R746.  Public Service Commission, Administration.
R746-210.  Utility Service Rules Applicable Only to Electric Utilities.
R746-210-1.  Public Utility Regulatory Policy Act (PURPA) Standards for Master-Metered Multiple Tenancy Dwellings.
	A.  The Public Utility Regulatory Policy Act (PURPA) standards for Master Metered Multiple Tenancy Dwellings as set forth below are hereby adopted by the Commission.
	1.  Section 113 of PURPA 16 USCA states:
	"To the extent determined appropriate under Section 115(d), master metering of electric service in the case of new buildings shall be prohibited or restricted to the extent necessary to carry out the purpose of this Title.
	Section 115(d) states:
	"Separate metering shall be determined appropriate for any new building for purposes of section 113(b)(1) if --
	(1)  there is more than one unit in such building,
	(2)  the occupant of each such unit has electric energy used in such unit, and
	(3)  with respect to such portion of electric energy used in such unit, the long-run benefits to the electric consumers in such building exceed the costs of purchasing and installing separate meters in such building.

R746-210-2.  Exemptions.
	A.  Automatic Exemptions -- Separate individual metering is not required for:
	1.  Those portions of transient multiple occupancy buildings and transient mobile home parks normally used as temporary domiciles in such buildings as hotels, motels, dormitories, rooming houses, hospitals, nursing homes and those mobile home park sections designated for travel trailers;
	2.  Residential unit space in multiple occupancy buildings where all space heating, water heating, ventilation and cooling are provided through central systems and where the electric load within each unit that is controlled by the tenant is projected to be 250 kWh or less per month and where the utility has been provided reasonable substantiation of the load projection;
	3.  Common building areas such as hallways, elevators, reception and/or washroom, security lighting areas.
	4.  Commercial unit space which is:
	a.  Subject to alternation with change in tenants as evidenced by temporary as distinguished from permanent type of load bearing wall and floor construction separating the commercial unit spaces, and
	b.  Non-energy intensive as evidenced by connected loads other than space heating, water heating, and air-conditioning of five watts or less per square foot of occupied space.

R746-210-3.  Exemptions Requiring a Cost-Effectiveness Test.
	Cases not covered under "automatic exemptions" will be granted an exemption if the benefit-to-cost ratio is less than one (1) with respect to separate metering using the cost effectiveness test guidelines described below.  The burden of proof rests with the person requesting exemption and the evidence required to sustain that burden must demonstrate that the long-run benefits of individual metering to the electric consumer are less than the costs of purchasing and installing separate meters.  Written requests to the utility for an exemption will be given consideration based upon the following criteria and conditions:
	A.  "New buildings" shall be defined as those structures or mobile home parks for which a building permit is obtained on or after August 1, 1984, or, if no permit is required, for which construction is commenced on or after August 1, 1984.  Construction is defined to begin when footings are poured.
	B.  The benefits shall be quantified in dollars of savings and shall reflect the difference in electricity use which results when separate metering is utilized rather than master-metering.  The lump sum savings shall reflect a present worth analysis using as a discount rate the percentage interest rate of long-term debt such as the utility's latest long-term bond issue, or a mortgage rate, and a period equal to the estimated life of the building.  Such analysis, including its preparation and expense, shall be the sole responsibility of the customer.
	C.  The customer's determination of benefit shall be based on electric service supplied by the utility at electric service rates and regulations approved by the Commission, including but not limited to, regulations that prohibit resale of electric service to any other person or entity unless taking service under rate schedules that specifically provide for reselling.
	D.  The cost shall be quantified in dollars and shall reflect the current difference in installed cost between master and individual metering.  The lump sum differential cost reflecting the purchase and installation of separate meters versus a single meter shall be prepared by the utility.  The preparation of the differential costs of meter bases and building wiring shall be the sole responsibility of the customer; and
	E.  The benefit-to-cost ratio shall equal the present worth of benefits described in paragraph (b) divided by the current (present worth) costs described in paragraph (d).

R746-210-4.  Exemption by Appeal.
	In the event the customer disagrees with the utility's determination of the exemption, such dispute shall be resolved by the Commission.  The Commission, upon its own motion or upon the petition of any person, may initiate formal or investigative proceedings upon any matter arising out of an informal complaint.  Further, a formal investigation requires not only the benefit-to-cost determination, but also a showing by the customer that a granted exemption status will be consistent with the stated purposes of Title I of PURPA; i.e., conservation, efficiency, and equity.  It is appropriate that equity, conservation and efficiency not be negatively impacted as required under the promulgated PURPA regulations.

R746-210-5.  Submetering as an Alternative to Individual Metering.
	There are no circumstances, other than exemptions, where submetering is an acceptable alternative to individual metering under the constraints of PURPA.  Submetering, while giving consumers control over their energy consumption, still retains a primary objection to master metering; namely, that since customers of a master metered utility customer are not customers of a regulated public utility, the Commission is without authority to provide redress where appropriate, such as in cases of service or billing problems.

KEY:  electric utility industries, rules, procedure
Date of Enactment or Last Substantive Amendment:  June 20, 2002
Notice of Continuation:  April 5, 2018
Authorizing, and Implemented or Interpreted Law:  54-4-1