State Policy, Incentives & Opportunities
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1 State Policy, Incentives & Opportunities Rusty Haynes Keyes, Fox & Wiedman LLP
2 KEYES, FOX & WIEDMAN LLP SERVICES Policy Tracking State legislative-tracking service State regulatory-tracking service Policy research & consulting Clean Energy Incentives Database Incentives API Incentives search widget Incentive update alerts Online incentives database Legal Services Policy development & litigation Project development Contact: Sue Gouchoe
3 Financial Incentives Rebates & PBIs mostly inspired by PBF, RPS Strong state programs: CA, MD, MA, NH, RI, IL, WA Programs generally inconsistent (funding, administration) Tax incentives: plenty Solar hogging the policy spotlight, for better and worse General shift from RE direct cash incentives to policy framework issues (e.g., NEM, 3PO, shared RE, RPS, grid modernization)
4 RPS Developments 29 states + DC have an RPS 17 states + DC have a solar/dg carve-out (DW eligible in AZ, CO, NY, IL, WA) 2013: scores of bills, media scare-mongering! 8 states enacted RPS changes Major revisions: CO, MD, MN (good) Minor revisions: MT TBD: CT, NV, MT, WA 2014: 86 RPS bills in 22 states (so far) ~30 are bad ~55 are good
5 3 rd -Party Solar PPA Feasibility RI: May be limited to certain sectors UT: Limited to certain sectors AZ: Limited to certain sectors Authorized by state or otherwise currently in use (see notes on following slide) Currently under judicial or other form of legal review Apparently disallowed by state or otherwise restricted by legal barriers Status unknown or undetermined September 2013
6 2013 Best in Class: State NEM & Interconnection Policies Net Metering Interconnection
7 2013 Snapshot: State NEM & Interconnection Policies
8 NEM Under Siege Recent & current attacks: CA, CO, AZ, ID, LA, GA, KS, UT, MA, WI, ME, NC (soon), FL (rumors) 2014: 44 bills in 19 states (so far) NEM instability (& rumors) impacting state markets Impacts on rate design likely
9 Recent NEM, DG, VOST Studies & Related Regulatory Activities WA: Docket UE workshop to discuss costs and benefits of DG OR: PUC workshop to discuss solar rates in Docket UM 1452 NV: Docket opened to consider NEM costs/benefits MN: 2013 legislation required development of a VOST; regs under development MI: VOST issues have appeared in RPS proceedings VT: 2012 legislation directed PSB to complete an evaluation of NEM CA: 2012 legislation required NEM cost/benefit study by CPUC NC: NCUC examining avoided cost methodology in In Docket No. E-100 Sub 136 AZ: In late 2013, the ACC opened a docket to examine impact of DG on utility business models SC: PSC considering NEM docket that addresses cost issues HI: PUC recently released a NEM cost/benefit analysis funded by NARUC CO: PUC considering Xcel NEM cost/benefit study TX: Austin Energy developed a VOST in 2012; CPS to replace NEM with a SunCredit tariff LA: Docket R PSC staff proposed to value NEM exports at avoided cost FL, TN: TVA and other utilities considering VOST approach Source: IREC
10 Other State Regulatory Activities CT: IOUs to submit new VNEM tariffs; PURA to rule next week PA: AEPS, NEM, IC docket opened NV: RPS/PEC, NEM dockets opened CO: PUC to open docket to address NEM (Xcel) AZ: annual waivers allowed for DGCO requirements CA: utilities to file storage plans (1.3 GW) by 3/1/2014 CA: NEM transition period of 20 years proposed CA: CPUC to accept/reject IOUs shared RE plans by 7/1/14 IL: RM petition filed to improve IC procedures HI: FIT still under review Storage: CA, NJ, NY, OR, TX, WA, PR Microgrids: MA, CT
11 Other Pending State Legislation MD: raise RPS to 40% x % SCO WI: raise RPS to 30% x 2030 (unlikely) HI: grid modernization, shared RE AZ: tax leased PV systems KS: kill NEM; repeal RPS (unlikely) AZ: amend constitution to include NEM FL: amend constitution to allow 3PO of RE GA: allow 3PO (unlikely) IA: RPS, VOST, shared solar, 3PO SD: NEM(!)
12 In Conclusion Countless opportunities for involvement in 2014, 2015 LEG arena much less resourceintensive than REG arena (but both are important) Focus on establishing & strengthening policy framework (DGCOs, NEM, VNEM, shared RE, 3PO) State NEM/VOST/CBA regulatory activities could be harmful to DW
13 KEYES, FOX & WIEDMAN LLP Thank you. Rusty Haynes Policy Research Manager Keyes, Fox & Wiedman LLP Distributed Generation & Renewable Energy Law
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