Bill Text: NY A05785 | 2009-2010 | General Assembly | Introduced


Bill Title: An act to amend the public service law and the public authorities law, in relation to net energy metering for solar, wind, fuel cell and farm waste electric generating systems; and to repeal section 66-l of the public service law relating to net energy metering for residential and/or farm service wind electric generating systems

Spectrum: Moderate Partisan Bill (Democrat 39-5)

Status: (Introduced - Dead) 2010-01-06 - referred to energy [A05785 Detail]

Download: New_York-2009-A05785-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         5785
                              2009-2010 Regular Sessions
                                 I N  A S S E M B L Y
                                   February 20, 2009
                                      ___________
       Introduced by M. of A. ENGLEBRIGHT, BENEDETTO, SWEENEY, BRADLEY, REILLY,
         FIELDS,  DESTITO,  JACOBS, MAISEL, DelMONTE, J. RIVERA, MARKEY, GALEF,
         MILLMAN, KOON, CAHILL, GUNTHER, LUPARDO, CARROZZA, MAGNARELLI,  SCHIM-
         MINGER, ALFANO, ESPAILLAT, HOOPER, O'DONNELL, ROSENTHAL, BROOK-KRASNY,
         GORDON, STIRPE, SPANO, TITONE, ALESSI, JAFFEE, KAVANAGH -- Multi-Spon-
         sored  by  -- M. of A. BING, BOYLAND, BRENNAN, CALHOUN, COLTON, CONTE,
         COOK, EDDINGTON,  GIGLIO,  GOTTFRIED,  HYER-SPENCER,  JEFFRIES,  KOLB,
         LATIMER, P. LOPEZ, MAGEE, MAYERSOHN, McENENY, PAULIN, PHEFFER, WEISEN-
         BERG -- read once and referred to the Committee on Energy
       AN  ACT  to amend the public service law and the public authorities law,
         in relation to net energy metering for solar, wind, fuel cell and farm
         waste electric generating systems; and to repeal section 66-l  of  the
         public  service  law  relating  to net energy metering for residential
         and/or farm service wind electric generating systems
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  The  section heading and subdivisions 1, 2, 3, 4 and 5 of
    2  section 66-j of the public service law, the section heading,  paragraphs
    3  (a),  (d)  and  (e) of subdivision 1, subdivision 2, paragraphs (a), (b)
    4  and (c) of subdivision 3 and paragraphs (c) and (d) of subdivision 4  as
    5  amended  by  chapter 452 of the laws of 2008, subdivisions 1, 3, 4 and 5
    6  as amended by chapter 515 of the laws of 2002 and paragraph (b) and  the
    7  opening  paragraph of paragraph (e) of subdivision 1 as amended by chap-
    8  ter 480 of the laws of 2008, are amended to read as follows:
    9    Net energy metering for [residential] solar, WIND, FUEL CELL  OR  farm
   10  waste  [or  non-residential solar] electric generating systems. 1. Defi-
   11  nitions. As used in this section, the following  terms  shall  have  the
   12  following meanings:
   13    (a)  "Customer-generator" means:   (i) [a residential] ANY customer of
   14  an electric corporation, who owns or operates solar, WIND OR  FUEL  CELL
   15  electric generating equipment, OR ANY HYBRID EQUIPMENT COMPOSED OF THESE
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09113-01-9
       A. 5785                             2
    1  THREE  TECHNOLOGIES located and used at his or her [residence] PREMISES;
    2  AND (ii) a customer of an electric corporation,  who  owns  or  operates
    3  farm  waste electric generating equipment located and used at his or her
    4  "farm  operation,"  as  such  term  is  defined in subdivision eleven of
    5  section three hundred one of the agriculture and markets law[; and (iii)
    6  a non-residential customer of an  electric  corporation  which  owns  or
    7  operates  solar  electric  generating  equipment located and used at its
    8  premises].
    9    (b) "Net energy meter" means a meter that measures the reverse flow of
   10  electricity to register the difference between the electricity  supplied
   11  by an electric corporation to the customer-generator and the electricity
   12  provided to the corporation by that customer-generator.
