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HF 278

as introduced - 92nd Legislature (2021 - 2022) Posted on 02/01/2021 04:18pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to energy; modifying electric utility renewable energy standard obligations;
modifying Public Utility Commission authority to issue site permits for electric
generation facilities; amending Minnesota Statutes 2020, sections 216B.1691,
subdivisions 1, 2a, 2b, 2d, 2e, 2f, 3, 4, 5, 7, 9, 10, by adding a subdivision; 216E.03,
subdivision 10; 216F.04; repealing Minnesota Statutes 2020, section 216B.1691,
subdivision 2.

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

Section 1.

Minnesota Statutes 2020, section 216B.1691, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) Unless otherwise specified in law, "eligible energy
technology" means an energy technology that generates electricity from the following
renewable energy sources:

(1) solar;

(2) wind;

(3) hydroelectric with a capacity of less than 100 megawatts;

(4) hydrogendeleted text begin, provided that after January 1, 2010, the hydrogen must bedeleted text end generated from
the resources listed in this paragraph; or

(5) biomass, which includes, without limitation, landfill gas; an anaerobic digester
system; the predominantly organic components of wastewater effluent, sludge, or related
by-products from publicly owned treatment works, but not including incineration of
wastewater sludge to produce electricity; and an energy recovery facility used to capture
the heat value of mixed municipal solid waste or refuse-derived fuel from mixed municipal
solid waste as a primary fuel.

(b) "Electric utility" means a public utility providing electric service, a generation and
transmission cooperative electric association, a municipal power agency, or a power district.

(c) "Total retail electric sales" means the kilowatt-hours of electricity sold in a year by
an electric utility to retail customers of the electric utility or to a distribution utility for
distribution to the retail customers of the distribution utility. "Total retail electric sales"
does not include the sale of hydroelectricity supplied by a federal power marketing
administration or other federal agency, regardless of whether the sales are directly to a
distribution utility or are made to a generation and transmission utility and pooled for further
allocation to a distribution utility.

new text begin (d) "Carbon-free" means a technology that generates electricity without emitting carbon
dioxide.
new text end

new text begin (e) "Area of concern for environmental justice" means an area in Minnesota that, based
on the most recent data published by the United States Census Bureau, meets one or more
of the following conditions:
new text end

new text begin (1) 50 percent or more of the population is nonwhite;
new text end

new text begin (2) 40 percent or more of the households have an income at or below 185 percent of the
federal poverty level; or
new text end

new text begin (3) is within Indian country, as defined in United State Code, title 18, section 1151.
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 2020, section 216B.1691, subdivision 2a, is amended to read:


Subd. 2a.

Eligible energy technology standard.

deleted text begin(a) Except as provided in paragraph
(b),
deleted text end Each electric utility shall generate or procure sufficient electricity generated by an
eligible energy technology to provide its retail customers in Minnesota, or the retail customers
of a distribution utility to which the electric utility provides wholesale electric service, so
that at least the following standard percentages of the electric utility's total retail electric
sales to retail customers in Minnesota are generated by eligible energy technologies by the
end of the year indicated:

(1)
2012
12 percent
(2)
2016
17 percent
(3)
2020
20 percent
(4)
2025
deleted text begin25deleted text endnew text begin 40new text end percentdeleted text begin.
deleted text end
new text begin (5)
new text end
new text begin 2035
new text end
new text begin 55 percent.
new text end

deleted text begin (b) An electric utility that owned a nuclear generating facility as of January 1, 2007,
must meet the requirements of this paragraph rather than paragraph (a). An electric utility
subject to this paragraph must generate or procure sufficient electricity generated by an
eligible energy technology to provide its retail customers in Minnesota or the retail customer
of a distribution utility to which the electric utility provides wholesale electric service so
that at least the following percentages of the electric utility's total retail electric sales to
retail customers in Minnesota are generated by eligible energy technologies by the end of
the year indicated:
deleted text end

deleted text begin (1)
deleted text end
deleted text begin 2010
deleted text end
deleted text begin 15 percent
deleted text end
deleted text begin (2)
deleted text end
deleted text begin 2012
deleted text end
deleted text begin 18 percent
deleted text end
deleted text begin (3)
deleted text end
deleted text begin 2016
deleted text end
deleted text begin 25 percent
deleted text end
deleted text begin (4)
deleted text end
deleted text begin 2020
deleted text end
deleted text begin 30 percent.
deleted text end

deleted text begin Of the 30 percent in 2020, at least 25 percent must be generated by solar energy or wind
energy conversion systems and the remaining five percent by other eligible energy
technology. Of the 25 percent that must be generated by wind or solar, no more than one
percent may be solar generated and the remaining 24 percent or greater must be wind
generated.
deleted 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.

