The VT Public Utility Commission's (PUC) most recent Biennial Update to the state Net Metering Policy increased the Siting Adjustor from 2 to 4 cents per kWh of total solar production, and maintained the 0 cent per kWh REC Adjustor if the customer agrees to Transfer Ownership of the RECs to the utility (or another 4 cent production charge to retain the RECs). The values took effect on August 1, 2024 and will remain in place through at least August 1, 2026.
Palmetto LightReach has the following expectations of our EPCs in Vermont.
Key Takeaways:
EPCs must select ‘Transfer Ownership’ of the RECs on the Certificate of Public Good registration.
EPCs are expected to educate Vermont customers on the 4 cent per kWh Siting Adjustor that will be assessed on all solar production generated for the life of the system.
EPCs must pay the utility production meter fees and grid upgrades by making a payment on the customer’s utility account on their behalf or by reimbursing the customer as the meter fees will appear on their first net metering statement.
Transferring RECs, Siting Adjustor, and Production Meter Fees
REC Transfer:
Vermont’s net metering policy requires customers to transfer their RECs to the utility otherwise they will be charged 4 cents per kWh on Total Solar Production. Retaining the RECs is a separate 4 cent production charge in addition to the 4 cent Siting Adjustor that cannot be avoided.
If the customer retained the RECs, which is prohibited by Palmetto LightReach, they would be charged a total of 8 cents per kWh of production for the life of the system on their utility bill.
Palmetto LightReach installation partners are required to select ‘Transfer Ownership’ of the RECs on the Certificate of Public Good application. Apply via ePUC using Net Metering Registration.
Siting Adjustor:
The Vermont Public Utility Commission requires utilities to charge the Siting Adjustor on Total Solar Production assessed on their monthly utility bill for the life of the system. Palmetto LightReach has taken this charge into account when setting our PPA ceiling rates.
Please set expectations with your customers on the 4 cent per kWh Siting Adjustor.
Meter Fees & Grid Upgrade Costs:
Palmetto LightReach requires EPC partners to proactively pay these fees on the customer’s behalf.
Vermont utilities charge production meter installation fees and potentially grid upgrades. The fees are applied to the customer’s first net metering statement after installation. Palmetto LightReach requires EPC partners to proactively pay these fees on the customer’s behalf. You may call to make a credit card payment or mail a check to the utility to apply a payment to the customer’s account.
The charges will still appear on the customer's first net metering statement. However, please explain to customers that your payment will 'offset' the charges. Alternatively, you may reimburse the customer by making a payment to them directly.
Utility Fees:
Green Mountain Power
GMP applies a $110 production meter fee for PV to the account holder’s first net metering statement. A second $110 may be due if a utility owned battery storage meter is installed. There is also a potential $37/kW TGFOV Fee (Transmission Ground-fault Overvoltage Upgrade) on the account holder’s first utility bill after interconnection if the system is under 15 kW AC and identified in one of 60+ circuits on this map. Per GMP, the TGFOV fee is not required on storage.
Vermont Electric Cooperative
VEC charges $273.80 ($33 single member fee, $160.80 for the meter, and $80 for installation) on the first net metering statement. There may also be grid upgrades, for example a larger transformer, which should be identified by VEC within 10 business days of the initial application.
Burlington Electric Department
BED charges $150 on the first net metering statement for residential production meters. There may also be grid upgrades. BED staff confirmed they can invoice the installer for both fees as long as you request it
FAQs
Question | Answer | |
1. | When are these fees applied to the customer’s account? | The fees are applied to the customer’s first net metering statement after installation |
2. | What does Palmetto LightReach require EPC partners to do regarding these fees? | EPC partners must proactively pay the fees on the customer’s behalf |
3. | How can EPCs proactively pay these fees on the customer’s behalf? | They can either call the utility to make a credit card payment or mail a check to apply a payment to the customer’s account. |
4. | Will the charges still appear on the customer’s first net metering statement even if the EPC has paid them? | Yes. The charges will still appear, but the EPC’s payment will offset them. |
5. | What alternative option do EPCs have if they choose not to pay the utility directly? | They may reimburse the customer by making a direct payment to the customer instead. |