a. For the years 2006, 2007, 2008, and 2009, each electric provider may not 5
decrease its renewable energy percentage below the electric provider's baseline 6
b. For the year 2010, each electric provider shall increase its renewable energy 8
percentage so that it is at least 2 percentage points above the electric provider's 9
baseline renewable percentage.
c. For the years 2011, 2012, 2013, and 2014, each electric provider may not 11
decrease its renewable energy percentage below the electric provider's renewable 12
energy percentage required under subd. 2. b.
d. For the year 2015, each electric provider shall increase its renewable energy 14
percentage so that it is at least 6 percentage points above the electric provider's 15
baseline renewable percentage.
e. For each year after 2015, each electric provider may not decrease its 17
renewable energy percentage below the electric provider's renewable energy 18
percentage required under subd. 2. d.
(b) 1. Total retail electric sales The total amount of electricity that
21an electric provider sold to retail customers or members in a year
shall be calculated 22
on the basis of an average of an the
electric provider's retail electric sales in this state 23
during the prior 3 years.
(b) 1m. The amount of electricity derived from hydroelectric 2
renewable resources that an electric provider may count toward satisfying the 3
requirements of par. (a) 2. shall be all electricity provided by hydroelectric power that 4
the electric provider purchased in the reporting year plus all of the following:
a. The average of the amounts of hydroelectric power generated by facilities 6
owned or operated by the electric provider for 2001, 2002, and 2003, adjusted to 7
reflect the permanent removal from service of any of those facilities and adjusted to 8
reflect any capacity increases from improvements made to those facilities on or after 9
January 1, 2004.
b. The amount of hydroelectric power generated in the reporting year by 11
facilities owned or operated by the electric provider that are initially placed in service 12
on or after January 1, 2004.
(b) 4. A wholesale supplier may sell credits that it creates and may 17
aggregate and allocate the credits that it creates among its members or customers. 18
A member or customer may sell credits or portions of a credit allocated to the member 19
or customer by the wholesale supplier.
(b) 5. An electric provider that purchases renewable energy from 22
a renewable energy supplier may use an allocated share of the renewable energy sold 23
by the renewable energy supplier to comply with a requirement under par. (a) 2. or 24
to create a credit under sub. (3) (a), provided that the cost of the renewable energy 25
is included in the price the electric provider paid the renewable energy supplier.
(c) No later than April 15 annually, or another annual date specified
3by the commission by rule,
an electric provider shall submit a report to the 4department commission
that identifies the electric provider's renewable energy
5percentage for the previous year and
describes the electric provider's compliance 6
with par. (a) 2. and the electric provider's implementation plans for future
. Reports under this paragraph may include certifications from 8wholesale suppliers renewable energy suppliers
regarding the sources and amounts 9
energy supplied to an
electric provider. The department 10commission
may specify the documentation that is required to be included with 11
reports submitted under this paragraph. The commission may require that electric
12providers submit the reports in a proceeding, initiated by the commission under this
13section relating to the implementation of s. 1.12, or in a proceeding for preparing a
14strategic energy assessment under s. 196.491 (2). No later than 90 days after the
15commission's receipt of an electric provider's report, the commission shall inform the
16electric provider whether the electric provider is in compliance with par. (a) 2.
(e) An electric provider, or a wholesale supplier for its members, 19
may request that the commission grant a delay for complying with a deadline 20
specified in par. (a) 2. The commission shall hold a hearing on the request and, if 21
requested by the electric provider or wholesale supplier, treat the matter as a 22
contested case. The commission shall grant a delay if the commission determines 23
that the applicant has demonstrated good faith efforts to comply with the deadline 24
and that any of the following applies:
1. Notwithstanding reasonable efforts to protect against undesirable impacts 2
on the reliability of an electric provider's system, compliance with the deadline will 3
have an undesirable impact on the reliability of the applicant's system.