   13    (c) "Net energy metering" means the use of a net energy meter to meas-
   14  ure,  during  the billing period applicable to a customer-generator, the
   15  net amount of  electricity  supplied  by  an  electric  corporation  and
   16  provided to the corporation by a customer-generator.
   17    (d)  "Solar electric generating equipment" means a photovoltaic system
   18  [(i) (A) in the case of a residential customer,] with a  rated  capacity
   19  of  not  more than [twenty-five] TWO THOUSAND kilowatts[; and (B) in the
   20  case of a non-residential customer, with a rated capacity  of  not  more
   21  than  the  lesser of two thousand kilowatts or such customer's peak load
   22  as measured over the prior twelve month period, or in the case that such
   23  twelve month period of measurement is not available, then as  determined
   24  by  the  commission  based on its analysis of comparable facilities; and
   25  (ii)] that is manufactured, installed, and operated in  accordance  with
   26  applicable  government  and industry standards, that is connected to the
   27  electric system and operated in [conjunction] PARALLEL with an  electric
   28  corporation's  transmission  and  distribution  facilities,  and that is
   29  operated in compliance with any standards and  requirements  established
   30  under this section.
   31    (e)  "Farm  waste  electric generating equipment" means equipment that
   32  generates  electric  energy  from  biogas  produced  by  the   anaerobic
   33  digestion  of  agricultural  waste,  such  as  livestock manure, farming
   34  wastes and food processing wastes with a rated capacity of not more than
   35  [five hundred] TWO THOUSAND kilowatts, that is:
   36    i. manufactured, installed, and operated in accordance with applicable
   37  government and industry standards;
   38    ii. connected to the electric system and operated in conjunction  with
   39  an electric corporation's transmission and distribution facilities;
   40    iii. operated in compliance with any standards and requirements estab-
   41  lished under this section;
   42    iv. fueled at a minimum of ninety percent on an annual basis by biogas
   43  produced  from  the  anaerobic  digestion  of agricultural waste such as
   44  livestock manure materials, crop residues, and  food  processing  waste;
   45  and
   46    v.  fueled  by  biogas  generated by anaerobic digestion with at least
   47  fifty percent by weight of its feedstock being livestock manure  materi-
   48  als on an annual basis.
