SB459-SSA1,36,221 196.378 (1) (g) "Renewable facility" means an installed and operational electric
22generating facility in which electricity is derived from a renewable resource.
23"Renewable facility" includes a facility the installation or operation of which is
24required under federal law, but does not include a facility the installation or
25operation of which is required under the laws of another state even if the installation

1or operation of the facility is also required under federal law
, located in or outside this
2state, that generates renewable energy
.
SB459-SSA1, s. 79 3Section 79. 196.378 (1) (i) of the statutes is amended to read:
SB459-SSA1,36,54 196.378 (1) (i) "Renewable resource credit" means a credit calculated in
5accordance with rules promulgated under sub. (3) (a) 1. and 2.
SB459-SSA1, s. 80 6Section 80. 196.378 (1) (n) of the statutes is repealed.
SB459-SSA1, s. 81 7Section 81. 196.378 (1) (o) of the statutes is repealed and recreated to read:
SB459-SSA1,36,128 196.378 (1) (o) "Total renewable energy" means the total amount of renewable
9energy that the electric provider sold to its customers or members in a year. "Total
10renewable energy" does not include any energy that is used to comply with the
11renewable energy requirements of another state. "Total renewable energy" includes
12all of the following:
SB459-SSA1,36,1613 1. Renewable energy supplied by a renewable facility owned or operated by an
14affiliated interest or wholesale supplier of an electric provider and allocated to the
15electric provider under an agreement between the electric provider and the affiliated
16interest or wholesale supplier.
SB459-SSA1,36,2117 2. Renewable energy purchased by an affiliated interest or wholesale supplier
18of an electric provider from a renewable facility that is not owned or operated by the
19affiliated interest or wholesale supplier, which renewable energy is allocated to the
20electric provider under an agreement between the electric provider and the affiliated
21interest or wholesale supplier.
SB459-SSA1, s. 82 22Section 82. 196.378 (1) (p) of the statutes is created to read:
SB459-SSA1,36,2323 196.378 (1) (p) "Wholesale supplier" has the meaning given in s. 16.957 (1) (w).
SB459-SSA1, s. 83 24Section 83. 196.378 (2) (a) of the statutes is repealed and recreated to read:
SB459-SSA1,37,8
1196.378 (2) (a) 1. No later than June 1, 2016, the commission shall prepare a
2report stating whether, by December 31, 2015, the state has met a goal of 10 percent
3of all electric energy consumed in the state being renewable energy. If the goal has
4not been achieved, the report shall indicate why the goal was not achieved and how
5it may be achieved, and the commission shall prepare similar reports biennially
6thereafter until the goal is achieved. The commission shall submit reports under this
7subdivision to the governor and chief clerk of each house of the legislature for
8distribution to the legislature under s. 13.172 (2).
SB459-SSA1,37,99 2. Except as provided in pars. (e), (f), and (g):
SB459-SSA1,37,1210 a. For the years 2006, 2007, 2008, and 2009, each electric provider may not
11decrease its renewable energy percentage below the electric provider's baseline
12renewable percentage.
SB459-SSA1,37,1513 b. For the year 2010, each electric provider shall increase its renewable energy
14percentage so that it is at least 2 percentage points above the electric provider's
15baseline renewable percentage.
SB459-SSA1,37,1816 c. For the years 2011, 2012, 2013, and 2014, each electric provider may not
17decrease its renewable energy percentage below the electric provider's renewable
18energy percentage required under subd. 2. b.
SB459-SSA1,37,2119 d. For the year 2015, each electric provider shall increase its renewable energy
20percentage so that it is at least 6 percentage points above the electric provider's
21baseline renewable percentage.
SB459-SSA1,37,2422 e. For each year after 2015, each electric provider may not decrease its
23renewable energy percentage below the electric provider's renewable energy
24percentage required under subd. 2. d.
SB459-SSA1, s. 84 25Section 84. 196.378 (2) (b) 1. of the statutes is amended to read:
SB459-SSA1,38,4
1196.378 (2) (b) 1. Total retail electric sales The total amount of electricity that
2an electric provider sold to retail customers or members in a year
shall be calculated
3on the basis of an average of an the electric provider's retail electric sales in this state
4during the prior 3 years.
