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HF 3150

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

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

Bill Text Versions

Engrossments
Introduction Posted on 02/02/1998

Current Version - as introduced

  1.1                          A bill for an act 
  1.2             relating to utilities; restructuring regulation of the 
  1.3             generation of electricity; providing for transition to 
  1.4             a competitive industry; requiring restructuring plans; 
  1.5             requiring unbundling of services; providing for 
  1.6             recovery of stranded costs; requiring registration of 
  1.7             suppliers; providing civil remedies; appropriating 
  1.8             money; proposing coding for new law as Minnesota 
  1.9             Statutes, chapter 216E. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  [216E.001] [SHORT TITLE.] 
  1.12     Minnesota Statutes, chapter 216E, may be referred to as the 
  1.13  "Minnesota Retail Electric Competition Act." 
  1.14     Sec. 2.  [216E.01] [DEFINITIONS.] 
  1.15     Subdivision 1.  [SCOPE.] For the purposes of this chapter, 
  1.16  the terms defined in this section have the meanings given them. 
  1.17     Subd. 2.  [COMMISSION.] "Commission" means the Minnesota 
  1.18  Public Utilities Commission. 
  1.19     Subd. 3.  [COMPETITIVE POWER SUPPLY PROVIDER.] "Competitive 
  1.20  power supply provider" means any person including a political 
  1.21  subdivision providing electric power supply services, including 
  1.22  electric generators and brokers, aggregators, power marketers, 
  1.23  and purchasing groups that arrange for power supply services. 
  1.24     Subd. 4.  [CUSTOMER.] "Customer" means any person, firm, 
  1.25  association, purchasing group, corporation, agency of the 
  1.26  federal, state, or local government, or legal entity responsible 
  1.27  by law for payment for the electric service. 
  2.1      Subd. 5.  [DEFAULT PROVIDER.] "Default provider" means the 
  2.2   provider of electric power supply services to a customer that 
  2.3   has not chosen a competitive power supply provider. 
  2.4      Subd. 6.  [DEPARTMENT.] "Department" means the Minnesota 
  2.5   department of public service. 
  2.6      Subd. 7.  [ELECTRIC UTILITY.] "Electric utility" means a 
  2.7   public utility, as defined in section 216B.02, subdivision 4, 
  2.8   and includes every municipality and every electric cooperative 
  2.9   association that furnishes retail electric service in Minnesota. 
  2.10     Subd. 8.  [LOCAL DISTRIBUTION UTILITY OR LDU.] "Local 
  2.11  distribution utility" or "LDU" means an electric utility that 
  2.12  distributes electricity to end-use customer locations. 
  2.13     Subd. 9.  [POWER SUPPLY SERVICES.] "Power supply services" 
  2.14  means the provision of electric power supply or related services 
  2.15  to customers, including services concerning the usage, 
  2.16  measurement, purchase, and sale of electric capacity and energy. 
  2.17     Subd. 10.  [SOCIAL BENEFITS ACCOUNT.] "Social benefits 
  2.18  account" means the account established in section 216E.07. 
  2.19     Subd. 11.  [TRANSITION PERIOD.] "Transition period" means 
  2.20  the period from the effective date of this section until July 1, 
  2.21  2004. 
  2.22     Sec. 3.  [216E.02] [PURPOSE.] 
  2.23     The legislature finds that it is in the public interest to 
  2.24  permit all retail electric customers to choose their supplier of 
  2.25  electric generation services in a competitive market and to 
  2.26  continue to regulate electric transmission and distribution in 
  2.27  order to provide safe and reliable electricity at the lowest 
  2.28  possible prices for all consumers, while maintaining safety and 
  2.29  reliability. 
  2.30     Sec. 4.  [216E.03] [STANDARDS FOR MINNESOTA RETAIL ELECTRIC 
  2.31  COMPETITION PLAN.] 
  2.32     Subdivision 1.  [COMPETITIVE MARKET.] No later than July 1, 
  2.33  2000, electric generation must be deregulated and subject to the 
  2.34  competitive market in accordance with the retail electric 
  2.35  competition plan developed by the commission. 
