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Record No: CB 119516    Version: 1 Council Bill No: CB 119516
Type: Council Bill (CB) Status: In Committee
Current Controlling Legislative Body Housing, Health, Energy, and Workers’ Rights Committee
On agenda:
Ordinance No:
Title: AN ORDINANCE relating to the City Light Department; authorizing a large solar program for customers with solar photovoltaic systems sized larger than 100 kilowatts and not greater than two megawatts; and adding a new Section 21.49.083 to the Seattle Municipal Code.
Sponsors: Teresa Mosqueda
Supporting documents: 1. Summary and Fiscal Note, 2. Summary Att 1 – Commercial Solar Program Pilot – Pricing Overview, 3. Summary Att 2 – National Trends in Net Electric Metering and Distribution Generation Valuation Methods

CITY OF SEATTLE

ORDINANCE __________________

COUNCIL BILL __________________

title

AN ORDINANCE relating to the City Light Department; authorizing a large solar program for customers with solar photovoltaic systems sized larger than 100 kilowatts and not greater than two megawatts; and adding a new Section 21.49.083 to the Seattle Municipal Code.

body

WHEREAS, solar technology is decreasing in cost, leading to growing customer interest in installing large solar arrays on commercial facilities; and

WHEREAS, solar energy is an integral piece of Seattle’s Climate Action Plan, including the Living Building and 2030 Challenge Pilots; and

WHEREAS, customers with large solar photovoltaic (PV) systems do not qualify for net metering per Seattle Municipal Code Section 21.49.082 and RCW 80.60.020; and

WHEREAS, the City Light Department of The City of Seattle (City Light) would like to offer a policy path to customers wishing to install large PV arrays; and

WHEREAS, similar to its approach to energy efficiency programs, City Light seeks to encourage customers to install PV systems sized to offset their building’s own use, thereby minimizing financial impacts for other customers; and

WHEREAS, City Light seeks to compensate customers exporting electricity to the grid at a fair value based on the aggregate benefits this electricity provides to all customers; NOW, THEREFORE,

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. A new Section 21.49.083 is added to the Seattle Municipal Code as follows:

21.49.083 Large solar program

A. The large solar program shall be open to customers operating solar photovoltaic (PV) arrays sized larger than 100 kW and not greater than 2 mW. To be eligible for the program, a PV array must be connected to a customer premises located within the Department’s service territory and be equipped with a two-way advanced meter capable of measuring both consumption and outbound power exports.

B. To participate, customers must enter into an interconnection agreement with the Department and to comply with all its terms. The Department may adopt any interconnection requirements as necessary to protect public safety and system reliability.

C. Large solar program customers shall be metered, billed, and credited according to the following provisions:

1. The customer’s two-way advanced meter will measure accumulated kilowatt hours of inbound retail consumption and outbound exported power.

2. Any electricity produced by the customer’s solar PV array may be used to reduce inbound retail electricity consumption at the customer's rate schedule for electric service.

3. Electricity generated in excess of that consumed by the customer may be exported to the Department’s system. Accumulated kWh of exported electricity shall be measured by the advanced meter and the customer will be credited for exported electricity according to the large customer solar export rate, which reflects the value of the power and grid benefits. The rate may be updated over time but will initially be set as the following:

Large Customer Solar Export Rate

 

Effective April 1, 2019

Effective January 1, 2020

Export Credit cents per kWh

2.57

2.30

4. The customer shall retain ownership of all environmental, social, and other non-power attributes of the electricity produced by their PV system, irrespective of whether it is consumed on-site or exported.

5. Customers totalizing multiple meters under Section 21.49.090 may integrate their PV array into their totalized service. Otherwise, meter aggregation across multiple customer premises shall not be permitted.

D. The program will remain open for eligible customers on a pilot basis until at least December 31, 2021. Until Dec 31, 2035, the Department will honor the terms of the large solar program for interconnected participants and guarantee an annual export rate of at least 1.8 cents per kWh.

 

Section 2. This ordinance shall take effect and be in force 60 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.

Passed by the City Council the ________ day of _________________________, 2019, and signed by me in open session in authentication of its passage this _____ day of _________________________, 2019.

____________________________________

President ____________ of the City Council

Approved by me this ________ day of _________________________, 2019.

____________________________________

Jenny A. Durkan, Mayor

Filed by me this ________ day of _________________________, 2019.

____________________________________

Monica Martinez Simmons, City Clerk

(Seal)