This bill does the following.
1. It provides that a person is prohibited from participating in the kilowatt-hour credit and tariff rate net energy billing programs after the expiration of the person's net energy billing agreement with the transmission and distribution utility for the distributed generation resource, with some exceptions.
2. It provides that a distributed generation resource that is greater than one megawatt and not more than 2 megawatts that receives a good-cause exemption from the Public Utilities Commission must reach commercial operation by December 31, 2025 to participate in the kilowatt-hour credit net energy billing program and the tariff rate net energy billing program.
3. It creates a limited exception from the kilowatt-hour credit net energy billing program limitations to allow a distributed generation resource with a nameplate capacity of one megawatt or less to participate in net energy billing if the distributed generation resource is wholly owned by the customers receiving the net energy billing credits associated with the output of the distributed generation resource.
4. It allows a distributed generation resource to be used in the kilowatt-hour credit net energy billing program if the distributed generation resource is owned by the customer and is used to serve the electric load of that customer only and 100% of the net energy billing credits associated with the distributed generation resource are allocated to the retail account of that customer.
5. It directs the commission, starting January 1, 2026, to establish by routine technical rule the compensation rates applicable to all customers participating in net energy billing with distributed generation resources owned by nonresident program owners.
6. It requires a transmission and distribution utility, if a customer with a shared financial interest in the resource terminates the customer's participation in the net energy billing arrangement, to replace that customer by enrolling a customer receiving low-income assistance under the Maine Revised Statutes, Title 35-A, section 3214, subsection 2 who is located in the same transmission and distribution utility service territory as the terminated customer.
7. Starting January 1, 2026, it establishes that the tariff rate set by the commission by rule for a customer participating in the tariff rate net energy billing program with a distributed generation resource not owned by a nonresident program owner must equal 9.5¢ and increase by 2.25% on January 1st of each subsequent year. If the tariff rate established would cause a project that has reached commercial operation by January 1, 2026 to no longer be financially viable, the owner of a distributed generation resource may petition the commission for an adjustment to the tariff rate.

Statutes affected:
Bill Text LD 1936, SP 754: 35-A.3209