Amendment #20 to S1979

Value of Solar Study

Mr. Hecht of Watertown moves to amend the bill by inserting the following text:

SECTION XX.

(a) The department of public utilities and the department of energy resources shall jointly determine the value of distributed solar energy generation in the State. The commission shall develop a method for valuing distributed solar energy generation. The method developed by the commission must, at a minimum, account for the value of the energy, the value of its delivery, generation capacity, transmission capacity and transmission and distribution line losses and the value of the reduced environmental impacts of the energy. The commission may, based on known and measurable evidence of the cost or benefit of solar operation to a utility, incorporate other values into the method, including credit for locally manufactured or assembled energy systems or systems installed at high-value locations on the electric grid, or other factors. When developing the method, the commission shall consult stakeholders with experience and expertise in power systems, solar energy and electric utility ratemaking regarding the proposed method, underlying assumptions and preliminary data.

(b) In developing a method for valuing distributed solar energy generation pursuant to this section, the departments shall ensure the method is consistent with published guidance from the Interstate Renewable Energy Council and shall be subject to the review and approval of the office of the attorney general, in its role as the commonwealth’s ratepayer advocate.

(c) By May 1, 2016, the department shall submit to the legislature a report on the determination of the value of distributed solar energy generation in the commonwealth.