OREGON – PUC Grants Net Metering Rights to Third-Party Owners of Small Distributed Generators

On July 31, 2008, the Oregon Public Utilities Commission issued an order (Docket DR 40) granting net metering rights to third party owners of small distributed generators which are located on utility customer premises and are eligible for net metering (primarily renewables). The order also states that these providers are not considered public utilities or electric service suppliers, and that the relevant utility must still plan within its Integrated Resource Plan to serve any electricity demand of the end consumer not met by the third party owner.

This case was initiated by Honeywell and Pacific Power, a subsidiary of Pacificorp/ MidAmerican, (see their joint petition filed June 6, 2008.) The key question in this case was: Is the third party provider entitled to a net metering payment from the utility for excess power fed back to the grid? This case may set a precedent for other states to follow.


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