[§269-16.21] Net energy metering. (a) Every electric utility in the State that offers residential electrical service shall develop a standard contract or tariff providing for net energy metering, and shall make this contract available to eligible customer-generators on a first-come, first-served basis until such time as the total rated generated capacity owned and operated by eligible customer-generators in each utility's service areas equals 0.1 per cent of the utility's peak demand.
(b) Each eligible customer-generator meeting the criteria of subsection (a) shall be entitled to net energy metering, calculated as follows:
(1) The customer-generator shall be billed for the energy supplied by the utility at the utility-approved retail rate, less an amount equal to the amount of energy generated by the customer over the applicable billing period, multiplied by a rate set by the commission based on the incremental cost to the utility of alternative electric energy.
(2) Where the amount in paragraph (1) is positive, the customer-generator shall be billed by the utility. Where the amount is negative, the customer-generator shall be credited by the utility.
(c) A utility, with the consent of the eligible customer-generator, may annualize the period during which the net energy measurement is calculated.
(d) In the event of disputes between a utility and an eligible customer-generator, either party may request a determination of the disputed issue by the commission.
(e) The electric utility shall have the right to deny interconnection with an eligible customer-generator if the interconnection will directly result in degradation of service.
(f) The electric utility shall have the right to prevent electric energy flow into the system by the customer-generator if the customer-generator's facilities are not in compliance with the electric utility's interconnection requirements. The interconnection will be reinstated upon remediation by the customer-generator within a reasonable period. Repeated violations within a one-year period may be grounds for termination of the interconnection agreement. [L 1996, c 205, §2]