S T A T E O F N E W Y O R K ________________________________________________________________________ 774 2015-2016 Regular Sessions I N S E N A T E (PREFILED) January 7, 2015 ___________ Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommuni- cations AN ACT to amend the public service law, in relation to providing real time smart metering technology to residential electricity customers THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Legislative intent. The legislature intends to provide 2 residential customers with the ability to control and manage electricity 3 usage and the time of usage in their homes. The implementation of a real 4 time pricing smart meter program should help to conserve energy and 5 prevent peak-time system overloads. The expansion of the use of real 6 time pricing smart meters from the commercial and industrial markets to 7 the residential market should benefit consumers with reduced monthly 8 costs and stimulate market competition. 9 S 2. The public service law is amended by adding a new section 39-a to 10 read as follows: 11 S 39-A. REAL TIME PRICING SMART METERING. 1. AS USED IN THIS SECTION, 12 THE TERM "REAL TIME SMART METER" OR "METER" SHALL MEAN A METERING DEVICE 13 THAT HAS THE FOLLOWING CAPABILITIES: 14 (A) COUPLED WITH AN IN-HOME DISPLAY DEVICE THAT CAN DISPLAY REAL TIME 15 USAGE OR DEMAND AND REAL TIME PRICING IN USEFUL COMPARISONS INCLUDING, 16 BUT NOT LIMITED TO, MEANS SUCH AS SIDE BY SIDE BAR GRAPHS OR COLOR CODED 17 SYSTEMS THAT REFLECT CHANGING UTILITY DEMAND AND PRICING; 18 (B) RECORDING AND STORING AND INTERPRETING KILOWATT PER HOUR USER 19 RATES IN ONE-HALF HOUR INTERVALS; 20 (C) COMMUNICATING REAL TIME PRICING THRESHOLDS TO HOME APPLIANCES TO 21 REDUCE APPLIANCE USAGE AS DETERMINED BY THE RATEPAYER OR IN AGREEMENTS 22 WITH AN ENERGY PROVIDER; EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00145-01-5 S. 774 2 1 (D) BEING READ REMOTELY OR RECEIVING DATA FROM, BUT NOT LIMITED TO, 2 THE INTERNET, WIRELESS FIDELITY NETWORK, BROADBAND OVER POWER LINE, 3 POWER LINE CARRIER, ETHERNET, PHONE LINE, WIRELESS CELL PHONE LINE, 4 RADIO FREQUENCY OR OTHER COMMUNICATIONS SYSTEM; 5 (E) STORING USAGE DATA UP TO THREE MONTHS; 6 (F) DETECTING A LOSS OF POWER TO A CUSTOMER WITH IMMEDIATE COMMUNI- 7 CATION OF SUCH LOSS TO THE ENERGY PROVIDER; AND 8 (G) PROVIDING DATA ANALYSIS ON SUCH AS HISTORICAL CONSUMPTION 9 PATTERNS, UTILIZATION RATES, POWER OUTAGES, PEAK DEMAND TIMES AND POWER 10 REQUIREMENTS, COSTS PER KILOWATT HOUR, PRICING, AND USAGE HISTORY. 11 2. (A) THE COMMISSION SHALL PROMOTE THE UTILIZATION OF REAL TIME SMART 12 METERS BY RESIDENTIAL ELECTRICITY CUSTOMERS IN THIS STATE. FURTHERMORE, 13 IT SHALL PROVIDE FOR THE CERTIFICATION OF COMPANIES WHO INSTALL, RENT, 14 SELL, MAINTAIN, REPAIR, ALTER OR REPLACE SUCH METERS. 15 (B) RESIDENTIAL ELECTRICITY CUSTOMERS SHALL HAVE THE OPTION TO CONTIN- 16 UE WITH THEIR PRESENT UTILITY METERING SYSTEM OR ACQUIRING A REAL TIME 17 SMART METER. SUCH METER MAY BE PURCHASED OR RENTED FROM THE SUPPLIER OF 18 ELECTRICITY OR FROM A THIRD PARTY CERTIFIED BY THE COMMISSION TO TRANS- 19 ACT SUCH BUSINESS. PURCHASES MAY BE MADE BY CASH OR BY FINANCING FOR A 20 TERM OF UP TO TWENTY YEARS. RENTAL AGREEMENTS MAY ALSO BE ENTERED INTO 21 ON AN ANNUAL OR TERM OF YEARS BASIS. 