|
By John Fleck
|
|
Wednesday, 17 June 2009 13:47 |
|
New Mexico's Public Regulation Commission has agreed to settle a debate over whether a solar energy company can install panels on a school's roof and sell the power to the school.
The school example is one often used to explain the thorny question of third-party electricity sales. The problem, according to renewable energy advocates, is that a government agency (a school, for example, or a municipality) has no tax liability, and therefore isn't eligible for the tax breaks used to encourage renewable energy development. But utilities object to the idea that such third-party electricity providers might encroach on their turf - selling electricity, as Staci Matlock explained in the Santa Fe New Mexican yesterday: Utilities have argued that allowing third parties, such as a solar-energy company, to install a system, hook into the power grid and collect money from one of the utility's customers would infringe on the utility company's franchise rights. Power companies like PNM, which provides electricity to Santa Fe and other parts of north-central New Mexico, contend state law prohibits other energy providers from poaching on their service territories.
The state PRC agreed Tuesday to set up a formal hearing process to settle the legal questions involved.
|
|
Last Updated ( Wednesday, 17 June 2009 13:52 )
|