1997 Minnesota Statutes

CHAPTER 216C. Department of public service; energy division

     216C.01 Definitions. 

    Subdivision 1.    Applicability.  The definitions in 
 this section apply to section 216C.02 and those sections 
 renumbered by Laws 1987, chapter 312, article 1, section 10. 

    Subd. 1a.    Alternative fuel.  "Alternative fuel" means 
 natural gas; liquefied petroleum gas; hydrogen; coal-derived 
 liquefied fuels; electricity; methanol, denatured ethanol, and 
 other alcohols; mixtures containing 85 percent or more, or other 
 percentage as may be set by regulation by the Secretary of the 
 United States Department of Energy, by volume of methanol, 
 denatured ethanol, and other alcohols with gasoline or other 
 fuels; fuels other than alcohol that are derived from biological 
 materials; and other fuel that the Secretary of the United 
 States Department of Energy determines by regulation to be an 
 alternative fuel within the meaning of section 301(2) of the 
 National Energy Policy Act of 1992 and intended for use in motor 
 vehicles. 

    Subd. 1b.    Alternative fuel vehicle.  "Alternative 
 fuel vehicle" means a dedicated, flexible, or dual-fuel vehicle 
 operated primarily on an alternative fuel. 

    Subd. 2.    Commissioner.  "Commissioner" means the 
 commissioner of the department of public service. 

    Subd. 2a.    Dedicated fuel vehicle.  "Dedicated fuel 
 vehicle" means a vehicle that operates solely on alternative 
 fuels. 

    Subd. 3.    Department.  "Department" means the 
 department of public service. 

    Subd. 4.    Dual-fuel vehicle.  "Dual-fuel vehicle" 
 means a vehicle that is capable of operating on an alternative 
 fuel and is capable of operating on gasoline or diesel fuel. 

    HIST: 1987 c 186 s 15; 1987 c 312 art 1 s 7; 1993 c 254 s 2-5; 1995 
 c 264 art 2 s 5,6 

     216C.02 Powers and duties of commissioner; rules. 

    Subdivision 1.    Powers.  (a) The commissioner may: 

    (1) apply for, receive, and spend money received from 
 federal, municipal, county, regional, and other government 
 agencies and private sources; 

    (2) apply for, accept, and disburse grants and other aids 
 from public and private sources; 

    (3) contract for professional services if work or services 
 required or authorized to be carried out by the commissioner 
 cannot be satisfactorily performed by employees of the 
 department or by another state agency; 

    (4) enter into interstate compacts to carry out research 
 and planning jointly with other states or the federal government 
 when appropriate; 

    (5) upon reasonable request, distribute informational 
 material at no cost to the public; and 

    (6) enter into contracts for the performance of the 
 commissioner's duties with federal, state, regional, 
 metropolitan, local, and other agencies or units of government 
 and educational institutions, including the University of 
 Minnesota, without regard to the competitive bidding 
 requirements of chapters 16A and 16B.  

    (b) The commissioner shall collect information on 
 conservation and other energy-related programs carried on by 
 other agencies, by public utilities, by cooperative electric 
 associations, by municipal power agencies, by other fuel 
 suppliers, by political subdivisions, and by private 
 organizations.  Other agencies, cooperative electric 
 associations, municipal power agencies, and political 
 subdivisions shall cooperate with the commissioner by providing 
 information requested by the commissioner.  The commissioner may 
 by rule require the submission of information by other program 
 operators.  The commissioner shall make the information 
 available to other agencies and to the public and, as necessary, 
 shall recommend to the legislature changes in the laws governing 
 conservation and other energy-related programs to ensure that: 

    (1) expenditures on the programs are adequate to meet 
 identified needs; 

    (2) the needs of low-income energy users are being 
 adequately addressed; 

    (3) duplication of effort is avoided or eliminated; 

    (4) a program that is ineffective is improved or 
 eliminated; and 

    (5) voluntary efforts are encouraged through incentives for 
 their operators.  

    The commissioner shall appoint an advisory task force to 
 help evaluate the information collected and formulate 
 recommendations to the legislature.  The task force must include 
 low-income energy users. 

    (c) By January 15 of each year, the commissioner shall 
 report to the legislature on the projected amount of federal 
 money likely to be available to the state during the next fiscal 
 year, including grant money and money received by the state as a 
 result of litigation or settlements of alleged violations of 
 federal petroleum pricing regulations.  The report must also 
 estimate the amount of money projected as needed during the next 
 fiscal year to finance a level of conservation and other 
 energy-related programs adequate to meet projected needs, 
 particularly the needs of low-income persons and households, and 
 must recommend the amount of state appropriations needed to 
 cover the difference between the projected availability of 
 federal money and the projected needs. 

    Subd. 2.    Appropriation.  Money received by the 
 commissioner under this section must be deposited in the state 
 treasury and is appropriated to the commissioner for the purpose 
 for which the money has been received.  The money appropriated 
 by this subdivision does not cancel and is available until 
 expended. This appropriation does not apply to money resulting 
 from litigation or settlements of alleged violations of federal 
 petroleum pricing regulations. 

    Subd. 3.    Rules.  The commissioner may adopt rules 
 under chapter 14 to carry out the commissioner's duties and 
 responsibilities under this section and those sections 
 renumbered by Laws 1987, chapter 312, article 1, section 10. 

    HIST: 1987 c 186 s 15; 1987 c 312 art 1 s 8; 1989 c 338 s 4; 
 1991 c 235 art 1 s 3 

     216C.05 Findings and purpose. 

    The legislature finds and declares that continued growth in 
 demand for energy will cause severe social and economic 
 dislocations, and that the state has a vital interest in 
 providing for:  increased efficiency in energy consumption, the 
 development and use of renewable energy resources wherever 
 possible, and the creation of an effective energy forecasting, 
 planning and education program.  

    The legislature further finds and declares that the 
 protection of life, safety and financial security for citizens 
 during an energy crisis is of paramount importance. 

    Therefore, the legislature finds that it is in the public 
 interest to review, analyze and encourage those energy programs 
 that will minimize the need for annual increases in fossil fuel 
 consumption by 1990 and the need for additional electrical 
 generating plants, and provide for an optimum combination of 
 energy sources consistent with environmental protection and the 
 protection of citizens.  

    The legislature intends to monitor, through energy policy 
 planning and implementation, the transition from historic growth 
 in energy demand to a period when demand for traditional fuels 
 becomes stable and the supply of renewable energy resources is 
 readily available and adequately utilized.  

    HIST: 1974 c 307 s 1; 1980 c 579 s 4; 1981 c 356 s 248; 1987 c 
 312 art 1 s 10 subd 1 

     216C.051 Legislative electric energy task force. 

    Subdivision 1.    Findings.  The legislature finds that 
 it needs more information on the future management of high-level 
 radioactive waste, the costs of that management, and the 
 technical and economic feasibility of utilizing alternative 
 energy resources.  Before any legislative determinations may be 
 reasonably made that are more specific than the determinations 
 made in Laws 1994, chapter 641, the legislature needs detailed, 
 credible, and reliable information on these issues. 

    Subd. 2.    Establishment.  (a) There is established a 
 legislative electric energy task force to study future electric 
 energy sources and costs and to make recommendations for 
 legislation for an environmentally and economically sustainable 
 and advantageous electric energy supply. 

    (b) The task force consists of: 

    (1) ten members of the house of representatives including 
 the chairs of the environment and natural resources and 
 regulated industries and energy committees and six members to be 
 appointed by the speaker of the house, four of whom must be from 
 the minority caucus; 

    (2) ten members of the senate including the chairs of the 
 environment and natural resources and jobs, energy, and 
 community development committees and six members to be appointed 
 by the subcommittee on committees, four of whom must be from the 
 minority caucus. 

    (c) The task force may employ staff, contract for 
 consulting services, and may reimburse the expenses of persons 
 requested to assist it in its duties other than state employees 
 or employees of electric utilities.  The director of the 
 legislative coordinating commission shall assist the task force 
 in administrative matters.  The task force shall elect cochairs, 
 one member of the house and one member of the senate from among 
 the committee chairs named to the committee.  The task force 
 members from the house shall elect the house cochair, and the 
 task force members from the senate shall elect the senate 
 cochair. 

    Subd. 3.    Future energy solutions; technical and 
 economic analysis.  In light of the electric energy guidelines 
 established in subdivision 7 and in light of existing 
 conservation improvement programs and plans, utility resource 
 plans, and other existing energy plans and analyses, the 
 legislative task force on energy shall undertake an analysis of 
 the technical and economic feasibility of an electric energy 
 future for the state that relies on environmentally and 
 economically sustainable and advantageous electric energy 
 supply.  The task force shall contract with one or more energy 
 policy experts and energy economists to assist it in its 
 analysis.  The task force may not contract for service nor 
 employ any person who was involved in any capacity in any 
 portion of any proceeding before the public utilities 
 commission, the administrative law judge, the state court of 
 appeals, or the United States Nuclear Regulatory Commission 
 related to the dry cask storage proposal on Prairie Island.  

    The analysis must address at least the following: 

    (1) to the best of forecasting abilities, how much electric 
 generation capacity and demand for electric energy is necessary 
 to maintain a strong economy and a high quality of life in the 
 state over the next 15 to 20 years; how is this demand level 
 affected by achievement of the maximum reasonably feasible and 
 cost-effective demand side management and generation and 
 distribution efficiencies; 

    (2) what alternative forms of energy can provide a stable 
 supply of energy and are producible and sustainable in the state 
 and at what cost; 

    (3) what are the costs to the state and ratepayers to 
 ensure that new electric energy generation utilizes less 
 environmentally damaging sources; how do those costs change as 
 the time frame for development and implementation of new 
 generation sources is compressed; 

    (4) what are the implications for delivery systems for 
 energy produced in areas of the state that do not now have 
 high-volume transmission capability; are new transmission 
 technologies being developed that can address some of the 
 concerns with transmission; can a more dispersed electric 
 generation system lessen the need for long-distance 
 transmission; 

    (5) what are the actual costs and benefits of purchasing 
 electricity and fuel to generate electricity from outside the 
 state; what are the present costs to the state's economy of 
 exporting a large percentage of the state's energy dollars and 
 what is the future economic impact of continuing to do so; 

    (6) are there benefits to be had from a large immediate 
 investment in quickly implementing alternative electric energy 
 sources in terms of developing an exportable technology and/or 
 commodity; is it feasible to turn around the flow of dollars for 
 energy so that the state imports dollars and exports energy and 
 energy technology; what is a reasonable time frame for the shift 
 if it is possible; 

    (7) are there taxation or regulatory barriers to developing 
 more sustainable and less problematic electric energy 
 generation; what are they specifically and how can they be 
 specifically addressed; 

    (8) can an approach be developed that moves quickly to 
 development and implementation of alternative energy sources 
 that can be forgiving of interim failures but that is also 
 sufficiently deliberate to ensure ultimate success on a large 
 scale; 

    (9) in what specific ways can the state assist regional 
 energy suppliers to accelerate phasing out energy production 
 processes that produce wastes or emissions that must necessarily 
 be carefully controlled and monitored to minimize adverse 
 effects on the environment and human health and to assist in 
 developing and implementing base load energy production that 
 both prevents or minimizes by its nature adverse environmental 
 and human health effects and utilizes resources that are 
 available or producible in the state; 

    (10) whether there is a need to establish additional 
 dislocated worker assistance for workers at the Prairie Island 
 nuclear power plant; if so, how that assistance should be 
 structured; 

    (11) can the state monitor, evaluate, and affect federal 
 actions relating to permanent storage of high level radioactive 
 waste; what actions by the state over what period of time would 
 expedite federal action to take responsibility for the waste; 

    (12) should the state establish a legislative oversight 
 commission on energy issues; should the responsibilities of an 
 oversight commission be coordinated with the activities of the 
 public utilities commission and the department of public service 
 and if so, how; and 

    (13) is it feasible to convert existing nuclear power and 
 coal-fired electric generating plants to utilization of energy 
 sources that result in significantly less environmental damage; 
 if so, what are the short-term and long-term costs and benefits 
 of doing so; how do shorter or longer time periods for 
 conversion affect the cost/benefit analysis. 

