1 | 1 | | 1.1 A bill for an act |
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2 | 2 | | 1.2 relating to energy; delaying the requirement for electric utilities to meet the |
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3 | 3 | | 1.3 renewable energy, solar, or carbon-free standard under certain conditions; |
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4 | 4 | | 1.4 prohibiting the demolition of fossil-fuel-powered electric generating plants under |
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5 | 5 | | 1.5 certain conditions; amending Minnesota Statutes 2024, section 216B.1691, |
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6 | 6 | | 1.6 subdivision 2b; proposing coding for new law in Minnesota Statutes, chapter 216B. |
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7 | 7 | | 1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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8 | 8 | | 1.8 Section 1. Minnesota Statutes 2024, section 216B.1691, subdivision 2b, is amended to |
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9 | 9 | | 1.9read: |
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10 | 10 | | 1.10 Subd. 2b.Modification or delay of standard.(a) The commission shall modify or delay |
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11 | 11 | | 1.11the implementation of a standard obligation under subdivision 2a, 2f, or 2g, in whole or in |
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12 | 12 | | 1.12part, if the commission determines that modifying or delaying the standard obligation is in |
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13 | 13 | | 1.13the public interest. The commission, when evaluating a request to modify or delay |
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14 | 14 | | 1.14implementation of a standard, must consider: |
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15 | 15 | | 1.15 (1) the impact of implementing the standard on its customers' utility costs, including the |
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16 | 16 | | 1.16economic and competitive pressure on the utility's customers; |
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17 | 17 | | 1.17 (2) the environmental costs that would be incurred as a result of a delay or modification, |
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18 | 18 | | 1.18based on the full range of environmental cost values established in section 216B.2422, |
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19 | 19 | | 1.19subdivision 3; |
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20 | 20 | | 1.20 (3) the effects of implementing the standard on the reliability of the electric system; |
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21 | 21 | | 1.21 (4) technical advances or technical concerns; |
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22 | 22 | | 1.22 (5) delays in acquiring sites or routes due to rejection or delays of necessary siting or |
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23 | 23 | | 1.23other permitting approvals; |
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24 | 24 | | 1Section 1. |
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25 | 25 | | REVISOR RSI/EN 25-0201801/23/25 |
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26 | 26 | | State of Minnesota |
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27 | 27 | | This Document can be made available |
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28 | 28 | | in alternative formats upon request |
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29 | 29 | | HOUSE OF REPRESENTATIVES |
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30 | 30 | | H. F. No. 369 |
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31 | 31 | | NINETY-FOURTH SESSION |
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32 | 32 | | Authored by Murphy and Sexton02/13/2025 |
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33 | 33 | | The bill was read for the first time and referred to the Committee on Energy Finance and Policy 2.1 (6) delays, cancellations, or nondelivery of necessary equipment for construction or |
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34 | 34 | | 2.2commercial operation of an eligible energy technology facility; |
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35 | 35 | | 2.3 (7) transmission constraints preventing delivery of service; |
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36 | 36 | | 2.4 (8) other statutory obligations imposed on the commission or a utility; |
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37 | 37 | | 2.5 (9) impacts on environmental justice areas; and |
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38 | 38 | | 2.6 (10) additional electric load from beneficial electrification and the greenhouse gas |
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39 | 39 | | 2.7emissions savings associated with those loads as compared to serving the load with |
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40 | 40 | | 2.8nonelectric energy sources. |
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41 | 41 | | 2.9For the purposes of this paragraph, "beneficial electrification" means the substitution of |
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42 | 42 | | 2.10electricity for a fossil fuel, provided that the substitution meets at least one of the following |
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43 | 43 | | 2.11conditions without adversely affecting either of the other two, as determined by the |
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44 | 44 | | 2.12commission: |
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45 | 45 | | 2.13 (i) saves a consumer money over the long run compared with continued use of the fossil |
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46 | 46 | | 2.14fuel; |
