June 12, 2014, Introduced by Reps. McBroom, Switalski, Irwin, McMillin, Roberts, Dianda, Barnett, Kivela, Zemke, Townsend, Lamonte, Robinson, Kelly and Hovey-Wright and referred to the Committee on Energy and Technology.
A bill to amend 2008 PA 295, entitled
"Clean, renewable, and efficient energy act,"
by amending section 173 (MCL 460.1173).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 173. (1) The commission shall establish a statewide net
metering
program by order, issued not later than 180 days after the
effective
date of this act. No later than 180 days after the
effective
date of this act, and the commission shall promulgate
rules regarding any time limits on the submission of net metering
applications or inspections of net metering equipment and any other
matters the commission considers necessary to implement this part.
Any rules adopted regarding time limits for approval of parallel
operation shall recognize reliability and safety complications
including those arising from equipment saturation, use of multiple
technologies, and proximity to synchronous motor loads. The program
shall apply to all electric utilities and alternative electric
suppliers in this state. Except as otherwise provided under this
part,
customers a customer of any class are is eligible
to
interconnect
an eligible electric generators generator with the
customer's
local electric utility and operate the generators
generator in parallel with the distribution system. The program
shall
be designed for a period of not less than 10 20 years. and
limit
each customer to generation capacity designed to meet only
the
customer's electric needs. The
commission may waive the
application, interconnection, and installation requirements of this
part for customers participating in the net metering program under
the commission's March 29, 2005 order in case no. U-14346.
(2)
An electric utility or alternative electric supplier is
not
required to allow for net metering that is greater than 1% of
its
in-state peak load for the preceding calendar year. The utility
or
supplier shall notify the commission if its net metering program
reaches
the 1% requirement under this subsection. The 1% limit
under
this subsection shall be allocated as follows:
(a)
No more than 0.5% for customers with a system capable of
generating
20 kilowatts or less.
(b)
No more than 0.25% for customers with a system capable of
generating
more than 20 kilowatts but not more than 150 kilowatts.
(c)
No more than 0.25% for customers with a system capable of
generating
more than 150 kilowatts.
(2) (3)
Selection of customers who have submitted a completed
application for participation in the net metering program shall be
based
on the order in which the applications for participation in
the
net metering program are received by the electric utility or
alternative
electric supplier.solely on
meeting the interconnection
and equipment requirements for participation. An electric utility
or alternative electric supplier shall not restrict the number of
participants in the net metering program unless it demonstrates to
the satisfaction of the commission that the restriction is
necessary to protect the public health and safety or the integrity
of the distribution system in a hearing before the commission.
(3) (4)
An electric utility or alternative
electric supplier
shall
not refuse to provide or and
shall not discontinue electric
service
to a customer solely for the reason that because the
customer participates in the net metering program.
(4) (5)
The program created under
subsection (1) shall include
all of the following:
(a) Statewide uniform interconnection requirements for all
eligible electric generators. The interconnection requirements
shall be designed to protect electric utility workers and equipment
and the general public.
(b) Net metering equipment and its installation must meet all
current local and state electric and construction code
requirements. Any equipment that is certified by a nationally
recognized testing laboratory to IEEE 1547.1 testing standards and
in compliance with UL 1741 scope 1.1A, effective May 7, 2007, or
certified to updates of those testing standards and the UL scope
that are adopted by the commission, and that is installed in
compliance with this part is considered to be eligible equipment.
Within the time provided by the commission in rules promulgated
under subsection (1) and consistent with good utility practice,
protection of electric utility workers, protection of electric
utility equipment, and protection of the general public, an
electric utility may study, confirm, and ensure that an eligible
electric generator installation at the customer's site meets the
IEEE 1547 anti-islanding requirements or a commission-adopted
update to those requirements. Utility testing and approval of the
interconnection and execution of a parallel operating agreement
must be completed prior to the equipment operating in parallel with
the distribution system of the utility.
(c) A uniform application form and process to be used by all
electric utilities and alternative electric suppliers in this
state. Customers who are served by an alternative electric supplier
shall submit a copy of the application to the electric utility for
the customer's service area.
(d)
Net metering customers with a system capable of generating
20
kilowatts or less qualify for true net metering.
(e)
Net metering customers with a system capable of generating
more
than 20 kilowatts qualify for modified net metering.
(5) (6)
Each electric utility and
alternative electric
supplier shall maintain records of all applications and up-to-date
records of all active eligible electric generators located within
their
its service area.