22 (C) (I) THE COST OF ELECTRICITY FOR A RESIDENTIAL CUSTOMER WHO ELECTS 23 TO CHANGE TO A REAL TIME SMART METER SHALL BE BASED ON: 24 (1) THE CUSTOMER'S ELECTRICITY USAGE AND TIME OF USAGE; AND 25 (2) A FLAT FEE THAT SHALL INCORPORATE: (A) A GENERATION BID COST; AND 26 (B) SERVICE SIZE COSTS BASED ON THE RESIDENTIAL CUSTOMER'S SERVICE SIZE 27 CAPACITY AS DETERMINED BY THE SUPPLIER OF ELECTRICITY. 28 (II) AN ADDITIONAL SURCHARGE SHALL BE LEVIED ON SUCH RESIDENTIAL 29 CUSTOMER IF SUCH ELECTRICITY USAGE EXCEEDS THE SERVICE SIZE CAPACITY. 30 (III) THE VARIABLE COSTS SHALL BE PAID BY A RESIDENTIAL CUSTOMER FOR 31 ELECTRICITY USED AS INDICATED BY THE REAL TIME SMART METER AND THE FLAT 32 FEE COSTS SHALL BE PAID BY SUCH CUSTOMER, AS DETERMINED BY THE SUPPLIER 33 OF ELECTRICITY AND APPROVED BY THE COMMISSION, AS PART OF THE REGULAR 34 BILLING CYCLE. 35 (D) THE COMMISSION SHALL APPROVE ALL CHARGES, INCLUDING VARIABLE 36 RATES, FIXED RATES AND SURCHARGES. 37 3. ELECTRICITY TRANSFER AND DELIVERY UTILITIES REGULATED BY THE 38 COMMISSION MAY REACH AGREEMENT WITH THE COMMISSION TO FOREGO PARTIC- 39 IPATION IN THE REAL TIME SMART METER PROGRAM FOR AT LEAST TEN YEARS. 40 DURING THIS PERIOD OF TIME NEW METER SERVICE PROVIDERS AND COMMUNITY 41 PROVIDERS WOULD HAVE THE OPPORTUNITY TO PROVIDE SUCH METERS IN THIS 42 MARKET. IF SUCH AN AGREEMENT IS ENTERED INTO, SUCH UTILITIES SHALL BE 43 ALLOWED TO RECEIVE A METER DECOMMISSIONING FEE. THE METER DECOMMISSION- 44 ING FEE SHALL BE AN AMOUNT AGREED UPON BY SUCH UTILITY AND THE COMMIS- 45 SION. 46 4. THE COMMISSION SHALL ESTABLISH REAL TIME SMART METERING PILOT 47 PROGRAMS. A COUNTY LEGISLATURE OR BOARD OF SUPERVISORS MAY PETITION THAT 48 THE COMMISSION APPROVE THE OPERATION OF A REAL TIME SMART METERING PILOT 49 PROGRAM WITHIN ITS JURISDICTION ON AN ACCELERATED BASIS. SUCH PETITION 50 SHALL SET FORTH THE PARAMETERS OF THE PILOT PROGRAM INCLUDING THE 51 CUSTOMERS OF SUCH COUNTY TO BE SERVED, TECHNOLOGIES TO BE USED AND 52 PROVIDE DETAILED PERFORMANCE MEASURES TO BE USED INCLUDING ENERGY 53 CONSERVATION GOALS. 54 S 3. The public service commission shall promulgate rules and regu- 55 lations to implement the provisions of this act. Such rules and regu- 56 lations shall include, but not be limited to, establishing criteria for S. 774 3 1 the operation and approval of all smart metering programs, including 2 those applications submitted by county governments to establish their 3 own real time smart metering programs. A county legislature or board of 4 supervisors may petition the public service commission for approval to 5 establish a local real time smart metering program on or after the three 6 hundred sixty-fifth day after this act shall have become a law. If such 7 petition is denied, the public service commission shall provide in writ- 8 ing the reasons for such denial and provide the conditions and criteria 9 the public service commission maintains would lead to a subsequent 10 application approval. Any county application shall have a public hearing 11 conducted on such application within 120 days of submission of such 12 application to the public service commission and a decision rendered 13 within 120 days after the public hearing has been concluded. 14 S 4. This act shall take effect on the two hundred seventieth day 15 after it shall have become a law; provided, however, that effective 16 immediately the public service commission is authorized to adopt any 17 rules or regulations necessary to implement the provisions of this act 18 on or before such date.