An Act to Eliminate the Practice of Net Energy Billing
Summary
LD 257 would eliminate Maine’s net energy billing framework. The bill repeals statutory provisions that authorize the Public Utilities Commission to adopt rules governing net energy billing and that direct the commission to establish a net energy billing program for commercial and institutional customers of investor-owned transmission and distribution utilities. It also adds language prohibiting the commission from requiring utilities, by rule or order, to allow customer participation in net energy billing.
The bill further cleans up related statutes that reference the repealed program. It revises or repeals definitions and cross-references tied to distributed generation resources, assisted projects, and solar energy equipment exemptions, and it removes property tax exemptions that currently apply to certain solar equipment associated with net energy billing customers or projects with qualifying interconnection agreements. In effect, the bill would substantially narrow or end the legal structure supporting customer-sited generation credits under Maine’s current net energy billing system.
Impact
If enacted, LD 257 would change Title 35-A and related tax statutes by removing the Public Utilities Commission’s authority to maintain or expand net energy billing and by eliminating statutory references that depend on that program. Utilities would no longer be subject to a commission mandate to offer net energy billing participation, and customers, developers, and commercial or institutional participants relying on bill credits from on-site or shared solar generation would lose the legal basis for those arrangements. The bill also affects property tax treatment for certain solar energy equipment, reducing or repealing exemptions linked to net energy billing participation and preexisting interconnection milestones.
Sentiment
No committee transcript or vote record is provided, so there is no documented debate or recorded support/opposition in the materials supplied. Based on the bill text alone, the proposal appears to take a clear policy position against net energy billing by repealing the program and limiting commission authority. The caption and drafting indicate a strong intent to end the practice rather than modify it incrementally.
Contention
The central point of contention is likely the future of distributed solar and customer bill-credit programs. Supporters of the bill would likely argue that net energy billing shifts costs to other ratepayers or distorts utility rates, while opponents would likely view it as undermining solar adoption, customer choice, and financing for renewable energy projects. The repeal of tax exemptions for solar equipment tied to net energy billing may also be controversial among solar developers, property owners, and municipalities that benefit from or administer those incentives.
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