Carve-out: 6% of total sales must come from solar energy annually from 2016 to 2025 (1.5% of total sales in 2025)
Tracking system: Nevada Tracks Renewable Energy Credits (NVTREC), Western Renewable Energy Generation Information System (WREGIS)
Nevada requires utilities to comply with a 25% renewable portfolio standard (RPS) requirement by 2025. Of this, at least 6% of the energy is required to come from solar energy (i.e. 1.5% of their total sales need to be from solar energy from 2016 to 2025). 20% of the requirement between 2015 and 2019 and 10% between 2020 and 2024 can be attributed towards energy efficiency measures. Nevada made notable changes to its net-metering tariff and regulations in December 2015, reducing credits for excess generation to the grid. However, the legislature had passed a bill to restore net metering in 2017.
- Assembly Bill 405, signed in June 2017, restored net metering rates to close to the retail level for distributed solar customers, reversing the 2015 decision to credit at the avoided cost rate instead of retail rate.
After Nevada reached its earlier net-metering statewide capacity of 235 MW, new net metering regulations for Nevada investor-owned utilities (IOUs) were developed by the Public Utility Commission of Nevada (PUCN) in March 2015. The new rules went into effect on January 1, 2016.
As per the updated and previous regulations, IOUs are required to compensate net-metered customers with systems below 1 MW and customers producing 100% of their annual electricity requirements. Net excess generation is credited at the avoided cost rate.
New tariffs for net metering customers will be gradually implemented over the next twelve years with a tri-annual increase. These rates include an increased basic service charge, a reduced volumetric charge for energy, and a new rate for compensation of excess generation. The compensation will be based on the avoided energy cost and a credit for reduced energy/line losses.
The order allows time-of-use and time-of-production rates during peak and off-peak periods.
These net-metering rules are not applicable for rural electric co-ops and municipal utilities, which may develop their own net metering regulations.
System size limit: 1 MW or 100% of cutomer's annual requirements for electricity
Aggregate cap: None
Credit: Exported generation is credited at 95% the retail electricity rate for energy sent back to the grid. Credit declines by 7% for every 80 MW of distributed solar installed until it reaches 75% of the retail rate.
RECs: Customer retain the ownership of renewable energy certificates (RECs).
Meter aggregation: CPUC allows virtual net metering and net energy metering aggregation
Interconnection standards were adopted by PUCN in 2003 for customer-generators of Nevada Power and Sierra Pacific Power with system sizes up to 20 MW.
System size limit: 1MW or 100% of the customer's annual requirements for electricity
Liability insurance: Facilities are not required to purchase additional liability insurance if they meet the required codes and standards.
External disconnect switch: Not addressed
Third Party Ownership
Third party ownership is allowed, but is limited to systems generating less than 150% of their average annual electricity consumption.
Currently there are no statewide community solar policies or programs. For more information on local community solar programs please contact local utilities and service providers.
Utilities and third-party developers offer community solar programs in the state.
State Incentive Programs
|Portfolio Energy Creditsn||Public Utilities Commission of Nevada||Customer-generators who do not avail renewable energy rebates from other state incentive programs are eligible to participate in the Portfolio Energy Credits (PEC) Trading Program. Under this program, renewable energy producers can earn and sell PECs to IOUs. For PV systems installed before December 31, 2015, 2.4 PECs are equal to 1 kWh. For solar PV installed after that, 1 PEC is equal to 1 kWh. Customer-maintained distributed renewable energy systems also receive an additional 0.05 PECs.|
|Revolving Loan Program||Nevada Energy Office||It provides low interest (3%) loans for renewable energy projects over a maximum of 15 years. The minimum loan amount is $100,000 and a maximum loan amount is $1,000,000 for an energy development project.|
|Renewable Energy Tax Abatement||Nevada State Office of Energy||Nevada State Office of Energy offers two types of tax abatements for qualifying facilities:
sales and use tax abatement and property tax abatement. Qualifying facilities include
solar energy facilities with a minimum 10 MW capacity or generating 25,840,000 BTUs
of process heat, and facilities planning to be in operation for 10 years. These facilities
based on population of their location are required to meet certain job creation, job
quality and wage requirements.
Sales and Use tax abatement: this reduces sales and use tax for businesses to 2.6% for three years. Property tax abatement: 55% abatement is applicable for 20 years on real and personal property tax.
|Renewable Energy Systems Property Tax Exemption||Nevada Department of Taxation||This provides 100% tax exemption on property tax of renewable energy systems used for generating electricity or to heat or cool a building or to heat or cool water in a building or adjacent building or irrigation system. This tax exemption is applicable for all years after the installation.|
Utility Incentive Programs
NV Energy has rebates for customers above and below 25 kW based on whether they are residential/ commercial/industrial customers or low income/nonprofit/public entity customers.
|NV Energy – Renewable Generations Rebate Program||$0.1475 / watt-AC rebate for Residential/Commercial/Industrial (<25 kW) systems
$ 0.0159 / kWh rebate for Low Income/ Nonprofit/ Public Entity (<25 kW) systems
$0.2950 / watt-AC rebate for Residential/Commercial/Industrial (>25 kW < 500 kW) systems
$0.0317 / kWh rebate for Low Income/ Nonprofit/ Public Entity (>> 25 kW < 500 kW) systems
|Maximum incentive for systems <25 kW is 50% of the total cost.
Systems >25 kW and <500 kW receive PBI quarterly for five years based on actual system production.
All equipment must meet required code, standards and warranty requirements. The program expires on December 31, 2021.
The list below provides some resources for each type of policy or program. Please reference and contact relevant authorities and local utilities for the most up-to-date and accurate information on state and utility policies and incentive programs.
Renewable Portfolio Standard
- Public Utility Commission of Nevada Renewable Portfolio Standard
- Public Utility Commission of Nevada: Portfolio Energy Credits
Net metering and interconnection
- Public Utility Commission of Nevada: Net Metering Factsheet
- Nevada Power Company: Interconnection Standard