2. Notwithstanding reasonable efforts to protect against unreasonable 5
increases in rates of the applicant's ratepayers or members, compliance with the 6
deadline will result in unreasonable increases in rates of the applicant's ratepayers 7
or members, including increases that are due to the discontinuation of federal 8
renewable energy tax credits or other federal policies intended to reduce the 9
acquisition costs of renewable energy.
3. Notwithstanding reasonable efforts to obtain required approvals, the 11
applicant cannot comply with the deadline because the applicant or a supplier has 12
experienced or will experience delays in receiving required siting or permitting 13
approvals for renewable energy projects.
4. Notwithstanding reasonable efforts to secure transmission service, the 15
applicant cannot comply with the deadline because the applicant faces transmission 16
constraints that interfere with the economic and reliable delivery of renewable 17
energy to the applicant's system.
(f) A wholesale electric cooperative for its members or a municipal 20
electric company for its members may delay compliance with a deadline specified in 21
par. (a) 2. for any reason specified in par. (e) 1. to 4. A wholesale electric cooperative 22
or a municipal electric company that delays compliance with a deadline specified in 23
par. (a) 2. shall inform the commission of the delay and the reason for the delay, and 24
shall submit information to the commission demonstrating that, notwithstanding
good faith efforts by the wholesale electric cooperative or municipal electric company 2
and its members, the members cannot meet the deadline for the stated reason.
(g) 1. In this paragraph, "energy consumer advocacy group" means 5
a group or organization that advocates on behalf of its members' interests regarding 6
the cost, availability, and reliability of energy or regarding utility regulation.
2. An energy consumer advocacy group may request that the commission grant 8
to an electric provider that serves one or more members of the group a delay for 9
complying with a deadline specified in par. (a) 2. The commission shall hold a 10
hearing on the request and, if requested by the energy consumer advocacy group, 11
treat the matter as a contested case. The commission shall grant a delay if the 12
commission determines that the utility has demonstrated good faith efforts to 13
comply with the deadline and that any of the conditions in par. (e) 1. to 4. apply.
SB459-engrossed, s. 93
196.378 (3) (a) of the statutes is renumbered 196.378 (3) (a) 1. and 15
amended to read:
(a) 1. An Subject to subd. 2., an
electric provider that provides total 17
renewable energy to its retail electric customers or members in excess of the 18
percentages specified in sub. (2) (a) 1. to 6. 2.
may, in the applicable year, create a
19renewable resource credit and
sell to any other electric provider a the
resource credit or a portion of a the
renewable resource credit at any negotiated 21
price. Alternatively, an An
electric provider that creates or purchases a renewable
22resource credit or portion
may use a renewable resource the
credit or portion of a
23renewable resource credit
in a subsequent year, as provided under par. (c),
establish compliance with sub. (2) (a) 2
. The commission shall promulgate rules that 25
establish requirements for the creation and
use of a renewable resource credit
1created on or after January 1, 2004
, including calculating the amount of a renewable 2
resource credit, and for the tracking of renewable resource credits by a regional
3renewable resource credit tracking system. The rules shall specify the manner for
4aggregating or allocating credits under this subdivision or sub. (2) (b) 4. or 5
(a) 2. The commission shall promulgate rules for calculating the 7
amount of a renewable resource credit that is created from a renewable facility 8
placed into service before January 1, 2004. The rules shall provide that the amount 9
of a renewable resource credit created on or after January 1, 2004, from such a 10
renewable facility, except a renewable facility owned by a retail customer of an 11
electric provider, is limited to the incremental increase in output from the renewable 12
facility that is due to capacity improvements made on or after January 1, 2004.
(b) The commission may promulgate rules that establish 15
requirements and procedures for a sale under par. (a) 1
(c) A renewable resource credit created under s. 196.378 (3) (a), 18
2003 stats., may not be used after December 31, 2011. A renewable resource credit 19
created under par. (a) 1. or 2., as affected by 2005 Wisconsin Act .... (this act), may 20
not be used after the 4th year after the year in which the credit is created, except the 21
commission may promulgate rules specifying a different period of time if the 22
commission determines that such period is necessary for consistency with any 23
regional renewable resource credit trading program that applies in this state.