  2.36     Subd. 2.  [ADOPTION.] The commission shall adopt and 
  3.1   publish in the State Register a preliminary plan as proposed 
  3.2   rules no later than December 1, 1998, and adopt a final plan 
  3.3   pursuant to chapter 14 no later than July 1, 1999, for 
  3.4   restructuring the Minnesota electric industry, consistent with 
  3.5   the policies and procedures established under this chapter, in 
  3.6   order to obtain full customer choice no later than July 1, 
  3.7   2000.  The plan must set forth appropriate steps to achieve an 
  3.8   orderly transition to a competitive market. 
  3.9      Subd. 3.  [CONTENTS OF PLAN.] The plan must incorporate the 
  3.10  substance of this chapter and may include other provisions as 
  3.11  the commission deems appropriate and necessary to expedite the 
  3.12  transition to full customer choice.  The plan, which must be 
  3.13  consistent with this chapter, must include: 
  3.14     (1) rate certainty, through a cap of rates at levels in 
  3.15  effect on January 1, 1998, through the transition period; 
  3.16     (2) allowance for public comment; 
  3.17     (3) customer protection measures, including assurance of 
  3.18  service reliability and universal access; 
  3.19     (4) unbundling of rates; 
  3.20     (5) mitigation of market power, including unfair and 
  3.21  uncompetitive practices; 
  3.22     (6) utility affiliate codes of conduct; and 
  3.23     (7) consumer education and information. 
  3.24     Sec. 5.  [216E.04] [RETAIL CUSTOMER CHOICE.] 
  3.25     Subdivision 1.  [GENERAL REQUIREMENT.] All customers are 
  3.26  permitted to choose their competitive power supply provider. 
  3.27     Subd. 2.  [BILATERAL CONTRACT.] Retail customers may 
  3.28  negotiate a bilateral contract with a competitive power supply 
  3.29  provider, providing that the electricity be transmitted and 
  3.30  distributed to the retail customer. 
  3.31     Subd. 3.  [UNIVERSAL ACCESS.] In order to ensure universal 
  3.32  access to electric services, a default provider for a customer 
  3.33  who has not chosen an alternative source of generation must be 
  3.34  established by the commission through a nondiscriminatory 
  3.35  process which may include a competitive bidding process or other 
  3.36  means.  The commission shall establish standards to ensure the 
  4.1   participation of default providers serving all classes of 
  4.2   customers.  During the transition period, the rates charged by 
  4.3   the default provider for each customer may not exceed the rate 
  4.4   cap in effect under section 216E.05. 
  4.5      Sec. 6.  [216E.05] [TRANSITION PROVISION; NO RATE 
  4.6   INCREASE.] 
  4.7      From the effective date of this section until January 1, 
  4.8   2004, no electric utility may increase its rates above those 
  4.9   charged on January 1, 1998. 
  4.10     Sec. 7.  [216E.06] [RECOVERY OF STRANDED COSTS.] 
  4.11     Subdivision 1.  [GENERAL POLICY.] (a) Investor-owned 
  4.12  utilities, electric cooperative associations, and municipal 
  4.13  utilities are entitled to recover up to 50 percent of prudently 
  4.14  incurred net, nonmitigable, verifiable stranded costs and 
  4.15  investments directly related to the generation of electricity.  
  4.16  The commission shall determine the amount of recovery. 
  4.17     (b) Nothing in this section is intended to provide any 
  4.18  greater opportunity for stranded cost recovery than is available 
  4.19  under applicable rule, regulation, or statute on the effective 
  4.20  date of this section. 
  4.21     (c) Stranded costs must be determined on a net basis, must 
  4.22  be verifiable, must not include transmission and distribution 
  4.23  assets, and should be reconciled to actual electricity market 
  4.24  conditions annually.  Stranded costs include an offset for the 
  4.25  market value of assets, domestic or foreign, obtained or 
  4.26  controlled by an electric utility by purchase, acquisition, 
  4.27  merger, or other means within three years before the effective 
  4.28  date of this section. 
