2016 -- S 2351

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LC004463

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

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A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS -- RENEWABLE ENERGY

STANDARD

     Introduced By: Senators Miller, Doyle, Crowley, Lombardi, and Pagliarini

     Date Introduced: February 10, 2016

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 39-26-7 of the General Laws in Chapter 39-26 entitled "Renewable

Energy Standard" is hereby amended to read as follows:

     39-26-7. Renewable energy development fund. -- (a) There is hereby authorized and

created within the Rhode Island commerce corporation a renewable energy development fund for

the purpose of increasing the supply of NE-GIS certificates available for compliance in future

years by obligated entities with renewable energy standard requirements, as established in this

chapter. The fund shall be located at the Rhode Island commerce corporation. The Rhode Island

commerce corporation shall:

      Administer the fund and adopt plans and guidelines for the management and use of the

fund in coordination with the office of energy resources and the Rhode Island infrastructure bank,

and

      (b) The Rhode Island commerce corporation shall enter into agreements with obligated

entities to accept alternative compliance payments, consistent with rules of the commission and

the purposes set forth in this section; and alternative compliance payments received pursuant to

this section shall be trust funds to be held and applied solely for the purposes set forth in this

section.

      (c) The uses of the fund shall include but not be limited to:

      (1) Stimulating investment in renewable energy development by entering into

agreements, including multi-year agreements, for renewable energy certificates;

      (2) Establishing and maintaining a residential renewable energy program using eligible

technologies in accordance with § 39-26-5;

      (3) Providing technical and financial assistance to municipalities for interconnection and

feasibility studies, and/or the installation of renewable energy projects;

      (4) Implementing and supporting commercial and residential property assessed clean

energy projects;

      (5) Issuing assurances and/or guarantees to support the acquisition of renewable energy

certificates and/or the development of new renewable energy sources for Rhode Island;

      (6) Establishing escrows, reserves, and/or acquiring insurance for the obligations of the

fund;

      (7) Paying administrative costs of the fund incurred by the Rhode Island commerce

corporation, the Rhode Island infrastructure bank and the office of energy resources, not to

exceed ten percent (10%) of the income of the fund, including, but not limited to, alternative

compliance payments. All funds transferred from the Rhode Island commerce corporation to

support the office of energy resources' administrative costs shall be deposited as restricted

receipts.

     (8) Establishing a solar energy incentive program, administered by the office of energy

resources and funded by an annual allocation from the renewable energy development fund in an

amount sufficient to provide one hundred thousand dollars ($100,000) each program year. Any

resident of the state who purchases and installs a new solar photovoltaic system that has a

nameplate capacity of ten kilowatts (10 kw) or fewer and, begins operation on or after July 1,

2016, and is located on or at the owner's residence is eligible for an incentive payment of five

hundred dollars ($500). Incentive payments shall be granted on a first-come, first-serve basis until

the annual allocation is exhausted. The office of energy resources shall establish an application

process for the incentive program. This incentive program shall expire on July 1, 2026.

      (d) All applications received for the use of the fund shall be reviewed by the Rhode

Island commerce corporation in consultation with the office of energy resources and the Rhode

Island infrastructure bank.

      (e) NE-GIS certificates acquired through the fund may be conveyed to obligated entities

or may be credited against the renewable energy standard for the year of the certificate provided

that the commission assesses the cost of the certificates to the obligated entity, or entities,

benefiting from the credit against the renewable energy standard, which assessment shall be

reduced by previously made alternative compliance payments and shall be paid to the fund.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS -- RENEWABLE ENERGY

STANDARD

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     This act would authorize a ten (10) year solar incentive program administered by the

office of energy resources and funded by a one hundred thousand dollar ($100,000) annual

allocation from the renewable energy development fund for individuals purchasing and installing

a new solar photovoltaic system with a capacity of ten kilowatts (10 kw) or less at their residence

on or after July 1, 2016, resulting in a five hundred dollar ($500) payment on a first-come, first-

serve basis until the annual allocation is exhausted.

     This act would take effect upon passage.

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