SF 86

1st Engrossment - 87th Legislature (2011 - 2012) Posted on 03/06/2012 01:37pm

A bill for an act
relating to energy; modifying ban on increased carbon dioxide emissions by
utilities; amending Minnesota Statutes 2010, section 216H.03, subdivision 7.

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

Section 1.

Minnesota Statutes 2010, section 216H.03, subdivision 7, is amended to
read:

Subd. 7.

Other exemptions.

The prohibitions in subdivision 3 do not apply to:

(1) a new large energy facility under consideration by the Public Utilities
Commission pursuant to proposals or applications filed with the Public Utilities
Commission before April 1, 2007, or to any power purchase agreement related to a facility
described in this clause. The exclusion of pending proposals and applications from the
prohibitions in subdivision 3 does not limit the applicability of any other law and is not an
expression of legislative intent regarding whether any pending proposal or application
should be approved or denied;

(2) a contract not subject to commission approval that was entered into prior to
April 1, 2007, to purchase power from a new large energy facility that was approved by
a comparable authority in another state prior to that date, for which municipal or public
power district bonds have been issued, and on which construction has begun; deleted text begin or
deleted text end

(3) a new large energy facility or a power purchase agreement between a Minnesota
utility and a new large energy facility located outside Minnesota that the Public
Utilities Commission has determined is essential to ensure the long-term reliability of
Minnesota's electric system, to allow electric service for increased industrial demand,
or to avoid placing a substantial financial burden on Minnesota ratepayers. An order
of the commission granting an exemption under this clause is stayed until the June 1
following the next regular or annual session of the legislature that begins after the date of
the commission's final order new text begin ; or
new text end

new text begin (4) 1,500 megawatts of electric generating capacity, in aggregate, from new large
energy facilities or power purchase agreements with those new large energy facilities that:
new text end

new text begin (i) are fueled by feedstock coal; and
new text end

new text begin (ii) began construction after April 1, 2007 new text end .

new text begin Projects will receive priority for exemption under this clause based on the shortest amount
of time after April 1, 2007, and the date construction of a new large energy facility begins.
Power purchase agreements with new large energy facilities that are exempt from the
prohibitions in subdivision 3 pursuant to this clause are also exempt from the prohibitions
in subdivision 3. An exemption under this clause is not valid unless certified by the Public
Utilities Commission. The commission must certify a request for an exemption if it finds
the request and the grant of the exemption is in compliance with this clause.
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