An Act To Expand Community-based Solar Energy in Maine
Sec. 1. 35-A MRSA §3210-C, sub-§3-A is enacted to read:
(1) The resource has a nameplate capacity of no more than 10 megawatts;
(2) The resource has an in-service date of no earlier than June 30, 2020 and no later than December 31, 2021;
(3) Ownership of the resource is at least 75% accounted for by qualified owners. For the purposes of this subparagraph, "qualified owner" means a resident of the State or a business, corporation or other entity that is at least 75% owned by residents of the State; and
(4) The owners of the resource provide documentation to the commission that:
(a) Demonstrates completion of an interconnection agreement application with the local transmission and distribution utility;
(b) Includes a plan to obtain all required federal, state and local permits and approvals for the resource;
(c) Demonstrates financial capability to operate the resource over the term of the contract;
(d) Includes a letter or resolution of support from the local community in which the resource is located; and
(e) Outlines expected economic benefits from the long-term contract to the local community in which the resource is located.
The commission shall adopt rules to implement this subsection. Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.
SUMMARY
This bill requires the Public Utilities Commission to direct investor-owned transmission and distribution utilities to enter into long-term contracts with community-based solar photovoltaic energy generating facilities. The total amount of resources procured through these long-term contracts may not exceed 100 megawatts, and 20% of resources procured must come from generators with a capacity of less than 2 megawatts. The bill requires the commission to establish provisions to protect the interests of utility customers over the term of the contracts.
The bill sets forth eligibility requirements for community-based solar resources to enter into long-term contracts. To be eligible, a resource must have a capacity of no more than 10 megawatts, have an in-service date between June 30, 2020 and December 31, 2021 and meet local ownership requirements. In addition, to be eligible, the owners of the resource must:
1. Demonstrate to the Public Utilities Commission completion of an interconnection agreement application with the local transmission and distribution utility;
2. Include a plan to obtain all required federal, state and local permits and approvals;
3. Demonstrate financial capability to operate the resource over the term of the contract;
4. Include a letter or resolution of support from the local community in which the resource is located; and
5. Outline expected economic benefits from the long-term contract to the local community in which the resource is located.
The bill establishes a minimum contract length of 20 years and requires the contract rate to be less than 9 cents per kilowatt-hour and fixed for a period of at least 20 years. Contracts may be for energy or capacity. The contracts may also include renewable energy credits, or the owners of the resource may retain the renewable energy credits associated with the resource, as determined by the owners. Finally, the bill specifies that available energy contracted for under the provisions of this bill must be sold into the wholesale electricity market in conjunction with solicitations for standard-offer supply bids.