  4.29     Subd. 2.  [NORMAL COURSE OF BUSINESS.] Stranded cost 
  4.30  charges are not recoverable for changes in usage occurring in 
  4.31  the normal course of business, including those resulting from 
  4.32  changes in business cycles, termination of operations, weather, 
  4.33  reduced production, changes in manufacturing processes, 
  4.34  installation or expansion of new self-generation or cogeneration 
  4.35  equipment, performance of existing self-generation or 
  4.36  cogeneration equipment, energy conservation efforts, or other 
  5.1   similar factors. 
  5.2      Subd. 3.  [DUTIES AND RESPONSIBILITIES OF COMMISSION AND 
  5.3   UTILITIES.] (a) Electric utilities have the duty to prudently, 
  5.4   thoroughly, and aggressively mitigate stranded costs. 
  5.5      (b) Each electric utility may file a stranded cost recovery 
  5.6   plan by January 1, 1999.  The recovery plan must: 
  5.7      (1) document anticipated stranded costs, mitigation 
  5.8   proposals, and offsetting increases in the market value of other 
  5.9   assets; 
  5.10     (2) permit collection of a transition charge applicable to 
  5.11  all customers to recover up to one-half of net, unmitigated 
  5.12  stranded costs over a period of not less than three nor more 
  5.13  than five years; 
  5.14     (3) establish net, unmitigable stranded costs, and a 
  5.15  limited recovery period designed to recover up to one-half of 
  5.16  those costs expeditiously, provided that the recovery period and 
  5.17  the amount of qualified transition costs yield a transition 
  5.18  charge that will not cause the total price for electric power 
  5.19  including transmission and distribution services, for any 
  5.20  customer to exceed the price per kilowatt-hour paid on the 
  5.21  effective date of this section during the recovery period; and 
  5.22     (4) not allow the utilization of recovery mechanisms that 
  5.23  impede competition such as entry and exit fees. 
  5.24     (c) The commission shall approve and publish a recovery 
  5.25  plan for each electric utility submitting a plan no later than 
  5.26  October 1, 1999. 
  5.27     (d) Stranded costs not recovered under this chapter and the 
  5.28  recovery plan, as modified and approved by the commission, 
  5.29  within five years of the commission's adoption of the final plan 
  5.30  are not recoverable by the electric utility. 
  5.31     (e) Electric utilities have a duty to cooperate with the 
  5.32  commission in implementing this chapter, as a precondition for 
  5.33  recovery of stranded costs.  Approval of a recovery plan and 
  5.34  collection of any stranded costs shall be deemed a settlement of 
  5.35  all such claims by an electric utility.  No electric utility 
  5.36  seeking to establish claims for recovery of stranded costs 
  6.1   through any other means is eligible for recovery pursuant to a 
  6.2   recovery plan or the collection of a transition charge. 
  6.3      Subd. 4.  [STRANDED COST RECOVERY CRITERIA AND 
  6.4   METHODOLOGY.] (a) Electric utilities are allowed to recover 50 
  6.5   percent of the net, unmitigable stranded costs associated with 
  6.6   required environmental mandates currently approved for cost 
  6.7   recovery and power acquisitions mandated by state or federal law.
  6.8      (b) Electric utilities have had and continue to have an 
  6.9   obligation to take all reasonable measures to prudently, 
  6.10  thoroughly, and aggressively mitigate stranded costs.  
  6.11  Mitigation measures may include but are not limited to: 
  6.12     (1) reduction of expenses; 
  6.13     (2) renegotiation of existing contracts; 
  6.14     (3) refinancing of existing debt; 
  6.15     (4) sale, write-off, or write-down of uneconomic or surplus 
  6.16  assets, including regulatory assets not directly related to the 
  6.17  provision of electric service; and 
  6.18     (5) sale of all generation assets and power purchase 
  6.19  contracts through a competitive bidding process that could 
  6.20  include a bid from an affiliate of the electric utility. 
  6.21     (c) A stranded benefit, which is a utility asset whose 
  6.22  market value exceeds the book value, must be used to reduce 
  6.23  stranded costs. 
  6.24     (d) Recovery mechanisms that impede competition, such as 
  6.25  entry and exit fees, must not be utilized.  Retail customers are 
  6.26  not responsible for wholesale stranded costs.  The charges do 
  6.27  not apply to wheeling-through transactions nor should they apply 
  6.28  to a competitive alternative that existed before the effective 
  6.29  date of this section, including but not limited to 
  6.30  self-generation and sales of nonfirm electricity. 
