers | ||
or provided by eligible customers whose electric service has | ||
not been declared competitive pursuant to Section 16-113 of the | ||
Act as of July 1, 2011 and whose electric delivery service is | ||
provided and measured on a kilowatt-hour basis and electric | ||
supply service is not provided based on hourly pricing in
the | ||
following manner:
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(1) If the amount of electricity used by the customer | ||
during the billing
period exceeds the
amount of electricity | ||
produced by the customer, the electricity provider shall | ||
charge the customer for the net electricity supplied to and | ||
used
by the customer as provided in subsection (e-5) of | ||
this Section.
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(2) If the amount of electricity produced by a customer | ||
during the billing period exceeds the amount of electricity | ||
used by the customer during that billing period, the | ||
electricity provider supplying that customer shall apply a | ||
1:1 kilowatt-hour credit to a subsequent bill for service | ||
to the customer for the net electricity supplied to the | ||
electricity provider. The electricity provider shall | ||
continue to carry over any excess kilowatt-hour credits | ||
earned and apply those credits to subsequent billing | ||
periods to offset any customer-generator consumption in | ||
those billing periods until all credits are used or until | ||
the end of the annualized period.
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(3) At the end of the year or annualized over the | ||
period that service is supplied by means of net metering, | ||
or in the event that the retail customer terminates service | ||
with the electricity provider prior to the end of the year | ||
or the annualized period, any remaining credits in the | ||
customer's account shall expire.
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(d-5) An electricity provider shall measure and charge or | ||
credit for the net electricity
supplied to eligible customers | ||
or provided by eligible customers whose electric service has | ||
not
been declared competitive pursuant to Section 16-113 of | ||
this Act as of July 1, 2011 and whose electric delivery
service | ||
is provided and measured on a kilowatt-hour basis and electric | ||
supply service is provided
based on hourly pricing in the | ||
following manner: | ||
(1) If the amount of electricity used by the customer | ||
during any hourly period exceeds the amount of electricity | ||
produced by the customer, the electricity provider shall | ||
charge the customer for the net electricity supplied to and | ||
used by the customer according to the terms of the contract | ||
or tariff to which the same customer would be assigned to | ||
or be eligible for if the customer was not a net metering | ||
customer. | ||
(2) If the amount of electricity produced by a customer | ||
during any hourly period exceeds the amount of electricity | ||
used by the customer during that hourly period, the energy | ||
provider shall apply a credit for the net kilowatt-hours | ||
produced in such period. The credit shall consist of an | ||
energy credit and a delivery service credit. The energy
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credit shall be valued at the same price per kilowatt-hour | ||
as the electric service provider
would charge for | ||
kilowatt-hour energy sales during that same hourly period. | ||
The delivery credit shall be equal to the net | ||
kilowatt-hours produced in such hourly period times a | ||
credit that reflects all kilowatt-hour based charges in the | ||
customer's electric service rate, excluding energy | ||
charges. | ||
(e) An electricity provider shall measure and charge or | ||
credit for the net electricity supplied to eligible customers | ||
whose electric service has not been declared competitive | ||
pursuant to Section 16-113 of this Act as of July 1, 2011 and | ||
whose electric delivery service is provided and measured on a | ||
kilowatt demand basis and electric supply service is not | ||
provided based on hourly pricing in the following manner: | ||
(1) If the amount of electricity used by the customer | ||
during the billing period exceeds the amount of electricity | ||
produced by the customer, then the electricity provider | ||
shall charge the customer for the net electricity supplied | ||
to and used by the customer as provided in subsection (e-5) | ||
of this Section. The , provided that the electricity | ||
provider shall assess and the customer shall remain remains | ||
responsible for all taxes, fees, and utility delivery | ||
charges that would otherwise be applicable to the net gross | ||
amount of electricity used by kilowatt-hours supplied to | ||
the eligible customer by the electricity provider. | ||
(2) If the amount of electricity produced by a customer | ||
during the billing period exceeds the amount of electricity | ||
used by the customer during that billing period, then the | ||
electricity provider supplying that customer shall apply a | ||
1:1 kilowatt-hour credit that reflects the kilowatt-hour | ||
based charges in the customer's electric service rate to a | ||
subsequent bill for service to the customer for the net | ||
electricity supplied to the electricity provider. The | ||
electricity provider shall continue to carry over any | ||
excess kilowatt-hour credits earned and apply those | ||
credits to subsequent billing periods to offset any | ||
customer-generator consumption in those billing periods | ||
until all credits are used or until the end of the | ||
annualized period. | ||
(3) At the end of the year or annualized over the | ||