Minnesota Statutes 2020, section 216B.1691, subdivision 2b, is amended to read:


Subd. 2b.

Modification or delay of standard.

(a) The commission shall modify or delay
the implementation of a standard obligationnew text begin under subdivision 2a, 2f, or 2gnew text end, in whole or in
part, if the commission determines it is in the public interest to do so. The commission,
when requested to modify or delay implementation of a standard, must consider:

(1) the impact of implementing the standard on its customers' utility costs, including the
economic and competitive pressure on the utility's customers;

new text begin (2) the environmental costs that would be incurred as a result of a delay or modification,
based on the full range of environmental cost values established in section 216B.2422,
subdivision 3;
new text end

deleted text begin (2)deleted text endnew text begin (3)new text end the effects of implementing the standard on the reliability of the electric system;

deleted text begin (3)deleted text endnew text begin (4)new text end technical advances or technical concerns;

deleted text begin (4)deleted text endnew text begin (5)new text end delays in acquiring sites or routes due to rejection or delays of necessary siting
or other permitting approvals;

deleted text begin (5)deleted text endnew text begin (6)new text end delays, cancellations, or nondelivery of necessary equipment for construction or
commercial operation of an eligible energy technology facility;

deleted text begin (6)deleted text endnew text begin (7)new text end transmission constraints preventing delivery of service; deleted text beginand
deleted text end

deleted text begin (7)deleted text endnew text begin (8)new text end other statutory obligations imposed on the commission or a utilitynew text begin; and
new text end

new text begin (9) impacts on areas of concern for environmental justicenew text end.

The commission may modify or delay implementation of a standard obligation under
clauses (1) to deleted text begin(3)deleted text endnew text begin (4)new text end only if it finds implementation would cause significant rate impact,
requires significant measures to address reliability, or raises significant technical issues.
The commission may modify or delay implementation of a standard obligation under clauses
deleted text begin (4)deleted text endnew text begin (5)new text end to deleted text begin(6)deleted text endnew text begin (7)new text end only if it finds that the circumstances described in those clauses were due
to circumstances beyond an electric utility's control and make compliance not feasible.

new text begin (b) When evaluating transmission capacity constraints under paragraph (a), clause (7),
the commission must consider whether the utility has:
new text end

new text begin (1) undertaken reasonable measures under the utility's control and consistent with the
utility's obligations under local, state, and federal laws and regulations, and the utility's
obligations as a member of a regional transmission organization or independent system
operator, to acquire sites, necessary permit approvals, and necessary equipment to develop
and construct new transmission lines or upgrade existing transmission lines to transmit
electricity generated by eligible energy technologies; and
new text end

new text begin (2) taken all reasonable operational measures to maximize cost-effective electricity
delivery from eligible energy technologies in advance of transmission availability.
new text end

deleted text begin (b)deleted text endnew text begin (c)new text end When considering whether to delay or modify implementation of a standard
obligation, the commission must give due consideration to a preference for electric generation
through use of eligible energy technology and to the achievement of the standards set by
this section.

deleted text begin (c)deleted text endnew text begin (d)new text end An electric utility requesting a modification or delay in the implementation of a
standard must file a plan to comply with its standard obligation in the same proceeding deleted text beginthatdeleted text endnew text begin
in which
new text end it deleted text beginis requestingdeleted text endnew text begin requestsnew text end the delay.

new text begin EFFECTIVE DATE. new text end

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

Sec. 4.

Minnesota Statutes 2020, section 216B.1691, subdivision 2d, is amended to read:


Subd. 2d.

Commission order.

The commission shall issue necessary orders detailing
the criteria and standards deleted text beginby which it willdeleted text endnew text begin used tonew text end measure an electric utility's efforts to meet
the renewable energy deleted text beginobjectives of subdivision 2deleted text endnew text begin standards under subdivisions 2a, 2f, and
2g, and
new text end to determine whether the utility is deleted text beginmaking the required good faith effortdeleted text endnew text begin achieving
the standards
new text end. In this order, the commission shall include criteria and standards that protect
against undesirable impacts on the reliability of the utility's system and economic impacts
on the utility's ratepayers and that consider technical feasibility.

new text begin EFFECTIVE DATE. new text end

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

Sec. 5.

