HF 1079

1st Engrossment - 88th Legislature (2013 - 2014) Posted on 03/13/2013 08:20pm

A bill for an act
relating to energy; renewable energy; allowing geothermal heating and cooling
systems to apply to a utility's renewable energy obligation under certain
conditions; amending Minnesota Statutes 2012, section 216B.1691, by adding a
subdivision.

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

Section 1.

Minnesota Statutes 2012, section 216B.1691, is amended by adding a
subdivision to read:

new text begin Subd. 1a. new text end

new text begin Geothermal heating and cooling system. new text end

new text begin (a) The net reduction in
electrical consumption resulting from the replacement or displacement of space or water
heating systems and space cooling systems fueled by electricity, after accounting for
the electrical consumption by the geothermal heating and cooling system itself, may be
counted toward a utility's standard obligation under this section, provided that the utility
provides financial assistance to the owner of the geothermal heating and cooling system in
an amount that reduces the purchase and installation cost by at least ... percent.
new text end

new text begin (b) The commissioner of commerce shall determine how to calculate the net reduction
in electrical consumption resulting from the installation of a geothermal heating and
cooling system that a utility may apply toward its standard obligation under this section.
new text end

new text begin (c) For the purposes of this subdivision, "geothermal heating and cooling system"
means a system that:
new text end

new text begin (1) exchanges thermal energy from groundwater or a shallow ground source to
generate thermal energy through a geothermal heat pump or a system of geothermal heat
pumps interconnected with any geothermal extraction facility that is an open loop system
in which ground or surface water is circulated in an environmentally safe manner directly
into the geothermal extraction facility and is transported to a water treatment plant prior to
distribution through a municipal water system;
new text end

new text begin (2) meets or exceeds federal Energy Star product specification standards;
new text end

new text begin (3) is manufactured, installed, and operated in accordance with applicable
government and industry standards; and
new text end

new text begin (4) does not transmit electricity to the electrical grid.
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