State of Illinois
2007 and 2008


Introduced 2/8/2007, by Rep. Naomi D. Jakobsson


220 ILCS 5/16-107.5 new

    Amends the Public Utilities Act. Requires electric utilities and alternative retail electric suppliers to provide net energy metering capabilities for their retail customers that own and operate solar or wind electrical generating facilities. Provides that net production by a customer shall be credited to its bill at the same rate the electric utility or alternative retail electrical supplier charges for electricity provided to the customer. Effective immediately.

LRB095 08711 MJR 28894 b






HB1011 LRB095 08711 MJR 28894 b

1     AN ACT concerning regulation.
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4     Section 5. The Public Utilities Act is amended by adding
5 Section 16-107.5 as follows:
6     (220 ILCS 5/16-107.5 new)
7     Sec. 16-107.5. Legislative findings and declarations.
8     (a) The Legislature finds and declares that a program to
9 provide net energy metering for eligible customers can
10 encourage private investment in renewable energy resources,
11 stimulate economic growth, enhance the continued
12 diversification of Illinois' energy resource mix, and protect
13 the Illinois environment.
14     (b) As used in this Section: (i) an "eligible customer"
15 means a retail customer that owns and operates a solar or wind
16 electrical generating facility with a capacity of not more than
17 40 kilowatts that is located on the customer's premises and is
18 intended primarily to offset part or all of the customer's own
19 electrical requirements and (ii) "net energy metering" means
20 the use of a net energy meter to measure, during the billing
21 period applicable to an eligible customer, the net amount of
22 electricity delivered by an electric utility or provided to the
23 electric utility by the customer.



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1     (c) An electric utility shall provide for the
2 interconnection of eligible customer generating equipment and
3 for net energy metering.
4     (d) An electric utility and an alternative retail electric
5 supplier shall use net energy metering to measure and charge or
6 credit for the net electricity supplied to eligible customers
7 or provided by eligible customers according to the following
8 requirements:
9         (1) If the amount of electricity used by the customer
10     during the billing period exceeds the amount of electricity
11     produced by the customer, the electric utility or
12     alternative retail electric supplier shall charge the
13     customer for the net electricity supplied to and used by
14     the customer at the same rate applicable to electricity
15     provided by the electric utility or alternative retail
16     electric supplier to other residential customers and small
17     commercial retail customers.
18         (2) If the amount of electricity produced by a customer
19     during the billing period exceeds the amount of electricity
20     used by the customer, the electric utility or alternative
21     retail electric supplier supplying that customer shall
22     apply a credit to the next bill for service to the customer
23     for the net electricity produced at the same rate
24     applicable to electricity provided to other residential
25     customers and small commercial retail customers.
26         (3) At the end of the year or annualized over the



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1     period that service is supplied by means of net energy
2     metering, the electric utility or alternative retail
3     electric supplier supplying a customer shall promptly
4     issue payment at its avoided cost to the customer for the
5     value of any remaining credit for the excess electricity
6     provided by the customer during the year or over the
7     annualized period.
8     (e) Within 3 months after the effective date of this
9 amendatory Act of the 95th General Assembly, the Illinois
10 Commerce Commission shall establish standards for net energy
11 metering and the interconnection of solar and wind electric
12 generating equipment to the utility system if the Commission
13 determines that such standards are necessary for safe and
14 adequate service and further the public policy set forth in
15 this Section. The standards may include, but shall not be
16 limited to, standards designating:
17         (1) equipment necessary to automatically isolate the
18     residential solar and wind generating system from the
19     utility system for voltage and frequency deviations; and
20         (2) a manual lockable disconnect switch provided by the
21     customer which shall be located on the outside of the
22     residence and externally accessible for the purpose of
23     isolating the solar and wind electric generating
24     equipment.
25     Section 99. Effective date. This Act takes effect upon
26 becoming law.