period that service is supplied by means of net metering, | ||
or in the event that the retail customer terminates service | ||
with the electricity provider prior to the end of the year | ||
or the annualized period, any remaining credits in the | ||
customer's account shall expire. | ||
(e-5) An electricity provider shall provide electric | ||
service to eligible customers whose electric service has not | ||
been declared competitive pursuant to Section 16-113 of this | ||
Act and whose electric supply service is not provided based on | ||
hourly pricing who utilize net metering at non-discriminatory | ||
rates that are identical, with respect to rate structure, | ||
retail rate components, and any monthly charges, to the rates | ||
that the customer would be charged if not a net metering | ||
customer. An electricity provider shall not charge net metering | ||
customers any fee or charge or require additional equipment, | ||
insurance, or any other requirements not specifically | ||
authorized by interconnection standards authorized by the | ||
Commission, unless the fee, charge, or other requirement would | ||
apply to other similarly situated customers who are not net | ||
metering customers. The customer will remain responsible for | ||
all taxes, fees, and utility delivery charges that would | ||
otherwise be applicable to the net amount of electricity used | ||
by the customer. Subsections (c) through (e) of this Section | ||
shall not be construed to prevent an arms-length agreement | ||
between an electricity provider and an eligible customer that | ||
sets forth different prices, terms, and conditions for the | ||
provision of net metering service, including, but not limited | ||
to, the provision of the appropriate metering equipment for | ||
non-residential customers.
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(f) Notwithstanding the requirements of subsections (c) | ||
through (e-5) of this Section, an electricity provider must | ||
require dual-channel metering for customers operating eligible | ||
renewable electrical generating facilities with a nameplate | ||
rating up to 2,000 kilowatts and to whom the provisions of | ||
neither subsection (d), (d-5), nor (e) of this Section apply. | ||
In such cases, electricity charges and credits shall be | ||
determined as follows:
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(1) The electricity provider shall assess and the | ||
customer remains responsible for all taxes, fees, and | ||
utility delivery charges that would otherwise be | ||
applicable to the gross amount of kilowatt-hours supplied | ||
to the eligible customer by the electricity provider. | ||
(2) Each month that service is supplied by means of | ||
dual-channel metering, the electricity provider shall | ||
compensate the eligible customer for any excess | ||
kilowatt-hour credits at the electricity provider's | ||
avoided cost of electricity supply over the monthly period | ||
or as otherwise specified by the terms of a power-purchase | ||
agreement negotiated between the customer and electricity | ||
provider. | ||
(3) For all eligible net metering customers taking | ||
service from an electricity provider under contracts or | ||
tariffs employing time of use rates, any monthly | ||
consumption of electricity shall be calculated according | ||
to the terms of the contract or tariff to which the same | ||
customer would be assigned to or be eligible for if the | ||
customer was not a net metering customer. When those same | ||
customer-generators are net generators during any discrete | ||
time of use period, the net kilowatt-hours produced shall | ||
be valued at the same price per kilowatt-hour as the | ||
electric service provider would charge for retail | ||
kilowatt-hour sales during that same time of use period.
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(g) For purposes of federal and State laws providing | ||
renewable energy credits or greenhouse gas credits, the | ||
eligible customer shall be treated as owning and having title | ||
to the renewable energy attributes, renewable energy credits, | ||
and greenhouse gas emission credits related to any electricity | ||
produced by the qualified generating unit. The electricity | ||
provider may not condition participation in a net metering | ||
program on the signing over of a customer's renewable energy | ||
credits; provided, however, this subsection (g) shall not be | ||
construed to prevent an arms-length agreement between an | ||
electricity provider and an eligible customer that sets forth | ||
the ownership or title of the credits.
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(h) Within 120 days after the effective date of this
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amendatory Act of the 95th General Assembly, the Commission | ||
shall establish standards for net metering and, if the | ||
Commission has not already acted on its own initiative, | ||
standards for the interconnection of eligible renewable | ||
generating equipment to the utility system. The | ||
interconnection standards shall address any procedural | ||
barriers, delays, and administrative costs associated with the | ||
interconnection of customer-generation while ensuring the | ||
safety and reliability of the units and the electric utility | ||
system. The Commission shall consider the Institute of | ||
Electrical and Electronics Engineers (IEEE) Standard 1547 and | ||
the issues of (i) reasonable and fair fees and costs, (ii) | ||
clear timelines for major milestones in the interconnection | ||
process, (iii) nondiscriminatory terms of agreement, and (iv) | ||
any best practices for interconnection of distributed | ||
generation.
