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HF 1172

as introduced - 92nd Legislature (2021 - 2022) Posted on 02/18/2021 03:20pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to energy; requiring the Public Utilities Commission to develop incentives
for utilities to interconnect third-party distributed energy resources; amending
Minnesota Statutes 2020, section 216B.1611, subdivision 2.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2020, section 216B.1611, subdivision 2, is amended to read:


Subd. 2.

Distributed generation; generic proceeding.

(a) The commission shall initiate
a proceeding within 30 days of July 1, 2001, to establish, by order, generic standards for
utility tariffs for the interconnection and parallel operation of distributed generation fueled
by natural gas or a renewable fuel, or another similarly clean fuel or combination of fuels
of no more than ten megawatts of interconnected capacity. At a minimum, these tariff
standards must:

(1) to the extent possible, be consistent with industry and other federal and state
operational and safety standards;

(2) provide for the low-cost, safe, and standardized interconnection of facilities;

(3) take into account differing system requirements and hardware, as well as the overall
demand load requirements of individual utilities;

(4) allow for reasonable terms and conditions, consistent with the cost and operating
characteristics of the various technologies, so that a utility can reasonably be assured of the
reliable, safe, and efficient operation of the interconnected equipment; and

(5) establish (i) a standard interconnection agreement that sets forth the contractual
conditions under which a company and a customer agree that one or more facilities may be
interconnected with the company's utility system, and (ii) a standard application for
interconnection and parallel operation with the utility system.

(b) new text begin By December 1, 2021, new text end the commission deleted text begin maydeleted text end new text begin mustnew text end develop financial incentives deleted text begin based
on
deleted text end new text begin to encouragenew text end a public deleted text begin utility's performance in encouraging residential and small business
customers to participate in on-site generation
deleted text end new text begin utility to invest in infrastructure upgrades that
facilitate the interconnection of distributed energy resources that the public utility does not
own. The incentives must increase as the capacity of the distributed energy resources whose
interconnection is enabled by the investments increases
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end