  6.31     (e) The commission is authorized to allow utilities to 
  6.32  collect a stranded cost recovery charge, subject to its 
  6.33  determination in the context of a formal proceeding that the 
  6.34  charge is equitable, appropriate, and balanced; is in the public 
  6.35  interest; and is consistent with the intent of this chapter.  
  6.36  The burden of proof for a stranded recovery claim must be borne 
  7.1   by the electric utility making the claim. 
  7.2      Sec. 8.  [216E.07] [SOCIAL BENEFITS ACCOUNT.] 
  7.3      Subdivision 1.  [ESTABLISHED.] The social benefits account 
  7.4   is established as an account in the general fund of the state 
  7.5   treasury.  The commission shall annually on or before November 
  7.6   15 of each year, pursuant to the petition of the department, 
  7.7   allocate the funds held in the account. 
  7.8      Subd. 2.  [EXPENDITURES.] Proceeds from the social benefits 
  7.9   account must be used for low-income energy assistance, 
  7.10  cold-weather shut off protection, conservation improvements, 
  7.11  maintenance of universal access, and investment in new energy 
  7.12  technologies and renewable energy production pursuant to a 
  7.13  program designed by the department and approved by the 
  7.14  commission. 
  7.15     Subd. 3.  [UNBUNDLING.] The costs for environmental, 
  7.16  social, and other related programs must be unbundled from 
  7.17  electric base rates.  The commission shall adopt rules to 
  7.18  incorporate programs and mechanisms that enable low-income 
  7.19  electric customers to manage and afford electric power supply 
  7.20  and services including low-income rate discounts, to give effect 
  7.21  to the universal service mandate. 
  7.22     Sec. 9.  [216E.08] [APPLICATION OF OTHER LAWS.] 
  7.23     The following laws are specifically made applicable to the 
  7.24  retail sale of electricity:  the Prevention of Consumer Fraud 
  7.25  Act, sections 325F.67 to 325F.71; the Act Against Unfair 
  7.26  Discrimination and Competition, sections 325D.01 to 325D.16; the 
  7.27  Uniform Deceptive Trade Practices Act, sections 325D.43 to 
  7.28  325D.48; and the Minnesota Antitrust Law of 1971, sections 
  7.29  325D.49 to 325D.66. 
  7.30     Sec. 10.  [216E.09] [OBLIGATION TO CONNECT.] 
  7.31     Subdivision 1.  [NONDISCRIMINATION.] A local electric 
  7.32  utility is relieved of its traditional obligation to serve but 
  7.33  has an obligation to provide all regulated services and connect 
  7.34  all customers within its service territory on nondiscriminatory 
  7.35  and comparable service terms and conditions. 
  7.36     Subd. 2.  [CUSTOMER SELECTION.] Customers have the right to 
  8.1   select their competitive power supply provider and to have 
  8.2   nondiscriminatory and comparable access to interconnection with 
  8.3   the customer's host LDU, which utility is required to transport 
  8.4   the customer's power supply to the host's facilities and to the 
  8.5   customer's location. 
  8.6      Sec. 11.  [216E.10] [RELIABILITY AND SAFETY.] 
  8.7      Subdivision 1.  [RULES.] The commission shall adopt rules 
  8.8   to ensure that reliable and safe electric service, with customer 
  8.9   service safeguards, is maintained or improved for all customers. 
  8.10     Subd. 2.  [PRESERVATION MEASURES.] Electric utilities and 
  8.11  competitive power supply providers shall have in place 
  8.12  sufficient measures to preserve the integrity, safety, 
  8.13  reliability, and quality of electric service in Minnesota. 
