As used in this chapter:

1. (1) "Annualized billing period" means:

   1. (a) a 12-month billing cycle beginning on April 1 of one year and ending on March 31 of the following year; or
   2. (b) an additional 12-month billing cycle as defined by an electrical corporation's net metering tariff or rate schedule.

2. (2) "Customer-generated electricity" means electricity that:

   1. (a) is generated by a customer generation system for a customer participating in a net metering program;
   2. (b) exceeds the electricity the customer needs for the customer's own use; and
   3. (c) is supplied to the electrical corporation administering the net metering program.

3. (3) "Customer generation system":

   1. (a) means an eligible facility that is used to supply energy to or for a specific customer that:

      1. (i) has a generating capacity of:

         1. (A) not more than 25 kilowatts for a residential facility; or
         2. (B) not more than two megawatts for a non-residential facility, unless the governing authority approves a greater generation capacity;
      2. (ii) is located on, or adjacent to, the premises of the electrical corporation's customer, subject to the electrical corporation's service requirements;
      3. (iii) operates in parallel and is interconnected with the electrical corporation's distribution facilities;
      4. (iv) is intended primarily to offset part or all of the customer's requirements for electricity; and
      5. (v) is controlled by an inverter or switchgear; and
   2. (b) includes an electric generator and its accompanying equipment package.

4. (4) "Eligible facility" means a facility that uses energy derived from one of the following to generate electricity:

   1. (a) solar photovoltaic and solar thermal energy;
   2. (b) wind energy;
   3. (c) hydrogen;
   4. (d) organic waste;
   5. (e) hydroelectric energy;
   6. (f) waste gas and waste heat capture or recovery;

   7. (g) biomass and biomass byproducts, except for the combustion of:

      1. (i) wood that has been treated with chemical preservatives such as creosote, pentachlorophenol, or chromated copper arsenate; or
      2. (ii) municipal waste in a solid form;
   8. (h) forest or rangeland woody debris from harvesting or thinning conducted to improve forest or rangeland ecological health and to reduce wildfire risk;
   9. (i) agricultural residues;
   10. (j) dedicated energy crops;
   11. (k) landfill gas or biogas produced from organic matter, wastewater, anaerobic digesters, or municipal solid waste; or
   12. (l) geothermal energy.
5. (5) "Equipment package" means a group of components connecting an electric generator to an electric distribution system, including all interface equipment and the interface equipment's controls, switchgear, inverter, and other interface devices.
6. (6) "Excess customer-generated electricity" means the amount of customer-generated electricity in excess of the customer's consumption from the customer generation system during a monthly billing period, as measured at the electrical corporation's meter.
7. (7) "Fuel cell" means a device in which the energy of a reaction between a fuel and an oxidant is converted directly and continuously into electrical energy.

8. (8) "Governing authority" means:

   1. (a) for a distribution electrical cooperative, its board of directors; and
   2. (b) for each other electrical corporation, the Public Service Commission.

9. (9) "Inverter" means a device that:

   1. (a) converts direct current power into alternating current power that is compatible with power generated by an electrical corporation; and
   2. (b) has been designed, tested, and UL certified to UL1741 and installed and operated in accordance with IEEE1547 standards.

10. (10) "Net electricity" means the difference, as measured at the meter owned by the electrical corporation between:

    1. (a) the amount of electricity that an electrical corporation supplies to a customer participating in a net metering program; and
    2. (b) the amount of customer-generated electricity delivered to the electrical corporation.
11. (11) "Net metering" means measuring the amount of net electricity for the applicable billing period.

12. (12) "Net metering program" means a program administered by an electrical corporation whereby a customer with a customer generation system may:

    1. (a) generate electricity primarily for the customer's own use;
    2. (b) supply customer-generated electricity to the electrical corporation; and
    3. (c) if net metering results in excess customer-generated electricity during a billing period, receive a credit under Section 54-15-104.

13. (13) "Switchgear" means the combination of electrical disconnects, fuses, or circuit breakers:

    1. (a) used to:

       1. (i) isolate electrical equipment; and
       2. (ii) de-energize equipment to allow work to be performed or faults downstream to be cleared; and

    2. (b) that is:

       1. (i) designed, tested, and UL certified to UL1741; and
       2. (ii) installed and operated in accordance with IEEE1547 standards.