PUC Votes To Implement Modified Alternative Energy Portfolio Standards

The Public Utility Commission Thursday voted to implement modified regulations related to the Alternative Energy Portfolio Standards Act of 2004, following more than two years of public input, regulatory review and discussion.

The Commission voted 5-0 to adopt the revised Rulemaking Order, which clarifies issues related to net metering, interconnection and compliance provisions. The 153-page order was originally approved by the PUC in February 2016, and then modified in June 2016, based on objections raised by the state’s Independent Regulatory Review Commission.

The action by the PUC addresses concerns raised by IRRC and the Office of Attorney General (OAG) regarding the definition of “utility” in the regulations, and further clarifies that definition. These final-form regulations will become effective upon publication in the Pennsylvania Bulletin.

The rulemaking addresses numerous issues related to AEPS standards, including:

-- The addition of definitions for aggregator, default service provider, utility, grid emergencies, microgrids and moving water impoundments;

-- Revisions to net metering rules and inclusion of a process for electric distribution companies to seek Commission approval to net meter alternative energy systems with a nameplate capacity of 500 kilowatts or greater;

-- Clarification of the virtual meter aggregation and independent load language;

-- Clarification of net metering compensation rules for customer-generators receiving generation service from electric distribution companies and default service providers;

-- Addition of provisions for adjusting Tier I compliance obligations on a quarterly basis to comply with the Act 129 of 2008 amendments; and

-- Clarification of the authority given to the program administrator to suspend or revoke the qualification of an alternative energy system and to withhold or retire past, current or future alternative energy credits for violations.

Docket No. L-2014-2404361

For more information, visit the PUC’s Alternative Energy webpage.

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PUC Adopts Changes to Alternative Energy Regulation