    Subd. 4.    Radioactive waste management; future and 
 economic analysis.  The legislative task force shall analyze 
 the future of and the economic effects of the continued 
 generation of electric power and radioactive waste at the 
 Prairie Island nuclear power plant.  The task force shall 
 include in its report under subdivision 5, a specific discussion 
 of: 

    (1) when radioactive waste will be removed from Prairie 
 Island for permanent storage outside of the state, who will bear 
 the costs of the future management of the radioactive waste 
 generated by the Prairie Island nuclear generating plant; when 
 that shift in responsibility is likely to occur; and to what 
 extent utility ratepayers and shareholders and state taxpayers 
 will be shielded from the costs to manage the waste in the 
 future; 

    (2) the probability of an accident and the extent to which 
 persons who may be at risk of personal injury or property damage 
 due to foreseeable or unforeseeable catastrophic events that may 
 allow the release of radioactivity from the nuclear power plant 
 and associated activities could be fully compensated for the 
 injuries or damage and by whom; 

    (3) a range of reasonable estimates of the costs to manage 
 radioactive waste generated by the nuclear power plant under 
 scenarios to be developed by the task force, ranging from 
 monitoring the waste in the storage pool at Prairie Island to 
 removal of waste from the state beginning in 1998 to permanent 
 storage of the waste in the state; to the extent those costs 
 will necessarily fall on present and future utility ratepayers 
 and shareholders and state taxpayers, how to ensure they can be 
 met without catastrophic disruption of the state's economy in 
 the future; and whether funds should be set aside to ensure that 
 present ratepayers pay the future costs of radioactive waste 
 management based on volume of usage of electricity rather than 
 on the rate structure of the utility; 

    (4) whether reprocessing and reuse of spent nuclear fuel 
 generated by the Prairie Island nuclear generating plant is 
 technically and economically feasible; if so, how to encourage 
 development of reprocessing and reuse; 

    (5) whether emerging nuclear technologies, such as integral 
 fast reactors, which can generate electricity without 
 environmental damage while producing no or minimal radioactive 
 waste, are economically feasible and practical electric energy 
 alternatives in the foreseeable future and, if so, how to 
 encourage and take advantage of such technologies; 

    (6) if the waste is likely to be removed from the state, 
 whether technologies are likely to be economically feasible in 
 the relatively near future for minimizing the handling of the 
 waste and minimizing contamination of additional materials that 
 will need special management prior to transport out of the 
 state, including the availability of combination storage and 
 transport containers; 

    (7) if the waste is unlikely to be removed from the state 
 or if waste will need to be indefinitely stored outside the 
 power plants after decommissioning, whether sites for storage of 
 the waste outside the structure of the Prairie Island power 
 plant potentially can be found that minimize economic and social 
 disruption, maximize environmental, health, and safety 
 protection, minimize transportation distance, and place the 
 burden of storage of the waste on those communities that enjoy 
 the immediate economic benefits of the existence and operation 
 of the power plants; if potential sites exist, what process 
 should be used to identify and utilize them if necessary; the 
 entity that is searching for an alternative site within the 
 state for the disposal of spent nuclear fuel from the Prairie 
 Island nuclear generating plant, is seeking permits for the 
 site, or is constructing the site shall report progress on those 
 activities every six months to the task force commencing January 
 1, 1995; 

    (8) factors to be used in siting a high-level radioactive 
 waste management facility to include at least: 

    (i) the proximity of the site to residents and businesses; 

    (ii) the proximity of the site to surface waters; 

    (iii) the vulnerability of the site to tornadoes and other 
 natural phenomena; 

    (iv) the benefits received and the costs incurred by the 
 host and adjacent communities due to operation of the nuclear 
 generating facility that produced the high-level radioactive 
 waste to be managed at the proposed facility; 

    (v) the benefits received and costs incurred by the host 
 and adjacent communities due to operation of the proposed waste 
 management facility; and 

    (vi) the availability of transportation routes between the 
 nuclear generating plant and the proposed waste management 
 facility; and 

    (9) federal law related to the interstate transportation of 
 high-level radioactive waste and how that law may operate in 
 relation to an independent spent fuel storage installation 
 located in the state. 

    Subd. 5.    Report and recommendations.  (a) The 
 legislative task force may contract with independent experts, 
 none of whom can have been involved in any capacity in any of 
 the proceedings before the public utilities commission, the 
 administrative law judge, or the court of appeals related to dry 
 cask storage at Prairie Island or in any proceedings related to 
 the license for the facility granted by the United States 
 Nuclear Regulatory Commission, to assist it with analysis of 
 items and issues listed in subdivisions 3 and 4. 

    (b) The legislative task force shall convene a separate 
 balanced group of experts in the fields of energy production and 
 distribution and energy economics from within and without the 
 state to include experts formerly or currently employed by the 
 department of public service and/or the public utilities 
 commission, an economist employed by the residential and small 
 business division of the office of the attorney general, 
 electric energy experts employed by utilities, experts from 
 other states that have begun to implement policies for utilizing 
 indigenous, sustainable energy sources, experts from public 
 advocacy groups, and others to be determined by the task force.  
 The task force shall request the group of experts to assist it 
 in publicly examining and analyzing information received from 
 the independent experts and in preparing the report required in 
 paragraph (c). 

    (c) By July 1, 1996, the task force shall submit a report 
 to the chairs of the committees in the house and in the senate 
 that have responsibility for energy and for environmental and 
 natural resources issues that contains an overview of plans and 
 analyses that have been prepared, a critique of how those plans 
 and analyses will assist in implementation of the energy 
 conservation and sources for generation policies and goals in 
 chapters 216B and 216C, and specific recommendations for 
 legislative action that will ensure development and 
 implementation of electric energy policy that will provide the 
 state with adequate, sustainable, and economic electric power 
 for the long term while utilizing, to the maximum reasonable 
 extent, energy resources that are available or producible within 
 the state and while developing, maintaining, and strengthening a 
 viable and robust energy and utility infrastructure. 

    (d) By September 15, 1995, the task force shall submit to 
 the chairs of the committees specified in paragraph (c), a 
 preliminary report that provides: 

    (1) an overview of the current status of energy planning 
 and implementation of those plans by state agencies and 
 utilities, along with an analysis of the extent to which 
 existing statutory energy policies and goals are being met for 
 electric energy consumed in the state; 

    (2) an analysis of and any recommendations for adjustments 
 to the specific targets set in subdivisions 4 and 5, relating to 
 energy savings, electric generation sources for replacement and 
 additional capacity needs, and development of wind and biomass 
 energy sources; and 

    (3) as much information as the task force has been able to 
 gather on future high-level radioactive waste management and 
 transportation, including technologies and costs. 

    Subd. 6.    Assessment; appropriation.  On request by 
 the cochairs of the legislative task force and after approval of 
 the legislative coordinating commission, the commissioner of the 
 department of public service shall assess from electric 
 utilities, in addition to assessments made under section 
 216B.62, the amount requested for the operation of the task 
 force not to exceed $700,000.  This authority to assess 
 continues until the commissioner has assessed a total of 
 $700,000.  The amount assessed under this section is 
 appropriated to the director of the legislative coordinating 
 commission for those purposes, and is available until expended. 

    Subd. 7.    Guidelines; preferred electric generation 
 sources; definitions.  (a) The legislative task force on 
 electric energy shall undertake its responsibilities in light of 
 the guidelines specified in this subdivision. 

    (b) The highest priority in electric energy production and 
 consumption is conservation of electric energy and management of 
 demand by all segments of the community. 

    (c) The following energy sources for generating electric 
 power distributed in the state, listed in their descending order 
 of preference, based on minimizing long-term negative 
 environmental, social, and economic burdens imposed by the 
 specific energy sources, are: 

    (1) wind and solar; 

    (2) biomass and low-head or refurbished hydropower; 

    (3) decomposition gases produced by solid waste management 
 facilities, natural gas-fired cogeneration, and waste materials 
 or byproducts combined with natural gas; 

    (4) natural gas, hydropower that is not low-head or 
 refurbished hydropower, and solid waste as a direct fuel or 
 refuse-derived fuel; and 

    (5) coal and nuclear power. 

    (d) For the purposes of paragraph (c) within each clause, 
 the more efficient an energy source is in generating electricity 
 or the more efficient a technology is that utilizes an energy 
 source, the more preferred it is for use in generating 
 electricity for distribution and consumption in the state. 

    (e) For the purposes of paragraph (c), clauses (3) and (4), 
 the use of waste materials and byproducts for generating 
 electric power must be limited to those waste materials and 
 byproducts that are necessarily generated or produced by 
 efficient processes and systems.  Preventing and minimizing 
 waste and byproducts are preferred in every situation to relying 
 on the continued generation or production of waste materials and 
 byproducts. 

    (f) For the purposes of this section, "preferred" or 
 "renewable" energy sources are those described in paragraph (c), 
 clauses (1) to (3), and "subordinate" or "traditional" energy 
 sources are those described in paragraph (c), clauses (4) and 
 (5). 

    (g) For the purposes of this section: 

    (1) "biomass" means herbaceous crops, trees, agricultural 
 waste, and aquatic plant matter, excluding mixed municipal solid 
 waste, as defined in section 115A.03, used to generate 
 electricity; and 

    (2) "low-head hydropower" means a hydropower facility that 
 has a head of less than 66 feet. 

    Subd. 8.    Subpoena power.  The task force may issue a 
 subpoena under section 3.153 to any person for production of 
 information held by that person that is relevant to the work of 
 the task force. 

    Subd. 9.    Repealer.  This section is repealed June 30, 
 2000. 

    HIST: 1994 c 641 art 5 s 1; 1995 c 4 s 1; 1995 c 248 art 2 s 
 5; 1996 c 266 s 1; 1997 c 191 art 1 s 6,7 

     216C.06 Definitions. 

    Subdivision 1.    Scope.  For the purposes of sections 
 216C.05 to 216C.30, the following terms shall have the meanings 
 here given them. 

    Subd. 2.    Earth sheltered.  "Earth sheltered" means 
 constructed so that 50 percent or more of the exterior surface 
 is covered or in contact with earth.  Exterior surface includes 
 all walls and roof, but excludes garages and other accessory 
 buildings.  Earth covering on walls is measured from the floor 
 of the structure's lowest level.  Earth covering on the roof 
 must be at least 12 inches deep to be included in calculations 
 of earth covering.  Partially completed buildings shall not be 
 considered earth sheltered.  

    Subd. 3.    Petroleum supplier.  "Petroleum supplier" 
 means any petroleum refinery in the state and any entity engaged 
 in transmission or wholesale distribution of more than 100,000 
 gallons of crude petroleum or petroleum fuels or oil or 
 derivatives thereof annually in this state. 

    Subd. 4.    Coal supplier.  "Coal supplier" means any 
 entity engaged in this state in the wholesale distribution of 
 coal or transportation into this state of any coal intended for 
 use or distribution in the state or transshipment from the state.

    Subd. 5.    Utility.  "Utility" means any entity engaged 
 in this state in the generation, transmission or distribution of 
 electric energy and any entity engaged in this state in the 
 transmission or distribution of natural or synthetic natural 
 gas, including, but not limited to a private investor owned 
 utility or a public or municipally owned utility. 

    Subd. 6.    Construction.  "Construction" means 
 significant physical alteration of a site to install or enlarge 
 a large energy facility, but not including activities incident 
 to preliminary engineering or environmental studies. 

    Subd. 7.    Decorative gas lamp.  "Decorative gas lamp" 
 means a device installed for the purpose of producing 
 illumination by burning natural, mixed, or LP gas and utilizing 
 either a mantle or an open flame, but does not include portable 
 camp lanterns or gas lamps. 

    Subd. 8.    Solar energy system.  "Solar energy system" 
 means a set of devices whose primary purpose is to collect solar 
 energy and convert and store it for useful purposes including 
 heating and cooling buildings or other energy-using processes, 
 or to produce generated power by means of any combination of 
 collecting, transferring, or converting solar-generated energy. 

    Subd. 9.    Building energy report.  "Building energy 
 report" means a questionnaire designed to collect information on 
 a building concerning its energy use and other basic factors 
 that relate to energy use.  

