Bill Summary for H 332 (2015-2016)

Summary date: 

May 19 2015

Bill Information:

View NCGA Bill Details2015-2016 Session
House Bill 332 (Public) Filed Monday, March 23, 2015
AN ACT TO PROVIDE RECOVERY OF CAPITAL RELATED COSTS INCURRED BY A NATURAL GAS UTILITY FOR CONSTRUCTING NATURAL GAS INFRASTRUCTURE FOR A LARGE MANUFACTURING EMPLOYER, AND TO AMEND THE LAWS RELATED TO ENERGY POLICY.
Intro. by Hager, Collins, McElraft, Saine.

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Bill summary

Senate committee substitute makes the following changes to the 3rd edition.

Amends the short and long titles.

Adds new Part II to the bill, Amendments to Energy Policy Updated REPS Requirementsmaking the following changes to the Renewable Energy and Energy Efficiency Portfolio Standard (REPS) program in GS 62-133.8: (1) capping REPS requirements to 6% of 2014 NC retail sales in 2015 and thereafter, (2) eliminating the authority of utilities to charge account holders a higher annual fee in 2015 and thereafter to recover costs related to REPS implementation (capped at 2012 amounts) (effective July 1, 2015), (3) allowing electric public utilities to meet 50% of the requirement for reducing energy consumption through energy efficiency measures (was, 25%) (effective July 1, 2015).

Provides that the Utilities Commission can allow an electric power supplier to recover incremental costs it incurred before July 1, 2015, in order to comply with REPS requirements that are amended or repealed in the act.

Amends GS 62-3(27a) concerning the definition for small power producer, providing that for the purposes of that section renewable resources, in addition to including hydroelectric power, also means solar electric, solar thermal, wind, geothermal, ocean current, wave energy resources, and biomass derived from agricultural waste, animal waste, wood waste, spent pulping liquors, combustible residues, liquids, or gases not derived from fossil fuel, energy crops, or landfill methane. Effective January 1, 2017, applying to facilities that have applied for a certificate of public convenience and necessity on or after that date.

Amends GS 62-156(b)(1) concerning terms of contracts for power sales by small power producers to public utilities, adding language that provides that the Utilities Commission must require public utilities to provide standard contracts to small power facilities which generate electricity from swine and/or poultry waste that has a capacity of no greater than five megawatts. Provides that the Utilities Commission must require electric public utilities to provide standard contracts for small power producers that have a capacity no greater than 100 kilowatts that generate electricity from all other renewable energy resources. Enacts new subsection (b)(4), providing that the standard contracts cannot require payment for capacity when the utility lacks a capacity need. Effective January 1, 2017, applying to facilities that have applied for a certificate of public convenience and necessity on or after that date.

Requires the Joint Legislative Commission on Energy Policy to study (1) the reforms to the REPS requirements, (2) issues related to grid security and stability related to dispatchable versus non-dispatchable power, and (3) any other matter related to the long-term energy needs of the state.

Adds a severability clause. 

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