Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

HF 759

as introduced - 90th Legislature (2017 - 2018) Posted on 04/04/2017 04:28pm

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 02/02/2017

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4
1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19
2.20
2.21 2.22 2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 3.1 3.2 3.3 3.4
3.5

A bill for an act
relating to energy; amending the terms of a contract for a biomass project; amending
Minnesota Statutes 2016, section 216B.2424, subdivisions 2, 3.

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

Section 1.

Minnesota Statutes 2016, section 216B.2424, subdivision 2, is amended to read:


Subd. 2.

Interim exemption.

(a) A biomass project proposing to use, as its primary fuel
over the life of the project, short-rotation woody crops, may use as an interim fuel agricultural
waste and other biomass which is not farm-grown closed-loop biomass for up to six years
after the project's electric generating facility becomes operational; provided, the project
developer demonstrates the project will use the designated short-rotation woody crops as
its primary fuel after the interim period and provided the location of the interim fuel
production meets the requirements of subdivision 1, paragraph (a), clause (3).

(b) A biomass project proposing to use, as its primary fuel over the life of the project,
short-rotation woody crops, may use as an interim fuel agricultural waste and other biomass
which is not farm-grown closed-loop biomass for up to three years after the project's electric
generating facility becomes operational; provided, the project developer demonstrates the
project will use the designated short-rotation woody crops as its primary fuel after the interim
period.

(c) A biomass project that uses an interim fuel under the terms of paragraph (b) may, in
addition, use an interim fuel under the terms of paragraph (a) for six years less the number
of years that an interim fuel was used under paragraph (b).

(d) A project developer proposing to use an exempt interim fuel under paragraphs (a)
and (b) must demonstrate to the public utility that the project will have an adequate supply
of short-rotation woody crops which meet the requirements of subdivision 1 to fuel the
project after the interim period.

(e) If a biomass project using an interim fuel under this subdivision is or becomes new text begin directly
or indirectly
new text end owned or controlleddeleted text begin , directly or indirectly,deleted text end by two municipal utilities as
described in subdivision 5a, paragraph (b), the project is deemed to comply with the
requirement under this subdivision to use as its primary fuel farm-grown closed-loop biomass
ifnew text begin , of the total fuel used over the life of the project:
new text end

new text begin (1) new text end farm-grown closed-loop biomass comprises no less than 25 percent deleted text begin of the fuel used
over the life of the project
deleted text end new text begin ; and
new text end

new text begin (2) all biomass fuels used comprise no less than 75 percent.
new text end

new text begin (f) For the purposes of assessing compliance with paragraph (e), clauses (1) and (2), the
calculation must exclude the five years during the first ten years of the life of the project in
which farm-grown closed-loop biomass and all biomass fuels, as appropriate, are at the
lowest levels as a proportion of total fuel used
new text end .

new text begin (g)new text end For purposes of this subdivisionnew text begin and subdivision 3new text end , "life of the project" means 20
years from the date the project becomes operational or the term of the applicable power
purchase agreement between the project owner and the public utility, whichever is longer.

new text begin 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

Sec. 2.

Minnesota Statutes 2016, section 216B.2424, subdivision 3, is amended to read:


Subd. 3.

Fuel exemption.

Over the deleted text begin duration of the contractdeleted text end new text begin life of the projectnew text end of a biomass
power facility selected to satisfy the mandate in subdivision 5, fuel sources that are not
biomass may be used to satisfy up to 25 percent of the fuel requirements of a biomass power
facility selected to satisfy the biomass power mandate in subdivision 5, except that
agricultural crop wastes, such as oat hulls, may be used to satisfy more than 25 percent of
the fuel requirements of a power facility selected to satisfy the biomass power mandate in
subdivision 5 if the wastes are co-fired with the fuel authorized for the facility. A biomass
power facility selected to satisfy the mandate in subdivision 5 also may use fuel sources
that are not biomass during any period when biomass fuel sources are not reasonably available
to the facility due to any circumstances constituting an act of God. Fuel sources that are not
biomass used during such a period of biomass fuel source unavailability shall not be counted
toward the 25 percent exemption provided in this subdivision. For purposes of this
subdivision, "act of God" means any natural disaster or other natural phenomenon of an
exceptional, inevitable, or irresistible character, including, but not limited to, flood, fire,
drought, earthquake, and crop failure resulting from climatic conditions, infestation, or
disease.

new text begin EFFECTIVE DATE. new text end

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