So, you've had your energy audit done and you have implemented all the suggestions: installed compact fluorescent light bulbs, added insulation, sealed the cracks, installed energy efficient appliances, reduced or removed phantom loads, etc. You are now ready to install your new solar PV system and you couldn't be more excited.

What's next? Hook up your PV system to the electric meter and start pumpin' sun juice, right? Wrong!

Now you have to deal with Net Metering and interconnection specifications.

What is net metering?

In a nutshell, Net Metering is a way that someone with a distributed generation system (solar, wind or hydro) can offset their electrical bill by generating all or a portion of the energy they use. You are essentially using the grid as a very efficient power storage system. In this model there is one meter that spins backwards as you generate more energy than you are using.

Any excess in any given month is carried forward as a credit into the next month. At the end of the year if there is still any excess the customer "sells" this back to the power company at the current wholesale rate.

At least that's how it is supposed to work and it's pretty close to how House Bill 1169 is written (More on that later).

In Colorado, the big, investor-owned utilities like Xcel operate under the purview of Amendment 37 and do provide "real" Net Metering as described here. Some of the more progressive coop utilities such as Delta Montrose and Holy Cross also offer this type of Net Metering program

What net metering is not

Unfortunately, here in Colorado there is no standardized Net Metering policy. So, if you are a member-owner of a coop, "Net Metering" may be offered, but that could mean almost anything, which adds to the confusion.

I will use Intermountain Rural Electric Association as an example. If you ask them, they will proudly tell you they offer Net Metering.

Here is what that actually means: You will have to purchase two meters. One meter is monitoring the inflow of power to your home or business and you are charged retail for this.

The other meter is monitoring the energy you produce and you are paid wholesale for that. You are also responsible for all liability associated with having this system which could mean a more expensive insurance policy.

Finally, even if you do produce all the energy you need to offset the retail-in vs. wholesale-out arrangement, you will still be charged a $40 minimum just for being connected to IREA's grid. This is not Net Metering. There is a name for it, however, and that is "Net Purchase and Sale" (see http://en.wikipedia.org/wiki/Net_Metering).

Why net metering?

The ideas of renewable energy and distributed generation have been around for a while. But in our current energy climate, it's an idea that has become both economical and popular. Net Metering is an essential part of that and provides numerous benefits.

The U.S. Department of Energy states this very well http://www1.eere.energy.gov/solar/net_metering.html):

"Some utilities are opposed to net metering because they believe it may have a negative financial impact on them. However, a number of studies have shown that net metering can benefit utilities. These benefits include reductions in meter hardware and interconnection costs, as well as in meter reading and billing costs. Grid-connected PV systems can also help utilities avoid the cost of additional power generation, increase the reliability and quality of electricity in the grid, and produce power at times of peak usage, when utility generation costs are higher and they often need the extra power."

Right now in Colorado there are two bills before the legislature. The first is HB 1281 also known as the Renewable Energy bill that is directed at the coops. It states that the coops should provide 10% of the power they sell from renewable sources.

Some argue that large scale hydro should be included but the idea is to grow the RE economy and increase renewable energy usage. Including hydro would do neither.

So, part of meeting the 10 percent number would include residential systems. So, we need a standard way for customers to interconnect to make this possible, i.e. a standard Net Metering policy.

This is where HB 1169 comes in and it does just that. It is the Net Metering bill. These two bills are hand-in-glove and they need your support.

Some of the co-ops would argue that these bills are "mandates" and not the will of the people.

Furthermore, they argue that these bills do nothing but have some customers subsidize the renewable energy systems of other customers.

In the case of IREA, the member-owners were recently mandated by the IREA leadership to subsidize the construction of the Comanche III coal-fired power plant in Pueblo to the tune of approximately $366 Million (I say approximately because it may turn out to be more!).

The member-owners were not asked or notified of this "investment". [In fact, the "investment" was made without regard for upcoming carbon emissions caps and carbon taxes, which was stated publicly by the General Manager, Stan Lewandowski. The very company they currently buy the majority of their power from, Xcel Energy, is publicly supporting these very measures.] In contrast, HB 1281 and HB 1169have been publicly debated and put to a democratic vote.

How can you support net metering?

HB 1169 and HB 1281 both need your support. You CAN make a difference by letting your "will" be known. Write, email or call your representatives. For more information on how to do this, visit http://ireavoices.org or write info@ireavoices.org.

David Cottrell is a founding member of IREA Voices who lives off the grid near Conifer.