196.378 (4m) Additional renewable resources requirements.
(a) The 2
commission may not impose on an electric provider any requirement that increases 3
the electric provider's renewable energy percentage beyond that required under sub. 4
(2) (a) 2. If an electric provider is in compliance with the requirements of sub. (2) (a) 5
2., the commission may not require the electric provider to undertake, administer, 6
or fund any other renewable energy program. This paragraph does not limit the 7
authority of the commission to enforce an electric provider's obligations under s. 8
(b) An electric utility may, with commission approval, administer or fund a 10
program that increases the electric utility's renewable energy percentage beyond 11
that required under sub. (2) (a) 2. The commission may not order an electric utility 12
to administer or fund a program under this paragraph.
196.378 (4r) Reports.
No later than July 1 of each even-numbered year, the 15
commission shall submit a report to the governor and chief clerk of each house of the 16
legislature for distribution to the legislature under s. 13.172 (2) that evaluates the 17
impact of the requirements of this section on the rates and revenue requirements of 18
electric providers and compares that impact with the impact that would have 19
occurred if renewable energy practices of electric providers were subject to market 20
forces in the absence of the requirements of this section.
196.378 (5) Penalty.
(intro.) Any person who violates sub. (2) or any wholesale
supplier who provides an electric provider with a false or 24
misleading certification regarding the sources or amounts of renewable
supplied at wholesale
to the electric provider shall forfeit not less than $5,000 nor
more than $500,000. Forfeitures under this subsection shall be enforced by action 2
on behalf of the state by the attorney general. A court imposing a forfeiture under 3
this subsection shall consider all of the following in determining the amount of the 4
(a) The use of renewable energy, including renewable energy that 7
is provided by electric providers for the purpose of complying with the requirements 8
of s. 196.378 (2) (a) 2.
, or renewable energy that is used under programs specified in
9s. 196.374 (2) (d) that are funded by expenditures
under s. 196.374
(b) The implementation of low-income weatherization and energy 12
conservation measures, including programs established under s. 16.957 (2) (a) or (b) 13
or programs specified in s. 196.374 (2) (a) or (b) that are funded by expenditures 14
under s. 196.374 (3)
To promote administrative efficiency and build on 17
existing, successful programs, the public service commission shall direct energy 18
utilities, as defined in section 196.374 (1) (e) of the statutes, as affected by this act, 19
to negotiate initial contracts under section 196.374 (2) (a) 1. of the statutes, as 20
affected by this act, with the holders of current contracts under section 16.957 (3) (b), 21
2003 stats., to the extent that the programs administered by those contract holders 22
are functioning effectively and accomplishing most or all of the goals set for them.
Corn-burning furnace pilot program.
The department of administration 24
shall conduct a pilot program under section 16.957 (2) (b) 1. b. of the statutes during 25
the winter heating season between November 1, 2006, and March 1, 2007, to
determine the feasibility and cost-effectiveness of the use of residential space 2
heating equipment in this state that is fueled by biomass, as defined in section 3
196.378 (1) (a) of the statutes, from corn plants. The department of administration 4
shall report to the legislature the results of the pilot program in the report required 5
under section 16.957 (2) (d) 4. of the statutes.
(3) Review of Energy Conservation Code.
Notwithstanding section 101.027 7
(3) (a) and (b) of the statutes, the department of commerce shall begin a review of the 8
energy conservation code, as defined in section 101.027 (1) (a) of the statutes, on the 9
effective date of this subsection and shall complete that review and submit proposed 10
rules changing the energy conservation code as provided in section 101.027 (2) of the 11
statutes to the legislative council staff under section 227.15 (1) of the statutes by no 12
later than the first day of the 18th month beginning after the effective date of this 13
subsection. Notwithstanding section 101.027 (2) of the statutes, in conducting the 14
review under this subsection, the department of commerce, to the extent practicable, 15
shall consider incorporating into the energy conservation code design requirements 16
from the most current national energy efficiency design standards for new buildings, 17
except low-rise residential buildings, published by the American society of heating, 18
refrigerating, and air-conditioning engineers.