SB459-SSA1, s. 85 5Section 85. 196.378 (2) (b) 1m. of the statutes is created to read:
SB459-SSA1,38,126 196.378 (2) (b) 1m. The amount of electricity provided by hydroelectric power
7that an electric provider may count toward satisfying the requirements of par. (a) 2.
8shall be the average of the amounts of hydroelectric power generated by facilities
9owned or operated by the electric provider for 2001, 2002, and 2003, adjusted to
10reflect the permanent removal from service of any of those facilities, plus all
11electricity provided by hydroelectric power that the electric provider purchased in
12the reporting year.
SB459-SSA1, s. 86 13Section 86. 196.378 (2) (b) 3. of the statutes is repealed.
SB459-SSA1, s. 87 14Section 87. 196.378 (2) (b) 4. of the statutes is amended to read:
SB459-SSA1,38,1815 196.378 (2) (b) 4. The members or customers of a municipal electric company,
16as defined in s. 66.0825 (3) (d),
wholesale supplier may aggregate and allocate
17renewable energy among themselves and such a member may sell credits or portions
18of a credit allocated to the member
.
SB459-SSA1, s. 88 19Section 88. 196.378 (2) (b) 5. of the statutes is created to read:
SB459-SSA1,38,2420 196.378 (2) (b) 5. An electric provider that purchases renewable energy from
21a renewable energy supplier may use an allocated share of the renewable energy sold
22by the renewable energy supplier to comply with a requirement under par. (a) 2. or
23to create a credit under sub. (3) (a), provided that the cost of the renewable energy
24is included in the price the electric provider paid the renewable energy supplier.
SB459-SSA1, s. 89 25Section 89. 196.378 (2) (c) of the statutes is amended to read:
SB459-SSA1,39,15
1196.378 (2) (c) No later than April 15 annually, or another annual date specified
2by the commission by rule,
an electric provider shall submit a report to the
3department commission that identifies the electric provider's renewable energy
4percentage for the previous year and
describes the electric provider's compliance
5with par. (a) 2. and the electric provider's implementation plans for future
6compliance
. Reports under this paragraph may include certifications from
7wholesale suppliers renewable energy suppliers regarding the sources and amounts
8of renewable energy supplied to an the electric provider. The department
9commission may specify the documentation that is required to be included with
10reports submitted under this paragraph. The commission may require that electric
11providers submit the reports in a proceeding, initiated by the commission under this
12section relating to the implementation of s. 1.12, or in a proceeding for preparing a
13strategic energy assessment under s. 196.491 (2). No later than 90 days after the
14commission's receipt of an electric provider's report, the commission shall inform the
15electric provider whether the electric provider is in compliance with par. (a) 2.
SB459-SSA1, s. 90 16Section 90. 196.378 (2) (e) of the statutes is repealed and recreated to read:
SB459-SSA1,39,2317 196.378 (2) (e) An electric provider, or a wholesale supplier for its members,
18may request that the commission grant a delay for complying with a deadline
19specified in par. (a) 2. The commission shall hold a hearing on the request and, if
20requested by the electric provider or wholesale supplier, treat the matter as a
21contested case. The commission shall grant a delay if the commission determines
22that the applicant has demonstrated good faith efforts to comply with the deadline
23and that any of the following applies:
SB459-SSA1,40,3
11. Notwithstanding reasonable efforts to protect against undesirable impacts
2on the reliability of an electric provider's system, compliance with the deadline will
3have an undesirable impact on the reliability of the applicant's system.
SB459-SSA1,40,94 2. Notwithstanding reasonable efforts to protect against unreasonable
5increases in rates of the applicant's ratepayers or members, compliance with the
6deadline will result in unreasonable increases in rates of the applicant's ratepayers
7or members, including increases that are due to the discontinuation of federal
8renewable energy tax credits or other federal policies intended to reduce the
9acquisition costs of renewable energy.
