SB 2 LOW INCOME SOLAR ACT

Sen Carrie Hamblen

Actions: [1] SCC/SCONC/STBTC-SCC

Scheduled: Not Scheduled

 Senate Bill 2 (SB 2) enacts the Low-Income Solar Act; requires equitable distribution of benefits of on-site solar generated energy generated on affordable housing; restricts some utility fees for solar on affordable housing; provides for promulgation of related rules; and regulates the tax valuation of solar energy systems. 

 Senate Bill 2 (SB 2) enacts the Low-Income Solar Act as a new section of the Public Utility Act. Definitions are provided, specifying that a “low-income housing shared distribution system” means an energy system for the generation of electricity that uses a renewable energy resource as its primary source of energy to generate electricity, and that meets other qualifying standards. Definitions are also provided for eligible low-income housing.

Utilities are provided with requirements regarding measurement, billing, cost calculation, and credits. Utilities are prohibited from charging special fees related to the use of a low-income housing shared distributed generation system. Utilities are allowed to install, and charge reasonable fees for, a production meter to monitor the system, and also to charge actual and reasonable costs for any upgrades necessary for compatibility.

The Public Regulations Commission must, by July 2, 3035, adopt related rules. Finally, the method of valuation for taxation of solar energy systems is established.
 

 A community solar energy program for low-income housing does exist in New Mexico, but there is no associated law regulating distribution and fees, and there are no rules yet promulgated. Further, the issue of tax valuation of solar energy systems has not been fully addressed. If the bill does not pass, all affected by the issues will need to rely on existing law, rules and guidelines. 

 House Bill 108 (HB 108) - Local Solar Access Fund
House Bill 187 (HB 187) - School Solar Tax Credit
House Bill 189 (HB 189) - Low-Income Solar Act
Senate Bill 121 (SB 121) - Solar Market Development Tax Credit Changes