    Subd. 10. Repealed, 1997 c 7 art 1 s 91 

    Subd. 11. Repealed, 1997 c 7 art 1 s 91 

    Subd. 12.    Wind energy conversion system or WECS.  
 "Wind energy conversion system" (WECS) means any device, such as 
 a wind charger, windmill, or wind turbine, which converts wind 
 energy to a form of usable energy.  

    Subd. 13.    Photovoltaic device.  "Photovoltaic device" 
 means a system of components that generates electricity from 
 incident sunlight by means of the photovoltaic effect, whether 
 or not the device is able to store the energy produced for later 
 use. 

    HIST: 1974 c 307 s 2; 1975 c 170 s 1; 1976 c 333 s 1,2; 1977 c 
 381 s 8; Ex1979 c 2 s 10-12; 1981 c 356 s 248; 1982 c 561 s 1; 
 1982 c 563 s 2; 1983 c 231 s 2; 1987 c 312 art 1 s 10 subd 1; 
 1992 c 511 art 8 s 1 

     216C.07 Conflict of interest. 

    No person shall be eligible to continue in office as 
 commissioner unless that person has within six months after 
 being appointed completed divestiture of any interest except 
 fully vested pension rights in any utility, coal or petroleum 
 supplier, or manufacturer of any major component of a large 
 energy facility doing business within or outside this state. 

    No person who is an employee of the department shall 
 participate in any manner in any decision or action of the 
 commissioner where that person has a direct or indirect 
 financial interest. 

    HIST: 1974 c 307 s 5; 1981 c 356 s 125,248; 1986 c 444; 1987 c 
 312 art 1 s 10 subd 1 

     216C.08 Jurisdiction. 

    The commissioner has sole authority and responsibility for 
 the administration of sections 216C.05 to 216C.30.  Other laws 
 notwithstanding, the authority granted the commissioner shall 
 supersede the authority given any other agency whenever 
 overlapping, duplication or additional administrative or legal 
 procedures might occur in the administration of sections 216C.05 
 to 216C.30.  The commissioner shall consult with other state 
 departments or agencies in matters related to energy and shall 
 contract with them to provide appropriate services to effectuate 
 the purposes of sections 216C.05 to 216C.30.  Any other 
 department, agency or official of this state or political 
 subdivision thereof which would in any way affect the 
 administration or enforcement of sections 216C.05 to 216C.30 
 shall cooperate and coordinate all activities with the 
 commissioner to assure orderly and efficient administration and 
 enforcement of sections 216C.05 to 216C.30. 

    The commissioner shall designate a liaison officer whose 
 duty shall be to insure the maximum possible consistency in 
 procedures and to eliminate duplication between the commissioner 
 and the other agencies that may be involved in energy.  

    HIST: 1974 c 307 s 6; 1980 c 509 s 29; 1981 c 356 s 126,248; 
 1987 c 312 art 1 s 10 subd 1 

     216C.09 Duties. 

    The commissioner shall: 

    (a) manage the department as the central repository within 
 the state government for the collection of data on energy; 

    (b) prepare and adopt an emergency allocation plan 
 specifying actions to be taken in the event of an impending 
 serious shortage of energy, or a threat to public health, 
 safety, or welfare; 

    (c) undertake a continuing assessment of trends in the 
 consumption of all forms of energy and analyze the social, 
 economic, and environmental consequences of these trends; 

    (d) carry out energy conservation measures as specified by 
 the legislature and recommend to the governor and the 
 legislature additional energy policies and conservation measures 
 as required to meet the objectives of sections 216C.05 to 
 216C.30; 

    (e) collect and analyze data relating to present and future 
 demands and resources for all sources of energy; 

    (f) evaluate policies governing the establishment of rates 
 and prices for energy as related to energy conservation, and 
 other goals and policies of sections 216C.05 to 216C.30, and 
 make recommendations for changes in energy pricing policies and 
 rate schedules; 

    (g) study the impact and relationship of the state energy 
 policies to international, national, and regional energy 
 policies; 

    (h) design and implement a state program for the 
 conservation of energy; this program shall include but not be 
 limited to, general commercial, industrial, and residential, and 
 transportation areas; such program shall also provide for the 
 evaluation of energy systems as they relate to lighting, 
 heating, refrigeration, air conditioning, building design and 
 operation, and appliance manufacturing and operation; 

    (i) inform and educate the public about the sources and 
 uses of energy and the ways in which persons can conserve 
 energy; 

    (j) dispense funds made available for the purpose of 
 research studies and projects of professional and civic 
 orientation, which are related to either energy conservation, 
 resource recovery, or the development of alternative energy 
 technologies which conserve nonrenewable energy resources while 
 creating minimum environmental impact; 

    (k) charge other governmental departments and agencies 
 involved in energy related activities with specific information 
 gathering goals and require that those goals be met; 

    (l) design a comprehensive program for the development of 
 indigenous energy resources.  The program shall include, but not 
 be limited to, providing technical, informational, educational, 
 and financial services and materials to persons, businesses, 
 municipalities, and organizations involved in the development of 
 solar, wind, hydropower, peat, fiber fuels, biomass, and other 
 alternative energy resources.  The program shall be evaluated by 
 the alternative energy technical activity; and 

    (m) dispense loans, grants, or other financial aid from 
 money received from litigation or settlement of alleged 
 violations of federal petroleum pricing regulations made 
 available to the department for that purpose.  The commissioner 
 shall adopt rules under chapter 14 for this purpose.  Money 
 dispersed under this clause must not include money received as a 
 result of the settlement of the parties and order of the United 
 States District Court for the District of Kansas in the case of 
 In Re Department of Energy Stripper Well Exemption Litigation, 
 578 F. Supp. 586 (D.Kan. 1983) and all money received after 
 August 1, 1988, by the governor, the commissioner of finance, or 
 any other state agency resulting from overcharges by oil 
 companies in violation of federal law.  

    Further, the commissioner may participate fully in hearings 
 before the public utilities commission on matters pertaining to 
 rate design, cost allocation, efficient resource utilization, 
 utility conservation investments, small power production, 
 cogeneration, and other rate issues.  The commissioner shall 
 support the policies stated in section 216C.05 and shall prepare 
 and defend testimony proposed to encourage energy conservation 
 improvements as defined in section 216B.241. 

    HIST: 1974 c 307 s 7; 1977 c 381 s 9; 1981 c 356 s 127,248; 
 1982 c 563 s 3; 1983 c 179 s 1; 1983 c 289 s 44; 1984 c 654 art 
 2 s 99; 1987 c 312 art 1 s 10 subd 1; 1988 c 617 s 1 

     216C.10 Powers. 

    The commissioner may: 

    (1) adopt rules under chapter 14 as necessary to carry out 
 the purposes of sections 216C.05 to 216C.30; 

    (2) make all contracts under sections 216C.05 to 216C.30 
 and do all things necessary to cooperate with the United States 
 government, and to qualify for, accept, and disburse any grant 
 intended for the administration of sections 216C.05 to 216C.30; 

    (3) provide on-site technical assistance to units of local 
 government in order to enhance local capabilities for dealing 
 with energy problems; 

    (4) administer for the state, energy programs under federal 
 law, regulations, or guidelines, except for the low-income home 
 energy assistance program and low-income weatherization programs 
 administered by the department of economic security, and 
 coordinate the programs and activities with other state 
 agencies, units of local government, and educational 
 institutions; 

    (5) develop a state energy investment plan with yearly 
 energy conservation and alternative energy development goals, 
 investment targets, and marketing strategies; 

    (6) perform market analysis studies relating to 
 conservation, alternative and renewable energy resources, and 
 energy recovery; 

    (7) assist with the preparation of proposals for innovative 
 conservation, renewable, alternative, or energy recovery 
 projects; 

    (8) manage and disburse funds made available for the 
 purpose of research studies or demonstration projects related to 
 energy conservation or other activities deemed appropriate by 
 the commissioner; 

    (9) intervene in certificate of need proceedings before the 
 public utilities commission; 

    (10) collect fees from recipients of loans, grants, or 
 other financial aid from money received from litigation or 
 settlement of alleged violations of federal petroleum pricing 
 regulations, which fees must be used to pay the department's 
 costs in administering those financial aids; and 

    (11) collect fees from proposers and operators of 
 conservation and other energy-related programs that are 
 reviewed, evaluated, or approved by the department, other than 
 proposers that are political subdivisions or community or 
 nonprofit organizations, to cover the department's cost in 
 making the reviewal, evaluation, or approval and in developing 
 additional programs for others to operate. 

    Notwithstanding any other law, the commissioner is 
 designated the state agent to apply for, receive, and accept 
 federal or other funds made available to the state for the 
 purposes of sections 216C.05 to 216C.30. 

    HIST: 1974 c 307 s 8; 1978 c 786 s 1; Ex1979 c 2 s 13; 1981 c 
 85 s 2; 1981 c 356 s 128,248; 1982 c 424 s 130; 1983 c 289 s 45; 
 1984 c 604 s 1; 1984 c 640 s 32; 1Sp1985 c 14 art 9 s 75; 1987 c 
 312 art 1 s 10 subd 1; 1988 c 617 s 2; 1989 c 338 s 5; 1994 c 
 483 s 1; 1996 c 305 art 2 s 39 

     216C.11 Energy conservation information center. 

    The commissioner shall establish an energy information 
 center in the department's offices in St. Paul.  The information 
 center shall maintain a toll-free telephone information service 
 and disseminate printed materials on energy conservation topics, 
 including but not limited to, availability of loans and other 
 public and private financing methods for energy conservation 
 physical improvements, the techniques and materials used to 
 conserve energy in buildings, including retrofitting or 
 upgrading insulation and installing weatherstripping, the 
 projected prices and availability of different sources of 
 energy, and alternative sources of energy. 

    The energy information center shall serve as the official 
 Minnesota alcohol fuels information center and shall disseminate 
 information, printed, by the toll-free telephone information 
 service, or otherwise on the applicability and technology of 
 alcohol fuels. 

    The information center shall include information on the 
 potential hazards of energy conservation techniques and 
 improvements in the printed materials disseminated.  The 
 commissioner shall not be liable for damages arising from the 
 installation or operation of equipment or materials recommended 
 by the information center. 

    The information center shall use the information collected 
 under section 216C.02, subdivision 1, to maintain a central 
 source of information on conservation and other energy-related 
 programs, including both programs required by law or rule and 
 programs developed and carried on voluntarily.  In particular, 
 the information center shall compile and maintain information on 
 policies covering disconnections or denials of fuel during cold 
 weather adopted by public utilities and other fuel suppliers not 
 governed by Minnesota Rules, parts 7820.1500 to 7820.2300, 
 including the number of households disconnected or denied fuel 
 and the duration of the disconnections or denials. 

    HIST: 1976 c 333 s 4; Ex1979 c 2 s 14; 1980 c 579 s 5; 1981 c 
 356 s 129,248; 1987 c 312 art 1 s 10 subd 1; 1989 c 338 s 6 

     216C.12 Energy conservation publicity. 

    The commissioner in consultation with other affected 
 agencies or departments shall develop informational materials, 
 pamphlets and radio and television messages on energy 
 conservation and housing programs available in Minnesota, 
 renewable energy resources, and energy supply and demand.  The 
 printed materials shall include information on available tax 
 credits for residential energy conservation measures, 
 residential retrofitting loan and grant programs, and data on 
 the economics of energy conservation and renewable resource 
 measures.  Copies of printed materials shall be distributed to 
 members of the appropriate standing committees of the 
 legislature. 

    HIST: 1977 c 381 s 22; 1980 c 579 s 6; 1981 c 356 s 130,248; 
 1987 c 312 art 1 s 10 subd 1 

     216C.13 Post-secondary energy education. 

    The commissioner, in consultation with the state board of 
 education, the higher education services office, the board of 
 trustees of the Minnesota state colleges and universities, and the 
 board of regents of the University of Minnesota, shall assist in 
 the development and implementation of adult and post-secondary 
 energy education programs. 

    HIST: Ex1979 c 2 s 15; 1981 c 356 s 131,248; 1982 c 563 s 4; 
 1987 c 312 art 1 s 10 subd 1; 1995 c 212 art 3 s 59; 1996 c 395 
 s 18 

     216C.14 Community energy planning; grants. 

