Rhode Island PUC issues Net Metering Order

RHODE ISLAND – On March 11, the Rhode Island PUC issued Order 19590, effectively approving National Grid’s Qualifying Facilities Power Purchase Rate, No. 2010-A. These changes came about as a result of net metering legislation passed in July 2008. This legislation increased the size caps for eligible systems to 3.5 MW for systems owned by cities, towns or the Narragansett Bay Commission; 2.25 MW for systems developed but not owned by cities and towns, sited on land owned by the city or town, and providing power solely to the city or town; 1.65 MW for other customers.

This net metering order applies only to solar and wind generating facilities, the generation from which is credited at a rate slightly less than utility’s retail rate and carried forward for a 12-month period. Renewable generation credits are defined as equal to the excess kWhs (according to TOU billing period, if applicable) multiplied by 1) the distribution company’s standard offer service kWh charge for the appropriate customer rate class, 2) distribution kWh charge, 3) transmission kWh charge and 4) transition charge. Nonbypassable charges such as demand side management and renewable energy charges would not be credited. NEG remaining at the end of a 12-month period is transferred to the Rhode Island Renewable Energy Low-Income Fund.

Cities, towns, schools, farms and the Narragansett Bay Commission may apply NEG to another account owned by that entity (up to five accounts). Affordable housing nonprofits may apply NEG credits to other accounts within the housing development. See docket #3999 for more information.

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