Energy: net energy metering.

Existing law relative to private energy producers requires every electric utility, as defined, to make available to an eligible customer‑generator, as defined, a standard contract or tariff for net energy metering on a first-come-first-served basis until the time that the total rated generating capacity used by eligible customer‑generators exceeds 5% of the electric utility's aggregate customer peak demand. Existing law requires the electric utility, upon an affirmative election by the eligible customer-generator to receive service pursuant to this contract or tariff, to either: (1) provide net surplus electricity compensation for any net surplus electricity generated in the 12-month period, or (2) allow the eligible customer-generator to apply the net surplus electricity as a credit for kilowatthours subsequently supplied by the electric utility to the surplus customer-generator. This bill would authorize an eligible customer-generator with multiple meters to elect to aggregate the electrical load of the meters located on the property where the generation facility is located and on all property adjacent or contiguous to the property on which the generation facility is located, if those properties are solely owned, leased, or rented by the eligible customer-generator, as provided. For an electric utility that is an electrical corporation, the bill would condition this authorization upon the commission making a determination that permitting eligible customer-generators to aggregate their load from multiple meters will not result in an increase in the expected revenue obligations of customers who are not eligible customer-generators. For an electric utility that is a local publicly owned electric utility or electrical cooperative, the bill would condition this authorization upon the utility's ratemaking authority, as defined, making a determination that permitting aggregation will not result in an increase in the expected revenue obligations of customers who are not eligible customer-generators. The bill would prohibit an eligible customer-generator that chooses to aggregate from receiving net surplus electricity compensation and require the electric utility to retain kilowatthours, as prescribed. Existing law establishes a net energy metering program that is available to an eligible fuel cell customer-generator, as defined. Existing law requires that the net metering calculation be made by measuring the difference between the electricity supplied to the eligible fuel cell customer-generator and the electricity generated by the eligible fuel cell customer-generator and fed back to the electrical grid over a 12-month period. Existing law requires that an electrical corporation determine if the eligible fuel cell customer-generator was a net consumer or producer of electricity during the 12-month period. For purposes of making this determination, existing law requires that the electrical corporation aggregate the electrical load of the eligible fuel cell customer-generator under the same ownership. This bill would require that in making the determination whether the eligible fuel cell customer-generator is a net consumer or producer of electricity during the 12-month period, the electrical corporation is to aggregate the electrical load of the meters located on the property where the eligible fuel cell electrical generation facility is located and on all property adjacent or contiguous to the property on which the facility is located, if those properties are solely owned, leased, or rented by the eligible fuel cell customer-generator. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime. Because the bill would require an expansion of the above-described net energy metering programs and would require an order or decision of the commission to implement, a violation of these provisions would impose a state-mandated local program by expanding the definition of a crime. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. This bill would incorporate additional changes in Section 2827.10 of the Public Utilities Code, proposed by AB 2165, to be operative only if AB 2165 and this bill are both chaptered and become effective on or before January 1, 2013, and this bill is chaptered last.