Minnesota Statutes 2020, section 216B.1691, subdivision 2e, is amended to read:


Subd. 2e.

Rate impact of standard compliance; report.

Each electric utility must
submit to the commission and the legislative committees with primary jurisdiction over
energy policy a report containing an estimation of the rate impact of activities of the electric
utility necessary to comply with this section. In consultation with the Department of
Commerce, the commission shall determine a uniform reporting system to ensure that
individual utility reports are consistent and comparable, and shall, by order, require each
electric utility subject to this section to use that reporting system. The rate impact estimate
must be for wholesale rates and, if the electric utility makes retail sales, the estimate shall
also be for the impact on the electric utility's retail rates. Those activities include, without
limitation, energy purchases, generation facility acquisition and construction, and
transmission improvements. deleted text beginAn initial report must be submitted within 150 days of May
28, 2011. After the initial report,
deleted text end A report must be updated and submitted as part of each
integrated resource plan or plan modification filed by the electric utility under section
216B.2422. The reporting obligation of an electric utility under this subdivision expires
December 31, deleted text begin2025, for an electric utility subject to subdivision 2a, paragraph (a), and
December 31, 2020, for an electric utility subject to subdivision 2a, paragraph (b)
deleted text endnew text begin 2040new 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. 6.

Minnesota Statutes 2020, section 216B.1691, subdivision 2f, is amended to read:


Subd. 2f.

Solar energy standard.

(a) In addition to the requirements of subdivisions 2a
and deleted text begin2bdeleted text endnew text begin 2gnew text end, each public utility shall generate or procure sufficient electricity generated by
solar energy to serve its retail electricity customers in Minnesota so that by the end of 2020,
at least 1.5 percent of the utility's total retail electric sales to retail customers in Minnesota
is generated by solar energy.

(b) For a public utility with more than 200,000 retail electric customers, at least ten
percent of the 1.5 percent goal must be met by solar energy generated by or procured from
solar photovoltaic devices with a nameplate capacity of 40 kilowatts or less.

(c) A public utility with between 50,000 and 200,000 retail electric customers:

(1) must meet at least ten percent of the 1.5 percent goal with solar energy generated by
or procured from solar photovoltaic devices with a nameplate capacity of 40 kilowatts or
less; and

(2) may apply toward the ten percent goal in clause (1) individual customer subscriptions
of 40 kilowatts or less to a community solar garden program operated by the public utility
that has been approved by the commission.

(d) The solar energy standard established in this subdivision is subject to all the provisions
of this section governing a utility's standard obligation under subdivision 2a.

(e) It is an energy goal of the state of Minnesota that, by 2030, ten percent of the retail
electric sales in Minnesota be generated by solar energy.

(f) For the purposes of calculating the total retail electric sales of a public utility under
this subdivision, there shall be excluded retail electric sales to customers that are:

(1) an iron mining extraction and processing facility, including a scram mining facility
as defined in Minnesota Rules, part 6130.0100, subpart 16; or

(2) a paper mill, wood products manufacturer, sawmill, or oriented strand board
manufacturer.

Those customers may not have included in the rates charged to them by the public utility
any costs of satisfying the solar standard specified by this subdivision.

(g) A public utility may not use energy used to satisfy the solar energy standard under
this subdivision to satisfy its standard obligation under subdivision 2a. A public utility may
not use energy used to satisfy the standard obligation under subdivision 2a to satisfy the
solar standard under this subdivision.

(h) Notwithstanding any law to the contrary, a solar renewable energy credit associated
with a solar photovoltaic device installed and generating electricity in Minnesota after
August 1, 2013, but before 2020 may be used to meet the solar energy standard established
under this subdivision.

deleted text begin (i) Beginning July 1, 2014, and each July 1 through 2020, each public utility shall file
a report with the commission reporting its progress in achieving the solar energy standard
established under this subdivision.
deleted 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. 7.

Minnesota Statutes 2020, section 216B.1691, is amended by adding a subdivision
to read:


new text begin Subd. 2g. new text end

new text begin Carbon-free standard. new text end

new text begin In addition to the requirements under subdivisions
2a and 2f, each electric utility must generate or procure sufficient electricity generated from
a carbon-free energy technology to provide its retail customers in Minnesota, or the retail
customers of a distribution utility to which the electric utility provides wholesale electric
service, so that at least the following standard percentages of the electric utility's total retail
electric sales to retail customers in Minnesota are generated from carbon-free energy
technologies by the end of the year indicated:
new text end

new text begin (1)
new text end
new text begin 2025
new text end
new text begin 65 percent
new text end
new text begin (2)
new text end
new text begin 2030
new text end
new text begin 80 percent
new text end
new text begin (3)
new text end
new text begin 2035
new text end
new text begin 90 percent
new text end
new text begin (4)
new text end
new text begin 2040
new text end
new text begin 100 percent.
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. 8.

