| Solar-Generated Net Surplus Electricity & AB 920 | revised 1/28/10 |
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In accordance with Assembly Bill 920, PWP electric customers with a solar PV system will soon be eligible to receive monetary compensation for any net surplus electricity generated by their PV system. Net surplus electricity is defined as all electricity generated by an eligible customer-generator (solar PV or wind) over a 12‑month period that exceeds the amount of electricity consumed during that same period. You must complete and return the "Net Surplus Electricity Compensation Request Form" to PWP (download here) in order to receive future compensation for your net surplus electricity. There is no deadline to submit this form; however, the 12-month period for accruing net surplus electricity will not begin until PWP receives notice of your election. You will not receive any compensation for net surplus electricity generated prior to PWP’s receipt of your election form.
FREQUENTLY ASKED QUESTIONS Q: What is Net Surplus Electricity? A: Net Surplus Electricity is the amount of electricity generated by an eligible PWP solar PV customer-generator over a 12 month period that exceeds the amount of electricity consumed by the customer during that same 12 month period.
Q: What currently happens to my Net Surplus Electricity? Do I receive any compensation? A: Under the current electric rate ordinance, PWP’s customers are not compensated for any Net Surplus Electricity generated by their solar PV system. This surplus electricity helps lower PWP’s electric rates by reducing the amount of energy PWP must procure to meet other customers’ electricity needs.
Q: Since the City Council has not approved the rate yet, why am I receiving this notice now? A: Pursuant to AB-920 (2009), customers must be given the option to receive future compensation for any Net Surplus Electricity they may generate. Utilities must offer this option by providing a notice to customers with eligible solar PV or wind generation systems by January 31, 2010. Q. How will PWP compensate me for any surplus electricity generated by my solar PV system (credit on my bill, check, etc.)? A. This will be determined by City Council when the compensation rate and terms are established. Q: What happens if I do not submit the Net Surplus Electricity Compensation form? A: You will not be eligible to receive compensation for any Net Surplus Electricity generated by your system. However if you are already signed up to receive annual billing, you will continue to receive electric usage credit if your solar PV system has generated surplus electricity in the previous billing cycle.
Q: Can I submit or change my election at a later date? A: Yes: However, PWP anticipates that rules will be established to limit frequent switching between different billing and compensation options.
Q: How will my current bill change if I elect Net Surplus Electricity Compensation? A: Nothing will change until the modified electric rates are in effect. If you currently receive annual billing through a “Net Metering Contract,” you will receive a billing statement that closes out your current annual billing cycle and commences a new 12-month billing cycle effective with the first meter read following PWP’s receipt of your election form. At the end of the new 12-month billing cycle, you will be compensated for net surplus electricity generated during the new annual billing cycle.
Q: Can I increase the size of my solar PV system to generate more Net Surplus Electricity? A: No. Eligible systems must be designed to meet no more than 100% of a customer’s historical electric use.
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