On April 30, the Massachusetts Net Metering and Solar Task Force, created by the Legislature last year to work out a compromise on raising the net-metering cap, released a report with a list of recommendations, but did not offer a compromise solution for lifting the cap.

Pending a solution, many communities in the state are forced to halt solar projects because National Grid, the state’s largest electrical provider, has already reached its net-metering cap and is no longer accepting interconnection applications.

The net-metering provision in the Green Communities Act allows local governments to obtain credits, at a fair market price, from utilities for a portion of the electricity they generate from solar panels and other small renewable energy sources. Utility companies have expressed concerns about the costs associated with the removal of a cap on power purchased from renewable projects.

The net-metering cap was set at 2 percent when the Green Communities Act became law six years ago, meaning that renewable sources would account for no more than 2 percent of a utility’s total capacity. The cap was increased to 3 percent last year, but some municipalities were still finding that the cap was keeping them from being able to move forward on otherwise financially viable projects.

A new solar law enacted last year raised the cap on public projects from 3 percent to 5 percent of a utility’s total power generation. For private projects, the cap was raised to 4 percent. The Legislature did not take action, however, on a proposed comprehensive overhaul of the state’s net metering allocation system for renewable energy projects. Instead, the Legislature created the task force to study the long-term feasibility of net metering in Massachusetts.

The Joint Committee on Telecommunications, Utilities and Energy has scheduled a hearing on solar energy in Massachusetts on June 2. The MMA will have a panel of local officials testifying about the status of solar projects in their communities.
 

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