   49    (F)  "WIND  ELECTRIC  GENERATING  EQUIPMENT" MEANS A WIND GENERATOR OR
   50  GENERATORS WITH A COMBINED RATED CAPACITY OF NOT MORE THAN TWO  THOUSAND
   51  KILOWATTS  THAT  IS  MANUFACTURED,  INSTALLED AND OPERATED IN ACCORDANCE
   52  WITH APPLICABLE GOVERNMENT AND INDUSTRY STANDARDS, THAT IS CONNECTED  TO
   53  THE  ELECTRIC  SYSTEM  AND  OPERATED IN PARALLEL WITH AN ELECTRIC CORPO-
   54  RATION'S TRANSMISSION AND DISTRIBUTION FACILITIES, AND THAT IS  OPERATED
   55  IN COMPLIANCE WITH ANY STANDARDS AND REQUIREMENTS ESTABLISHED UNDER THIS
   56  SECTION.
       A. 5785                             3
    1    (G)  "FUEL  CELL  ELECTRIC  GENERATING EQUIPMENT" MEANS A SOLID OXIDE,
    2  MOLTEN CARBONATE, PROTON EXCHANGE MEMBRANE OR PHOSPHORIC ACID FUEL  CELL
    3  WITH  A  COMBINED RATED CAPACITY OF NOT MORE THAN TWO THOUSAND KILOWATTS
    4  THAT IS MANUFACTURED, INSTALLED AND OPERATED IN ACCORDANCE WITH APPLICA-
    5  BLE GOVERNMENT AND INDUSTRY STANDARDS, THAT IS CONNECTED TO THE ELECTRIC
    6  SYSTEM  AND  OPERATED  IN PARALLEL WITH AN ELECTRIC CORPORATION'S TRANS-
    7  MISSION AND DISTRIBUTION FACILITIES, AND THAT IS OPERATED IN  COMPLIANCE
    8  WITH ANY STANDARDS AND REQUIREMENTS ESTABLISHED UNDER THIS SECTION.
    9    (H)  "ELECTRIC CORPORATION" MEANS ANY PUBLIC OR PRIVATELY OWNED ENTITY
   10  THAT OFFERS RETAIL ELECTRICAL SERVICE TO END-USE ELECTRIC CONSUMERS.
   11    (I) "ELIGIBLE TECHNOLOGIES" MEANS THE SOLAR, WIND, FUEL CELL  OR  FARM
   12  WASTE ELECTRIC GENERATING EQUIPMENT.
   13    2.  Interconnection  and  net energy metering. An electric corporation
   14  shall provide for the interconnection of [solar and farm waste  electric
   15  generating  equipment]  ELIGIBLE  TECHNOLOGIES  owned  or  operated by a
   16  customer-generator and  for  net  energy  metering,  provided  that  the
   17  customer-generator  enters  into a net energy metering contract with the
   18  corporation or complies with the corporation's net energy metering sche-
   19  dule and complies with standards and requirements established under this
   20  section.
   21    3. Conditions of service. (a) [(i)] On or before  three  months  after
   22  the  effective  date  of  this  section, each electric corporation shall
   23  develop a model contract and file a schedule that establishes consistent
   24  and reasonable rates, terms and conditions for net  energy  metering  to
   25  customer-generators,  according to the requirements of this section. The
   26  commission shall render a decision within three months from the date  on
   27  which the schedule is filed.
   28    [(ii)  On  or  before  three  months  after the effective date of this
   29  subparagraph, each electric corporation shall develop a  model  contract
   30  and  file  a  schedule that establishes consistent and reasonable rates,
   31  terms and conditions for net energy metering to non-residential customer
   32  generators, according to the requirements of this section.  The  commis-
   33  sion  shall  render  a decision within three months of the date on which
   34  the schedule is filed.
   35    (iii) Each electric corporation shall make such contract and  schedule
   36  available  to  customer-generators  on a first come, first served basis,
   37  until the total rated generating capacity for solar and farm waste elec-
   38  tric generating equipment owned or operated  by  customer-generators  in
   39  the  corporation's  service  area  is  equivalent  to one percent of the
   40  corporation's electric demand for the year two thousand five, as  deter-
   41  mined by the department.]
   42    (b)  [Nothing  in  this  subdivision shall prohibit a corporation from
   43  providing net energy metering  to  additional  customer-generators.  The
   44  commission  shall  have the authority, after January first, two thousand
   45  twelve, to increase the percent limits if it determines that  additional
   46  net energy metering is in the public interest.
   47    (c)  In  the event that the electric corporation determines that it is
   48  necessary to install a dedicated transformer or transformers,  or  other
   49  equipment  to  protect  the  safety  and  adequacy  of  electric service
   50  provided to other customers, a customer-generator shall pay the electric
   51  corporation's actual costs of installing the  transformer  or  transfor-
   52  mers, or other equipment:
   53    (i)  In  the  case  of a customer-generator who owns or operates solar
   54  electric generating equipment located and used at his or her  residence;
   55  up to a maximum amount of three hundred fifty dollars.
       A. 5785                             4
    1    (ii)  In  the  case  of a customer-generator who owns or operates farm
    2  waste electric generating equipment located and used at his or her "farm
    3  operation," up to a total amount of  five  thousand  dollars  per  "farm
    4  operation".
    5    (iii)  In the case of a non-residential customer-generator who owns or
    6  operates solar electric generating equipment located  and  used  at  its
    7  premises, such cost shall be as determined by the department pursuant to
    8  standards established thereby.
    9    (d)]  An  electric  corporation  shall  impose no other charge or fee,
   10  including, BUT NOT LIMITED TO, back-up, stand by and demand charges, for
   11  the provision of net energy metering to a customer-generator, except  as
   12  provided in paragraph (d) of subdivision four of this section.
