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HF 955

as introduced - 88th Legislature (2013 - 2014) Posted on 02/25/2013 02:34pm

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

Bill Text Versions

Engrossments
Introduction Posted on 02/25/2013

Current Version - as introduced

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A bill for an act
relating to energy; amending the maximum capacity at which small electric
generators qualify for net metering; amending Minnesota Statutes 2012, section
216B.164, subdivisions 3, 6.

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

Section 1.

Minnesota Statutes 2012, section 216B.164, subdivision 3, is amended to
read:


Subd. 3.

Purchases; small facilities.

(a) For a qualifying facility having less
than deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity, the customer shall be billed for the net energy
supplied by the utility according to the applicable rate schedule for sales to that class of
customer. In the case of net input into the utility system by a qualifying facility having
less than deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity, compensation to the customer shall be at a
per kilowatt-hour rate determined under paragraph (b) or (c).

(b) In setting rates, the commission shall consider the fixed distribution costs to the
utility not otherwise accounted for in the basic monthly charge and shall ensure that the
costs charged to the qualifying facility are not discriminatory in relation to the costs
charged to other customers of the utility. The commission shall set the rates for net
input into the utility system based on avoided costs as defined in the Code of Federal
Regulations, title 18, section 292.101, paragraph (b)(6), the factors listed in Code of
Federal Regulations, title 18, section 292.304, and all other relevant factors.

(c) Notwithstanding any provision in this chapter to the contrary, a qualifying facility
having less than deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity may elect that the compensation for
net input by the qualifying facility into the utility system shall be at the average retail
utility energy rate. "Average retail utility energy rate" is defined as the average of the retail
energy rates, exclusive of special rates based on income, age, or energy conservation,
according to the applicable rate schedule of the utility for sales to that class of customer.

(d) If the qualifying facility is interconnected with a nongenerating utility which has
a sole source contract with a municipal power agency or a generation and transmission
utility, the nongenerating utility may elect to treat its purchase of any net input under this
subdivision as being made on behalf of its supplier and shall be reimbursed by its supplier
for any additional costs incurred in making the purchase. Qualifying facilities having
less than deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity may, at the customer's option, elect to be
governed by the provisions of subdivision 4.

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 2012, section 216B.164, subdivision 6, is amended to read:


Subd. 6.

Rules and uniform contract.

(a) The commission shall promulgate rules
to implement the provisions of this section. The commission shall also establish a uniform
statewide form of contract for use between utilities and a qualifying facility having less
than deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity.

(b) The commission shall require the qualifying facility to provide the utility with
reasonable access to the premises and equipment of the qualifying facility if the particular
configuration of the qualifying facility precludes disconnection or testing of the qualifying
facility from the utility side of the interconnection with the utility remaining responsible
for its personnel.

(c) The uniform statewide form of contract shall be applied to all new and existing
interconnections established between a utility and a qualifying facility having less than
deleted text begin 40-kilowattdeleted text end new text begin one-megawattnew text end capacity, except that existing contracts may remain in force
until written notice of election that the uniform statewide contract form applies is given
by either party to the other, with the notice being of the shortest time period permitted
under the existing contract for termination of the existing contract by either party, but
not less than ten nor longer than 30 days.

new text begin EFFECTIVE DATE. new text end

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