  8.14     Sec. 12.  [216E.11] [INDEPENDENT SYSTEM OPERATOR.] 
  8.15     Subdivision 1.  [REQUIRED MEMBERSHIP.] Each utility, 
  8.16  cooperative electric association, and municipal utility doing 
  8.17  business in Minnesota must belong to an Independent System 
  8.18  Operator (ISO). 
  8.19     Subd. 2.  [STANDARDS.] The commission may either approve 
  8.20  the establishment of a Minnesota ISO or certify that a regional 
  8.21  ISO meets standards established by the commission or by the 
  8.22  Federal Energy Regulatory Commission. 
  8.23     Subd. 3.  [DUTIES.] The ISO shall: 
  8.24     (1) independently manage and control transmission 
  8.25  facilities of any electric utility; 
  8.26     (2) provide for nondiscriminatory access to and use of the 
  8.27  transmission system for buyers and sellers of electricity; 
  8.28     (3) direct the transmission activities of the control area 
  8.29  operators; 
  8.30     (4) coordinate, plan, and order the installation of new 
  8.31  transmission facilities; 
  8.32     (5) adopt inspection, maintenance, repair, and replacement 
  8.33  standards for the transmission facilities under its control and 
  8.34  direct maintenance, repair, and replacement of all facilities 
  8.35  under its control; and 
  8.36     (6) implement procedures and act to assure the provision of 
  9.1   adequate and reliable service. 
  9.2      These standards must be consistent with reliability 
  9.3   criteria no less stringent than those established by the Mid 
  9.4   Continent Area Power Pool and the North American Electric 
  9.5   Reliability Council or their successors. 
  9.6      Sec. 13.  [216E.12] [REGISTRATION OF COMPETITIVE POWER 
  9.7   SUPPLY PROVIDERS.] 
  9.8      Subdivision 1.  [REGISTRATION REQUIRED.] A competitive 
  9.9   power supply provider must register with the commission as a 
  9.10  condition to providing services as a competitive power supply 
  9.11  provider pursuant to standards established by the commission. 
  9.12     Subd. 2.  [RESOURCES REQUIRED.] Each competitive power 
  9.13  supply provider must have sufficient resources and measures to 
  9.14  preserve the integrity, safety, reliability, and quality of 
  9.15  electric service in Minnesota. 
  9.16     Subd. 3.  [INFORMATION REQUIRED; RENEWAL.] (a) The 
  9.17  commission shall base approval of registration on the 
  9.18  applicant's submission of evidence addressing the following 
  9.19  factors: 
  9.20     (1) applicant's technical ability to obtain and deliver 
  9.21  electric power supply services; 
  9.22     (2) documentation of financial capability of the applicant 
  9.23  to provide and reliably sustain the proposed power supply 
  9.24  services; 
  9.25     (3) a description of the form of ownership, including 
  9.26  affiliates; and 
  9.27     (4) compliance with the commission's uniform system of 
  9.28  accounts. 
  9.29     (b) Registration, once granted, must be renewed annually 
  9.30  unless revoked for good cause shown. 
  9.31     Subd. 4.  [REJECTION AND RESPONSE.] The commission may 
  9.32  reject for filing within 30 days a proposed registration 
  9.33  application that does not contain sufficient information for the 
  9.34  commission to evaluate the proposed registration.  The 
  9.35  commission shall fully describe any deficiencies in a proposed 
  9.36  registration that is rejected for filing. 
 10.1      Subd. 5.  [RESPONSE DEADLINE.] The commission shall make 
 10.2   its determination to approve or disapprove a submittal for 
 10.3   registration within 60 days of its filing with the commission. 
 10.4      Subd. 6.  [COMPETITION.] The commission shall not limit 
 10.5   market entry nor regulate power supply services prices, but may 
 10.6   make a determination as to whether a proposed service furthers 
 10.7   the purposes of this chapter. 
 10.8      Sec. 14.  [216E.13] [SEPARATION OF FUNCTIONS.] 
 10.9      Subdivision 1.  [GENERAL REQUIREMENT.] The commission plan 
 10.10  for restructuring electric utilities, as established under this 
 10.11  chapter, must require all existing electric utilities to 
 10.12  operationally or financially separate facilities operations, 
 10.13  services, and rates for transmission and distribution services 
 10.14  and for competitively provided services, including generation 
 10.15  services.  The commission may order generation services be 
 10.16  provided through a separate subsidiary or costs be allocated 
 10.17  among separate functions. 
