Next Steps for Pennsylvania’s Modified Net Metering Regulations
August 3, 2016
The Pennsylvania Public Utility Commission’s (“PUC”) modified net metering regulations have moved one step closer to being effective.
The Independent Regulatory Review Commission (“IRRC”) issued its second disapproval order of these regulations on July 12, 2016. That order states, in part, that the revised definition of “utility” has created a regulation that is unclear and ambiguous. Simply put, IRRC was not able to read the definition and ascertain who would be eligible for net-metering under the PUC’s regulations. A copy of the second disapproval order is available here.
IRRC notified the Legislative Committees of its second disapproval of the regulations. To stop the regulations from becoming effective, one (or both) of the Committees needed to report out a concurrent resolution disapproving the regulations. That did not happen within the required 14 day window. 71 P.S. § 745.5a(j.2). So, the regulations have been deemed approved and the PUC may proceed with their promulgation.
The next step for these regulations is review by the Attorney General. This review is limited to the form and legality of the regulations. See 45 P.S. § 1205; 71 P.S. § 732-204(b); 1 Pa. Code § 13.16. Inquiries on legality tend to focus on whether the regulation is statutorily authorized or unconstitutional.
With Attorney General approval, the PUC may proceed with final publication of the regulations in the Pennsylvania Bulletin. The regulations will be EFFECTIVE upon final publication.
This Eckert Seamans Energy and Utilities Blog is intended to keep readers current on matters affecting businesses and is not intended to be legal advice. If you have any questions, please contact Carl Shultz at (717) 255-3742 – cshultz@eckertseamans.com – or Dan Clearfield at (717) 237-7173 – dclearfield@eckertseamans.com.
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