Janice Peterson

In response to residents using alternative energy sources, Springville City has implemented a net metering program.

Although companies like Rocky Mountain Power offer net metering to customers, Springville City Electric Department Director Leon Fredrickson said Springville's municipal power is the first in Utah County to offer the service.

"We're trying to do our little bit to promote renewables and efficiency as well," he said.

Fredrickson said the city had been looking into net metering, but the drive for the program was created by residents coming forward and discussing their energy options with the city. Fredrickson said the city looked at similar programs in Murray, St. George and Ogden and decided to give a one-to-one credit per kilowatt hour of extra energy produced by homeowners using alternative energy.

The program does not offer a cash refund for extra power, but instead customers can earn credits for extra power generated. Fredrickson said customers will not average more energy than they use, and municipal power services will still be needed at times when solar systems are not producing enough. The credits earned would help to offset the times when the customer uses the city power.

Only two Springville residents currently use the net metering, but Fredrickson said the idea is becoming more popular.

"Utah kind of looks like it's heading in that direction," he said.

Jeff Hymas, spokesman for Rocky Mountain Power, said more than 200 Utah residents use the company's net metering service, though most of those users are in Salt Lake County and in the southern areas of the state. Of the six states Rocky Mountain Power and Pacific Power serve, Utah is second in using the service to Oregon, which has 514 residents on net metering.

Hymas said most residents using net metering have solar power systems, but some use wind energy or fuel cell technology. The trend toward alternative energy is growing, he said, but one of the drawbacks is currently the cost of the systems.

"There are more and more customers looking into renewable energy options for their home or business, and that net metering may make that more feasible," he said.

Springville resident Michael Preuss recently installed a large solar power system in his home, and he said the savings have been substantial. With the high cost of such systems, he said incentives can play an important role in the decision to move to alternative energy.

"Solar systems are very expensive," he said. "Basically, you're paying for 25 years of electricity up front."

The net metering program could be a big benefit to using the system, which already saves Preuss between $40 and $50 each month. Some months don't produce as much solar energy as others, and the program can help stave off some of the cost in the down months.

Fredrickson said net metering is a benefit for customers, but it can help the city as well. As residents begin to use solar power more, he said the systems are most effective during the peak usage hours in the day. While customers are able to produce more energy in these peak times, the city often tries to encourage conserving standard power usage. Solar systems can help to alleviate the peak load, which saves the city money.

"There'd be some big savings down the road as more connect," he said.

Councilman Ben Jolley said net metering is mutually beneficial for the city and its residents. As the pilot program moves along, Jolley said the city will re-evaluate it in time to ensure it is serving residents well. While not many use the program yet, Jolley said he hopes more people will start to use solar power and help bring the cost on the system to a more mainstream level.

"It's a realistic idea," he said. "We tend to look at other options when the cost goes sky high on anything."