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Bill > HF2076


IA HF2076

IA HF2076
A bill for an act relating to billing methods for distributed generation customers.


summary

Introduced
01/15/2026
In Committee
01/15/2026
Crossed Over
Passed
Dead

Introduced Session

91st General Assembly

Bill Summary

This bill relates to the cash out of excess kilowatt-hours to distributed generation customers. Under current law, any excess kilowatt-hours remaining at the end of a 12-month period are cashed out by the electric utility at the electric utility’s avoided cost rate and distributed evenly between the customer and the electric utility’s low-income home energy assistance program. The customer chooses whether the cash out occurs in January or April. The bill changes the cash out process of excess kilowatt-hours for distributed generation customers. The bill provides that excess kilowatt-hours must be cashed out directly to the customer at the customer’s request or when the customer discontinues service. The bill requires any kilowatt-hour credits to remain in a customer’s account to offset future bills until a cash out is requested or the customer discontinues service.

AI Summary

This bill modifies how customers with distributed generation, meaning they produce their own electricity (like from solar panels), are compensated for any excess electricity they send back to the grid. Previously, any unused electricity credits at the end of a year were automatically cashed out by the electric utility at a rate called the "avoided cost rate" (the cost the utility would have paid to generate that electricity themselves), with the money split between the customer and a low-income energy assistance program, and the customer could choose when this happened. Now, under this bill, these excess electricity credits will remain in the customer's account to reduce future bills until the customer specifically requests a cash payout or stops receiving service from the utility, at which point the full amount will be paid directly to the customer.

Committee Categories

Business and Industry

Sponsors (1)

Last Action

Subcommittee recommends passage. (on 01/28/2026)

bill text


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