    Subdivision 1.    Purpose.  In order to improve the 
 energy planning capabilities of local governments, the 
 commissioner shall make grants to counties and cities, however 
 organized.  The commissioner when making grants shall give 
 priority to those units of government that submit proposals that 
 could result in significant savings of traditional energy 
 sources, development of renewable energy systems, and broad 
 community involvement.  The commissioner shall give priority to 
 local units of government that provide staff or other support 
 for a program and who request grants for programs which can be 
 duplicated by other local governments.  The grants may be used 
 to purchase materials, employ staff or contract with other units 
 of government or qualified consultants. 

    The commissioner shall not make grants of more than 45 
 percent of the amount appropriated for those purposes to cities 
 and counties located within the seven-county metropolitan area.  
 A single grant to a city or county shall not exceed $50,000. 

    Subd. 2.    Qualifying expenditures.  Community energy 
 planning grants may be used for the following purposes: 

    (a) to gather, monitor, and analyze local energy supply, 
 demand, and cost information; 

    (b) to prepare comprehensive community energy plans; 

    (c) to implement comprehensive energy plans that the unit 
 of government is authorized to undertake for the management of 
 problems resulting from: 

    (1) rising energy cost; 

    (2) lack of efficient public and private transportation; 

    (3) lack of community conservation efforts; 

    (4) lack of widespread renewable energy sources; and 

    (5) lack of energy components in comprehensive plans and 
 local ordinances; 

    (d) to assist neighborhood organizations in counties and 
 cities to do energy planning by making grants to the local unit 
 of government; and 

    (e) any other purposes deemed appropriate by the 
 commissioner. 

    Subd. 3.    Administration; rules.  The commissioner 
 shall determine priorities pursuant to subdivisions 1 and 2, and 
 shall promulgate rules for the submission and review of 
 applications in accordance with the provisions of chapter 14.  

    HIST: 1980 c 579 s 7; 1981 c 356 s 132,248; 1982 c 424 s 130; 
 1984 c 640 s 32; 1987 c 312 art 1 s 10 subd 1; 1996 c 305 art 2 
 s 40 

     216C.15 Energy supply emergency conservation and 
  allocation plan. 

    Subdivision 1.    Priorities and requirements.  The 
 commissioner shall maintain an emergency conservation and 
 allocation plan.  The plan shall provide a variety of strategies 
 and staged conservation measures to reduce energy use and in the 
 event of an energy supply emergency, shall establish guidelines 
 and criteria for allocation of fuels to priority users.  The 
 plan shall contain alternative conservation actions and 
 allocation plans to reasonably meet various foreseeable shortage 
 circumstances and allow a choice of appropriate responses.  The 
 plan shall be consistent with requirements of federal emergency 
 energy conservation and allocation laws and regulations, shall 
 be based on reasonable energy savings or transfers from scarce 
 energy resources and shall: 

    (a) give priority to individuals, institutions, 
 agriculture, businesses, and public transit under contract with 
 the commissioner of transportation or the metropolitan council 
 which demonstrate they have engaged in energy-saving measures 
 and shall include provisions to insure that: 

    (1) immediate allocations to individuals, institutions, 
 agriculture, businesses, and public transit be based on needs at 
 energy conservation levels; 

    (2) successive allocations to individuals, institutions, 
 agriculture, businesses, and public transit be based on needs 
 after implementation of required action to increase energy 
 conservation; and 

    (3) needs of individuals, institutions, and public transit 
 are adjusted to insure the health and welfare of the young, old 
 and infirm; 

    (b) insure maintenance of reasonable job safety conditions 
 and avoid environmental sacrifices; 

    (c) establish programs, controls, standards, priorities or 
 quotas for the allocation, conservation and consumption of 
 energy resources; and for the suspension and modification of 
 existing standards and the establishment of new standards 
 affecting or affected by the use of energy resources, including 
 those related to the type and composition of energy sources, and 
 to the hours and days during which public buildings, commercial 
 and industrial establishments, and other energy consuming 
 facilities may or are required to remain open; 

    (d) establish programs to control the use, sale or 
 distribution of commodities, materials, goods or services; 

    (e) establish regional programs and agreements for the 
 purpose of coordinating the energy resources, programs and 
 actions of the state with those of the federal government, of 
 local governments, and of other states and localities; 

    (f) determine at what level of an energy supply emergency 
 situation the pollution control agency shall be requested to ask 
 the governor to petition the president for a temporary emergency 
 suspension of air quality standards as required by the Clean Air 
 Act, United States Code, title 42, section 7410f; and 

    (g) establish procedures for fair and equitable review of 
 complaints and requests for special exemptions regarding 
 emergency conservation measures or allocations. 

    Subd. 2.    Periodic revision.  At least once every five 
 years and whenever construction of a new large energy facility 
 is completed which affects the supply of energy in Minnesota, 
 the commissioner shall review and if necessary revise the 
 emergency conservation and allocation plan.  Revisions of the 
 emergency conservation and allocation plan shall be adopted 
 pursuant to the rulemaking procedures in chapter 14 and reviewed 
 by the appropriate standing committees of the legislature.  

    Subd. 3.    Declaration of energy supply emergency.  The 
 executive council or the legislature may declare an energy 
 supply emergency when an acute shortage of energy exists by 
 issuing a declaration which indicates the nature of the 
 emergency, the area or areas threatened if less than the whole 
 state is threatened, and the conditions causing the emergency.  
 The declaration shall be disseminated promptly by means 
 calculated to bring its contents to the attention of the general 
 public and shall be promptly filed with the commissioner, the 
 division of emergency management and the secretary of state.  
 Upon a declaration of an energy supply emergency by the 
 executive council or the legislature, the governor and the 
 division of emergency management, in consultation with the 
 commissioner, shall implement and enforce the emergency 
 conservation and allocation plan or any part thereof.  Revisions 
 of the plan shall be made by the commissioner in accordance with 
 subdivision 2.  The executive council or the legislature may 
 terminate an energy supply emergency at any time by issuing a 
 declaration which terminates the energy supply emergency and 
 indicates the conditions which make possible termination of the 
 emergency, but no energy supply emergency may continue for 
 longer than 30 days unless renewed by the legislature.  Each 
 renewed energy supply emergency may not continue for longer than 
 30 days, unless otherwise provided by law.  Each person shall 
 carry out the responsibilities specified in the emergency 
 conservation allocation plan, and violation of any provision of 
 such emergency conservation or allocation requirements shall be 
 deemed a violation of sections 216C.05 to 216C.30 and the rules 
 promulgated thereunder for purposes of enforcement pursuant to 
 section 216C.30. 

    HIST: 1974 c 307 s 9; 1974 c 428 s 5; Ex1979 c 2 s 16-18; 1981 
 c 356 s 133-135,248; 1982 c 424 s 130; 1984 c 640 s 32; 1987 c 
 71 s 2; 1987 c 312 art 1 s 10 subd 1; 1993 c 83 s 4; 1994 c 628 
 art 3 s 16; 1996 c 305 art 2 s 41 

     216C.16 State petroleum set-aside program. 

    Subdivision 1.    Purpose.  The purpose of this section 
 is to grant to the commissioner authority to exercise specific 
 power to deal with shortages of refined petroleum products.  
 Authority granted shall be exercised for the purpose of 
 minimizing the adverse impacts of shortages and dislocations 
 upon the citizens and the economy of the state and nation.  

    Subd. 2.    Establishment.  The commissioner shall 
 establish and is responsible for a state set-aside system for 
 motor gasoline and middle distillates to provide emergency 
 petroleum requirements and thereby relieve the hardship caused 
 by shortage, supply dislocations, or other emergencies.  The 
 commissioner, for purposes of administration, may exercise all 
 of the powers granted by this chapter.  

    Subd. 3.    Definitions.  As used in this section:  

    (a) "Middle distillates" means distillates obtained between 
 kerosene and lubricating oil fractions in the refining process, 
 including but not limited to, kerosene, number one and number 
 two heating oil and diesel fuel; 

    (b) "Motor gasoline" means a liquid mixture of hydrocarbons 
 produced by the distillation of petroleum and used chiefly as a 
 fuel in internal combustion engines; 

    (c) "Prime supplier" means the producer or supplier now or 
 hereafter making the first sale of middle distillates or motor 
 gasoline subject to the state set-aside for consumption within 
 the state; 

    (d) "State set-aside" means the amount of middle 
 distillates or motor gasoline required to be made available by a 
 prime supplier for utilization by the commissioner to resolve or 
 mitigate emergencies or hardships due to shortages of supply.  

    Subd. 4.    Set-aside required.  Every prime supplier 
 shall allocate for sale or exchange monthly upon order of the 
 commissioner a volume of motor gasoline and middle distillate 
 not exceeding the monthly set-aside amount.  The amount of 
 gasoline subject to monthly set-aside shall be an amount equal 
 to three percent of the prime supplier's monthly supply estimate.
 The amount of middle distillate subject to monthly set-aside 
 shall be an amount equal to four percent of the prime supplier's 
 monthly supply estimate. 

    Subd. 5.    Report of estimated volume; program's 
 allocation.  Every prime supplier shall file with the 
 commissioner a monthly report of its estimated volume of 
 gasoline and middle distillate deliveries.  The report shall be 
 in a form prescribed by the commissioner and shall be submitted 
 by the 25th day of the month preceding the month covered by the 
 report.  Each prime supplier shall allocate monthly for sale or 
 exchange upon order of the commissioner three percent of 
 estimated motor gasoline supplies and four percent of estimated 
 middle distillate supplies as shown by the report. 

    Subd. 6.    Prime supplier obligations.  Each prime 
 supplier shall designate a representative to act for and on 
 behalf of the prime supplier in respect to department state 
 set-aside orders to be issued to the prime supplier.  A prime 
 supplier shall provide the amount of allocated product stated in 
 the energy state set-aside order. 

    Subd. 7.    Rules.  The commissioner shall adopt rules 
 to govern the administration of the set-aside system.  Rules 
 shall cover matters such as the form and procedure for 
 applications for set-aside allocations by dealers of bulk 
 purchasers, reports on available gasoline and middle distillate 
 supplies, orders and procedure for set-aside allocation and 
 distribution and other rules deemed necessary or desirable in 
 the implementation and administration of the set-aside system, 
 including monthly reports of anticipated deliveries and actual 
 sales of gasoline, middle distillates, propane, aviation fuels, 
 and residual oils.  

    Subd. 8.    Criteria.  The commissioner may allocate 
 gasoline and middle distillates from the set-aside system in 
 accordance with the criteria in section 216C.15 and rules 
 adopted pursuant thereto.  The commissioner may prescribe 
 additional priorities by rule.  

    HIST: 1981 c 356 s 136,248; 1982 c 424 s 130; 1982 c 563 s 
 5,6; 1983 c 289 s 115 subd 1; 1984 c 640 s 32; 1987 c 312 art 1 
 s 10 subd 1; 1995 c 233 art 2 s 56 

     216C.17 Energy forecasts, statistics and information. 

    Subdivision 1.    Energy data program.  In order to 
 further the purposes of sections 216C.05 to 216C.30, the 
 commissioner shall develop and maintain an effective program of 
 collection, compilation, and analysis of energy statistics.  The 
 statistical program shall be developed to insure a central state 
 repository of energy data and so that the state may coordinate 
 and cooperate with other governmental data collection and record 
 keeping programs. 

    Subd. 2.    Forecasts.  Except as provided in 
 subdivision 3, in addition to supplying the current statistical 
 and short-range forecasting information the commissioner 
 requires, each utility, coal supplier, petroleum supplier and 
 large energy facility in the state shall prepare and transmit to 
 the commissioner by July 1 of each year, a report specifying in 
 five, ten, and 15 year forecasts the projected demand for energy 
 within their respective service areas and the facilities 
 necessary to meet the demand. 

    The report shall be in a form specified by the commissioner 
 and contain all information deemed relevant by the commissioner. 

