An Act To Modernize Maine's Solar Power Policy and Encourage Economic Development
Maine Legislature, Session 127, LD 1649
Committee Amendment CA_B_H667 (House)
Amends: 35-A MRSA §3209-A

COMMITTEE AMENDMENT "ls" to H.P. 1120, L.D. 1649, Bill, "An Act To 
Modernize Maine's Solar Power Policy and Encourage Economic Development" 
Amend the bill by striking out the title and substituting the following: 
'An Act To Protect Net Metering and Encourage Community Distributed Energy 
Resource Projects' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 35-A MRSA §3209-A, as enacted by PL 2011, c. 262, §1, is repealed and 
the following enacted in its place: 
§3209-A. Net energy billing 
Customers of an investor-owned transmission and distribution utility may participate 
in net energy billing in accordance with rules adopted pursuant to this section. 
1. Definitions. As used in this section. unless the context otherwise indicates, the 
following terms have the following meanings. 
A. "Distributed energy resource" means an electric generating facility that uses a 
renewable capacity resource as defined in section 3210, subsection 2, paragraph B-3 
or a renewable resource as defmed in section 3210, subsection 2. paragraph C or is a 
micro-combined heat and power system as defined by the commission by rule, or 
uses any combination of these resources or systems. and that is located in the service 
territory of an investor-owned transmission and distribution utility. 
"Distributed 
energy resource" includes the associated storage of a generating facility. 
B. 
"Net energy billing" means a billing and metering practice under which a 
customer is billed on the basis of net energy over the billing period. taking into 
account accumulated unused kilowatt-hour credits from the previous billing period. 
2. 
Municipal and community distributed energy resource proiects. 
Rules 
adopted by the commission must allow for net energy billing for residential and other 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. 13" to H.P. 1120, LD. 1649 
customers of an investor-owned transmission and distribution utility and must also 
permit: 
A. Net energy billing of municipal accounts designated by a municipality with 
respect to the energy produced by a distributed energy resource with a nameplate 
capacity ofup to 5 megawatts owned by that municipality; and 
B. Net energy billing of a distributed energy resource with a nameplate capacity of 
up to one megawatt, against the accounts of up to 50 customers who have an 
ownership interest in the distributed energy resource, as long as each customer's 
proportional interest in the distributed energy resource represents at least one kilowatt 
of the resource's generating capacity. 
The commission shall allow any distributed energy resource for which net energy billing 
is allowed under paragraph A or B to be used to offset part or all of each net energy 
billing customer's electricity requirements. 
3. Commission rule review. If the commission reviews its net energy billing rules 
to determine whether net energy billing should continue or be modified, after finding that 
an investor-owned transmission and distribution utility's cumulative capacity of 
generating facilities subject to rules adopted pursuant to this section reached 1 % or more 
of that utility's peak demand, the commission shall retain an independent consultant 
experienced in net energy billing systems to assist in the commission's review of: 
A. The effect on industry jobs, stability and net energy billing customer investments 
that the changes could have; 
B. 
The effect of net energy billing over a 25-year period on investor-owned 
transmission and distribution utilities and customers of investor-owned transmission 
.... 
and distribution utilities, including both customers who do and customers who do not 
""'""'' 
use net energy billing; 
C. The effect of net energy billing on ekctric supply resources; 
D. The effect of net energy billing on system stability; 
E. The costs and benefits of net energy billing: 
F. The economic development and environmental effects of net energy billing, 
including environmental compliance costs; and 
G. 
Alternative changes to net energy billing rules or alternative compensation 
mechanisms, such as time of use or minimum bill amounts, for both net energy 
billing customers and customers who do not use net energy billing that would avoid 
disruption in the market and reduce ratepayer costs. 
4. Rules. The commission may adopt rules to implement this section. Rules 
adopted pursuant to this subsection are routine technical rules as defined in Title 5, 
chapter 375, subchapter 2-A. Any rules adopted pursuant to this subsection must fairly 
apportion the costs and benefits of net energy billing involving distributed energy 
resources between participating ratepayers and nonparticipating ratepayers. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT"~" to H.P. 1120, L.D. 1649 
Sec. 2. Rules. The Public Utilities Commission shall amend its net energy billing 
rules by February 1, 2017 to be consistent with the Maine Revised Statutes, Title 35-A, 
section 3209-A, subsection 2. ' 
SUMMARY 
This amendment is a minority report of the committee and it strikes and replaces the 
bill. This amendment replaces the provisions of law governing net energy billing with the 
following. 
1. 
It allows investor-owned transmission and distribution utility customers to 
participate in net metering. 
2. It requires that the Public Utilities Commission allow by rule net energy billing for 
municipal and community distributed energy resource projects. 
3. If after finding that an investor-owned transmission and distribution utility's 
cumulative capacity of generating facilities subject to commission rules reaches 1 % or 
more of the utility's peak demand, and the Public Utilities Commission reviews its net 
energy billing rules to determine whether net energy billing should continue or be 
modified, the amendment requires the commission to retain an independent consultant 
experienced in net energy billing systems to assist in its review. 
4. It requires that the Public Utilities Commission amend its net energy billing rules 
by February 1, 2017 to be consistent with the Maine Revised Statutes, Title 35-A, section 
3209-A, subsection 2. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
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Approved: 04/12/16 
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LD 1649 
LR2731(03) 
An Act To Modernize Maine's Solar Power Policy and Encourage Economic Development 
Fisca.l Note for Bill as Amended by Committee Amendment ,{,, ( /-1- b ~ 7) 
Committee: Energy, Utilities and Technology 
Fiscal Note Required: Yes 
Fiscal Note 
Potential current biennium cost increase - Other Special Revenue Funds 
Potential current biennium revenue increase - Other Special Revenue Funds 
Fiscal Detail and Notes 
The bill requires the Public Utilities Commission (PUC)-to adopt rules allowing net energy billing for certain 
customers of an investor-owned transmission and distribution utility. This bill requires the PUC to retain an 
independent consultant experienced in net energy billing systems if the PUC finds that an investor-owned 
transmission and distribution utility's cumulative capacity of generating facilities reached 1 % or more of that utility's 
peak demand. Were this to happen, the PUC would require an Other Special Revenue Funds allocation of $100,97 4 
annually and would increase annual assessments by the same amount to fund these consulting costs. 
LR2731(03) - Fiscal Note - Page 1 of 1