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(i) All electricity providers shall begin to offer net | ||
metering
no later than April 1,
2008.
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(j) An electricity provider shall provide net metering to | ||
eligible
customers until the load of its net metering customers | ||
equals 5% of
the total peak demand supplied by
that electricity | ||
provider during the
previous year. Electricity providers are | ||
authorized to offer net metering beyond
the 5% level if they so | ||
choose.
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(k) Each electricity provider shall maintain records and | ||
report annually to the Commission the total number of net | ||
metering customers served by the provider, as well as the type, | ||
capacity, and energy sources of the generating systems used by | ||
the net metering customers. Nothing in this Section shall limit | ||
the ability of an electricity provider to request the redaction | ||
of information deemed by the Commission to be confidential | ||
business information. Each electricity provider shall notify | ||
the Commission when the total generating capacity of its net | ||
metering customers is equal to or in excess of the 5% cap | ||
specified in subsection (j) of this Section. | ||
(l) Notwithstanding the definition of "eligible customer" | ||
in item (i) of subsection (b) of this Section, each electricity | ||
provider shall consider whether to allow meter aggregation for | ||
the purposes of net metering on:
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(1) properties owned or leased by multiple customers | ||
that contribute to the operation of an eligible renewable | ||
electrical generating facility, such as a community-owned | ||
wind project, a community-owned biomass project, a | ||
community-owned solar project, or a community methane | ||
digester processing livestock waste from multiple sources; | ||
and
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(2) individual units, apartments, or properties owned | ||
or leased by multiple customers and collectively served by | ||
a common eligible renewable electrical generating | ||
facility, such as an apartment building served by | ||
photovoltaic panels on the roof.
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For the purposes of this subsection (l), "meter | ||
aggregation" means the combination of reading and billing on a | ||
pro rata basis for the types of eligible customers described in | ||
this Section.
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(m) Nothing in this Section shall affect the right of an | ||
electricity provider to continue to provide, or the right of a | ||
retail customer to continue to receive service pursuant to a | ||
contract for electric service between the electricity provider | ||
and the retail customer in accordance with the prices, terms, | ||
and conditions provided for in that contract. Either the | ||
electricity provider or the customer may require compliance | ||
with the prices, terms, and conditions of the contract.
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(Source: P.A. 97-616, eff. 10-26-11; 97-646, eff. 12-30-11.) | ||
(220 ILCS 5/16-111.5B) | ||
Sec. 16-111.5B. Provisions relating to energy efficiency | ||
procurement. | ||
(a) Beginning in 2012, procurement plans prepared pursuant | ||
to Section 16-111.5 of this Act shall be subject to the | ||
following additional requirements: | ||
(1) The analysis included pursuant to paragraph (2) of | ||
subsection (b) of Section 16-111.5 shall also include the | ||
impact of energy efficiency building codes or appliance | ||
standards, both current and projected. | ||
(2) The procurement plan components described in | ||
subsection (b) of Section 16-111.5 shall also include an | ||
assessment of opportunities to expand the programs | ||
promoting energy efficiency measures that have been | ||
offered under plans approved pursuant to Section 8-103 of | ||
this Act or to implement additional cost-effective energy | ||
efficiency programs or measures. | ||
(3) In addition to the information provided pursuant to | ||
paragraph (1) of subsection (d) of Section 16-111.5 of this | ||
Act, each Illinois utility procuring power pursuant to that | ||
Section shall annually provide to the Illinois Power Agency | ||
by July 15 of each year, or such other date as may be | ||
required by the Commission or Agency, an assessment of | ||
cost-effective energy efficiency programs or measures that | ||
could be included in the procurement plan. The assessment | ||
shall include the following: | ||
(A) A comprehensive energy efficiency potential | ||
study for the utility's service territory that was | ||
completed within the past 3 years. | ||
(B) Beginning in 2014, the most recent analysis | ||
submitted pursuant to Section 8-103A of this Act and | ||
approved by the Commission under subsection (f) of | ||
Section 8-103 of this Act. | ||
(C) Identification of new or expanded | ||
cost-effective energy efficiency programs or measures | ||
that are incremental to those included in energy | ||
efficiency and demand-response plans approved by the | ||
