Installation of distributed generation devices - Increased rates or surcharges - Subsidization.

  1. Law
  2. Oklahoma Statutes
  3. Corporation Commission
  4. Installation of distributed generation devices - Increased rates or surcharges - Subsidization.

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A. As used in this section:

1. "Distributed generation" means:

  • a.a device that provides electric energy that is owned, operated, leased or otherwise utilized by the customer,
  • b.is interconnected to and operates in parallel with the retail electric supplier's grid and is in compliance with the standards established by the retail electric supplier,
  • c.is intended to offset only the energy that would have otherwise been provided by the retail electric supplier to the customer during the monthly billing period,
  • d.does not include generators used exclusively for emergency purposes,
  • e.does not include generators operated and controlled by a retail electric supplier, and
  • f.does not include customers who receive electric service which includes a demand-based charge.

2. "Fixed charge" means any fixed monthly charge, basic service, or other charge not based on the volume of energy consumed by the customer, which reflects the actual fixed costs of the retail electric supplier.

3. “Retail electric supplier” means an entity engaged in the furnishing of retail electric service within the State of Oklahoma and is rate regulated by the Oklahoma Corporation Commission.

B. No retail electric supplier shall increase rates charged or enforce a surcharge above that required to recover the full costs necessary to serve customers who install distributed generation on the customer side of the meter after the effective date of this act.

C. No retail electric supplier shall allow customers with distributed generation installed after the effective date of this act to be subsidized by customers in the same class of service who do not have distributed generation.

D. A higher fixed charge for customers within the same class of service that have distributed generation installed after the effective date of this act, as compared to the fixed charges of those customers who do not have distributed generation, is a means to avoid subsidization between customers within that class of service and shall be deemed in the public interest.

E. Retail electric suppliers shall implement tariffs in compliance with this act no later than December 31, 2015.

Added by Laws 1977, c. 209, § 4. Amended by Laws 2014, c. 93, § 1, eff. Nov. 1, 2014.


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