Rhode Island General Laws 39-26.8-5. Contents of disclosure form for any solar agreement
(a) The standard disclosure form shall include:
(1) An indication of whether operations or maintenance services are included as part of the solar agreement;
(2) If the solar retailer provides any written estimate of the savings the potential customer is projected to realize from the system based on similar installations that have the same geographic orientation in similar climates, the solar retailer must complete fields requiring entry of the following information:
(i) The estimated projected savings over the life of the solar agreement; and
(ii) An optional field for the estimated projected savings over any longer period not to exceed the anticipated useful life of the system; and
(3) Fields to disclose material assumptions used to calculate estimated projected savings and the source of those assumptions, including:
(i) If an annual electricity rate increase is assumed, the rate of the increase and the solar retailer’s basis for the assumption of the rate increase;
(ii) The potential customer’s eligibility for or receipt of tax credits or other governmental or utility incentives;
(iii) System production data, including production degradation;
(iv) The system’s eligibility for interconnection under any net metering or similar program;
(v) Electrical usage and the system’s designed offset of the electrical usage;
(vi) Historical utility costs paid by the potential customer;
(vii) Any rate escalation affecting a payment between the potential customer and the solar retailer; and
(viii) A field to indicate whether costs of replacing equipment were assumed. If such costs were assumed, the form shall require a field for listing the costs associated with replacing equipment making up part of the system applicable.
Terms Used In Rhode Island General Laws 39-26.8-5
- Company: means and includes a person, firm, partnership, corporation, quasi-municipal corporation, association, joint-stock association or company, and his, her, its, or their lessees, trustees, or receivers appointed by any court. See Rhode Island General Laws 39-1-2
- Contract: A legal written agreement that becomes binding when signed.
- Customer: means a person who, for primarily personal, family, or household purposes:
(i) Purchases a residential solar energy system under a system purchase agreement;
(ii) Leases a residential solar energy system under a system lease agreement; or
(iii) Purchases electricity under a power purchase agreement. See Rhode Island General Laws 39-26.8-2
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Public utility: means and includes every company that is an electric distribution company and every company operating or doing business in intrastate commerce and in this state as a railroad, street railway, common carrier, gas, liquefied natural gas, water, telephone, telegraph, and pipeline company, and every company owning, leasing, maintaining, managing, or controlling any plant or equipment, or any part of any plant or equipment, within this state for manufacturing, producing, transmitting, distributing, delivering, or furnishing natural or manufactured gas, directly or indirectly, to or for the public, or any cars or equipment employed on, or in connection with, any railroad or street railway for public or general use within this state, or any pipes, mains, poles, wires, conduits, fixtures, through, over, across, under, or along any public highways, parkways, or streets, public lands, waters, or parks for the transmission, transportation, or distribution of gas for sale to the public for light, heat, cooling, or power for providing audio or visual telephonic or telegraphic communication service within this state, or any pond, lake, reservoir, stream, well, or distributing plant or system employed for the distribution of water to the consuming public within this state, including the water supply board of the city of Providence; provided, that, except as provided in § 39-16-9 and in P. See Rhode Island General Laws 39-1-2
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
- Solar agreement: means a system purchase agreement, a system lease agreement, or a power purchase agreement. See Rhode Island General Laws 39-26.8-2
- Solar energy system: means a system or configuration of solar energy devices that collects and uses solar energy to generate electricity. See Rhode Island General Laws 39-26.8-2
- Solar retailer: means a person who:
(i) Sells or proposes to sell a residential solar energy system to a customer under a system purchase agreement;
(ii) Owns the residential solar energy system that is the subject of a system lease agreement or proposed system lease agreement; or
(iii) Sells or proposes to sell electricity to a customer under a power purchase agreement. See Rhode Island General Laws 39-26.8-2
- town: may be construed to include city; the words "town council" include city council; the words "town clerk" include city clerk; the words "ward clerk" include clerk of election district; the words "town treasurer" include city treasurer; and the words "town sergeant" include city sergeant. See Rhode Island General Laws 43-3-9
(b) The standard disclosure form shall include the following disclosures and notices:
(1) Two (2) separate statements in capital letters in close proximity to any written estimate of projected savings:
(i) “This is an estimate. Utility rates May go up or down and actual savings, if any, May vary. Historical data are not necessarily representative of future results. For further information regarding rates, contact your local utility or the state public utility commission”; and
(ii) “Tax and other federal, state, and local incentives vary as to refundability and are subject to change or termination by legislative or regulatory action, which May impact savings estimates. Consult a tax professional for more information.”
(2) A notice that: “Legislative or regulatory action may affect or eliminate your ability to sell or get credit for any excess power generated by the system, and may affect the price or value of that power.”
(c) The standard disclosure form shall include fields requiring entry of the following information:
(1) A statement describing the system and indicating the system design assumptions, including the make and model of the solar panels and inverters, system size, positioning of the panels on the customer’s property, estimated first-year energy production, and estimated annual energy production degradation, including the overall percentage degradation over the term of the solar agreement or, at the solar retailer’s option, over the estimated useful life of the system;
(2) A description of any warranty, representation, or guarantee of energy production of the system; and
(3) The approximate start and completion dates for the installation of the system.
(d) The standard disclosure form shall require an indication of whether any warranty or maintenance obligations related to the system may be transferred by the solar retailer to a third party.
(e) The standard disclosure form shall require the following disclosure: “If this form indicates that the warranty or maintenance obligation may be transferred, then be advised — The maintenance and repair obligations under your contract may be assigned or transferred without your consent to a third party who will be bound to all the terms of the contract. If a transfer occurs, you will be notified of any change to the address, email address, or phone number to use for questions or payments or to request system maintenance or repair.”
(f) The standard disclosure form shall require an indication of whether the solar retailer will obtain customer approval to connect the system to the customer’s utility. If indicated that the retailer will not obtain said approval, there shall be an additional field requiring a description of what the customer must do to interconnect the system to the utility.
(g) The standard disclosure form shall require an indication of whether the solar retailer provides any warranties. If indicated that the retailer does provide warranties, there shall be an additional field requiring a description of any roof penetration warranty or other warranty that the solar retailer provides the customer.
(h) The standard disclosure form shall require the solar retailer to indicate whether the solar retailer will make a fixture filing or other notice in the city or town real property records covering the system, including a Notice of Independently-Owned Solar Energy System. If indicated that the retailer will make the fixture filing, there shall be an additional field requiring a description of any fees or other costs associated with the filing that may be charged to the customer.
(i) The standard disclosure form shall include the following statement in capital letters that: “No employee or representative of [name of solar retailer] is authorized to make any promise to you that is not contained in this disclosure form concerning cost savings, tax benefits, or government or utility incentives. You should not rely upon any promise or estimate that is not included in this disclosure form.”
(j) The standard disclosure form shall include the following statement in capital letters: “[name of solar retailer] is not affiliated with any utility company or government agency. No employee or representative of [name of solar retailer] is authorized to claim affiliation with a utility company or government agency.”
(k) The standard disclosure form shall include a statement that if the customer fails to make installment payments, the solar retailer may place liens for payment on their residence effective only after written notice is provided to the customer.
( l ) The office of energy resources may require any additional information and disclosures deemed necessary to inform and protect customers.
(m) The written disclosure form requirement may be satisfied by the electronic delivery of the disclosure form to the potential customer as long as the required disclosures are displayed in a clear and conspicuous manner.
History of Section.
P.L. 2022, ch. 255, § 1, effective June 28, 2022; P.L. 2022, ch. 256, § 1, effective June 28, 2022.