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Idaho Energy Coalition to Push Net-Metering
Members of the Idaho Energy Coalition are pushing ahead with net metering legislation which they hope to bring before the state Legislature in January. Bill Eddie , Idaho Office Director of the Land and Water Fund of the Rockies , says after a well-attended wind conference in Boise and an energy crunch across the region, the time is right.
"We need a strong public policy that favors renewable energy in Idaho. And that needs to come from the Legislature, " Eddie argues. Currently, all major utilities in the state operate under different net metering rules. With support from Renewable Northwest Project , Idaho Rivers United , Idaho Rural Council and the NW Energy Coalition , Eddie helped to write the bill which will simplify and encourage net metering throughout the state. "(N)et energy metering," the draft bill states, "encourages private investment in renewable energy resources, stimulates the economic growth of this state, encourages energy independence and security, and enhances the continued diversification of this state's energy resources."
Idaho Energy Coalition members met with the state Interim Electric Utility Restructuring Committee , which is currently reviewing the bill. The Coalition also met with the Irrigation Pumpers Association in an attempt to build its pool of allies. Irrigators are poised to benefit from net metering projects, according to Eddie, because many operate on land with a strong potential for wind and small-scale hydro generation. They also have a high demand for electricity.
The draft legislation includes wind, solar, geothermal, methane and biomass generation systems with a maximum capacity of 100 kilowatts for all customers except irrigators which can generate up to 200 kilowatts. The net metering systems will offset a customer's own energy use and dump it back into a utility's grid when it produces more than the customer uses. Utilities would offer net metering on a first-come, first-served basis until their capacity collectively reached 1 percent of the utility's single hour peak demand (load).
The Idaho Power Company recently submitted its own proposal to the Idaho Public Utility Commission (PUC ) for net metering with an individual capacity limit of only 25 kilowatts and a system-wide capacity limit of 2.9 MW or .1 percent of load. The utility's interconnection requirements are somewhat onerous, according to Eddie. Under the proposal, individual systems must be certified annually. Public comment on the utility's proposal closes on December 21.
The PUC directed Idaho Power last month to implement demand side management (DSM) programs with existing resources, denying the utility's two-year rate surcharge proposal. The PUC directed the utility to expand home energy audits and to support low-income weatherization and assistance. The PUC, however, denied the tariff rider which would have raised $2.6 million for conservation incentives to encourage customers to buy compact fluorescent bulbs, Energy Star appliances, and high-efficiency air conditioners and heaters.
The PUC emphasized that the company already increased residential rates an average of 31 percent in the last seven months. In a November 21 press release, commissioners stated such conservation efforts could have reduced power supply costs and subsequent rate increases during the recent regional energy crunch.
"(The ruling) is an important first step in improving demand side management in Idaho," Eddie notes. "We are disappointed, however, because the commission did not establish a long-term funding mechanism."
The PUC order requires Idaho Power to use $43,000 a month from BPA's Conservation and Renewable Discount to pay for the conservation programs. Any outstanding expenses will be addressed this spring when the company files a power cost adjustment application. The order also requires Idaho Power to establish an Energy Efficiency Advisory Group with consumer representatives and various customer class representatives, including residential and industrial.
Corinne Hollister