NEM Rules Change Across the U.S., Genability Has it Covered
By John Tucker
| Reading time 4 minutes
Over the past few months, the reform of Net Metering rules has impacted several utilities that are in active solar markets. Genability has been tracking these changes closely and has modeled the new NEM rules for your use with the Switch API.
Arizona Public Service - New Rates Effective 8/19/2017
As of Saturday August 19, 2017, Arizona Public Service (APS) has announced completely new rate structures for all of their residential and commercial customers. Genability had previously modeled these rates as proposed rates, and now they are fully available without the “proposed” label.
Under APS’s new Net Metering regime, new residential solar customers are required to switch to 1 of 4 residential tariffs:
R-2. This tariff includes a $8.40/kW on-peak demand charge(3PM to 8PM).
R-3. This tariff has both kWh and kW charges with time of use. The summer on-peak period (3PM to 8PM) has a $17.44 /kW demand charge, with Winter On-Peak at $12.24/kW.
TOU-E. This tariff has 3 TOU periods, including a super-off peak from 10 AM to 3 PM. It has no demand charge, but does retain the per kW of installed solar fixed charge from E-12.
R-TECH. This tariff requires that a customer have either 2 primary technologies (Solar, Battery or EV) or 1 primary technology and 2 secondary technologies (Variable Speed Pool Pump, Variable HVAC Pump, Smart Thermostat, Automated Load Control, Smart Water Heating). It features a $20.25/kW On-Peak demand charge, a tiered Off-Peak demand charge ($0 up to 5 kW, $6.50 above 5 kW) and low per kWh rates (5.75¢/kWh Summer On-Peak, 4.75¢/kWh all other hours).
Just as important are the new rules for power exported to the grid. All four of the tariffs above compensate excess generation through the Resource Comparison Proxy at a rate of 12.9¢/kWh with exports resolved in real time. Genability will set the solarPvEligible flags on all the new residential tariffs after the 9/1/2017 deadline, so your APS customers automatically switch to a solar-eligible tariff post-solar.
San Diego Gas & Electric - TOU Tariff Switch Required This Fall, New TOU Periods
San Diego Gas & Electric (SDG&E) was the first of the California investor-owned utilities to close NEM 1.0. As such, it was grandfathered by the California PUC from requiring solar customers to switch to a Time of Use tariff post-solar. SDG&E has already filed the new tariff and time of use structure for DR-TOU with the California PUC and Genability has made the new proposed TOU tariff available via our Switch API. The new on-peak time of use period will be from 4PM to 9PM, Monday through Friday all year round. Once the tariff goes into effect later this year, we will set the solarPvEligible flags to force a switch to the time of use tariff in SDG&E.
Based on an analysis of typical SDG&E customers with an 80% solar offset, we see the Avoided Cost of Power (ACP) in SDG&E dropping from 26.8¢ to 19.8¢ with the required move to DR-TOU.
NV Energy South & North - More Tariff Changes Coming?
In June of this year, Nevada Governor Brian Sandoval signed bill AB-405 allowing solar customers to receive a credit for all power exported to the grid at 95% of the retail rate. Based upon this new legislation, Genability made the proposed tariff available in our system under the tariff code “RS-NEM-95PCT”. The proposed tariff replaces the fixed solar export credit from the current “RS-NEM” tariff and replaces it with a solar export credit that is 95% of the retail rate.
However it appears that all is not yet settled for NV Energy’s solar customers. In NV Energy’s filing with the Public Utility Commission of Nevada to implement AB-405, the utility includes many strategies to minimize the export credit provided to solar customers. The proposal includes 2 demand charges, higher fixed charges, a 4-period TOU definition and higher per kWh rates overall. It remains to be seen how the Public Utility Commission of Nevada will rule on this filing, but you can be sure we’ll be following it closely.
Rocky Mountain Power: Utah - New Rules Under Negotiation
Another NEM battle is occurring in next door Utah where Rocky Mountain Power (RMP) has proposed higher fixed charges, demand charges, and a wholesale credit for energy exported to the grid. After last week’s meeting, the Utah Public Service Commission has asked RMP to sit down with solar advocates to work out a compromise.
Genability has not yet created a proposed tariff for Rocky Mountain Power in Utah as there are too many important details still outstanding before the utility commission. As soon as those details are finalized, Genability will create a proposed tariff so our customers can use it in the Switch API.
If you have a question about a specific current or proposed rate, please let us know at firstname.lastname@example.org. Chances are we already support that rate or working on supporting it. We’re always happy to answer your questions.
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