SENATE BILL REPORT

SB 6106

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As of January 16, 2012

Title: An act relating to increasing the allowable electrical generating capacity of a net metering system owned by a municipality located east of the crest of the Cascade mountains to two megawatts.

Brief Description: Increasing the allowable electrical generating capacity of a net metering system to two megawatts.

Sponsors: Senator Hewitt.

Brief History:

Committee Activity: Energy, Natural Resources & Marine Waters: 1/16/12.

SENATE COMMITTEE ON ENERGY, NATURAL RESOURCES & MARINE WATERS

Staff: William Bridges (786-7416)

Background: Net Metering. Net metering allows electricity customers to offset their consumption of purchased electricity with electricity generated by their own small-scale renewable systems. Under current law, a net metering system must be located on a customer's premises and must generate no more than 100 kilowatts (kW) using cogeneration, fuel cells, water, wind, solar energy, or biogas.

Population of Municipalities in Eastern Washington. According to the 2010 United States (U.S.) census, two cities in Eastern Washington have populations between 31,000 and 32,000: Walla Walla and Wenatchee.

Investor-Owned Utilities (IOUs). In Washington, the term IOU generally refers to privately-owned, for-profit utilities that are regulated by the Washington Utilities and Transportation Commission (UTC). There are three IOUs in Washington that provide electric service: Avista, PacificCorp, and Puget Sound Energy. PacifiCorp serves Walla Walla; Wenatchee does not receive electric service from an IOU.

Summary of Bill: Increasing the Capacity Size of Certain Net-Metered Systems. The capacity size of a net metered system is raised from 100 kW to 2 megawatts (MW) for a facility that meets the following criteria: (1) the facility generates electricity using water; (2) the facility has a generating capacity up to 2 MW; (3) the facility is owned and operated by an Eastern Washington municipality with a population between 31,000 and 32,000 based on the 2010 U.S. census; and (4) the facility is served by an IOU regulated by the UTC.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.