On October 11, 2009, Governor Schwarzenegger signed Assembly Bill 920 (AB 920 – Huffman – Solar and Wind Generation) into law.
Frequently Asked Questions
Please click within question text to be directed to answers.
- What does AB 920 address?
- Who is affected by AB 920?
- What will happen to SCE’s NEM customers as a result of AB 920?
- When will AB 920 take effect?
- How did SCE handle surplus energy prior to AB 920 becoming a law?
- How will AB 920 change the way surplus energy is handled?
- Is compensation for surplus energy automatic for SCE’s NEM customers?
- How much will customers be paid?
- How do customers choose not to participate?
- If I download the NEM Surplus Electricity Compensation Form from www.sce.com/nemAB920, how can I return it to SCE?
- When will the new 12-month relevant period for tracking surplus energy begin for customers who choose to receive compensation?
- If a customer changes their mind about the type of compensation they want to receive, can the customer change the selection?
- What will happen if a customer does not send a selection form to SCE?
- Since AB 920 takes effect in the future, will SCE prompt customers when it’s time to make a selection?
- Is the NEM tariff available for reference?
- Who should customers contact if they have questions about choosing compensation?
Q1. What does AB 920 address?
AB 920 addresses several aspects of renewable energy in California.
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Q2. Who is affected by AB 920?
AB 920 applies to Southern California Edison Company (SCE), Pacific Gas and Electric Company (PG&E) and San Diego Gas and Electric Company (SDG&E) Net Energy Metering (NEM) customers.
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Q3. What will happen to SCE’s NEM customers as a result of AB 920?
One provision of the law that directly affects SCE’s NEM customers is a requirement for utilities to offer compensation to customers for any net surplus electricity they generate over a 12-month period.
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Q4. When will AB 920 take effect?
The provisions of the new law will be implemented in 2011 (the compensation provision becomes effective in 2010).
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Q5. How did SCE handle surplus energy prior to AB 920 becoming a law?
A customer’s NEM account has a designated “relevant period” of 12 months, based on the date the customer’s renewable energy generation system’s interconnection is finalized. Prior to AB 920, at the end of the relevant period, SCE reconciled the customer’s electricity consumption against accrued energy credits for the preceding 12 months, and any remaining surplus energy credits were zeroed out.
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Q6. How will AB 920 change the way surplus energy is handled?
AB 920 will allow SCE to offer customers the option to receive compensation for any remaining net surplus energy generated during their relevant period. Customers can choose to receive compensation in the form of a payment or a carryover of credits to be used to reduce future energy charges.
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Q7. Is compensation for surplus energy automatic for SCE’s NEM customers?
In order to ensure that customers do not miss an opportunity to receive the new option, SCE is automatically enrolling all of its NEM customers in the program. Customers will need to formally enroll prior to being paid compensation. However, customers may choose to opt out of the program and elect not to receive compensation. Enrollment forms will be made available by mail from SCE and online. Download the NEM Surplus Electricity Compensation Selection Form (PDF).
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Q8. How much will customers be paid?
AB 920 requires that the California Public Utilities Commission (CPUC) set the compensation value of surplus electricity by January 1, 2011. SCE will notify customers of the compensation value as soon as it is established.
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Q9. How do customers choose not to participate?
If a customer would prefer not to participate, the customer must complete and return the NEM Surplus Electricity Compensation Selection Form (PDF).
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Q10. If I download the NEM Surplus Electricity Compensation Form from www.sce.com/nemAB920, how can I return it to SCE?
Please mail the form to:
Net Energy Metering – AB 920
Southern California Edison
P.O. Box 800
Rosemead, CA 91770-9810
Download the NEM Surplus Electricity Compensation Selection Form (PDF)
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Q11. When will the new 12-month relevant period for tracking surplus energy begin for customers who choose to receive compensation?
Unless a customer elects otherwise, the new period begins at the conclusion of the current Relevant Period. Customers may elect to complete and return the selection form provided in SCE’s communication to all NEM customers indicating that they choose to end their current relevant period immediately, reconcile their account and start a new 12-month relevant period for tracking surplus energy on their next regularly-scheduled meter read date after SCE’s receipt of the selection form. Please note that this choice may result in a loss of energy credits in the current relevant period.
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Q12. If a customer changes their mind about the type of compensation they want to receive, can the customer change the selection?
Yes. A customer can submit a new selection form once every 12 months to cancel participation or change the compensation options.
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Q13. What will happen if a customer does not send a selection form to SCE?
If a customer does not submit a selection form prior to the end of their current relevant period, SCE will enroll the customer in the new option effective with the start of the customer’s next relevant period. At the end of the customer’s relevant period in 2011, the customer will need to make an election as to whether or not to participate and receive any outstanding compensation. For customers who decline, their account reconciliation will continue as it did before AB 920 became law.
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Q14. Since AB 920 takes effect in the future, will SCE prompt customers when it’s time to make a selection?
Yes. Prior to the end of each customer’s relevant period, SCE will send that customer a reminder to use the selection form if they wish to receive compensation, and that they may change their selections once every 12 months.
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Q15. Is the NEM tariff available for reference?
Yes. A copy of the current tariff is available at www.sce.com/schedulenem (PDF). However, SCE (together with the CPUC) is modifying the NEM rate to reflect applicable AB 920 provisions, so please check the date on the tariff to ensure it is the latest version.
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Q16. Who should customers contact if they have questions about choosing compensation?
For questions regarding the new surplus energy compensation options, call SCE Customer Service at one of the following telephone numbers:
Residential NEM Customers
(866) 701-7868
Business NEM Customers
(866) 701-7869
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