   13    4.  Rates.  An  electric  corporation shall use net energy metering to
   14  measure and charge for the net electricity supplied by  the  corporation
   15  and  provided  to  the corporation by a customer-generator, according to
   16  these requirements:
   17    (a) In the event that the amount of electricity supplied by the corpo-
   18  ration during the billing  period  exceeds  the  amount  of  electricity
   19  provided  by  a  customer-generator,  the  corporation  shall charge the
   20  customer-generator for the net electricity supplied at the same rate per
   21  kilowatt hour applicable to service provided to other customers  in  the
   22  same service class which do not generate electricity onsite.
   23    (b)  In the event that the amount of electricity produced by a custom-
   24  er-generator during the billing period exceeds the amount of electricity
   25  used by the customer-generator, the corporation shall apply a credit  to
   26  the  next  bill  for service to the customer-generator for the net elec-
   27  tricity provided at the  same  rate  per  kilowatt  hour  applicable  to
   28  service  provided  to other customers in the same service class which do
   29  not generate electricity onsite.
   30    (c) At the end of the year or annualized over the period that  service
   31  is  supplied  by  means  of  net  energy metering, the corporation shall
   32  promptly issue payment at its avoided cost to the customer-generator, as
   33  defined in subparagraph (i) or (ii) of paragraph (a) of subdivision  one
   34  of  this  section,  for the value of any remaining credit for the excess
   35  electricity produced during the year or over the  annualized  period  by
   36  the customer-generator.
   37    (d)  In  the event that the corporation imposes charges based on kilo-
   38  watt demand on customers who are  in  the  same  service  class  as  the
   39  customer-generator  but  which  do not generate electricity on site, the
   40  corporation may impose the same charges at the same rates to the custom-
   41  er-generator, provided, however,  that  the  kilowatt  demand  for  such
   42  demand  charges  is  determined  by the maximum measured kilowatt demand
   43  actually supplied by the corporation to  the  customer-generator  during
   44  the billing period.
