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Net Metering in Noth Carolina (NC)

By
Real Estate Agent with The Outer Banks Real Estate Copmpany NC 261870

 

A question was brought up to me this past week about weather North Carolina power companies allow for “Net Metering

 

Net Metering is defined by Wikipedia as ”an electricity policy for consumers who own (generally small) renewable energy facilities, such as wind, solar power or home fuel cells. "Net", in this context, is used in the sense of meaning "what remains after deductions" — in this case, the deduction of any energy outflows from metered energy inflows. Under net metering, a system owner receives retail credit for at least a portion of the electricity they generate. Most electricity meters accurately record in both directions, allowing a no-cost method of effectively banking excess electricity production for future credit.

 

I looked and found this posting from the Database of State Incentives for Renewables & Efficiency (DSIRE). It shows that this policy just went into effect on June 1, 2009.

 

 



Summary:
The North Carolina Utilities Commission (NCUC) requires the state’s three investor-owned utilities -- Duke Energy, Progress Energy and Dominion North Carolina Power -- to make net metering available to customers that own and operate systems that generate electricity using solar energy, wind energy, hydropower, ocean or wave energy, biomass resources, combined heat and power (CHP) which uses waste heat derived from eligible renewable resources, or hydrogen derived from eligible renewable resources.* The individual system capacity limit is one megawatt (MW). There is no aggregate capacity limit on net-metered systems.  
 
Customers may net meter under any available rate schedule. However, customers that choose to take service under any tariff other than a time-of-use (TOU) demand tariff must surrender to the utility all renewable energy credits (RECs) associated with the customer’s generation – with no compensation for the customer.  
 
For residential systems up to 20 kilowatts (kW) and non-residential systems up to 100 kW in capacity, utilities may not charge any standby charges or any additional metering charges other than those charged to customers who do not net meter under the applicable rate schedule. For larger systems, utilities are allowed to impose standby charges consistent with approved standby rates applicable to other customer-owned generation.  
 
In general, any customer net excess generation (NEG) during a billing period is carried forward to the following billing period at the utility’s full retail rate, and then surrendered to the utility – with no compensation for the customer – at the beginning of each summer billing season. However, the treatment of generation and NEG for customers on TOU-demand tariffs is more complicated. For these customers, on-peak generation is used to offset on-peak consumption, and off-peak generation is used to offset off-peak consumption. Any remaining on-peak generation is then used to offset off-peak consumption. Off-peak generation may only be used to offset off-peak consumption.  
 
Utilities must file with the NCUC annual reports indicating the number of net-metering applicants and customer-generators, the aggregate capacity of net-metered generation, the size and types of renewable-energy systems, the amounts of on-peak and off-peak generation credited and ultimately granted to the utility, and the reasons for any rejections or removals of customer-generators from a net-metering arrangement.  
 
 
* In July 2006, the NCUC extended net metering to eligible systems with battery storage. "Gaming” a net-metering arrangement by using battery storage to manipulate a TOU tariff is not allowed.

 


 

Contact:

 

Kennie Ellis
North Carolina Utilities Commission
Public Staff
430 N. Salisbury Street
Raleigh, NC 27611
Phone: (919) 733-2267 
Fax: (919) 733-4744
E-Mail: Kennie.Ellis@ncmail.net
Web Site: http://www.ncuc.commerce.state.nc.us

 

 

 

Sam Watson
North Carolina Utilities Commission
430 N. Salisbury Street
Raleigh, NC 27611
Phone: (919) 715-7057 
E-Mail: swatson@ncuc.net
Web Site: http://www.ncuc.commerce.state.nc.us

 

 

 

Keith McAllister
N.C. Solar Center
N.C. State University
Box 7401
North Carolina State University
Raleigh, NC 27695-7401
Phone: (919) 515-3480 
Phone 2: (800) 336-2786
Fax: (919) 515-5778
E-Mail: keith_mcallister@ncsu.edu
Web Site: http://www.ncsc.ncsu.edu