CPUC and Net-Metering: Distributed Generation Can Compute

Although it may not be clear from this call to action, what’s at issue here is the computation of the capacity limit for the CSI’s net metering program.

California law provides for a cap equal to 5% of the utilities’ energy demand. The problem is that the methodology for computing the total energy demand was not sufficiently specified in the law and left some room for interpretation. The approach taken by the utilities resulted in the lowest possible capacity limit.

This is not surprising. The Investor Owned Utilities (IOUs) have consistently opposed the policies that would support distributed generation. If the IOU’s liked these programs, they’d be working to maximize capacity, minimize red tape and interconnection uncertainties, and ensure that prices were adequate to make DG development economically feasible. ≥≥ Read more