Florida Senate - 2022                        COMMITTEE AMENDMENT
       Bill No. CS for CS for SB 1024
       
       
       
       
       
       
                                Ì384970;Î384970                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                   Comm: RS            .                                
                  03/02/2022           .                                
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       The Committee on Rules (Bradley) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 44 - 126
    4  and insert:
    5         Section 2. Subsections (1) and (5) of section 366.91,
    6  Florida Statutes, are amended to read:
    7         366.91 Renewable energy.—
    8         (1) The Legislature finds that:
    9         (a) It is in the public interest to continue promote the
   10  development of renewable energy resources in this state in a
   11  manner that is fair and equitable to all public utility
   12  customers. Renewable energy resources have the potential to help
   13  diversify fuel types to meet Florida’s growing dependency on
   14  natural gas for electric production, minimize the volatility of
   15  fuel costs, encourage investment within the state, improve
   16  environmental conditions, and make Florida a leader in new and
   17  innovative technologies. The development and maturation of the
   18  solar energy industry, the substantial decline in the cost of
   19  solar panels, and the increase in customer-owned or leased
   20  renewable generation support the redesign of net metering by the
   21  commission.
   22         (b)Customer-owned or leased renewable generation is not
   23  available to many public utility customers who lack the
   24  financial resources to purchase or lease rooftop solar panels or
   25  who reside in multitenant buildings. The substantial growth of
   26  customer-owned or leased renewable generation has resulted in
   27  increased cross-subsidization of the full cost of electric
   28  service onto the public utility’s general body of ratepayers.
   29  Therefore, the redesigned net metering rate structures required
   30  in subsection (5)(d) must ensure that public utility customers
   31  who own or lease renewable generation pay the full cost of
   32  electric service and are not cross-subsidized by the public
   33  utility’s general body of ratepayers.
   34         (5)(a)On or before January 1, 2009, Each public utility
   35  shall develop a standardized interconnection agreement and net
   36  metering program for customer-owned or leased renewable
   37  generation. The commission shall establish requirements relating
   38  to the expedited interconnection and net metering of customer
   39  owned or leased renewable generation by public utilities and
   40  shall may adopt new rules to administer this section.
   41         (b)Effective January 1, 2024, public utility net metering
   42  programs for customer-owned or leased renewable generation must
   43  provide that:
   44         1.Electricity used by the customer in excess of the
   45  generation supplied by customer-owned or leased renewable
   46  generation is billed by the public utility in accordance with
   47  normal billing practices; and
   48         2.Excess customer-owned or leased renewable generation
   49  delivered to the public utility’s electric grid during the
   50  customer’s regular billing cycle is credited to the customer’s
   51  energy consumption for the next month’s billing cycle as
   52  follows:
   53         a.For energy credits produced from customer-owned or
   54  leased renewable generation for which a net metering application
   55  is approved during calendar years 2024 and 2025, an amount equal
   56  to 75 percent of the public utility’s retail rate.
   57         b.For energy credits produced from customer-owned or
   58  leased renewable generation for which a net metering application
   59  is approved during calendar years 2026 and 2027, an amount equal
   60  to 50 percent of the public utility’s retail rate.
   61         (c)A public utility customer who owns or leases renewable
   62  generation for which a net metering application is approved
   63  before December 31, 2023, pursuant to a standard interconnection
   64  agreement offered by a public utility, is granted 20 years to
   65  continue to use the net metering rate design and rates that
   66  applied at the time the net metering application was approved.
   67  This paragraph applies to customers who purchase or lease real
   68  property upon which customer-owned or leased renewable
   69  generation is installed for all or part of that 20-year period.
   70         (d)The commission shall adopt subsequent rules to become
   71  effective January 1, 2028, which establish a new program design
   72  for customer-owned or leased renewable generation for which a
   73  net metering application is approved on or after January 1,
   74  2028. The new program design must comply with the following
   75  criteria:
   76         1.Each public utility customer who owns or leases
   77  renewable generation must pay the full cost of electric service
   78  and may not be subsidized by the public utility’s general body
   79  of ratepayers after December 31, 2027.
   80         2.All energy delivered by the public utility must be
   81  purchased at the public utility’s applicable retail rate, and
   82  all energy delivered by the customer-owned or leased renewable
   83  generation to the public utility must be credited to the
   84  customer at the public utility’s full avoided costs.
   85         3.The commission shall establish revised guidelines for
   86  net metering credits, netting intervals, fees, and charges as
   87  described herein, so as to ensure that the renewable generation
   88  subsidy is zero by January 1, 2028.
   89         4.The net metering guidelines may include fixed charges,
   90  including base facilities charges, electric grid access fees, or
   91  monthly minimum bills, to help ensure that the public utility
   92  recovers the fixed costs of serving customers who engage in net
   93  metering and that the general body of public utility ratepayers
   94  does not subsidize customer-owned or leased renewable
   95  generation.
   96         (e)1.If at any time the statewide penetration rate of
   97  customer-owned or leased renewable generation exceeds 6.5
   98  percent, the commission, upon petition or on its own motion,
   99  must initiate rulemaking to adopt a new program design that
  100  complies with subparagraphs (d)1. and 2. A new program design
  101  adopted pursuant to this subparagraph becomes effective 60 days
  102  after rule adoption or 60 days after the date the commission
  103  determines that the actual penetration rate has reached 6.5
  104  percent, whichever is later, and shall apply to customer-owned
  105  or leased renewable generation for which a net metering
  106  application is approved after that effective date.
  107         2.For purposes of this paragraph, the penetration rate
  108  must be calculated by dividing the aggregate total summer peak
  109  demand of the public utility by the gross power rating
  110  (alternating current) of all in-service customer-owned or leased
  111  renewable generation in the public utility’s service territory.
  112         (f)This subsection establishes the minimum requirements
  113  for each public utility net metering program. A public utility
  114  may petition the commission at any time for approval to offer a
  115  net metering program on terms that are more favorable to
  116  customers who own or lease renewable generation than the terms
  117  specified in this subsection or in commission rules adopted
  118  pursuant to this subsection.
  119  
  120  ================= T I T L E  A M E N D M E N T ================
  121  And the title is amended as follows:
  122         Delete lines 9 - 17
  123  and insert:
  124         classes of ratepayers; providing the terms for public
  125         utility net metering programs after a specified date;
  126         authorizing certain customers who own or lease
  127         renewable generation to remain under the net metering
  128         rules that initially applied to those customers for a
  129         specified time; requiring the Public Service
  130         Commission to adopt rules that meet certain
  131         requirements by a specified date; providing conditions
  132         under which rulemaking must be initiated if the
  133         penetration rate of customer-owned or leased renewable
  134         generation meets a specified threshold; authorizing
  135         public utilities to petition the commission to offer
  136         certain alternative net metering programs; providing
  137         an effective date.