    Subd. 3.    Duplication.  The commissioner shall, to the 
 maximum extent feasible, provide that forecasts required under 
 this section be consistent with material required by other state 
 and federal agencies in order to prevent unnecessary 
 duplication.  Electric utilities submitting advance forecasts as 
 part of an integrated resource plan filed pursuant to section 
 216B.2422 and public utilities commission rules are excluded 
 from the annual reporting requirement in subdivision 2. 

    Subd. 4.    Public inspection.  Reports issued pursuant 
 to this section, other than individual corporate reports 
 classified as nonpublic data in section 13.68, shall be 
 available for public inspection in the office of the department 
 during normal business hours. 

    Subd. 5.    Evaluation.  The commissioner shall review 
 and evaluate forecasts of energy demands and resources as they 
 relate to the most current population growth and development 
 estimates, statewide and regional land use, transportation, and 
 economic development programs and forecasts. 

    HIST: 1974 c 307 s 10; 1975 c 170 s 2; 1981 c 311 s 39; 1981 c 
 356 s 137,248; 1982 c 545 s 24; 1982 c 563 s 7; 1987 c 312 art 1 
 s 10 subd 1; 1993 c 327 s 14; 1994 c 644 s 5,6 

     216C.18 State energy policy and conservation report. 

    Subdivision 1.    Report.  By July 1 of 1988 and every 
 four years thereafter, the commissioner shall issue a 
 comprehensive report designed to identify major emerging trends 
 and issues in energy supply, consumption, conservation, and 
 costs.  The report shall include the following:  

    (1) projections of the level and composition of statewide 
 energy consumption under current government policies and an 
 evaluation of the ability of existing and anticipated facilities 
 to supply the necessary energy for that consumption; 

    (2) projections of how the level and the composition of 
 energy consumption would be affected by new programs or new 
 policies; 

    (3) projections of energy costs to consumers, businesses, 
 and government; 

    (4) identification and discussion of key social, economic, 
 and environmental issues in energy; 

    (5) explanations of the department's current energy 
 programs and studies; and 

    (6) recommendations.  

    Subd. 1a.    Rate plan.  The energy policy and 
 conservation report shall include a section prepared by the 
 public utilities commission.  The commission's section shall be 
 prepared in consultation with the commissioner and shall 
 include, but not be limited to, all of the following:  

    (a) a description and analysis of the commission's rate 
 design policy as it pertains to the goals stated in sections 
 216B.164, 216B.241, and 216C.05, including a description of all 
 energy conservation improvements ordered by the commission; and 

    (b) recommendations to the governor and the legislature for 
 administrative and legislative actions to accomplish the 
 purposes of sections 216B.164, 216B.241, and 216C.05. 

    Subd. 2.    Draft report; public meeting.  Prior to the 
 preparation of a final report, the commissioner shall issue a 
 draft report to the environmental quality board and any person, 
 upon request, and shall hold a public meeting.  Notice of the 
 public meeting shall be provided to each regional development 
 commission. 

    Subd. 3.    Final report, distribution.  The 
 commissioner shall distribute the final report to any person 
 upon request. 

    HIST: 1974 c 307 s 11; 1975 c 271 s 6; Ex1979 c 2 s 19; 1981 c 
 356 s 138,248; 1982 c 561 s 3; 1982 c 563 s 8; 1983 c 179 s 2; 
 1983 c 231 s 3; 1983 c 289 s 115 subd 1; 1984 c 654 art 2 s 100; 
 1987 c 186 s 15; 1987 c 312 art 1 s 10 subd 1 

     216C.19 Energy conservation. 

    Subdivision 1.    Roadway lighting; rules.  After 
 consultation with the commissioner and the commissioner of 
 public safety, the commissioner of transportation shall adopt 
 rules under chapter 14 establishing minimum energy efficiency 
 standards for street, highway, and parking lot lighting.  The 
 standards must be consistent with overall protection of the 
 public health, safety and welfare.  No new highway, street or 
 parking lot lighting may be installed in violation of these 
 rules.  Existing lighting equipment, excluding roadway sign 
 lighting, with lamps with initial efficiencies less than 70 
 lumens per watt must be replaced when worn out with light 
 sources using lamps with initial efficiencies of at least 70 
 lumens per watt. 

    Subd. 2.    Outdoor display lighting.  Beginning July 1, 
 1980, the use of outdoor display lighting shall be limited as 
 provided in subdivision 3.  For purposes of this section, 
 "outdoor display lighting" shall include building facade 
 lighting, other decorative lighting, and all billboards and 
 advertising signs except those which identify a commercial 
 establishment which is open for business at that hour.  

    Subd. 3.    Rules on outdoor lighting.  The commissioner 
 shall adopt rules, pursuant to chapter 14, setting standards 
 covering permissible hours of operation, quantity and efficiency 
 of outdoor display lighting and defining "outdoor display 
 lighting." 

    Subd. 4.    Rules on promotional practices.  The 
 commissioner may investigate promotional practices by energy 
 suppliers and, pursuant to chapter 14, may promulgate rules to 
 limit such practices in order to reduce the rate of growth of 
 energy demand. 

    Subd. 5.    Natural gas outdoor lighting prohibited; 
 exception.  After July 1, 1974, no new natural gas outdoor 
 lighting shall be installed in the state.  However, the 
 installation and use of natural gas outdoor lighting that is 
 equipped with either an automatic daytime shutoff device or is 
 otherwise capable of being switched on and off, is permitted. 

    Subd. 6.    Variance for decorative gas lamp.  Beginning 
 April 20, 1977, no person shall use a decorative gas lamp in 
 Minnesota except as provided in this subdivision and in 
 subdivision 7.  The commissioner shall, at the request of a 
 homeowner who is 65 years old or older, grant a variance 
 allowing the homeowner to operate a decorative gas lamp or lamps 
 at the homeowner's principal place of residence.  The variance 
 shall be valid for the life of the recipient but shall be 
 renewed every four years.  The commissioner may not issue a 
 variance after August 1, 1992, except variances issued before 
 that date may be renewed under this subdivision.  

    Subd. 7.    Exemption for old gas lamps.  Gas lamps 
 installed prior to April 20, 1977, by or at the request of a 
 municipality, on a public street or right-of-way, may be used as 
 street lighting.  

    Subd. 8.    Applicability to building code; rules.  In 
 recognition of the compelling need for energy conservation in 
 order to safeguard the public health, safety and welfare, it is 
 necessary to provide building design and construction standards 
 consistent with the most efficient use of energy.  Therefore, 
 the commissioner shall, pursuant to chapter 14, adopt rules 
 governing building design and construction standards regarding 
 heat loss control, illumination and climate control.  To the 
 maximum extent practicable, the rules providing for the energy 
 portions of the building code shall be based on and conform to 
 model codes generally accepted throughout the United States.  
 The rules shall apply to all new buildings and remodeling 
 affecting heat loss control, illumination and climate control.  
 The rules shall be economically feasible in that the resultant 
 savings in energy procurement shall exceed the cost of the 
 energy conserving requirements amortized over the life of the 
 building.  The rules adopted pursuant to this subdivision, shall 
 be part of the state building code.  Notwithstanding the 
 provisions of this subdivision, all applications for approval of 
 building specifications and plans may be submitted to the state 
 building inspector as provided in section 16B.66. 

    Subd. 9.    Energy use by state; rules.  The 
 commissioner shall conduct studies and make recommendations 
 concerning the purchase and use by the state and its political 
 subdivisions of supplies, motor vehicles and equipment having a 
 significant impact on energy use in order to determine the 
 potential for energy conservation.  The commissioner may adopt 
 rules pursuant to chapter 14 to insure that energy use and 
 conservation will be considered in state purchasing and, where 
 appropriate, to require certain minimum energy efficiency 
 standards in purchased products and equipment.  No state 
 purchasing of equipment or material use shall occur that is not 
 in conformity with these rules. 

    Subd. 10. Repealed, 1996 c 310 s 1 

    Subd. 11. Repealed, 1996 c 310 s 1 

    Subd. 12. Repealed, 1996 c 310 s 1 

    Subd. 13.    New room air conditioners.  No new room air 
 conditioner shall be sold or installed or transported for resale 
 into Minnesota unless it has an energy efficiency ratio equal to 
 or greater than the values required by applicable federal laws 
 and the United States Department of Energy regulations codified 
 in Code of Federal Regulations, title 10, including applicable 
 interpretations of the regulations issued by that department. 

    Subd. 14.    Certain gas-powered equipment prohibited.  
 No new residential 

    (a) forced air type central furnace, 

    (b) cooking appliance manufactured with an electrical 
 supply cord, or 

    (c) clothes drying equipment 

 that is designed to burn natural gas shall be sold or installed 
 in Minnesota, unless it meets or exceeds the efficiency 
 standards required by applicable federal laws and the United 
 States Department of Energy regulations codified in Code of 
 Federal Regulations, title 10, including applicable 
 interpretations of the regulations issued by that department. 

    Subd. 15.    Fluorescent lamp ballasts.  No person may 
 sell or install a fluorescent lamp ballast in this state that 
 does not comply with the energy efficiency standards for 
 fluorescent lamp ballasts adopted by the commissioner under 
 subdivision 8. 

    Subd. 16.    Lamps.  No new lamp may be sold in 
 Minnesota unless it meets or exceeds the minimum efficiency 
 standards required by applicable federal laws and the United 
 States Department of Energy regulations codified in Code of 
 Federal Regulations, title 10, including applicable 
 interpretations of the regulations issued by that department. 

    Subd. 17.    Motors.  No new motor covered by this 
 subdivision, excluding those sold as part of an appliance, may 
 be sold or installed in Minnesota unless its nominal efficiency 
 meets or exceeds the values adopted under subdivision 8. 

    Subd. 18.    Commercial heating, air conditioning, and 
 ventilating equipment.  (a) This subdivision applies to 
 electrically operated unitary and packaged terminal air 
 conditioners and heat pumps, electrically operated 
 water-chilling packages, gas- and oil-fired boilers, and warm 
 air furnaces and combination warm air furnaces and air 
 conditioning units installed in buildings housing commercial or 
 industrial operations. 

    (b) No commercial heating, air conditioning, or ventilating 
 equipment covered by this subdivision may be sold or installed 
 in Minnesota unless it meets or exceeds the minimum performance 
 standards established by ASHRAE standard 90.1. 

    Subd. 19.    Showerheads; faucets.  No new showerhead, 
 kitchen faucet or kitchen replacement aerator, or lavatory 
 faucet or lavatory replacement aerator may be sold or installed 
 in Minnesota unless it meets or exceeds the efficiency standards 
 required by applicable federal laws and the United States 
 Department of Energy regulations codified in Code of Federal 
 Regulations, title 10, including applicable interpretations of 
 the regulations issued by that department. 

    Subd. 20.    Conservation rules.  The commissioner shall 
 adopt rules to implement subdivisions 13 and 16 to 19, including 
 rules governing testing of products covered by those sections.  
 The rules must make allowance for wholesalers, distributors, or 
 retailers who have inventory or stock which was acquired prior 
 to July 1, 1993.  The rules must consider appropriate efficiency 
 requirements for motors used infrequently in agricultural and 
 other applications. 

    HIST: 1974 c 307 s 12; 1975 c 65 s 1; 1976 c 166 s 7; 1976 c 
 333 s 5-7; 1977 c 381 s 11-14; Ex1979 c 2 s 20-24; 1980 c 579 s 
 8; 1981 c 85 s 3,4; 1981 c 356 s 139-145,248; 1981 c 365 s 9; 
 1982 c 424 s 130; 1982 c 563 s 9; 1984 c 544 s 89; 1984 c 654 
 art 2 s 101; 1985 c 50 s 1; 1985 c 248 s 70; 1987 c 312 art 1 s 
 10 subd 1; 1988 c 617 s 3,4; 1992 c 597 s 4-10; 1995 c 161 s 1-5; 1997 c 
 191 art 1 s 8 

     216C.195 Energy code amendments; commercial buildings. 

    Subdivision 1.    Commissioner to adopt.  Not later than 
 September 1, 1992, the commissioner of public service shall 
 adopt amendments to the energy code portion of the Minnesota 
 building code to implement energy-efficient standards for new 
 commercial buildings. 

