HF 3033

1st Engrossment - 86th Legislature (2009 - 2010) Posted on 04/21/2010 09:28am

A bill for an act
relating to energy; modifying fee for storage of spent nuclear fuel; establishing
rebate program for solar photovoltaic modules; appropriating money; amending
Minnesota Statutes 2008, section 116C.779, subdivision 1; proposing coding for
new law in Minnesota Statutes, chapter 116C.

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

Section 1.

Minnesota Statutes 2008, section 116C.779, subdivision 1, is amended to
read:

Subdivision 1.

Renewable development account.

(a) The public utility that owns
the Prairie Island nuclear generating plant must transfer to a renewable development
account deleted text begin $16,000,000 annually deleted text end new text begin $500,000 each year for each dry cask containing spent fuel
that is located at the Prairie Island power plant for new text end each year the plant is in operation, and
$7,500,000 each year the plant is not in operation if ordered by the commission pursuant
to paragraph (d). The fund transfer must be made if nuclear waste is stored in a dry cask at
the independent spent-fuel storage facility at Prairie Island for any part of a year. Funds
in the account may be expended only for development of renewable energy sources.
Preference must be given to development of renewable energy source projects located
within the state. The utility that owns a nuclear generating plant is eligible to apply for
renewable development fund grants. The utility's proposals must be evaluated by the
renewable development fund board in a manner consistent with that used to evaluate other
renewable development fund project proposals.

(b) The public utility that owns the Monticello nuclear generating plant must transfer
to the renewable development account $350,000 each year for each dry cask containing
spent fuel that is located at the Monticello nuclear power plant for each year the plant is
in operation, and $5,250,000 each year the plant is not in operation if ordered by the
commission pursuant to paragraph (d). The fund transfer must be made if nuclear waste
is stored in a dry cask at the independent spent-fuel storage facility at Monticello for
any part of a year.

(c) Expenditures from the account may only be made after approval by order of the
Public Utilities Commission upon a petition by the public utility.

(d) After discontinuation of operation of the Prairie Island nuclear plant or the
Monticello nuclear plant and each year spent nuclear fuel is stored in dry cask at the
discontinued facility, the commission shall require the public utility to pay $7,500,000 for
the discontinued Prairie Island facility and $5,250,000 for the discontinued Monticello
facility for any year in which the commission finds, by the preponderance of the evidence,
that the public utility did not make a good faith effort to remove the spent nuclear
fuel stored at the facility to a permanent or interim storage site out of the state. This
determination shall be made at least every two years.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective when 32 dry casks containing spent
fuel are located at the Prairie Island nuclear plant.
new text end

Sec. 2.

new text begin [116C.7791] REBATES FOR SOLAR PHOTOVOLTAIC MODULES.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For the purpose of this section, the following terms
have the meanings given.
new text end

new text begin (a) "Installation" means an array of solar photovoltaic modules attached to a building
that will use the electricity generated by the solar photovoltaic modules or placed on a
facility or property proximate to that building.
new text end

new text begin (b) "Manufactured" means:
new text end

new text begin (1) the material production of solar photovoltaic modules, including the tabbing,
stringing, and lamination processes; or
new text end

new text begin (2) the production of interconnections of low-voltage photoactive elements that
produce the final useful photovoltaic output by a manufacturer operating in this state on
the effective date of this section.
new text end

new text begin (c) "Qualified owner" means an owner of a qualified property, but does not include
an entity engaged in the business of generating or selling electricity at retail, or an
unregulated subsidiary of such an entity.
new text end

new text begin (d) "Qualified property" means a residence, multifamily residence, business, or
publicly owned building located in the assigned service area of the utility subject to
section 116C.779.
new text end

new text begin (e) "Solar photovoltaic module" means the smallest, nondivisible, self-contained
physical structure housing interconnected photovoltaic cells and providing a single direct
current of electrical output.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin The commissioner of commerce shall establish a program
to provide rebates to an owner of a qualified property for installing solar photovoltaic
modules manufactured in Minnesota after December 31, 2009.
new text end

new text begin Subd. 3. new text end

new text begin Rebate eligibility. new text end

new text begin (a) To be eligible for a rebate under this section, a
solar photovoltaic module:
new text end

new text begin (1) must be manufactured in Minnesota;
new text end

new text begin (2) must be installed on a qualified property as part of a system whose generating
capacity does not exceed 40 kilowatts;
new text end

new text begin (3) must be certified by Underwriters Laboratory, must have received the ETL
listed mark from Intertek, or must have an equivalent certification from an independent
testing agency;
new text end

new text begin (4) may or may not be connected to a utility grid;
new text end

new text begin (5) must be installed by a person certified as a solar photovoltaic installer by the
North American Board of Certified Energy Practitioners; and
new text end

new text begin (6) may not be used to sell, transmit, or distribute the electrical energy at retail,
nor to provide end-use electricity to an offsite facility of the electrical energy generator.
On-site generation is allowed to the extent provided for in section 216B.1611.
new text end

new text begin (b) To be eligible for a rebate under this section, an applicant must have applied for
and been awarded a rebate or other form of financial assistance available exclusively to
owners of properties on which solar photovoltaic modules are installed that is offered by:
new text end

new text begin (1) the utility serving the property on which the solar photovoltaic modules are to
be installed; or
new text end

new text begin (2) this state, under an authority other than this section.
new text end

new text begin (c) An applicant who is otherwise ineligible for a rebate under paragraph (b) is
eligible if the applicant's failure to secure a rebate or other form of financial assistance is
due solely to a lack of available funds on the part of a utility or this state.
new text end

new text begin Subd. 4. new text end

new text begin Rebate amount and payment. new text end

new text begin (a) The amount of a rebate under this
section is the difference between the sum of all rebates described in subdivision 3,
paragraph (b), awarded to the applicant and $5 per watt of installed generating capacity.
new text end

new text begin (b) Notwithstanding paragraph (a), the amount of all rebates or other forms of
financial assistance awarded to an applicant by a utility and the state, including any rebate
paid under this section, net of applicable federal income taxes applied at the highest
applicable income tax rates, must not exceed 60 percent of the total installed cost of
the solar photovoltaic modules.
new text end

new text begin (c) Rebates must be awarded to eligible applicants beginning July 1, 2010.
new text end

new text begin (d) The rebate must be paid out proportionately in five consecutive annual
installments.
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. 3. new text begin APPROPRIATION.
new text end

new text begin (a) The utility subject to Minnesota Statutes, section 116C.779, shall transfer
$2,000,000 in fiscal year 2011; $4,000,000 in fiscal year 2012; $5,000,000 in fiscal year
2013; $5,000,000 in fiscal year 2014; and $5,000,000 in fiscal year 2015, from the account
established under that section to the commissioner of commerce. The commissioner of
commerce must place the funds in the special revenue fund.
new text end

new text begin (b) $2,000,000 in fiscal year 2011; $4,000,000 in fiscal year 2012; $5,000,000 in
fiscal year 2013; $5,000,000 in fiscal year 2014; and $5,000,000 in fiscal year 2015, is
appropriated from the special revenue fund to the commissioner of commerce for awarding
rebates for solar photovoltaic modules as specified in section 2. This appropriation does
not cancel, and remains available until the money is expended.
new text end

new text begin (c) Of the appropriations in this section, up to $39,000 in fiscal year 2011, up to
$40,000 in fiscal year 2012, and up to $42,000 in fiscal year 2013 through fiscal year 2015,
may be used by the commissioner of commerce for program administration.
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