ABSTRACT

As interest in community solutions to renewable energy grows, more states are beginning to develop policies that encourage properties with more than one meter to install shared renewable energy systems. State net metering policies are evolving to allow the aggregation of multiple meters on a customer’s property and to dissolve conventional geographical boundaries. This trend means net metering is expanding out of its traditional function as an enabling incentive to offset onsite customer load at a single facility. This paper analyzes community net energy metering (CNEM) as an emerging vehicle by which farmers, neighborhoods, and municipalities may more easily finance and reap the benefits of renewable energy. Specifically, it aims to compare and contrast the definition of geographical boundaries among different CNEM models and examine the benefits and limitations of each approach. As state policies begin to stretch the geographic boundaries of net metering, they allow inventive solutions to encourage renewable energy investment. This paper attempts to initiate the conversation on this emerging policy mechanism and offers recommendations for further development of these policies.

A complete copy of this report may be downloaded here. Varnado_Rose_ASES2009[1]_community net metering