 10.18     Subd. 2.  [COMPARABILITY OF SERVICES AND NONDISCRIMINATORY 
 10.19  PRICING STANDARDS.] (a) Both local distribution utilities (LDUs) 
 10.20  and other entities that are not LDUs or electric utilities may 
 10.21  own transmission facilities. 
 10.22     (b) Affiliates of electric utilities and LDUs may own 
 10.23  electric generation assets.  These affiliates may sell 
 10.24  generation directly to a customer, provided that generation 
 10.25  assets and power supply services are operationally separate from 
 10.26  transmission or distribution affiliates, if any. 
 10.27     (c) Affiliates of electric utilities and LDUs may offer 
 10.28  competitive power supply services as approved by the commission. 
 10.29  Prices for unbundled generations services must be determined by 
 10.30  competitive market forces and not by the commission. 
 10.31     (d) Pursuant to chapter 14, the commission shall adopt a 
 10.32  plan designed to permit all providers of power supply services 
 10.33  to compete equally to supply power in Minnesota and to mitigate 
 10.34  concentrations of undue market power. 
 10.35     Subd. 3.  [UNBUNDLED SERVICE RATE TARIFFS.] On and after 
 10.36  July 1, 1998, each electric utility shall file unbundled service 
 11.1   tariffs, when modified, with the commission.  For purposes of 
 11.2   this section, "unbundled services" means power supply services 
 11.3   separately available from the provision of transmission and 
 11.4   distribution services.  Municipal utilities and cooperative 
 11.5   electric associations shall file unbundled rate tariffs for 
 11.6   information purposes only. 
 11.7      Sec. 15.  [216E.14] [OPEN ACCESS TO TRANSMISSION AND 
 11.8   DISTRIBUTION FACILITIES.] 
 11.9      Subdivision 1.  [ACCESS REQUIRED.] Owners, operators, and 
 11.10  providers of transmission and distribution facilities and 
 11.11  ancillary services, including federal, state, and local public 
 11.12  power agencies, shall provide comparable and reciprocal access 
 11.13  to those facilities, ancillary services, and other services 
 11.14  available to any buyer or seller on a nondiscriminatory and 
 11.15  comparable basis.  The commission shall promote 
 11.16  nondiscriminatory open access to the electric system for 
 11.17  wholesale and retail transactions. 
 11.18     Subd. 2.  [TRANSMISSION OR DISTRIBUTION SERVICE 
 11.19  TARIFFS.] Electric utilities and LDUs providing transmission or 
 11.20  distribution services shall file at the Federal Energy 
 11.21  Regulatory Commission or with the commission, as appropriate, 
 11.22  comparable and reciprocal service tariffs that provide open 
 11.23  access for competitors. 
 11.24     Subd. 3.  [COMMISSION MONITORS.] The commission shall 
 11.25  monitor jurisdictional companies providing transmission or 
 11.26  distribution services and take necessary measures to ensure that 
 11.27  no supplier has an unfair advantage in offering access to and 
 11.28  pricing those services. 
 11.29     Sec. 16.  [216E.15] [AFFILIATE CODE OF CONDUCT.] 
 11.30     (a) The commission shall ensure that a utility does not 
 11.31  directly or indirectly include in regulated rates any costs or 
 11.32  expenses of an affiliate engaged in providing power supply 
 11.33  services or any other business.  The commission shall develop a 
 11.34  code of conduct for affiliate transactions in a manner that 
 11.35  excludes the possibility of cross subsidization or unfair 
 11.36  competitive advantage. 
 12.1      (b) The following standards of conduct are minimum 
 12.2   requirements to be considered and adopted by the commission in 
 12.3   its plan: 
 12.4      (1) provisions ensuring that personnel, books, and records 
 12.5   along with a provision for public inspection of the books, 
 12.6   accounts, papers, and records are kept separate as may be 
 12.7   necessary to enforce this chapter; 
 12.8      (2) provisions ensuring that all products and services 
 12.9   offered by the LDU are available to all customers and 
 12.10  competitive power supply providers simultaneously and on a 
 12.11  comparable basis; 
 12.12     (3) provisions ensuring that no preferential access to 
 12.13  information is given by the LDU to an affiliated company; and 
 12.14     (4) design of a timely complaint procedure with recourse 
 12.15  provisions. 