    Subd. 2.    Adoption of ASHRAE/IES 90.1 standard.  The 
 standards adopted under subdivision 1 must require energy 
 efficiency at least as stringent as: 

    (1) the "minimum performance" standards for opaque building 
 envelopes; and 

    (2) the January 1, 1992, standards for heating, ventilating 
 and air conditioning, and water heating as proposed in 
 ASHRAE/IES standard 90.1. 

    Subd. 3.    Lighting standards.  The standards adopted 
 under subdivision 1 must be at least as stringent as lighting 
 standards for new federal buildings in Code of Federal 
 Regulations, title 10, section 435.103. 

    HIST: 1991 c 235 art 1 s 5; 1997 c 206 s 10 

     216C.20 Energy conservation in public buildings. 

    Subdivision 1.    Applicability.  The rules concerning 
 heat loss, illumination, and climate control standards adopted 
 pursuant to section 216C.19, subdivision 8, shall include 
 standards for all existing buildings heated by oil, coal, gas, 
 or electric units which are owned by the state, the university 
 of Minnesota, any city, any county, or any school district.  
 Compliance with standards adopted pursuant to this section shall 
 not be mandatory for buildings owned by any city, county or 
 school district, except as otherwise provided by this section. 

    Subd. 2.    Consideration of economic feasibility.  The 
 illumination standards promulgated pursuant to subdivision 1, 
 are mandatory for all public buildings where economically 
 feasible.  For the purposes of this subdivision, "public 
 building" means any building which is open to the public during 
 normal business hours and which exceeds 5,000 square feet in 
 gross floor area.  The commissioner shall specify the formula 
 for determining economic feasibility. 

    Subd. 3.    Parking ramps.  No enclosed structure or 
 portion of an enclosed structure constructed after January 1, 
 1978 and used primarily as a commercial parking facility for 
 three or more motor vehicles shall be heated.  Incidental 
 heating resulting from building exhaust air passing through a 
 parking facility shall not be prohibited, provided that 
 substantially all useful heat has previously been removed from 
 the air. 

    HIST: 1976 c 333 s 8; 1977 c 381 s 15; 1981 c 356 s 
 146,147,248; 1987 c 312 art 1 s 10 subd 1 

  216C.21 Repealed, 1996 c 310 s 1 

  216C.22 Repealed, 1996 c 310 s 1 

  216C.23 Repealed, 1996 c 310 s 1 

  216C.24 Repealed, 1996 c 310 s 1 

     216C.25 Solar energy system standards. 

    The commissioner of administration in consultation with the 
 commissioner shall adopt rules concerning quality and 
 performance standards which are in reasonable conformance with 
 the Interim Performance Criteria for Solar Heating and Combined 
 Heating/Cooling Systems and Dwellings, National Bureau of 
 Standards, January 1, 1975; and the Interim Performance Criteria 
 for Commercial Solar Heating and Combined Heating/Cooling 
 Systems and Facilities, National Aeronautics and Space 
 Administration, February 28, 1975, to insure that within the 
 existing state of development, solar energy systems as defined 
 in section 216C.06, subdivision 8, which are sold or installed 
 within this state, are effective and represent a high standard 
 of quality of material, workmanship, design, and performance.  
 The commissioner of administration in consultation with the 
 energy commissioner shall amend the rules as new technology and 
 materials become available, or as standards are revised by the 
 federal government. 

    Manufacturers or retailers of solar energy systems shall 
 disclose to each bona fide potential purchaser of a system the 
 extent to which the system meets or exceeds each quality 
 standard. 

    HIST: 1976 c 333 s 14; 1981 c 356 s 152,248; 1987 c 312 art 1 
 s 10 subd 1 

     216C.26 Energy research projects; review.  

    The commissioner shall continuously identify, monitor, and 
 evaluate in terms of potential direct benefit to, and possible 
 implementation in Minnesota, research studies and demonstration 
 projects of alternative energy and energy conservation systems 
 and methodologies currently performed in Minnesota and other 
 states and countries including: 

    (a) solar energy systems for heating and cooling; 

    (b) energy systems using wind, agricultural wastes, 
 forestry products, peat, and other nonconventional energy 
 resources; 

    (c) devices and technologies increasing the energy 
 efficiency of energy consuming appliances, equipment, and 
 systems; 

    (d) hydroelectric power; and 

    (e) other projects the commissioner deems appropriate and 
 of direct benefit to Minnesota and other states of the upper 
 midwest. 

    HIST: 1976 c 333 s 15; 1981 c 356 s 153,248; 1982 c 563 s 10; 
 1987 c 312 art 1 s 10 subd 1 

     216C.261 Alternative energy engineering activity. 

    Subdivision 1.    Creation, goals.  To further the 
 development of indigenous energy resources and energy 
 conservation, the commissioner shall establish an alternative 
 energy engineering activity.  The activity shall facilitate the 
 development of specific projects in the public and private 
 sectors and provide a broad range of information, education, and 
 engineering assistance services necessary to accelerate energy 
 conservation and alternative energy development in the state.  

    Subd. 2.    Duties.  The alternative energy engineering 
 activity shall:  

    (1) provide on-site technical assistance for alternative 
 energy and conservation projects; 

    (2) develop information materials and educational programs 
 to meet the needs of engineers, technicians, developers, and 
 others in the alternative energy field; 

    (3) conduct feasibility studies when the results of the 
 studies would be of benefit to others working in the same area; 

    (4) facilitate development of energy projects through 
 assistance in finding financing, meeting regulatory 
 requirements, gaining public and private support, limited 
 technical consultation, and similar forms of assistance; and 

    (5) work with and use the services of Minnesota design 
 professionals.  

    HIST: 1984 c 654 art 2 s 102; 1987 c 312 art 1 s 10 subd 1 

     216C.262 Optimal low-income weatherization. 

    The commissioner shall contract with the Building Energy 
 Research Center at the University of Minnesota for the purpose 
 of determining optimal weatherization for low-income 
 weatherization programs.  The alternative energy engineering 
 activity shall provide technical assistance.  

    HIST: 1984 c 654 art 2 s 103; 1987 c 312 art 1 s 10 subd 1 

     216C.27 Energy conservation in existing residences. 

    Subdivision 1.    Rules.  The commissioner shall adopt 
 rules containing minimum energy efficiency standards for 
 existing residences.  The standards shall be appropriate for 
 evaluation of the energy efficiency of each major type of 
 residential housing including, but not limited to, one- to 
 four-family dwellings, apartment buildings, manufactured homes, 
 condominium buildings, and type of ownership.  The standards 
 shall be economically feasible in that the resultant savings in 
 energy procurement costs, based on current and projected average 
 residential energy costs in Minnesota as certified by the 
 commissioner in the State Register, will exceed the cost of the 
 energy conserving requirements amortized over the ten-year 
 period subsequent to the incurring of the cost.  The costs 
 computed under this section shall include reasonable inflation 
 and interest factors.  Subject to the provisions of subdivision 
 4, with respect to low-rent housing which is owned by a public 
 housing authority or a housing and redevelopment authority as 
 described in chapter 462, compliance with the standards 
 established by the commissioner shall be determined based upon 
 audits conducted by or on behalf of the housing and 
 redevelopment authority or the public housing authority in 
 conformance with the requirements of Code of Federal 
 Regulations, title 24, sections 965.301 to 965.310.  Audits 
 which are conducted by individuals other than employees of the 
 housing and redevelopment authority or the public housing 
 authority shall be conducted by evaluators who are certified 
 pursuant to subdivision 6 or section 216C.31.  The determination 
 of the economic feasibility of implementation of the standards 
 in low-rent housing shall be made in accordance with the 
 procedures established by the United States Department of 
 Housing and Urban Development to implement Code of Federal 
 Regulations, title 24, sections 965.301 to 965.310.  

    Subd. 2.    Definitions.  For the purposes of 
 subdivisions 3 to 7, the following terms shall have the meanings 
 given them. 

    (a) "Residence" means any dwelling for habitation either 
 seasonally, meaning all or a portion of the months of November 
 through April, or permanently by one or more persons.  A 
 residence may be part of a multidwelling or multipurpose 
 building, but shall not include buildings such as hotels, 
 hospitals, motels, dormitories, sanitariums, nursing homes, 
 schools and other buildings used for educational purposes, or 
 correctional institutions.  A manufactured home as defined in 
 section 168.011, subdivision 8, shall be a residence for 
 purposes of this section. 

    (b) "Applicable energy efficiency standards" means those 
 standards established under subdivision 1 which are not shown to 
 be economically infeasible for the building in question. 

    Subd. 3.    Energy conservation for rental property.  
 Effective January 1, 1980, all residences constructed prior to 
 January 1, 1976, which are renter-occupied during all or a 
 portion of the months of November through April shall be in 
 compliance with standards pursuant to subdivision 1 pertaining 
 to caulking and weatherstripping of exterior joints and sealing 
 of other openings in the building envelope.  Effective July 1, 
 1983, all residences which are renter-occupied during all or a 
 portion of the months of November through April shall be in 
 compliance with all applicable energy efficiency standards. 

    Subd. 4.    Inspections.  The commissioner shall conduct 
 inspections on a random basis for compliance with the provisions 
 of subdivision 3.  The commissioner may authorize a 
 municipality, with its consent, to conduct the inspections 
 within the municipality's jurisdiction, or to otherwise enforce 
 the provisions of subdivision 3.  Any municipality which 
 conducts an inspection or other enforcement program shall have 
 authority under all subdivisions of section 216C.30 to enforce 
 the provisions of subdivision 3; provided that 100 percent of 
 the penalties for violation of subdivision 3 shall be paid to 
 the municipality.  With respect to low-rent housing owned by a 
 public housing authority or a housing and redevelopment 
 authority described in sections 469.001 to 469.047, the 
 commissioner or the municipality which conducts the inspection 
 shall submit the results of the inspection to the housing and 
 redevelopment authority or the public housing authority for 
 review.  If the housing and redevelopment authority or the 
 public housing authority does not concur in the findings of the 
 commissioner or the municipality, then the housing and 
 redevelopment authority or the public housing authority and the 
 commissioner or the municipality shall select a mutually 
 acceptable independent third party or panel of experts 
 knowledgeable in the area of energy conservation.  The results 
 of the inspection, the conclusions of the commissioner or the 
 municipality as to compliance with the standards established 
 pursuant to subdivision 1, and the basis for such conclusions, 
 and the position of the housing and redevelopment authority or 
 the public housing authority and the basis for such position 
 shall be submitted to the independent third party or panel for a 
 determination of the specific energy conservation measures which 
 must be completed for compliance with the standards established 
 pursuant to subdivision 1.  The costs of the independent third 
 party or panel shall be paid equally by the housing and 
 redevelopment authority or the public housing authority and the 
 commissioner or the municipality.  

    Subd. 5.    Enforcement after inspection.  If the 
 commissioner determines, after an inspection conducted by or on 
 behalf of the department, that a renter-occupied residence is 
 not in compliance with the standards prescribed pursuant to 
 subdivision 1, the commissioner may issue to the owner of the 
 renter-occupied residence or the owner's agent a determination 
 of noncompliance and may commence a contested case proceeding 
 under sections 14.57 to 14.62.  The determination shall (1) 
 specify the reasons for the determination, (2) include a copy of 
 the inspection report, (3) state the actions that must be taken 
 to bring the residence into compliance with the standards, (4) 
 state that if the residence is not brought into compliance with 
 the standards within 90 days following the date of the 
 determination, a contested case proceeding will be commenced, 
 and (5) specify a fine that will be assessed upon the conclusion 
 of the contested case proceeding in the absence of a showing of 
 good cause in that proceeding.  The contested case proceeding 
 hearing shall be held in the county in which the renter-occupied 
 residence is located.  Notwithstanding the provisions of 
 sections 14.50 and 14.61, the administrative law judge in the 
 contested case proceeding shall make findings of fact and 
 conclusions of law and issue a decision, and if the 
 administrative law judge decides that the residence is not in 
 compliance with the standards, the administrative law judge 
 shall enter an order directing the owner to take such 
 affirmative action as in the judgment of the administrative law 
 judge will effectuate the purposes of this section.  

