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North Carolina

Legislative activities

“In August 2007, Governor Easley signed legislation that creates a Renewable Energy and Energy Efficiency Portfolio Standard (REPS) that considers demand response to be an eligible activity for cooperative and municipal utilities to meet the REPS (Senate Bill 3/Session Law 2007-397). According to the legislation, however, “public utilities” may not use demand response to meet the REPS.

Furthermore, the legislation directs the North Carolina Utilities Commission to analyze and report on whether rate structures, policies, and measures in effect in other states and countries that promote a mix of generation involving renewable energy sources and demand reduction should be implemented in North Carolina. The Commission filed the report with the Governor and the General Assembly in September 2008[RHS4].” [1]

The 2007 legislation that created REPS also addressed distributed generation interconnection standards. (S.B. 3) The North Carolina state legislature also established laws that do not allow adoption of ordinances prohibiting solar energy in 2007 and amended in 2009. (2007 SB 670 and 2009 HB 1387) [2, 3]


Regulatory activities

North Carolina’s Utilities Commission began looking at distributed stand by generators in 1993 and it wasn’t until 2009 that a rate came out for non-firm small scale distributed generation. In 2003 curtailable service for industrials became standard. In 2005 time-of-use rates went into effect and in 2008 the Utilities Commission had dealt with its first residential load control program followed by an advanced metering option, in 2010, that allowed for internet-based meter information. [4, 5, 6, 7]

Parts of North Carolina are within the PJM footprint so within that area there is the opportunity for end-use customers to participate in demand response though curtailment service providers.

“In August 2007, the North Carolina Utilities Commission decided not to adopt PURPA Standard 14 (“Time-Based Metering and Communications”) as enacted in EPACT 2005. The Commission stated that it did not adopt the PURPA standard because it agreed with testimony submitted in the course of the proceeding that provided examples that “…the Commission and the utilities have been actively promoting time-based rates for at least the last three decades.” Both Progress Energy and Duke Energy, for example, “already offer a variety of programs essentially identical to all but one of those suggested by” EPACT 1252. Furthermore, in February 2007 the Commission’s Staff also recommended declining adoption of EPACT 1252.” [1]

Distributed generators include standby generators, qualifying cogeneration, and small power production facilities where prices are based on the PJM Interconnect Dom Zone Day Ahead Locational Marginal Price and capacity based on the PJM Interconnect Reliability Pricing Model capacity resource clearing price for the PJM zone or as otherwise negotiated.

Curtailable service allows the company to curtail customer demand upon request within the applicable tariff levels.

Time-of-Use rates, depending on the rate are a combination of seasonal pricing, on-peak rate and an off-peak rate for energy and/or demand.

Residential load control allows the company to interrupt service to heating elements or approved electric water heaters for no more than 4 hours a day 60 hours a year.

Advanced metering option allows a customer to use and be charged for the companies meter with interval data capability or install their own nonstandard company approved meter.


Utilities and Rate Schedules

Dominion North Carolina Power
- Dominion North Carolina Power Residential Rates
- Dominion North Carolina Power Business Rates

Duke Energy Carolinas
- Duke Energy Carolinas Rates

Progress Energy
- Progress Energy Rates

See the National Rural Electric Cooperative Association (NRECA) for information on consumer-owned Cooperatives: http://www.nreca.org/members/MemberDirectory/Pages/default.aspx


State-Level Incentives

North Carolina has tax credits at the personal and corporate level for solar and wind. The state also has grants and loans available for wind, solar, water, and CHP/cogeneration.

More information can be found in the Database of State Incentives for Renewables & Efficiency (DSIRE): http://www.dsireusa.org/incentives/index.cfm?re=1&ee=1&spv=0&st=0&srp=1&state=NC


Additional Resources

State Energy Office:
- Department of Commerce State Energy Office

State Authority Dealing with Energy Regulation:
- North Carolina Utilities Commission
- Docket Search: http://ncuc.commerce.state.nc.us/docksrch.html

North Carolina General Statutes

Database of State Incentives for Renewables & Efficiency (DSIRE): http://www.dsireusa.org/incentives/index.cfm?re=1&ee=1&spv=0&st=0&srp=1&state=NC


References

[1] Demand Response and Smart Metering Policy Actions Since the Energy Policy Act of 2005: A Summary for State Officials, Prepared by the U.S. Demand Response Coordinating Committee for The National Council on Electricity Policy, Fall 2008. URL: http://www.oe.energy.gov/DocumentsandMedia/NCEP_Demand_Response_1208.pdf
[2] Database of State Incentives for Renewables & Efficiency, North Carolina Interconnection Standards, 12/01/2009. URL: http://www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=NC04R&re=1&ee=1
[3] Database of State Incentives for Renewables & Efficiency, North Carolina Solar Access Laws, 08/31/2009. URL: http://www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=NC08R&re=1&ee=1
[4] Duke Energy, North Carolina Electric Rates. URL: http://www.duke-energy.com/rates/north-carolina.asp
[5] Progress Energy, North Carolina Rates. URL: http://progress-energy.com/aboutenergy/rates/nctariffs.asp
[6] Dominion, Dominion North Carolina Power Filed Tariff, Residential Rates. URL: http://www.dom.com/dominion-north-carolina-power/customer-service/rates-and-tariffs/
[7] Dominion, Dominion North Carolina Power Filed Tariff, Business Rates. URL: http://www.dom.com/dominion-north-carolina-power/customer-service/rates-and-tariffs/business-rates-and-tariffs.jsp