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Delaware General Assembly· SB 239Signed

Net Energy Metering/Remove 8% Cap, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Delaware General Assembly, fetched 2026-09-25. Page and line markers are part of the official record; nothing is edited or removed. This is the current version. The official bill page.
SPONSOR: Sen. Hansen & Rep. Burns & Rep. Heffernan
                                                                                 Sens. Huxtable, Seigfried, Sokola, Townsend; Reps.
                                                                                 Carson, Cooke, Gorman, Lambert, Minor-Brown,
                                                                                 Morrison, Snyder-Hall

                        DELAWARE STATE SENATE
                        153rd GENERAL ASSEMBLY

                        SENATE BILL NO. 239

    AN ACT TO AMEND TITLE 26 OF THE DELAWARE CODE RELATING TO PUBLIC UTILITIES AND NET
    METERING.

    BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

1   Section 1. Amend § 1014(e), Chapter 10, Title 26 of the Delaware Code by making deletions as shown by strike

2 through and insertions as shown by underline as follows and by redesignating accordingly:

3   § 1014. Public purpose programs and consumer education.

4   (e) The rules and regulations promulgated for net energy metering by the Commission, municipal electric

5 companies, and electric cooperatives during any period of exemption under § 223 of this title must consider the reliability,

6 safety, and capacity of the electric distribution system and:

7                       (1) a. Provide for customers to be credited in kilowatt-hours (kWh) for any excess production of their

8   generating facility that exceeds the customer’s on-site consumption of kWh in a billing period (an “Excess kWh

9   Credit”). Excess kWh Credits shall be credited to subsequent monthly billing periods to offset a customer’s

10  consumption in those billing periods. Excess kWh Credits at the end of an annualized billing period shall carry

11  over to subsequent annualized billing periods. For nonresidential customers that are not a farm customer described

12  in § 902(3) of Title 3, the Commission, municipal electric companies, and electric cooperatives during any period

13  of exemption under § 223 of this title may impose a limit on the amount of Excess kWh Credits that may be

14  carried forward at the end of an annualized billing period. Commission-regulated electric utilities shall be

15  permitted to recover implementation costs including the billing system information technology costs incurred

16  because of the carry over of Excess kWh Credits to subsequent annualized billing periods.

17                      b. Effective January 1, 2024, for commission-regulated utilities for existing and future

18                      net energy metering customers, both residential and nonresidential, the monthly Excess kWh

19                      Credit shall be valued at the sum of the volumetric (kWh) components of the supply service

20                      charges and distribution service charges, not including the charges for societal benefits

21                      programs, according to each participating customer account’s rate schedule. Any Excess kWh

22                      Credits shall not reduce any fixed monthly customer charges imposed by the electric distribution

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23                  company. The customer-generator retains ownership of all renewable energy credits (RECs)

24                  associated with electric energy produced unless the customer has relinquished such ownership

25                  by contractual agreement with a third party or by other means. This paragraph (e)(1) does not

26                  apply to customers participating in a community-owned energy generating facility, as the

27                  provisions regarding community-owned energy generating facilities are addressed elsewhere in

28                  the Delaware Code. “Societal benefits program” means a program required by law in which a

29                  benefit to the public at large accrues as a result of its implementation. Societal benefits programs

30                  include:

31                            1. Green Energy Fund under subsection (a) of this section.

32                            2. Low-Income Program Fund under subsection (b) of this section.

33                            3. Charges incurred by the utility in complying with the state mandated renewable

34                  energy portfolio standard under § 358(f) (1) of this title.

35                            4. The charge imposed under § 364 of this title for qualified fuel cells.

36                            5. Energy efficiency programs under § 8059(h)(1)e. of Title 29.

37                  (2) Excess kWh Credits for supply service are the responsibility of the entity providing supply to the

38  customer rather than solely the responsibility of the electric distribution company.

39                  (3) In the event that a net-metering customer abandons the property where the energy generating

40  equipment is located, the equipment may remain connected to the electric distribution system, unless the

41  equipment presents a risk to the safety and reliability of the electric distribution system.

42                  (4) Ensure that electric suppliers provide net-metered customers electric service at nondiscriminatory

43  rates that are identical, with respect to rate structure and monthly charges, to the rates that a customer who is not

44  net-metering would be charged. electric suppliers shall not charge a net-metering customer any stand-by fees or

45  similar charges, with the exception that the Delaware Energy Office shall promulgate rules that allow DEC and

46  municipal electric companies to request to assess nonresidential net-metering customers a fee or charge if the

47  electric utility’s direct costs of interconnection and administration of net-metering for these customer classes

48  outweigh the distribution system, environmental, and public policy benefits of allocating the costs among the

49  electric supplier’s entire customer base.

50                  (5) Require that all generating systems and grid-integrated electric vehicles used by eligible customers

51  meet all applicable safety and performance standards established by the National Electrical Code, and those of the

52  Institute of Electrical and Electronic Engineers, UL, or the Society of Automotive Engineers, to ensure that net

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53  metering customers meet applicable safety and performance standards and comply with the electric supplier’s

54  interconnection tariffs and operating guidelines. An electric supplier’s interconnection rules must be developed by

55  using as a guide the Interstate Renewable Energy Council’s Model Interconnection Rules and best practices

56  identified by the U.S. Department of Energy. Municipal electric companies shall establish interconnection rules no

57  later than July 24, 2008. An electric supplier may not require eligible net-metering customers who meet all

58  applicable safety and performance standards to install excessive controls, perform or pay for unnecessary tests, or

59  purchase excessive liability insurance.

60                  (6) Net energy metering shall be accomplished using a single meter capable of registering the flow of

61  electricity in 2 directions. To maintain system safety and reliability, an additional meter or meters to monitor the

62  flow of electricity in each direction may be installed with the consent of the net-metering customer, which consent

63  may be waived by the customer. The additional metering shall be used only to provide the information necessary

64  to accurately bill or credit the customer pursuant to paragraph (e)(1) of this section, or to collect system

65  performance information. If an additional meter or meters are installed, the net energy metering calculation shall

66  yield a result identical to that of a single meter. Nonresidential customers shall be responsible for paying the

67  reasonable cost of any new, replacement, or modified meter or meters installed or caused to be installed for net-

68  metering purposes. Residential customers shall not be responsible for paying more than $200 toward the

69  reasonable cost of any new, replacement, or modified meter or meters installed or caused to be installed for net-

70  metering purposes. Nonresidential customers and residential customers shall not own the meter or meters, which

71  shall remain the property of the electric supplier.

72                  (7) If the total generating capacity, measured in megawatts (MW) of alternating current (AC), of all

73  customer-generation using net-metering systems served by an electric utility exceeds 8% of the capacity necessary

74  to meet the electric utility’s average Delaware transmission peak demand for the preceding 3 years, the electric

75  utility may elect not to provide net-metering services to any additional customer-generators.

                                                             SYNOPSIS
    This Act removes the 8% cap on net energy metering for customer-generation.

                                                                                 Author: Senator Hansen

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