    Subd. 6.    Fines for noncompliance; exception.  If the 
 administrative law judge issues a decision, following a 
 contested case proceeding commenced pursuant to subdivision 4a, 
 that a renter-occupied residence is not in compliance with the 
 standards prescribed pursuant to subdivision 1 and that the 
 owner of the renter-occupied residence has not proven a good 
 cause, as defined by rule adopted by the commissioner, for 
 failure to comply with the standards prescribed pursuant to 
 subdivision 1, the administrative law judge shall assess a fine 
 against the owner in accordance with a schedule of fines adopted 
 by the commissioner by rule.  This subdivision shall not apply 
 in the case of low-rent housing owned by a public housing 
 authority or a housing and redevelopment authority as defined in 
 section 469.002.  

    Subd. 7.    Building evaluators.  The commissioner shall 
 certify evaluators in each county of the state who are qualified 
 to determine the compliance of a residence with applicable 
 energy efficiency standards.  The commissioner shall, by rule 
 pursuant to chapter 14, adopt standards for the certification 
 and performance of evaluators and set a fee for the 
 certification of evaluators which is sufficient to cover the 
 ongoing costs of the program once it is established.  The 
 commissioner shall encourage the certification of existing 
 groups of trained municipal personnel and qualified individuals 
 from community-based organizations and public service 
 organizations.  Each certified evaluator shall, on request of 
 the owner, inspect any residence and report the degree to which 
 it complies with applicable energy efficiency standards 
 established pursuant to subdivision 1.  The inspections shall be 
 made within 30 days of the request.  The commissioner shall 
 enter into an agreement with the board of trustees of the 
 Minnesota state colleges and universities for the provision of 
 evaluator training at institutions that offer the technical 
 training.  The commissioner may contract with the board to 
 reduce the training costs to the students.  The commissioner may 
 eliminate the examination fee for persons seeking upgraded 
 certificates.  The commissioner may also establish requirements 
 for continuing education, periodic recertification, and 
 revocation of certification for evaluators. 

    Subd. 8.    Separate metering for electric service.  The 
 standards concerning heat loss, illumination, and climate 
 control adopted pursuant to section 216C.19, subdivision 8, 
 shall require that electrical service to individual dwelling 
 units in buildings containing two or more units be separately 
 metered, with individual metering readily accessible to the 
 individual occupants.  The standards authorized by this 
 subdivision shall only apply to buildings constructed after the 
 effective date of the amended standards.  Buildings intended for 
 occupancy primarily by persons who are 62 years of age or older 
 or handicapped, or which contain a majority of units not 
 equipped with complete kitchen facilities, shall be exempt from 
 the provisions of this subdivision. 

    HIST: 1977 c 381 s 18; 1978 c 786 s 2,3; Ex1979 c 2 s 29-31; 
 1980 c 579 s 9; 1981 c 85 s 5; 1981 c 255 s 2,5; 1981 c 356 s 
 154-158,248; 1981 c 365 s 9; 1982 c 424 s 23-25,130; 1983 c 301 
 s 125,126; 1984 c 595 s 1-5; 1984 c 640 s 32; 1986 c 444; 1987 c 
 258 s 12; 1987 c 291 s 196; 1987 c 312 art 1 s 10 subd 1; 1989 c 
 209 art 2 s 1; 1989 c 246 s 2; 1995 c 233 art 2 s 56; 1Sp1995 c 
 3 art 16 s 13; 1997 c 183 art 3 s 27 

     216C.29 Subpoena power. 

    The commissioner shall have the power, for the purposes of 
 sections 216C.05 to 216C.30, to issue subpoenas for production 
 of books, records, correspondence and other information and to 
 require attendance of witnesses.  The subpoenas may be served 
 anywhere in the state by any person authorized to serve 
 processes of courts of record.  If a person does not comply with 
 a subpoena, the commissioner may apply to the district court of 
 Ramsey county and the court shall compel obedience to the 
 subpoena by a proper order.  A person failing to obey the order 
 is punishable by the court as for contempt. 

    HIST: 1974 c 307 s 14; 1981 c 356 s 160,248; 1987 c 312 art 1 
 s 10 subd 1 

     216C.30 Enforcement, penalties, remedies. 

    Subdivision 1.    Misdemeanor.  Any person who violates 
 any provision of this chapter or section 325F.20 or 325F.21, or 
 any rule promulgated thereunder, or knowingly submits false 
 information in any report required by this chapter or section 
 325F.20 or 325F.21 shall be guilty of a misdemeanor.  Each day 
 of violation shall constitute a separate offense. 

    Subd. 2.    Equitable remedies.  The provisions of this 
 chapter and sections 325F.20 and 325F.21, or any rules 
 promulgated hereunder may be enforced by injunction, action to 
 compel performance or other appropriate action in the district 
 court of the county wherein the violation takes place.  The 
 attorney general shall bring any action under this subdivision 
 upon the request of the commissioner, and the existence of an 
 adequate remedy at law shall not be a defense to an action 
 brought under this subdivision. 

    Subd. 3.    Money penalty.  When the court finds that 
 any person has violated any provision of this chapter or section 
 325F.20 or 325F.21, or any rule thereunder, has knowingly 
 submitted false information in any report required by this 
 chapter or section 325F.20 or 325F.21, or has violated any court 
 order issued under this chapter or section 325F.20 or 325F.21, 
 the court may impose a civil penalty of not more than $10,000 
 for each violation.  These penalties shall be paid to the 
 general fund in the state treasury. 

    Subd. 4.    Housing authorities exempt.  With respect to 
 low-rent housing, the provisions of subdivisions 1 and 3 shall 
 not apply to a violation by a housing and redevelopment 
 authority described in chapter 462 or a public housing 
 authority, or an employee of either, of section 216C.27 or any 
 rule promulgated thereunder.  

    Subd. 5.    Remedies additional for health and safety 
 violations.  For purposes of sections 504.18 and 566.18 to 
 566.33, the weatherstripping, caulking, storm window, and storm 
 door energy efficiency standards for renter-occupied residences 
 prescribed by section 216C.27, subdivisions 1 and 3, are health 
 and safety standards and the penalties and remedies provided in 
 this section are in addition to and do not limit remedies 
 otherwise available to tenants of renter-occupied residences.  

    HIST: 1974 c 307 s 15; Ex1979 c 2 s 33; 1981 c 356 s 161,248; 
 1982 c 563 s 11-13; 1984 c 595 s 6,7; 1985 c 248 s 70; 1987 c 
 312 art 1 s 10 subd 1 

     216C.31 Energy audit programs. 

    The commissioner shall develop and administer state 
 programs of energy audits of residential and commercial 
 buildings including those required by United States Code, title 
 42, sections 8211 to 8222 and sections 8281 to 8284.  The 
 commissioner shall continue to administer the residential energy 
 audit program as originally established under the provisions of 
 United States Code, title 42, sections 8211 to 8222; through 
 July 1, 1986 irrespective of any prior expiration date provided 
 in United States Code, title 42, section 8216.  The commissioner 
 may approve temporary programs if they are likely to result in 
 the installation of as many conservation measures as would have 
 been installed had the utility met the requirements of United 
 States Code, title 42, sections 8211 to 8222.  The consumer 
 services division and the attorney general may release 
 information on consumer comments about the operation of the 
 program to the commissioner.  

    HIST: 1980 c 579 s 12; 1981 c 356 s 162,248; 1983 c 289 s 47; 
 1983 c 301 s 127; 1984 c 654 art 2 s 104; 1987 c 312 art 1 s 10 
 subd 1 

     216C.315 Alternative energy economic analysis. 

    The commissioner shall carry out the following energy 
 economic analysis duties:  

    (a) provide continued analysis of alternative energy issues 
 for the biennial report, certificates of need, and legislative 
 requests; 

    (b) provide alternative energy information to consumers and 
 business; 

    (c) assist in the maintenance and improvement of 
 alternative energy input-output multipliers and market 
 penetration models; 

    (d) provide analysis of alternative energy data.  

    HIST: 1983 c 301 s 128; 1987 c 312 art 1 s 10 subd 1 

     216C.32 Energy-efficient building education.  

    The commissioner shall develop a program to provide 
 information and training to persons in the state who influence 
 the energy efficiency of new buildings, including contractors, 
 engineers and architects on techniques and standards for the 
 design and construction of buildings which maximize energy 
 efficiency.  The program may include the production of printed 
 materials and the development of training courses. 

    HIST: 1980 c 579 s 28; 1981 c 356 s 163,248; 1982 c 563 s 14; 
 1987 c 312 art 1 s 10 subd 1 

     216C.33 Minnesota biomass center. 

    Subdivision 1.    Creation, purpose.  The commissioner, 
 in consultation with the commissioner of agriculture, may 
 organize a Minnesota biomass center.  

    The center shall be the focus of biomass energy activities 
 for the state.  To the maximum extent possible, the center shall 
 coordinate its activities and the use of its staff and 
 facilities with those of other entities involved in biomass 
 energy projects. 

    Subd. 2.    Duties.  The center shall:  

    (1) Coordinate existing education and training programs for 
 biomass energy production and use within the state and develop 
 new programs where necessary.  Educational programs shall cover 
 all types of biomass energy production use, including but not 
 limited to production from grain, biowaste, and cellulosic 
 materials; 

    (2) Serve as a central information resource in conjunction 
 with existing agencies and academic institutions in order to 
 provide information to the public on the production and use of 
 biomass energy.  The center shall obtain and analyze available 
 information on biomass energy topics and prepare it for 
 distribution to ensure that the public receives the most 
 accurate and up-to-date information available; 

    (3) Participate in necessary research projects to assist in 
 technological advancement in areas of biomass energy production, 
 distribution, and use.  The center shall also study the 
 environmental and safety aspects of biomass energy use; 

    (4) Support and coordinate financing activities for biomass 
 energy production, including providing technical assistance and 
 manuals to individuals and groups seeking private, local, state 
 or federal funding.  The center shall be responsible for 
 evaluating projects for any state assistance that may become 
 available; 

    (5) Develop consumer information and protection programs 
 for all aspects of biomass energy production and use; 

    (6) Investigate marketing and distribution needs within 
 the state; 

    (7) Review state and federal laws and regulations 
 affecting biomass energy production and use, and evaluate 
 regulatory incentives in order to provide the legislature with 
 legislative proposals for the encouragement of biomass energy 
 production and use within the state.  

    HIST: 1980 c 579 s 29; 1981 c 85 s 6; 1981 c 356 s 164,248; 
 1987 c 312 art 1 s 10 subd 1 

     216C.34 Money for schools and governing bodies. 

    Money to pay part or all of the actual costs of 
 mini-audits, maxi-audits and energy conservation measures 
 performed by or for schools and governing bodies shall be 
 available from legislative appropriations made for that purpose 
 in accordance with the priorities established in section 
 216C.35.  Money appropriated pursuant to this section is 
 available to school districts and local governmental units that 
 submitted acceptable mini-audits or maxi-audits after April 9, 
 1976 and before July 1, 1979.  

    HIST: Ex1979 c 2 s 34; 1980 c 579 s 13; 1981 c 356 s 248; 1987 
 c 312 art 1 s 10 subd 1 

     216C.35 Priorities for funding. 

    All applications for funding shall be made to the 
 commissioner.  Applications shall be accompanied by a report on 
 the energy using characteristics of the building and any other 
 information the commissioner may reasonably require.  

    HIST: Ex1979 c 2 s 35; 1981 c 356 s 165,248; 1987 c 312 art 1 
 s 10 subd 1; 1997 c 7 art 1 s 92 

  216C.36 Repealed, 1993 c 327 s 24 

     216C.37 Energy conservation investment loans. 

    Subdivision 1.    Definitions.  In this section:  

    (a) "Commissioner" means the commissioner of public service.

    (b) "Energy conservation investments" means all capital 
 expenditures that are associated with conservation measures 
 identified in an energy project study, and that have a ten-year 
 or less payback period.  

    (c) "Municipality" means any county, statutory or home rule 
 charter city, town, school district, or any combination of those 
 units operating under an agreement to jointly undertake projects 
 authorized in this section.  