   45    (E)  NET  ENERGY  METERING  SHALL BE ACCOMPLISHED USING A SINGLE METER
   46  CAPABLE OF REGISTERING THE FLOW OF ELECTRICITY  IN  TWO  DIRECTIONS.  AN
   47  ADDITIONAL  METER  OR  METERS TO MONITOR THE FLOW OF ELECTRICITY IN EACH
   48  DIRECTION  MAY BE INSTALLED WITH THE CONSENT OF THE  CUSTOMER-GENERATOR,
   49  AT  THE EXPENSE OF THE ELECTRIC CORPORATION, AND THE ADDITIONAL METERING
   50  SHALL BE USED ONLY TO PROVIDE THE INFORMATION  NECESSARY  TO  ACCURATELY
   51  BILL  OR CREDIT THE CUSTOMER-GENERATOR PURSUANT TO PARAGRAPH (F) OF THIS
   52  SUBDIVISION, OR TO COLLECT SYSTEM PERFORMANCE INFORMATION ON THE  ELIGI-
   53  BLE  TECHNOLOGY  FOR RESEARCH PURPOSES. IF THE EXISTING ELECTRICAL METER
   54  OF AN ELIGIBLE CUSTOMER-GENERATOR IS NOT CAPABLE OF MEASURING  THE  FLOW
   55  OF  ELECTRICITY  IN  TWO DIRECTIONS AND PROVIDED THE REASON THE METER IS
   56  NOT CAPABLE OF MEASURING THE FLOW  IN  TWO  DIRECTIONS  IS  NOT  RELATED
       A. 5785                             5
    1  EITHER  TO  A  MECHANICAL DEVICE INSTALLED BY AN ELECTRIC CORPORATION OR
    2  SUCH CORPORATION'S SELECTION OF A METER  WITHOUT  THIS  CAPABILITY  WHEN
    3  OTHER  METERS  CAPABLE  OF  MEASURING  THE  FLOW  OF  ELECTRICITY IN TWO
    4  DIRECTIONS WERE AVAILABLE TO THE ELECTRIC CORPORATION, THE CUSTOMER-GEN-
    5  ERATOR  SHALL BE RESPONSIBLE FOR ALL EXPENSES INVOLVED IN PURCHASING AND
    6  INSTALLING A METER THAT IS ABLE TO MEASURE THE FLOW  OF  ELECTRICITY  IN
    7  TWO DIRECTIONS.  IF AN ADDITIONAL METER OR METERS ARE INSTALLED, THE NET
    8  ENERGY  METERING CALCULATION SHALL YIELD A RESULT IDENTICAL TO THAT OF A
    9  SINGLE METER.
   10    (F) EVERY ELECTRIC CORPORATION SHALL DEVELOP A  STANDARD  CONTRACT  OR
   11  TARIFF  PROVIDING  FOR NET ENERGY METERING, AND SHALL MAKE THIS CONTRACT
   12  AVAILABLE TO ELIGIBLE CUSTOMER-GENERATORS, UPON REQUEST. EVERY  ELECTRIC
   13  CORPORATION  SHALL  ENSURE THAT REQUESTS FOR ESTABLISHMENT OF NET ENERGY
   14  METERING ARE PROCESSED IN A TIME PERIOD NOT EXCEEDING THAT FOR SIMILARLY
   15  SITUATED CUSTOMERS REQUESTING NEW ELECTRIC SERVICE, BUT  NOT  TO  EXCEED
   16  ONE  MONTH  FROM  THE DATE THE ELECTRIC CORPORATION RECEIVES A COMPLETED
   17  APPLICATION FORM FROM AN ELIGIBLE  CUSTOMER-GENERATOR.  IF  AN  ELECTRIC
   18  CORPORATION  IS UNABLE TO PROCESS THE REQUEST WITHIN THE ALLOWABLE TIME-
   19  FRAME, THE ELECTRIC CORPORATION SHALL NOTIFY THE  CUSTOMER-GENERATOR  OF
   20  THE  REASON  FOR  ITS  INABILITY TO PROCESS THE REQUEST AND THE DATE THE
   21  REQUEST WILL BE COMPLETED. EVERY ELECTRIC  CORPORATION  SHALL  MAKE  ALL
   22  NECESSARY  FORMS  AND  CONTRACTS  FOR  NET ENERGY METERING AVAILABLE FOR
   23  DOWNLOAD FROM THE INTERNET.
   24    (G) EACH NET ENERGY METERING CONTRACT OR TARIFF  SHALL  BE  IDENTICAL,
   25  WITH  RESPECT  TO  RATE  STRUCTURE,  ALL  RETAIL RATE COMPONENTS AND ANY
   26  MONTHLY CHARGES, TO THE CONTRACT OR TARIFF TO WHICH  THE  SAME  CUSTOMER
   27  WOULD  BE ASSIGNED IF SUCH CUSTOMER WAS NOT AN ELIGIBLE CUSTOMER-GENERA-
   28  TOR, EXCEPT THAT ELIGIBLE  CUSTOMER-GENERATORS  SHALL  NOT  BE  ASSESSED
   29  STANDBY   CHARGES   ON   THE   ELECTRICAL  GENERATING  CAPACITY  OR  THE
   30  KILOWATT-HOUR PRODUCTION OF AN ELIGIBLE TECHNOLOGY. THE CHARGES FOR  ALL
   31  RETAIL  RATE  COMPONENTS FOR ELIGIBLE CUSTOMER-GENERATORS SHALL BE BASED
   32  EXCLUSIVELY ON THE CUSTOMER-GENERATOR'S  NET  KILOWATT-HOUR  CONSUMPTION
   33  OVER  A  TWELVE MONTH PERIOD, WITHOUT REGARD TO THE CUSTOMER-GENERATOR'S
