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Board of Public Utilities Adopts Aggregate Net Metering Rules

April 3, 2013

On March 20, 2013, in furtherance of the Solar Act of 2012 (the “Act”), the New Jersey Board of Public Utilities adopted rules codifying the Aggregate Net Metering provisions of the Act. The new rules generally mirror the language of the Act and contain the following clarifications:

1. All facilities within an aggregate net metering group must have the same utility customer and be in the same rate class.

2. The host site meter must utilize a net metering billing account.

3. The host site meter will be the only meter that qualifies for a retail credit.

4. The solar facility must be located on property owned by the customer.

5. At the end of the customer’s historical 12-month period, the customer shall receive a credit for any excess electricity equal to the electric power supplier’s avoided cost of wholesale power.

6. An eligible customer may contract with a third-party to own and/or operate the solar facility provided such third-party contract includes contractual protections that provide for adequate performance and provision for construction and operation for the term of the contract, including any appropriate bonding or escrow requirements.

7. The utility may recover incremental costs incurred due to aggregate net metering from the eligible customer.

A complete copy of the rules will be published in the April 15, 2013 edition of the New Jersey Register.

For more information, please contact:

Stephen A. Kisker
Chair, Renewable Energy and Sustainability Group | (973) 530-2074 |
Robert H. Crespi
Member of the Firm | (973) 530-2060 |
Michelle A. Schaap
Member of the Firm | (973) 530-2026 |
John G. Valeri Jr.
Member of the Firm | (973) 530-2030 |