Minnesota Statutes 2020, section 216B.1691, subdivision 3, is amended to read:


Subd. 3.

Utility plans filed with commission.

(a) Each electric utility shall report on
its plans, activities, and progress with regard to the deleted text beginobjectives and standards ofdeleted text endnew text begin standard
obligations under
new text end this section in its filings under section 216B.2422 or in a separate report
submitted to the commission every two years, whichever is more frequent, demonstrating
to the commission the utility's effort to comply with this section. In its resource plan or a
separate report, each electric utility shall provide a description of:

(1) the status of the utility's renewable energy mix relative to the deleted text beginobjective and standardsdeleted text endnew text begin
standard obligations
new text end;

(2) efforts taken to meet the deleted text beginobjective and standardsdeleted text endnew text begin standard obligationsnew text end;

(3) any obstacles encountered or anticipated in meeting the deleted text beginobjective or standards; anddeleted text endnew text begin
standard obligations;
new text end

(4) potential solutions to the obstaclesdeleted text begin.deleted text endnew text begin;
new text end

new text begin (5) the number of Minnesotans employed to construct facilities designed to meet the
utility's standard obligations under this section;
new text end

new text begin (6) efforts taken to retain and retrain workers employed at electric generating facilities
that the utility has ceased operating or designated to cease operating for new positions
constructing or operating facilities to meet a utility's standard obligation;
new text end

new text begin (7) impacts of facilities designed to meet the utility's standard obligations under this
section on areas of concern for environmental justice; and
new text end

new text begin (8) efforts to increase the diversity of both its workforce and vendors.
new text end

(b) The commissioner shall compile the information provided to the commission under
paragraph (a), and report to the chairs of the house of representatives and senate committees
with jurisdiction over energy and environment policy issues as to the progress of utilities
in the state, including the progress of each individual electric utility, in increasing the amount
of renewable energy provided to retail customers, with any recommendations for regulatory
or legislative action, by January 15 of each odd-numbered year.

new text begin EFFECTIVE DATE. new text end

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

Sec. 9.

Minnesota Statutes 2020, section 216B.1691, subdivision 4, is amended to read:


Subd. 4.

Renewable energy credits.

(a) To facilitate compliance with this section, the
commission, by rule or order, shall establish by January 1, 2008, a program for tradable
renewable energy credits for electricity generated by eligible energy technology. The credits
must represent energy produced by an eligible energy technology, as defined in subdivision
1. Each kilowatt-hour of renewable energy credits must be treated the same as a kilowatt-hour
of eligible energy technology generated or procured by an electric utility if it is produced
by an eligible energy technology. The program must permit a credit to be used only once.
The program must treat all eligible energy technology equally and shall not give more or
less credit to energy based on the state where the energy was generated or the technology
with which the energy was generated. The commission must determine the period in which
the credits may be used for purposes of the program.

(b) In lieu of generating or procuring energy directly to satisfy deleted text beginthe eligible energy
technology objective or
deleted text endnew text begin anew text end standard deleted text beginofdeleted text endnew text begin obligation undernew text end this section, an electric utility may
utilize renewable energy credits allowed under the program to satisfy the deleted text beginobjective ordeleted text end
standard.

(c) The commission shall facilitate the trading of renewable energy credits between
states.

(d) The commission shall require all electric utilities to participate in a
commission-approved credit-tracking system or systems. Once a credit-tracking system is
in operation, the commission shall issue an order establishing protocols for trading credits.

deleted text begin (e) An electric utility subject to subdivision 2a, paragraph (b), may not sell renewable
energy credits to an electric utility subject to subdivision 2a, paragraph (a), until 2021.
deleted 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. 10.

Minnesota Statutes 2020, section 216B.1691, subdivision 5, is amended to read:


Subd. 5.

Technology based on fuel combustion.

(a) Electricity produced by fuel
combustion through fuel blending or co-firing under paragraph (b) may only count toward
a utility's deleted text beginobjectives or standardsdeleted text endnew text begin standard obligationnew text end if the generation facility:

(1) was constructed in compliance with new source performance standards promulgated
under the federal Clean Air Act, United States Code, title 42, section 7401 et seq., for a
generation facility of that type; or

(2) employs the maximum achievable or best available control technology available for
a generation facility of that type.

