SPONSOR:

Sen. Hansen & Rep. Heffernan & Rep. Phillips & Rep. Collins

Sens. Buckson, Huxtable, Richardson, Sokola, Walsh; Reps. Baumbach, Bush, Carson, Gray, Griffith, Hilovsky, Lambert, Morrison, Osienski, Postles

DELAWARE STATE SENATE

152nd GENERAL ASSEMBLY

SENATE JOINT RESOLUTION NO. 3

DIRECTING ALL ELECTRIC UTILITIES IN DELAWARE THAT OFFER NET METERING TO SOLAR CUSTOMERS TO PARTICIPATE IN A COST-BENEFIT STUDY AND ANALYSIS OF NET METERING, INCLUDING COST BURDENS AND COST SHIFTING, TO BE UNDERTAKEN BY THE DELAWARE SUSTAINABLE ENERGY UTILITY.

WHEREAS, most residents who have a solar photovoltaic system installed on their residential dwelling unit participate in a net metering program where they receive retail credit for the energy that they export to the grid; and

WHEREAS, retail credit for net metering often includes credit for services other than the cost of energy; and

WHEREAS, across the country, net metering has often led to the shifting of electric, transmission, and other costs from those who have solar to those who do not; and

WHEREAS, residential customers who do not have solar systems typically have lower incomes than those who can afford solar; and

WHEREAS, State law currently provides for an 8% net metering cap for all utilities, which restricts utilities from accepting net metering customers once the 8% cap is met; and

WHEREAS, experience has shown that, upon reaching the cap, some utilities will exercise their right to no longer accept new net metering customers; and

WHEREAS, the inability to net meter is a significant detriment to the growth and health of the solar industry; and

WHEREAS, states across the country have grappled with changes to their net metering statutes to allow for net metering, but at some equitable level; and

WHEREAS, determining the equitable level of net metering crediting has often been tied to the performance of a cost-benefit study and analysis to properly set the value of the net-metering credit.

NOW, THEREFORE:

BE IT RESOLVED by the Senate and the House of Representatives of the 152 nd General Assembly of the State of Delaware, with the approval of the Governor, that the Delaware Sustainable Energy Utility (“DESEU”) is requested to develop and execute a Request for Information, followed by a Request for Proposals, and to fund and perform a cost-benefit study and analysis of net metering across all electric utilities in Delaware.

BE IT FURTHER RESOLVED that all electric utilities that offer net metering to solar customers are required to participate in the DESEU study and analysis.

BE IT FURTHER RESOLVED that the DESEU must work with the electric utilities, the Department of Natural Resources and Environmental Control, the Division of the Public Advocate, and other interested stakeholders in the development of the Request for Information and the Request for Proposals.

BE IT FURTHER RESOLVED that, no l ater than December 31, 2024, DESEU must submit a report detailing the findings from the cost-benefit study and analysis of net metering across all electric utilities in Delaware to the following: the Governor and all members of the General Assembly, with copies to the Director and the Librarian of the Division of Research of Legislative Council, and the Delaware Public Archives.

SYNOPSIS

This resolution directs all electric utilities in Delaware that offer net metering to solar customers to participate in a cost-benefit study and analysis of net metering in Delaware being undertaken by the Delaware Sustainable Energy Utility to address issues such as cost burdens and cost shifting to non-solar customers.

Author: Senator Hansen