translated from Spanish: On the way to the residential generation: improvements to Net Billing in Chile

                                                                                                        at the meeting of August 1, the Committee on energy and mining of the Chamber of dispute two approved indications that modify the 20.571 law, which regulates the net metering (net metering) in Chile, in the form of net billing or distributed generation. Although this project had enough time in the Committee on energy and mining of the Senate, to pass to the Chamber of Deputies received important information from the Executive.

After little auspicious results has been the residential generation, amendments to the Act seek to give a new impetus to this modality in the country.
The Commission approved the increase from 100 to 300 kW of the limit of the maximum power of connection permitted residential generators. Some members proposed to increase the limit to 500 kW by a transitory article, however, the motion did not have the acceptance of the Executive, who argued that the measure could have regressive and tax effects.
Residential customers can gather and sell their surplus energy crediting the joint ownership of the generating station. However, will require a regulation to establish minimum requirements to prove ownership of the equipment for generation and distribution of injections of generation rules.
Current legislation establishes that surplus injected to the mains value the price of energy distributors buy from generators, more a charge for losses on the network.
This value is deducted from the turnover of energy purchased by the customer. The approved indication can that the discount on all charges included in the turnover, i.e., purchases of energy and power.
The law provides that, after the deadlines laid down in the contract, the remnants that did not reach to be deducted from invoices must be paid customer. However, with the approved indication customer may now transfer their remaining other properties connected to the same network of distribution. You can also opt for a payment, however, a series of requirements previously established, some of them relax in the event that the customer has connected power less than 20 kW, or 50 kW in the case of non-profit legal persons . Those remaining five years not been able to be transferred or charged, reset according to the IPC and will be accounted for as a discount to the price of energy paid in the commune where the residential generator is located.
While indications approved by members, will in general in an address appropriate, is necessary to make some scopes. For example, one of the criticisms that tend to make the net metering is that it ends up being regressive, i.e., it encourages more modest household electricity bills. This is explained by the way in which is estimated the rate of residential customers. This tariff comes to calculate an average price in pesos per kilowatt-hour consumed, which adds vertically of generation, transmission and distribution costs involved in the sale of electricity. In this way, to be less power over which distributes the cost, rate increases.
However, some authors argue that the increase in rates is not cause of residential generation, rather, is the result of the inefficient design of the rate. So, that a well-designed tariff would be the same consumers who determine if you should install his own generation, or you buy it from the network, getting only efficient residential generation is installed.
The possibility that customers may rally and jointly sell their surplus, no doubt, is an important step forward, however, lead to a regulation minimum conditions of this Association, could end up hindering the variety of agreements that can generate.
The remnants should earn an interest and not only reset the CPI. Moreover, the recovered remnants are the property of the client and return should not be limited to the size of the residential generator.
Finally, it would be advisable that will reduce bureaucratic burdens that over-regulation is often imposed on these initiatives.

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Original source in Spanish Please note: this is an automatically translated newspaper article fresh from the press. Our intent is to allow non-spanish speakers a glance into South America.