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47 | 47 | | 2.15 (ii) enables an electric utility to better manage the electric utility's electric grid network; |
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48 | 48 | | 2.16or |
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49 | 49 | | 2.17 (iii) reduces negative environmental impacts of fuel use, including but not limited to |
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50 | 50 | | 2.18statewide greenhouse gas emissions. |
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51 | 51 | | 2.19 (b) The commission may modify or delay implementation of a standard obligation under |
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52 | 52 | | 2.20paragraph (a), clauses (1) to (4), only if it finds implementation would cause significant rate |
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53 | 53 | | 2.21impact, requires significant measures to address reliability, or raises significant technical |
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54 | 54 | | 2.22issues. The commission may modify or delay implementation of a standard obligation under |
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55 | 55 | | 2.23paragraph (a), clauses (5) to (7), only if it finds that the circumstances described in those |
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56 | 56 | | 2.24clauses were due to circumstances beyond an electric utility's control and make compliance |
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57 | 57 | | 2.25not feasible. |
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58 | 58 | | 2.26 (c) When evaluating transmission capacity constraints under paragraph (a), clause (7), |
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59 | 59 | | 2.27the commission must consider whether the utility has: |
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60 | 60 | | 2.28 (1) taken reasonable measures that are under the utility's control and consistent with the |
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61 | 61 | | 2.29utility's obligations under local, state, and federal laws and regulations, and the utility's |
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62 | 62 | | 2.30obligations as a member of a regional transmission organization or independent system |
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63 | 63 | | 2.31operator, to acquire sites, necessary permit approvals, and necessary equipment to develop |
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64 | 64 | | 2Section 1. |
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65 | 65 | | REVISOR RSI/EN 25-0201801/23/25 3.1and construct new transmission lines or upgrade existing transmission lines to transmit |
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66 | 66 | | 3.2electricity generated by eligible energy technologies; and |
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67 | 67 | | 3.3 (2) taken all reasonable operational measures to maximize cost-effective electricity |
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68 | 68 | | 3.4delivery from eligible energy technologies in advance of transmission availability. |
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69 | 69 | | 3.5 (d) When considering whether to delay or modify implementation of a standard obligation, |
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70 | 70 | | 3.6the commission must give due consideration to a preference for electric generation through |
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71 | 71 | | 3.7use of eligible energy technology and to the achievement of the standards set by this section. |
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72 | 72 | | 3.8 (e) An electric utility that requests a modification or delay to the implementation of a |
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73 | 73 | | 3.9standard must file a plan to comply with the electric utility's standard obligation as part of |
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74 | 74 | | 3.10the same proceeding in which the electric utility requests the modification or delay. |
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75 | 75 | | 3.11 (f) The requirement to meet a standard obligation under this section is automatically |
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76 | 76 | | 3.12delayed for three years for an electric utility that does not meet the goal established under |
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77 | 77 | | 3.13section 216C.05, subdivision 2, clause (4), as determined by the commissioner. |
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78 | 78 | | 3.14 EFFECTIVE DATE.This section is effective the day following final enactment. |
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79 | 79 | | 3.15 Sec. 2. [216B.2442] RETIRED FOSSIL-FUEL-POWERED ELECTRIC |
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80 | 80 | | 3.16GENERATING PLANT; DEMOLITION. |
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81 | 81 | | 3.17 A political subdivision is prohibited from issuing a permit to an electric utility to demolish |
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82 | 82 | | 3.18a fossil-fuel-powered electric generating plant if the utility fails to meet the goal established |
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83 | 83 | | 3.19under section 216C.05, subdivision 2, clause (4), as determined by the commissioner. |
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84 | 84 | | 3.20 EFFECTIVE DATE.This section is effective the day following final enactment. |
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85 | 85 | | 3Sec. 2. |
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86 | 86 | | REVISOR RSI/EN 25-0201801/23/25 |
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