SB459-SSA1,40,1310 3. Notwithstanding reasonable efforts to obtain required approvals, the
11applicant cannot comply with the deadline because the applicant or a supplier has
12experienced or will experience delays in receiving required siting or permitting
13approvals for renewable energy projects.
SB459-SSA1,40,1714 4. Notwithstanding reasonable efforts to secure transmission service, the
15applicant cannot comply with the deadline because the applicant faces transmission
16constraints that interfere with the economic and reliable delivery of renewable
17energy to the applicant's system.
SB459-SSA1, s. 91 18Section 91. 196.378 (2) (f) of the statutes is created to read:
SB459-SSA1,41,219 196.378 (2) (f) A wholesale electric cooperative for its members or a municipal
20electric company for its members may delay compliance with a deadline specified in
21par. (a) 2. for any reason specified in par. (e) 1. to 4. A wholesale electric cooperative
22or a municipal electric company that delays compliance with a deadline specified in
23par. (a) 2. shall inform the commission of the delay and the reason for the delay, and
24shall submit information to the commission demonstrating that, notwithstanding

1good faith efforts by the wholesale electric cooperative or municipal electric company
2and its members, the members cannot meet the deadline for the stated reason.
SB459-SSA1, s. 92 3Section 92. 196.378 (2) (g) of the statutes is created to read:
SB459-SSA1,41,64 196.378 (2) (g) 1. In this paragraph, "energy consumer advocacy group" means
5a group or organization that advocates on behalf of its members' interests regarding
6the cost, availability, and reliability of energy or regarding utility regulation.
SB459-SSA1,41,137 2. An energy consumer advocacy group may request that the commission grant
8to an electric provider that serves one or more members of the group a delay for
9complying with a deadline specified in par. (a) 2. The commission shall hold a
10hearing on the request and, if requested by the energy consumer advocacy group,
11treat the matter as a contested case. The commission shall grant a delay if the
12commission determines that the utility has demonstrated good faith efforts to
13comply with the deadline and that any of the conditions in par. (e) 1. to 4. apply.
SB459-SSA1, s. 93 14Section 93. 196.378 (3) (a) of the statutes is renumbered 196.378 (3) (a) 1. and
15amended to read:
SB459-SSA1,42,416 196.378 (3) (a) 1. An Subject to subd. 2., an electric provider that provides total
17renewable energy to its retail electric customers or members in excess of the
18percentages 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 renewable
20resource credit or a portion of a the renewable resource credit at any negotiated
21price. 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), to
24establish compliance with sub. (2) (a) 2. The commission shall promulgate rules that
25establish 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
2resource 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
.
SB459-SSA1, s. 94 5Section 94. 196.378 (3) (a) 2. of the statutes is created to read:
SB459-SSA1,42,126 196.378 (3) (a) 2. The commission shall promulgate rules for calculating the
7amount of a renewable resource credit that is created from a renewable facility
8placed into service before January 1, 2004. The rules shall provide that the amount
9of a renewable resource credit created on or after January 1, 2004, from such a
10renewable facility, except a renewable facility owned by a retail customer of an
11electric provider, is limited to the incremental increase in output from the renewable
12facility that is due to capacity improvements made on or after January 1, 2004.
SB459-SSA1, s. 95 13Section 95. 196.378 (3) (b) of the statutes is amended to read:
SB459-SSA1,42,1514 196.378 (3) (b) The commission may promulgate rules that establish
15requirements and procedures for a sale under par. (a) 1.
SB459-SSA1, s. 96 16Section 96. 196.378 (3) (c) of the statutes is created to read:
SB459-SSA1,42,2317 196.378 (3) (c) A renewable resource credit created under s. 196.378 (3) (a),
182003 stats., may not be used after December 31, 2011. A renewable resource credit
19created under par. (a) 1. or 2., as affected by 2005 Wisconsin Act .... (this act), may
20not be used after the 4th year after the year in which the credit is created, except the
21commission may promulgate rules specifying a different period of time if the
22commission determines that such period is necessary for consistency with any
23regional renewable resource credit trading program that applies in this state.