    (d) "Energy project study" means a study of one or more 
 energy-related capital improvement projects analyzed in 
 sufficient detail to support a financing application.  At a 
 minimum, it must include one year of energy consumption and cost 
 data, a description of existing conditions, a description of 
 proposed conditions, a detailed description of the costs of the 
 project, and calculations sufficient to document the proposed 
 energy savings. 

    Subd. 2.    Eligibility.  The commissioner shall approve 
 loans to municipalities for energy conservation investments.  A 
 loan may be made to a municipality that has demonstrated that it 
 has complied with all the appropriate provisions of this section 
 and has made adequate provisions to assure proper and efficient 
 operation of the municipal facilities after improvements and 
 modifications are completed.  

    Subd. 3.    Application.  Application for a loan to be 
 made pursuant to this section shall be made by a municipality to 
 the commissioner on a form the commissioner prescribes by rule.  
 The commissioner shall review each application to determine:  

    (a) whether or not the municipality's proposal is complete; 

    (b) whether the calculations and estimates contained in the 
 energy project study are appropriate, accurate, and reasonable; 

    (c) whether the project is eligible for a loan; 

    (d) the amount of the loan for which the project is 
 eligible; and 

    (e) the means by which the municipality proposes to finance 
 the project including:  

    (1) a loan authorized by this section; 

    (2) a grant of money appropriated by state law; 

    (3) a grant to the municipality by an agency of the federal 
 government within the amount of money then appropriated to that 
 agency; or 

    (4) the appropriation of other money of the municipality to 
 an account for the construction of the project.  

    Subd. 3a.    Additional information.  During application 
 review, the commissioner may request additional information 
 about a proposed energy conservation investment, including 
 information on project cost.  Failure to provide information 
 requested disqualifies a loan applicant. 

    Subd. 3b.    Public accessibility of loan application 
 data.  Data contained in an application submitted to the 
 commissioner for a loan to be made pursuant to this section, 
 including supporting technical documentation, is classified as 
 "public data not on individuals" under section 13.02, 
 subdivision 14. 

    Subd. 4.    Loans.  The commissioner shall approve loans 
 to municipalities on the following conditions:  

    (a) A municipality must demonstrate that the project is 
 economically feasible, and that it has made adequate provisions 
 to assure proper and efficient operation of the facility once 
 the project is completed.  

    (b) A loan made pursuant to this section is repayable over 
 a period of not more than ten years from the date the loan is 
 made.  Interest shall accrue from the date the loan is made, but 
 the first payment of interest or principal shall not be due 
 until one year after the loan was made.  The principal shall be 
 amortized in equal periodic payments over the remainder of the 
 term of the loan.  The accrued interest on the balance of the 
 loan principal shall be due with each payment.  Interest 
 attributable to the first year of deferred payment shall be paid 
 in the same manner as principal.  

    (c) Public schools shall receive funding priority whenever 
 approvable loan applications exceed available funds. 

    Subd. 5.    Payment; obligation.  The commissioner shall 
 not approve payment to a municipality pursuant to an approved 
 loan until the commissioner has determined that financing of the 
 project is assured by an irrevocable undertaking, by resolution 
 of the governing body of the municipality, to annually levy or 
 otherwise collect an amount of money sufficient to pay the 
 principal and interest due on the loan as well as any of the 
 commissioner of finance's administrative expenses according to 
 the terms of the loan.  

    Subd. 6.    Receipts; appropriation.  The commissioner 
 of finance shall deposit in the state treasury all principal and 
 interest payments received in repayment of the loans authorized 
 by this section.  These payments shall be credited to the bond 
 proceeds fund and are appropriated to the commissioner of 
 finance for the purposes of that account.  

    Subd. 7.    Rules.  The commissioner shall adopt rules 
 necessary to implement this section.  The rules shall contain as 
 a minimum:  

    (a) procedures for application by municipalities; 

    (b) criteria for reviewing loan applications; and 

    (c) procedures and guidelines for program monitoring, 
 closeout, and evaluation.  

    Subd. 8. Repealed, 1994 c 616 s 12 

    HIST: 1983 c 289 s 115 subd 1; 1983 c 323 s 1; 1984 c 640 s 
 32; 1Sp1985 c 12 art 7 s 1; 1986 c 444; 1987 c 186 s 15; 1987 c 
 289 s 1; 1987 c 312 art 1 s 10 subd 1; 1987 c 386 art 3 s 16,17; 
 1989 c 271 s 31; 1993 c 163 art 1 s 28; 1993 c 327 s 15; 1994 c 
 616 s 2-5; 1996 c 305 art 2 s 42 

     216C.373 Superinsulated home demonstration project. 

    The superinsulated home demonstration project funded under 
 Laws 1981, chapter 356, section 30, shall be continued under the 
 direction of the commissioner and the center to monitor and 
 document new projects and projects in progress.  The project 
 shall:  

    (a) work with the financial community to bring energy cost 
 and savings into mortgage underwriting standards; 

    (b) develop a definition of superinsulation for use by 
 financial institutions.  

    HIST: 1983 c 301 s 132; 1987 c 312 art 1 s 10 subd 1 

     216C.38 Building energy research center. 

    Subdivision 1.    Energy partnership.  To improve the 
 energy efficiency of buildings, the commissioner shall 
 administer a building energy research center that shall be a 
 cooperative effort among the commissioner, the University of 
 Minnesota, technical colleges, and certain associations and 
 businesses from the private sector.  The center's goal is to 
 become a nationally recognized center for building research.  

    Subd. 2.    Purpose.  The purpose of the building energy 
 research center is to:  

    (a) conduct studies of Minnesota building experience; 

    (b) disseminate information acquired relating to building 
 energy efficiency; 

    (c) conduct continuing education courses; 

    (d) provide limited energy and design consultation services 
 for innovative projects; 

    (e) coordinate and stimulate research efforts; and 

    (f) seek private sector pledges to match appropriations for 
 this program.  

    HIST: 1983 c 301 s 133; 1987 c 258 s 12; 1987 c 312 art 1 s 10 
 subd 1; 1989 c 246 s 2 

     216C.381 Community energy program. 

    Subdivision 1.    Findings.  The legislature finds that 
 community based energy programs are an effective means of 
 implementing improved energy practices including conservation, 
 greater efficiency in energy use, and the use of alternative 
 resources.  Further, community based energy programs are found 
 to be a public purpose for which public money may be spent. 

    Subd. 2.    Community energy councils; creation.  
 Statutory and home rule charter cities, counties, or Indian 
 tribal governments of federally recognized Minnesota based bands 
 or tribes, individually or through the exercise of joint powers 
 agreements, may create community energy councils.  Membership on 
 a council shall include representatives of labor, small 
 business, voluntary organizations, senior citizens, and low and 
 moderate income residents, and may include city, county, and 
 Indian tribal government officials, and other interested parties.

    Subd. 3.    Powers and duties.  In order to develop and 
 implement community based energy programs, a community energy 
 council may:  

    (1) analyze social and economic impacts caused by energy 
 expenditures; 

    (2) plan, coordinate, advertise, and provide energy 
 programs to minimize negative social and economic impacts; 

    (3) seek, accept, and disburse grants and other aids from 
 public or private sources for purposes authorized in this 
 subdivision; and 

    (4) exercise other powers and duties imposed on it by 
 statute, charter, or by ordinance.  

    Subd. 4.    Department assistance.  The commissioner may 
 provide professional and financial assistance to communities to 
 establish community energy councils, and develop and implement 
 community energy programs, within available resources.  

    HIST: 1984 c 654 art 2 s 106; 1987 c 312 art 1 s 10 subd 1; 
 1988 c 617 s 5 

     216C.40 Alternative fuel vehicles. 

    Subdivision 1.    State policy.  It is in the long-term 
 economic, environmental, and social interest of the state of 
 Minnesota to promote the development and market penetration of 
 alternative fuel vehicles that reduce harmful emissions from 
 motor vehicles as defined in United States Code, title 42, 
 section 7550(2), so as to assist in attaining and maintaining 
 healthful air quality, to provide fuel security through a 
 diversity of alternative fuel supply sources, and to develop 
 additional markets for indigenous crop-based fuels. 

    Subd. 2.    State plan.  The policies developed and 
 implemented under this section are intended to form part of the 
 state plan that may be submitted by the governor to the 
 Secretary of the United States Department of Energy under 
 section 409 of the National Energy Policy Act of 1992.  In 
 developing the policies and the state plan, the department shall 
 hold public hearings, at least one of which must be held outside 
 the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, 
 and Washington. 

    Subd. 3.    Report to legislature.  The department 
 shall, after consultation with the public utilities commission, 
 the environmental quality board, the pollution control agency, 
 the department of transportation, the department of 
 administration, the department of agriculture, and the 
 department of trade and economic development, submit a report to 
 the legislature by January 1, 1994, detailing the department's 
 progress and all actions taken by units of state government to 
 implement the policies set forth in subdivision 1 concerning 
 alternative fuels. 

    Subd. 4.    Condition precedent.  The duties of the 
 department under this section are conditional on the 
 commissioner of public service finding that there will be at 
 least one public utility that will be subject to the assessment 
 created by Laws 1993, chapter 254, section 7. 

    Subd. 5.    Repealer.  This section expires July 1, 2003.

    HIST: 1993 c 254 s 6 

     216C.41 Renewable energy production incentive. 

    Subdivision 1.    Definitions.  (a) The definitions in 
 this subdivision apply to this section. 

    (b) "Qualified hydroelectric facility" means a 
 hydroelectric generating facility in this state that: 

    (1) is located at the site of a dam, if the dam was in 
 existence as of March 31, 1994; and 

    (2) begins generating electricity after July 1, 1994. 

    (c) "Qualified wind energy conversion facility" means a 
 wind energy conversion system that: 

    (1) produces two megawatts or less of electricity as 
 measured by nameplate rating and begins generating electricity 
 after June 30, 1997, and before July 1, 1999; or 

    (2) begins generating electricity after June 30, 1999, 
 produces two megawatts or less of electricity as measured by 
 nameplate rating, and is: 

    (i) located within one county and owned by a natural person 
 who owns the land where the facility is sited; 

    (ii) owned by a Minnesota small business as defined in 
 section 645.445; 

    (iii) owned by a nonprofit organization; or 

    (iv) owned by a tribal council if the facility is located 
 within the boundaries of the reservation. 

    Subd. 2.    Incentive payment.  Incentive payments shall 
 be made according to this section to the owner or operator of a 
 qualified hydropower facility or qualified wind energy 
 conversion facility for electric energy generated and sold by 
 the facility.  Payment may only be made upon receipt by the 
 commissioner of finance of an incentive payment application that 
 establishes that the applicant is eligible to receive an 
 incentive payment and that satisfies other requirements the 
 commissioner deems necessary.  The application shall be in a 
 form and submitted at a time the commissioner establishes.  
 There is annually appropriated from the general fund sums 
 sufficient to make the payments required under this section.  

    Subd. 3.    Eligibility window.  Payments may be made 
 under this section only for electricity generated: 

    (a) from a qualified hydroelectric facility that is 
 operational and generating electricity before January 1, 2001; 
 or 

    (b) from a qualified wind energy conversion facility that 
 is operational and generating electricity before January 1, 2005.

    Subd. 4.    Payment period.  A facility may receive 
 payments under this section for a ten-year period.  No payment 
 under this section may be made for electricity generated: 

    (a) by a qualified hydroelectric facility after December 
 31, 2010; or 

    (b) by a qualified wind energy conversion facility after 
 December 31, 2015.  

    The payment period begins and runs consecutively from the 
 first year in which electricity generated from the facility is 
 eligible for incentive payment. 

    Subd. 5.    Amount of payment.  An incentive payment is 
 based on the number of kilowatt hours of electricity generated. 
 The amount of the payment is 1.5 cents per kilowatt hour.  For 
 electricity generated by qualified wind energy conversion 
 facilities, the incentive payment under this section is limited 
 to no more than 100 megawatts of nameplate capacity.  During any 
 period in which qualifying claims for incentive payments exceed 
 100 megawatts of nameplate capacity, the payments must be made 
 to producers in the order in which the production capacity was 
 brought into production.  

    HIST: 1994 c 643 s 71; 1995 c 245 s 4-8; 1997 c 216 s 124