SOLAR CAPACITY LIMIT INCREASE. (NEW)

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View NCGA Bill Details2023-2024 Session
House Bill 535 (Public) Filed Wednesday, March 29, 2023
AN ACT TO INCREASE THE ROOFTOP SOLAR LEASING CAP.
Intro. by K. Hall, McNeely, Paré, Carney.

Status: Ref To Com On Rules and Operations of the Senate (Senate action) (May 4 2023)

SOG comments (2):

Long title change

Committee substitute to the 1st edition changed the long title. Original long title was AN ACT TO ELIMINATE THE CAP ON ROOFTOP SOLAR LEASING AND TO ELIMINATE THE CAP ON NET METERING.

Long title change

House committee substitute to the 2nd edition changed the long title. Previous title was AN ACT TO INCREASE THE CAPS ON ROOFTOP SOLAR LEASING AND ON NET METERING.

H 535

Bill Summaries:

  • Summary date: May 3 2023 - View Summary

    House committee substitute to the 2nd edition makes the following changes.

    Establishes distinct caps under GS 62-126.5 on the capacity of a solar energy facility leased to an individual customer generator lessee pursuant to GS 62-126.5, based on the type of customer, now limiting capacity to (1) not more than the lesser of 1,000 kW or 100% of contract demand if a nonresidential customer, or (2) not more than 20 kW or 100% of estimated electrical demand if a residential customer (previously capped at a capacity greater than 1 MW or the customer's contract demand which approximates their expected demand, whichever is less). Specifies that the act applies to solar energy facility leases executed on or after July 1, 2023. 

    Deletes the proposed changes to GS 62-126.4 and GS 62-133.8, which required the Utilities Commission to expand net metering at the applicable net metering rate to customers that own and operate a renewable energy facility with a capacity of not more than 5 MW or the customer's contract demand which must approximate the customer's maximum expected demand, whichever is less. 

    Changes the act's long title. 


  • Summary date: Apr 18 2023 - View Summary

    House committee substitute to the 1st edition makes the following changes. Deletes amendments to GS 62-126.5 that remove the cap on the total installed capacity of all solar energy facilities on an offering utility’s system that are leased. Instead increases that cap from 1% to 10% of the previous five-year average of the NC retail contribution to the offering utility’s coincident retail peak demand. Further specifies that a solar energy facility leased to an individual customer generator lessee pursuant to GS 62-126.5 cannot have a capacity greater than 1 MW (megawatt) or the customer's contract demand which must approximate the customer's maximum expected demand, whichever is less. Effective July 1, 2023, and applies to solar facility leases executed on or after that date.

    Deletes proposed amendment to GS 62-126.4 that required the North Carolina Utilities Commission (Commission) to continue to allow net metering for any customer owning and operating a renewable energy facility that generates electricity with a capacity up to 1 MW at the applicable net metering rate in place at the time of interconnection.  Requires Commission to expand net metering at the applicable net metering rate to customers that own and operate a renewable energy facility with a capacity of not more than 5 MW or the customer's contract demand which must approximate the customer's maximum expected demand, whichever is less. Specifies that to comply with the terms of the section, a participating customer's meter may be served only by a renewable energy facility that serves only one premises (was, a requirement that the Commission expand net metering at the applicable net metering rate in place at the time of interconnection to customers owning and operating a renewable energy facility with a capacity over 1 MW that is intended primarily to offset the customer's annual usage).

    Amends changes to GS 62-133.8 by now requiring that the Commission adopt rules for electric public utilities for net metering of renewable energy facilities with a generation capacity of 5 MW or the customer’s contract demand which must approximate the customer's maximum expected demand, whichever is less (was, a generation capacity intended primarily to offset the customer's annual usage).

    Makes organizational changes and conforming changes to the effective date and titles.


  • Summary date: Mar 29 2023 - View Summary

    Amends GS 62-126.5 by removing the cap on the total installed capacity of all solar energy facilities on an offering utility's system that are leased.

    Amends GS 62-126.4 by requiring the North Carolina Utilities Commission (Commission) to continue to allow net metering for any customer owning and operating a renewable energy facility that generates electricity with a capacity up to 1 MW (megawatt) at the applicable net metering rate in place at the time of interconnection. Requires the Commission to expand net metering at the applicable net metering rate in place at the time of interconnection to customers owning and operating a renewable energy facility with a capacity over 1 MW that is intended primarily to offset the customer's annual usage.

    Amends GS 62-133.8 by amending rules that must be adopted by the Commission to require the adoption of rules (was, required to consider if it is in the public interest to adopt rules) for electric public utilities for net metering of renewable energy facilities with a generation capacity intended primarily to offset the customer's annual usage (was, with a generation capacity of one megawatt or less).

    Effective July 1, 2023.