(b) An eligible energy technology may blend or co-fire a fuel listed in subdivision 1,
paragraph (a), clause (5), with other fuels in the generation facility, but only the percentage
of electricity that is attributable to a fuel listed in that clause can be counted toward an
electric utility's deleted text beginrenewable energy objectivesdeleted text endnew text begin standard obligationnew 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. 11.

Minnesota Statutes 2020, section 216B.1691, subdivision 7, is amended to read:


Subd. 7.

Compliance.

The commission must regularly investigate whether an electric
utility is in compliance with its deleted text begingood faith objective under subdivision 2 anddeleted text end standard
obligation under deleted text beginsubdivisiondeleted text endnew text begin subdivisionsnew text end 2anew text begin, 2f, and 2gnew text end. If the commission finds
noncompliance, it may order the electric utility to construct facilities, purchase energy
generated by eligible energy technology, purchase renewable energy credits, or engage in
other activities to achieve compliance. If an electric utility fails to comply with an order
under this subdivision, the commission may impose a financial penalty on the electric utility
in an amount not to exceed the estimated cost of the electric utility to achieve compliance.
The penalty may not exceed the lesser of the cost of constructing facilities or purchasing
credits. The commission must deposit financial penalties imposed under this subdivision
in the energy and conservation account established in the special revenue fund under section
216B.241, subdivision 2a. This subdivision is in addition to and does not limit any other
authority of the commission to enforce this section.

new text begin EFFECTIVE DATE. new text end

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

Sec. 12.

Minnesota Statutes 2020, section 216B.1691, subdivision 9, is amended to read:


Subd. 9.

Local benefits.

new text begin(a) new text endThe commission shall take all reasonable actions within its
statutory authority to ensure this section is implemented deleted text beginto maximizedeleted text endnew text begin in a manner that
maximizes net
new text end benefits to new text beginall new text endMinnesota citizensdeleted text begin, balancingdeleted text endnew text begin throughout the state, including
but not limited to:
new text end

new text begin (1) the creation of high-quality jobs in Minnesota paying wages that support families;
new text end

new text begin (2) recognition of the rights of workers to organize and unionize;
new text end

new text begin (3) ensuring that workers have the necessary tools, opportunities, and economic assistance
to adapt successfully during the energy transition, particularly in areas of concern for
environmental justice;
new text end

new text begin (4) ensuring that all Minnesotans share the benefits of clean and renewable energy, and
the opportunity to participate fully in the clean energy economy;
new text end

new text begin (5) ensuring that statewide air emissions are reduced, particularly in areas of concern
for environmental justice; and
new text end

new text begin (6) the provision of affordable electric service to Minnesotans, particularly to low-income
consumers.
new text end

new text begin (b) The commission must also implement this section in a manner that balancesnew text end factors
such as local ownership of or participation in energy production, development and ownership
of eligible energy technology facilities by independent power producers, Minnesota utility
ownership of eligible energy technology facilities, the costs of energy generation to satisfy
the renewable deleted text beginstandarddeleted text endnew text begin and carbon-free standardsnew text end, and the reliability of electric service to
Minnesotans.

new text begin (c) When making investments to meet the requirements under this section, utilities are
encouraged to locate new energy generating facilities in Minnesota communities where
fossil-fuel generating plants have been retired or are scheduled for retirement.
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. 13.

Minnesota Statutes 2020, section 216B.1691, subdivision 10, is amended to read:


Subd. 10.

Utility acquisition of resources.

A competitive resource acquisition process
established by the commission prior to June 1, 2007, shall not apply to a utility for the
construction, ownership, and operation of generation facilities used to satisfy the requirements
of this section unless, upon a finding that it is in the public interest, the commission issues
an order on or after June 1, 2007, that requires compliance by a utility with a competitive
resource acquisition process. A utility that owns a nuclear generation facility and intends
to construct, own, or operate facilities under this section shall file with the commission deleted text beginon
or before March 1, 2008,
deleted text endnew text begin as part of the utility's filing under section 216B.2422new text end a renewable
energy plan setting forth the manner in which the utility proposes to meet the requirements
of this section. deleted text beginThe utility shall update the plan as necessary in its filing under section
216B.2422.
deleted text end The commission shall approve the plan unless it determines, after public hearing
and comment, that the plan is not in the public interest. As part of its determination of public
interest, the commission shall consider the plan's impact on balancing the state's interest in:

(1) promoting the policy of economic development in rural areas through the development
of renewable energy projects, as expressed in subdivision 9;

(2) maintaining the reliability of the state's electric power grid; and

(3) minimizing cost impacts on ratepayers.

new text begin EFFECTIVE DATE. new text end

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

Sec. 14.

