Distributed Generation, Regulation, Solar  -  January 26, 2016

NV Energy announces net metering grandfathering proposal

Nevada sent shockwaves through the solar industry last year when the Public Utilities Commission announced changes to net metering rules and rates that would compensate solar installation owners less than the retail rate for power supplied back to the grid. Almost immediately, several large installers — including Solar City — slashed jobs and effectively retreated from the state. This new proposal would allow existing solar system owners to be treated under the old rules for up to 20 years.

The announcement comes as the company prepares for ongoing Public Utilities Commission of Nevada, or PUCN, proceedings on net energy metering. The new net metering rules are being challenged by a wide coalition of solar industry stakeholders.

"We recognize the difficult job that the PUCN, PUCN staff, policy makers, and for that matter, all parties in this proceeding have had in trying to reach decisions on this complex issue," NV Energy President and CEO Paul Caudill said in a news release. "We also understand the history of net metering in Nevada and that a fair, stable and predictable cost environment is important to all of our customers.  Our proposal seeks a balance for those who selected solar prior to the implementation of the new rules ordered by the PUCN and those without solar."

On Sept. 1, 2015, the PUCN ordered that prior net metering rules and rates would remain in effect until new regulations were established. In addition, on Dec. 23, 2015, the PUCN issued an order in the net energy metering regulatory proceeding that established new rules and rates. The order also established a four-year phased transition period to the new rates for net energy metering customers, including those who had installed rooftop solar systems prior to the date of the order. 

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