Local Solar Program (HB 1970 & SB 929)

Issue:

The proposed program, PA Local Solar, would allow electric utilities in Pennsylvania to establish subscriber programs, by which electric customers could elect to purchase 100% localized solar energy, rather than the traditional grid mix. PA Local Solar provides citizens and businesses with the choice to participate in an off-site solar program, but does not mandate participation, nor require any state funding. Representative Lori Mizgorski introduced HB 1970 and a corresponding bill was introduced in the Senate SB 929.

 IECPA Position:

While the bill sponsors indicated that the program, “Pays for itself, without other customers subsidizing it”, IECPA has concerns with the actual bill language:

(d)  Cost recovery.—

(1)  The cost of development of the local solar program shall be factored into the rate charged to subscribers for energy usage.

(2)  An electric distribution company shall be allowed to recover costs of program implementation, from each customer, subject to commission approval.

While number (1) seems to indicate that the cost of this program will be recovered from the EDC customers that subscribe, (2) is less clear and I’m not sure why it would have been added other than to allow for some broader cost collection of the program.

On November 12, 2019, IECPA sent a letter and proposed edits to HB 1970 to Rep. Mizgorski, Chairman Roae and Matzie. On December 3, 2019 IECPA sent a letter and proposed edits to SB 929 to Sen. Costa’s office.