Wisconsin is one of more than 40 states with a “net metering” law that allows solar-powered households to sell some of the electricity they generate back into the grid for a fixed price. The Wisconsin Electric Power Company and Wisconsin Gas LLC recently proposed changes to their net metering rates, arguing in part that the rates force them to fund additional grid maintenance and modernization without appropriate compensation. However, the current rates also do not account for the climate and public health benefits from distributed solar generation.Policy Integrity submitted comments to the Public Service Commission of Wisconsin, arguing that both the positive and negative externalities of distributed solar generation should be considered when determining net metering rates. Specifically, we suggest that the Commission should:
- Adjust the proposed net metering rate to include the health and environmental benefits
associated with the avoided greenhouse gas (GHG) emissions and emissions of local
- Adjust the proposed net metering rate to include the value of the net impact of distributed
solar generation on the local grid; and
- Consider regulatory reforms to better achieve Wisconsin’s energy goals.
The full comments are available here.