   34  CHOICE OF ELECTRIC CORPORATION. ANY NEW  OR  ADDITIONAL  DEMAND  CHARGE,
   35  STANDBY CHARGE, CUSTOMER CHARGE, MINIMUM MONTHLY CHARGE, INTERCONNECTION
   36  CHARGE    OR    OTHER   CHARGE   THAT   WOULD   INCREASE   AN   ELIGIBLE
   37  CUSTOMER-GENERATOR'S COSTS BEYOND THOSE OF OTHER CUSTOMERS IN  THE  RATE
   38  CLASS  TO  WHICH  THE  ELIGIBLE  CUSTOMER-GENERATOR  WOULD  OTHERWISE BE
   39  ASSIGNED ARE CONTRARY TO THE INTENT OF THIS SECTION, AND SHALL NOT  FORM
   40  A PART OF NET ENERGY METERING CONTRACTS OR TARIFFS.
   41    (H)  FOR ALL ELIGIBLE CUSTOMER-GENERATORS TAKING SERVICE UNDER TARIFFS
   42  EMPLOYING "TIME OF USE" RATES, ANY NET MONTHLY CONSUMPTION OF  ELECTRIC-
   43  ITY SHALL BE CALCULATED ACCORDING TO THE TERMS OF THE CONTRACT OR TARIFF
   44  TO  WHICH  THE  SAME CUSTOMER WOULD BE ASSIGNED TO OR BE ELIGIBLE FOR IF
   45  THE CUSTOMER WAS NOT AN ELIGIBLE  CUSTOMER-GENERATOR.  WHEN  THOSE  SAME
   46  CUSTOMER-GENERATORS  ARE  NET GENERATORS DURING ANY DISCRETE TIME OF USE
   47  PERIOD, THE NET KILOWATT-HOURS PRODUCED SHALL  BE  VALUED  AT  THE  SAME
   48  PRICE  PER  KILOWATT-HOUR  AS  THE ELECTRIC CORPORATION WOULD CHARGE FOR
   49  RETAIL KILOWATT-HOUR SALES DURING THAT SAME TIME OF USE PERIOD AND  THAT
   50  VALUE  SHALL  BE  APPLIED AS A CREDIT TO ANY OF THE DISCRETE TIME OF USE
   51  PERIODS UNDER THE TARIFF. IF THE ELIGIBLE CUSTOMER-GENERATOR'S  TIME  OF
   52  USE ELECTRICAL METER IS UNABLE TO MEASURE THE FLOW OF ELECTRICITY IN TWO
   53  DIRECTIONS,  THE  PROVISIONS  OF PARAGRAPH (D) OF THIS SUBDIVISION SHALL
   54  APPLY.
   55    5. Safety standards. (a) On or before three months after the effective
   56  date of [this section, each electric corporation shall establish  stand-
       A. 5785                             6
    1  ards  that are necessary for net energy metering and the interconnection
    2  of residential solar or farm waste electric generating equipment to  its
    3  system  and  that  the commission shall determine are necessary for safe
    4  and  adequate  service  and  further the public policy set forth in this
    5  section. Such standards may include but shall not be limited to:
    6    (i) equipment necessary to isolate automatically the residential solar
    7  and farm waste generating system from the utility system for voltage and
    8  frequency deviations; and
    9    (ii) a manual lockable disconnect switch provided by the customer-gen-
   10  erator which shall be located on the outside of the customer's  premises
   11  and  externally  accessible for the purpose of isolating the residential
   12  solar and farm waste electric generating equipment.
   13    (b) Upon its own motion or upon a complaint, the  commission,  or  its
   14  designated  representative,  may investigate and make a determination as
   15  to the reasonableness and necessity of the standards  or  responsibility
   16  for compliance with the standards.
   17    (i)  In  the  case  of a customer-generator who owns or operates solar
   18  electric generating equipment located and used at his or her  residence;
   19  an  electric  corporation may not require a customer-generator to comply
   20  with additional safety or performance  standards,  perform  or  pay  for
   21  additional  tests,  or  purchase additional liability insurance provided
   22  that the residential solar or farm waste electric  generating  equipment
   23  meets the safety standards established pursuant to this paragraph.