Anaerobic digestor research.
The department of agriculture, trade and 20
consumer protection shall include, as part of its 2007-09 biennial budget request 21
that it submits to the department of administration under section 16.42 of the 22
statutes, a proposal to provide additional funding for the research and development 23
of anaerobic digestors at farms participating in the discovery farms program under 24
the Wisconsin agricultural stewardship initiative.
Public service commission prohibitions.
(a) In this subsection:
1. "Commission" means the public service commission.
2. "Energy efficiency program" has the meaning given in section 196.374 (1) (d), 4
as affected by this act.
3. "Public utility" has the meaning given in section 196.01 (5) of the statutes.
4. "Renewable resource program" has the meaning given in section 196.374 (1) 7
(k), as affected by this act.
5. "Total renewable energy" has the meaning given in section 196.378 (1) (o) of 9
Beginning on the effective date of this paragraph and ending on June 30, 11
2007, the commission may not order an investor-owned natural gas or electric public 12
utility to administer or fund any energy efficiency or renewable resource program 13
that is in addition to the requirements of section 196.374 of the statutes.
(c) Paragraph (b
) does not affect the authority of the commission to enforce the 15
requirements of section 16.957 or 196.374 of the statutes.
(a) In this subsection, "energy utility" has the meaning given in section 196.374 18
(1) (e) of the statutes, as created by this act.
(b) No later than July 1, 2008, the public service commission shall submit a 20
report to the governor and chief clerk of each house of the legislature for distribution 21
to the legislature under section 13.172 (2) of the statutes that consists of the 22
commission's recommendations on whether any component of an energy utility's 23
revenue requirements should be itemized on ratepayer bills.
(8) Large energy customers.
(a) In this subsection:
1. "Commission" means the public service commission.
2. "Energy utility" has the meaning given in section 196.374 (1) (e) of the 3
statutes, as created by this act.
3. "Large energy customer" has the meaning given in section 196.374 (1) (em) 5
of the statutes, as created by this act.
4. "Ordered program" has the meaning given under section 196.374 (1) (i) of the 7
statutes, as created by this act.
(b) No later than July 1, 2007, the commission shall determine the customers 9
of energy utilities that, for any month during the 12 months preceding the date of the 10
commission's determination, satisfy the definition of large energy customer.
(c) For each customer of an energy utility that the commission determines is 12
a large energy customer under paragraph (b), the commission shall, no later than 13
July 1, 2007, determine the monthly average that the customer paid the energy 14
utility in 2005 for recovery under s. 196.374 (3), 2003 stats., and for recovery of the 15
costs of ordered programs.
Energy efficiency standards.
The treatment of sections 16.855 (10s) and 18
20.924 (1) (j) of the statutes first applies with respect to projects for which design 19
work begins on the effective date of this subsection.
SB459-engrossed, s. 104
This act takes effect on July 1, 2007, except 21
(1) The treatment of sections 16.75 (12), 16.897, 16.953, 79.005 (4) (d), 101.027 23
(1) (intro.), (a), and (b), (2), and (3) (a) 1. and 2. and (b) 1. and 2., 196.378 (1) (a), (ag), 24
(bm), (e), (f), (fg), (fm), (fr), (g), (i), (n), (o), and (p), (2) (a), (b) 1., 1m., 3., 4., and 5., (c), 25
(e), (f), and (g), (3) (b), and (c), (4m), (4r), and (5) (intro.) of the statutes, the creation
of section 196.378 (3) (a) 2. of the statutes, and the renumbering and amendment of 2
section 196.378 (3) (a) of the statutes and Section
), (4), (5), (7
), and (8) of this 3
act take effect on the day after publication.