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Committee hears bill to expand industrial self-generation and extend net‑metering term
Summary
Sen. Tim Lang proposed expanding industrial host net‑metering to allow up to 5 MW of on‑site generation and to set a rolling 20‑year legacy compensation period for qualifying facilities.
Sen. Tim Lang introduced Senate Bill 106 to permit larger industrial host generators and to create a 20‑year legacy period for net‑metering eligibility at the time a facility enters service. Lang told the committee the bill expands a tool used by municipalities and would help manufacturers and energy‑intensive businesses reduce rising electricity costs.
Business groups and manufacturers warmly supported the bill. Mike Skelton, president and CEO of the Business and Industry Association, called SB 106 “one of the most important pro‑business pieces of legislation filed this session,” citing New Hampshire’s relatively high electricity prices. John Morrison of Hitchner Manufacturing said higher on‑site generation would help the company remain competitive.
A range of private and corporate supporters testified in favor, including Coca‑Cola Beverages Northeast and Associated Grocers of New England, describing potential rooftop and on‑site arrays that would offset a meaningful share of facility loads.
Concerns centered on two areas: grandfathering and how to define which projects qualify. Attorney Jim Shannon, speaking for a Rochester project developer, urged that any change not be retroactive and that effective dates be set prospectively to avoid impairing reliance interests for projects that have longstanding interconnection or construction timelines. He said his client filed an interconnection application in 2021 and argued that using an in‑service date of Jan. 1, 2023 in the bill could trigger group‑host rules for projects that relied on earlier legal expectations and would reduce revenue by an estimated percentage (he described roughly a 1.5¢/kWh charge that could represent roughly 14% of projected income in his example).
Other witnesses pushed for clearer definitions and consistent meter treatment. Developer Becky (Pat) Campbell urged restoring the statutory phrase that customer generation must be “located behind a retail meter at customer premises” and suggested raising any new project threshold to 1,000 kW (1 MW) to avoid unintended retroactive impacts on smaller projects.
The Department of Energy said it was neutral and asked the committee to allow time for stakeholder and gubernatorial review, noting the governor and budget process are stakeholders. The department also noted the Public Utilities Commission (PUC) considered similar issues in Docket 22060 and had adopted a December 31, 2040 legacy sunset; DOE staff asked the committee to consider the fiscal and ratepayer implications of a 20‑year guaranteed compensation period.
Outcome and next steps: No committee vote was recorded. Senators and witnesses agreed language on grandfathering, the precise effective date (in‑service vs. interconnection application) and thresholds needed clarification; proponents signaled willingness to amend language and to work further with stakeholders.