   24    (ii)  In  the  case  of a customer-generator who owns or operates farm
   25  waste electric generating equipment located and used at his or her "farm
   26  operation," an electric corporation may not require a customer-generator
   27  to comply with additional safety or performance  standards,  perform  or
   28  pay  for  additional  tests,  or purchase additional liability insurance
   29  provided that:
   30    1. the electric generating equipment meets the safety standards estab-
   31  lished pursuant to this paragraph; and
   32    2. the total rated generating capacity (measured in kW) of farm  waste
   33  electric  generating equipment that provides electricity to the electric
   34  corporation through the same local feeder line, does not  exceed  twenty
   35  percent of the rated capacity of that local feeder line.
   36    (iii)  In  the  event that the total rated generating capacity of farm
   37  waste electric generating equipment that  provides  electricity  to  the
   38  electric  corporation  through the same local feeder line exceeds twenty
   39  percent of the rated capacity of the local  feeder  line,  the  electric
   40  corporation may require the customer-generator to comply with reasonable
   41  measures  to  ensure safety of that local feeder line.] PARAGRAPH (B) OF
   42  THIS SUBDIVISION, THE COMMISSION SHALL ESTABLISH STANDARDS FOR INTERCON-
   43  NECTION OF GENERATORS, TAKING INTO ACCOUNT APPLICABLE INDUSTRY STANDARDS
   44  INCLUDING IEEE 1541, AND  BEST  PRACTICES  INCLUDED  IN  THE  INTERSTATE
   45  RENEWABLE  ENERGY  COUNCIL'S  MODEL INTERCONNECTION RULES MR-12005. SUCH
   46  STANDARDS SHALL NOT BE MORE RESTRICTIVE OF INTERCONNECTION  THAN  STAND-
   47  ARDS  ESTABLISHED IN FERC ORDERS 2006 AND 2006A AS OF THE EFFECTIVE DATE
   48  OF PARAGRAPH (B) OF THIS SUBDIVISION.
   49    (B) THE COMMISSION SHALL PROMULGATE REGULATIONS ENSURING THAT  SIMPLI-
   50  FIED  CONTRACTS  WILL BE USED FOR THE INTERCONNECTION OF GENERATORS THAT
   51  HAVE A PRODUCTION CAPACITY NOT  EXCEEDING  TWO  THOUSAND  KILOWATTS  AND
   52  SHALL  CONSIDER  THE  BEST  PRACTICES  FOR  CONSUMER  FRIENDLY CONTRACTS
   53  ADOPTED BY NATIONAL  ASSOCIATIONS  OF  STATE  UTILITY  REGULATORS.  SUCH
   54  CONTRACTS  SHALL  NOT  REQUIRE LIABILITY OR OTHER INSURANCE IN EXCESS OF
   55  WHAT IS TYPICALLY CARRIED BY CUSTOMER-GENERATORS FOR GENERAL LIABILITY.
   56    S 2. Section 66-l of the public service law is REPEALED.
       A. 5785                             7
    1    S 3. Subdivision (h) of section 1020-g of the public authorities  law,
    2  as  amended  by  chapter  452 of the laws of 2008, is amended to read as
    3  follows:
    4    (h)  To  implement  programs  and policies designed to provide for the
    5  interconnection of[: (i) (A)] solar, WIND, FUEL CELL OR FARM WASTE elec-
    6  tric generating equipment owned or operated by  [residential  customers,
    7  (B)  farm  waste  electric  generating  equipment  owned  or operated by
    8  customer-generators, and (C) solar electric generating  equipment  owned
    9  or  operated  by non-residential customers,] CUSTOMER-GENERATORS and for
   10  net energy metering consistent with section sixty-six-j  of  the  public
   11  service  law, AND to increase the efficiency of energy end use, to shift
   12  demand from periods of high demand to  periods  of  low  demand  and  to
   13  facilitate  the  development  of  cogeneration;  [and (ii) wind electric
   14  generating equipment owned or operated by  customer-generators  and  for
   15  net  energy  metering  consistent with section sixty-six-l of the public
   16  service law.]
   17    S 4. This act shall take effect immediately.
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