Minnesota Statutes 2020, section 216E.03, subdivision 10, is amended to read:


Subd. 10.

Final decision.

(a) No site permit shall be issued in violation of the site
selection standards and criteria established in this section and in rules adopted by the
commission. When the commission designates a site, it shall issue a site permit to the
applicant with any appropriate conditions. The commission shall publish a notice of its
decision in the State Register within 30 days of issuance of the site permit.

(b) No route permit shall be issued in violation of the route selection standards and
criteria established in this section and in rules adopted by the commission. When the
commission designates a route, it shall issue a permit for the construction of a high-voltage
transmission line specifying the design, routing, right-of-way preparation, and facility
construction it deems necessary, and with any other appropriate conditions. The commission
may order the construction of high-voltage transmission line facilities that are capable of
expansion in transmission capacity through multiple circuiting or design modifications. The
commission shall publish a notice of its decision in the State Register within 30 days of
issuance of the permit.

new text begin (c) The commission may require, as a condition of permit issuance, that the recipient of
a site permit to construct a large electric power generating plant, including all of the permit
recipient's construction contractors and subcontractors on the project, pay no less than the
prevailing wage rate, as defined in section 177.42. The commission may also require, as a
condition of modifying a site permit for a large electric power generating plant repowering
project as defined in section 216B.243, subdivision 8, paragraph (b), that the recipient of
the site permit, including all of the permit recipient's construction contractors and
subcontractors on the repowering project, pay no less than the prevailing wage rate as defined
in section 177.42.
new text end

new text begin (d) When deciding whether to require payment of no less than the prevailing wage rate
under paragraph (c), the commission must consider relevant factors including:
new text end

new text begin (1) the direct and indirect economic impact of construction; and
new text end

new text begin (2) the quality, efficiency, and safety of construction.
new text end

Sec. 15.

Minnesota Statutes 2020, section 216F.04, is amended to read:


216F.04 SITE PERMIT.

(a) No person may construct an LWECS without a site permit issued by the Public
Utilities Commission.

(b) Any person seeking to construct an LWECS shall submit an application to the
commission for a site permit in accordance with this chapter and any rules adopted by the
commission. The permitted site need not be contiguous land.

(c) The commission shall make a final decision on an application for a site permit for
an LWECS within 180 days after acceptance of a complete application by the commission.
The commission may extend this deadline for cause.

(d) The commission may place conditions in a permit and may deny, modify, suspend,
or revoke a permit.

new text begin (e) The commission may require, as a condition of permit issuance, that the recipient of
a site permit to construct an LWECS with a nameplate capacity above 25,000 kilowatts,
including all of the permit recipient's construction contractors and subcontractors on the
project, pay no less than the prevailing wage rate, as defined in section 177.42. The
commission may also require, as a condition of modifying a site permit for an LWECS
repowering project as defined in section 216B.243, subdivision 8, paragraph (b), that the
recipient of the site permit, including all of the permit recipient's construction contractors
and subcontractors on the repowering project, pay no less than the prevailing wage rate as
defined in section 177.42.
new text end

new text begin (f) When deciding whether to require payment of no less than the prevailing wage rate
under paragraph (e), the commission must consider relevant factors including:
new text end

new text begin (1) the direct and indirect economic impact of construction; and
new text end

new text begin (2) the quality, efficiency, and safety of construction.
new text end

Sec. 16. new text beginREPEALER.
new text end

new text begin Minnesota Statutes 2020, section 216B.1691, subdivision 2, new text end new text begin is repealed.
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

APPENDIX

Repealed Minnesota Statutes: 21-01711

216B.1691 RENEWABLE ENERGY OBJECTIVES.

Subd. 2.

Eligible energy objectives.

Each electric utility shall make a good faith effort to generate or procure sufficient electricity generated by an eligible energy technology to provide its retail consumers, or the retail customers of a distribution utility to which the electric utility provides wholesale electric service, so that commencing in 2005, at least one percent of the electric utility's total retail electric sales to retail customers in Minnesota is generated by eligible energy technologies and seven percent of the electric utility's total retail electric sales to retail customers in Minnesota by 2010 is generated by eligible energy technologies.