Commission pursuant to Section 8-103 of this Act and | ||
that would be offered to all retail customers whose | ||
electric service has not been declared competitive | ||
under Section 16-113 of this Act and who are eligible | ||
to purchase power and energy from the utility under | ||
fixed-price bundled service tariffs, regardless of | ||
whether such customers actually do purchase such power | ||
and energy from the utility eligible retail customers. | ||
(D) Analysis showing that the new or expanded | ||
cost-effective energy efficiency programs or measures | ||
would lead to a reduction in the overall cost of | ||
electric service. | ||
(E) Analysis of how the cost of procuring | ||
additional cost-effective energy efficiency measures | ||
compares over the life of the measures to the | ||
prevailing cost of comparable supply. | ||
(F) An energy savings goal, expressed in | ||
megawatt-hours, for the year in which the measures will | ||
be implemented. | ||
(G) For each expanded or new program, the estimated | ||
amount that the program may reduce the agency's need to | ||
procure supply. | ||
In preparing such assessments, a utility shall conduct | ||
an annual solicitation process for purposes of requesting | ||
proposals from third-party vendors, the results of which | ||
shall be provided to the Agency as part of the assessment, | ||
including documentation of all bids received. The utility | ||
shall develop requests for proposals consistent with the | ||
manner in which it develops requests for proposals under | ||
plans approved pursuant to Section 8-103 of this Act, which | ||
considers input from the Agency and interested | ||
stakeholders. | ||
(4) The Illinois Power Agency shall include in the | ||
procurement plan prepared pursuant to paragraph (2) of | ||
subsection (d) of Section 16-111.5 of this Act energy | ||
efficiency programs and measures it determines are | ||
cost-effective and the associated annual energy savings | ||
goal included in the annual solicitation process and | ||
assessment submitted pursuant to paragraph (3) of this | ||
subsection (a). | ||
(5) Pursuant to paragraph (4) of subsection (d) of | ||
Section 16-111.5 of this Act, the Commission shall also | ||
approve the energy efficiency programs and measures | ||
included in the procurement plan, including the annual | ||
energy savings goal, if the Commission determines they | ||
fully capture the potential for all achievable | ||
cost-effective savings, to the extent practicable, and | ||
otherwise satisfy the requirements of Section 8-103 of this | ||
Act. | ||
In the event the Commission approves the procurement of | ||
additional energy efficiency, it shall reduce the amount of | ||
power to be procured under the procurement plan to reflect | ||
the additional energy efficiency and shall direct the | ||
utility to undertake the procurement of such energy | ||
efficiency, which shall not be subject to the requirements | ||
of subsection (e) of Section 16-111.5 of this Act. The | ||
utility shall consider input from the Agency and interested | ||
stakeholders on the procurement and administration | ||
process. | ||
(6) An electric utility shall recover its costs | ||
incurred under this Section related to the implementation | ||
of energy efficiency programs and measures approved by the | ||
Commission in its order approving the procurement plan | ||
under Section 16-111.5 of this Act, including, but not | ||
limited to, all costs associated with complying with this | ||
Section and all start-up and administrative costs and the | ||
costs for any evaluation, measurement, and verification of | ||
the measures, from all retail customers whose electric | ||
service has not been declared competitive under Section | ||
16-113 of this Act and who are eligible to purchase power | ||
and energy from the utility under fixed-price bundled | ||
service tariffs, regardless of whether such customers | ||
actually do purchase such power and energy from the utility | ||
eligible retail customers through the automatic adjustment | ||
clause tariff established pursuant to Section 8-103 of this | ||
Act, provided, however, that the limitations described in | ||
subsection (d) of that Section shall not apply to the costs | ||
incurred pursuant to this Section or Section 16-111.7 of | ||
this Act. | ||
(b) For purposes of this Section, the term "energy | ||
efficiency" shall have the meaning set forth in Section 1-10 of | ||
the Illinois Power Agency Act, and the term "cost-effective" | ||
shall have the meaning set forth in subsection (a) of Section | ||
8-103 of this Act. In addition, the estimated costs to acquire | ||
an additional energy efficiency measure, when divided by the | ||
number of kilowatt-hours expected to be saved over the life of | ||
the measure, shall be less than or equal to the electricity | ||
costs that would be avoided as a result of the energy | ||
efficiency measure.
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(Source: P.A. 97-616, eff. 10-26-11.)
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Section 99. Effective date. This Act takes effect upon | ||
becoming law.
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