 12.16     Sec. 17.  [216E.16] [MARKET AGGREGATOR.] 
 12.17     Retail customers may choose to receive power supply 
 12.18  services from a market aggregator.  Market aggregators may 
 12.19  generate electricity directly, buy and sell electricity, or 
 12.20  enter into financial contracts for electric generation 
 12.21  resources.  Market aggregators may be brokers, associations, 
 12.22  cooperatives, buying clubs, groups of independent school 
 12.23  districts, municipalities, or other entities that buy or arrange 
 12.24  for power supply services through a power pool or through direct 
 12.25  contracts. 
 12.26     Sec. 18.  [216E.17] [CONTRACT RIGHTS.] 
 12.27     (a) Nothing in this chapter interferes with or supersedes 
 12.28  the rights of parties under contract entered into before the 
 12.29  effective date of this section. 
 12.30     (b) Paragraph (a) does not apply to contracts entered into, 
 12.31  amended, or extended on or after the effective date of this 
 12.32  section. 
 12.33     Sec. 19.  [216E.18] [RATE FILING.] 
 12.34     Municipal utilities and cooperative electric associations 
 12.35  shall make informational filings of rates, terms, and conditions 
 12.36  of service with the commission at least annually beginning July 
 13.1   1, 1998. 
 13.2      Sec. 20.  [216E.19] [SUPERSEDED LAWS.] 
 13.3      To the extent that any other statute would diminish a right 
 13.4   created or duty imposed by this chapter, the other statute is 
 13.5   superseded by this chapter, unless the other statute expressly 
 13.6   provides otherwise, identifying the provision of this chapter. 
 13.7      Sec. 21.  [216E.20] [REMEDIES.] 
 13.8      Subdivision 1.  [LIABILITY.] A transmission or distribution 
 13.9   utility is not liable for damages to any current or future 
 13.10  customer if the customer's competitive power supply provider 
 13.11  fails to deliver the service in accordance with the terms of its 
 13.12  bilateral contract with the customer.  This subdivision must not 
 13.13  be applied to relieve liability arising from the transmission or 
 13.14  distribution utility's own action or failure to act. 
 13.15     Subd. 2.  [ORDER TO CEASE VIOLATION.] A retail customer, 
 13.16  market aggregator, or other entity provided distribution or 
 13.17  intrastate transmission service by an electric utility or LDU in 
 13.18  Minnesota has the right to obtain an order from the commission 
 13.19  compelling the electric utility or LDU to cease any violation of 
 13.20  this chapter and to pay all of the complaining party's costs, 
 13.21  including reasonable attorneys fees. 
 13.22     Sec. 22.  [APPROPRIATIONS.] 
 13.23     Subdivision 1.  [PUBLIC UTILITIES COMMISSION.] The sum of 
 13.24  $....... is appropriated from the general fund to the public 
 13.25  utilities commission in order to implement this act. 
 13.26     Subd. 2.  [DEPARTMENT OF PUBLIC SERVICE.] The sum of 
 13.27  $....... is appropriated from the general fund to the department 
 13.28  of public service in order to implement this act. 
 13.29     Subd. 3.  [SOCIAL BENEFITS ACCOUNT.] The sum of $....... is 
 13.30  appropriated from the general fund to the department of public 
 13.31  service for transfer to the social benefits account established 
 13.32  in section 8. 
 13.33     Sec. 23.  [INSTRUCTION TO REVISOR; TECHNICAL PROVISIONS.] 
 13.34     (a) In consultation with the department and the commission 
 13.35  and at their direction, the revisor of statutes shall submit a 
 13.36  bill to the legislature by January 15, 1999, identifying any 
 14.1   laws affected by this chapter and amending or repealing any laws 
 14.2   necessary so as to make those other state laws consistent with 
 14.3   the purposes of this chapter. 
 14.4      (b) Where the term "chapter" is used in sections 1 to 23, 
 14.5   it refers to sections 1 to 21. 
 14.6      (c) Where the term "act" is used in sections 22 and 24, it 
 14.7   refers to sections 1 to 21. 
 14.8      Sec. 24.  [EFFECTIVE DATE.] 
 14.9      This act is effective the day following final enactment.