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.