HF 2791

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 11:32pm

A bill for an act
relating to taxes; exempting materials used to construct a renewable energy plant
from the sale tax; amending Minnesota Statutes 2008, section 297A.71, by
adding a subdivision.

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

Section 1.

Minnesota Statutes 2008, section 297A.71, is amended by adding a
subdivision to read:

new text begin Subd. 42. new text end

new text begin Construction materials; renewable energy plants. new text end

new text begin (a) Materials and
supplies used or consumed in, and equipment incorporated into, the construction of a
facility that generates energy from a renewable energy source are exempt if the energy
is: (1) sold at retail; (2) sold to a utility for resale to retail customers; or (3) used directly
by a business.
new text end

new text begin (b) For the purposes of this subdivision, "renewable energy source" means energy
generated from the following sources:
new text end

new text begin (1) solar, which has the meaning given to "qualifying solar energy project" in section
216B.2411, subdivision 2, paragraph (d), except that for a "qualifying solar electric
project" the 100-kilowatt peak generating capacity limit does not apply;
new text end

new text begin (2) wind;
new text end

new text begin (3) hydroelectric with a capacity of less than 100 megawatts;
new text end

new text begin (4) hydrothermal;
new text end

new text begin (5) hydrogen, provided that after January 1, 2010, the hydrogen must be generated
from the resources listed in this subdivision;
new text end

new text begin (6) biomass, which includes, without limitation, landfill gas; rotating woody crops;
crop residues; an anaerobic digester system; biomass gasification; the predominantly
organic components of wastewater effluent, sludge, or related by-products from publicly
owned treatment works, but not including incineration of:
new text end

new text begin (i) wastewater sludge or related by-products from publicly owned treatment works;
new text end

new text begin (ii) mixed municipal solid waste; or
new text end

new text begin (iii) refuse-derived fuel from mixed municipal solid waste; and
new text end

new text begin (7) a district energy system fueled primarily by biomass.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after
June 30, 2010.
new text end