State-Imposed Net Metering Cap Reached on July 28 2015
August 5, 2015: On July 28, 2015 at 10:00 AM, Liberty Utilities reached its net energy metering, or net metering, cap. The net metering program, which was created by state law (RSA 362-A:9), allows customers to connect certain renewable systems located on their property with the utility distribution system and receive credit for the “net” difference between the electricity that they produce and the amount consumed during the month. State law dictates the price that the customer will receive for the net generation. State law also caps the amount of electrical load that can be net metered. Statewide, the net metering cap is set at 50 megawatts (MW). This statewide cap is then allocated to each utility based upon customer demand. Liberty Utilities’ share of the 50 MW cap is 4.12 MW.
Over the past several months Liberty has seen a great deal of customer interest in net metering. We have worked with customers and solar developers to ensure that all the connections between the customer systems and our distribution system were completed quickly, safely and in accordance with state law. Recently, two very large applications were received, which will account for roughly half of Liberty’s entire cap. Liberty is currently studying the interconnection requirements for the two larger systems referenced above.
In 2010, a law was passed which made a number of changes aimed at encouraging more net metering in the state. Among those changes was an increase to the size of the facilities eligible to qualify under the program. Under the law passed in 2010, facilities up to 1 MW were allowed to take part in the net metering program. This change has led to a small number of very large systems accounting for a significant portion of Liberty’s cap.
Customers who wish to install renewable generation on their property and interconnect with Liberty Utilities’ distribution system are still permitted to do so. The electricity produced by these systems will still offset the customer’s electricity usage. However, if the system produces more electricity than the customer uses at any given time, that additional electricity is no longer eligible to receive a credit under the state net metering program, unless there is a change in state law.
Customers who wish to be interconnected as a net metered facility may still contact Liberty Utilities, at which point they will be put on a waiting list, where they will be considered on a first-come, first-serve basis, in the event that there is a change in the law or if one or more of the projects currently utilizing Liberty’s net metering allocation ceases to be a net metered customer.