SB459-SSA1, s. 97 24Section 97. 196.378 (4m) of the statutes is created to read:
SB459-SSA1,43,8
1196.378 (4m) Additional renewable resources requirements. The
2commission may not impose on an electric provider any requirement that increases
3the 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)
52., the commission may not require the electric provider to undertake, administer,
6or fund any other renewable energy program. This subsection does not limit the
7authority of the commission to enforce an electric provider's obligations under s.
8196.374.
SB459-SSA1, s. 98 9Section 98. 196.378 (4r) of the statutes is created to read:
SB459-SSA1,43,1610 196.378 (4r) Reports. No later than July 1 of each even-numbered year, the
11commission shall submit a report to the governor and chief clerk of each house of the
12legislature for distribution to the legislature under s. 13.172 (2) that evaluates the
13impact of the requirements of this section on the rates and revenue requirements of
14electric providers and compares that impact with the impact that would have
15occurred if renewable energy practices of electric providers were subject to market
16forces in the absence of the requirements of this section.
SB459-SSA1, s. 99 17Section 99. 196.378 (5) (intro.) of the statutes is amended to read:
SB459-SSA1,43,2518 196.378 (5) Penalty. (intro.) Any person who violates sub. (2) or any wholesale
19renewable energy supplier who provides an electric provider with a false or
20misleading certification regarding the sources or amounts of renewable energy
21supplied at wholesale to the electric provider shall forfeit not less than $5,000 nor
22more than $500,000. Forfeitures under this subsection shall be enforced by action
23on behalf of the state by the attorney general. A court imposing a forfeiture under
24this subsection shall consider all of the following in determining the amount of the
25forfeiture:
SB459-SSA1, s. 100
1Section 100. 285.48 (4) (a) of the statutes is amended to read:
SB459-SSA1,44,52 285.48 (4) (a) The use of renewable energy, including renewable energy that
3is provided by electric providers for the purpose of complying with the requirements
4of s. 196.378 (2) (a) 2., or renewable energy that is used under programs specified in
5s. 196.374 (2) (d) that are funded by expenditures
under s. 196.374 (3).
SB459-SSA1, s. 101 6Section 101. 285.48 (4) (b) of the statutes is amended to read:
SB459-SSA1,44,107 285.48 (4) (b) The implementation of low-income weatherization and energy
8conservation measures, including programs established under s. 16.957 (2) (a) or (b)
9or programs specified in s. 196.374 (2) (a) or (b) that are funded by expenditures
10under s. 196.374 (3).
SB459-SSA1, s. 102 11Section 102 . Nonstatutory provisions.
SB459-SSA1,44,1812 (1) Initial contracts. To promote administrative efficiency and build on
13existing, successful programs, the public service commission shall direct energy
14utilities, as defined in section 196.374 (1) (e) of the statutes, as affected by this act,
15to negotiate initial contracts under section 196.374 (2) (a) 1. of the statutes, as
16affected by this act, with the holders of current contracts under section 16.957 (3) (b),
172003 stats., to the extent that the programs administered by those contract holders
18are functioning effectively and accomplishing most or all of the goals set for them.
SB459-SSA1,45,219 (2) Corn-burning furnace pilot program. The department of administration
20shall conduct a pilot program under section 16.957 (2) (b) 1. b. of the statutes during
21the winter heating season between November 1, 2006, and March 1, 2007, to
22determine the feasibility and cost-effectiveness of the use of residential space
23heating equipment in this state that is fueled by biomass, as defined in section
24196.378 (1) (a) of the statutes, from corn plants. The department of administration

1shall report to the legislature the results of the pilot program in the report required
2under section 16.957 (2) (d) 4. of the statutes.
SB459-SSA1,45,153 (3) Review of Energy Conservation Code. Notwithstanding section 101.027
4(3) (a) and (b) of the statutes, the department of commerce shall begin a review of the
5energy conservation code, as defined in section 101.027 (1) (a) of the statutes, on the
6effective date of this subsection and shall complete that review and submit proposed
7rules changing the energy conservation code as provided in section 101.027 (2) of the
8statutes to the legislative council staff under section 227.15 (1) of the statutes by no
9later than the first day of the 18th month beginning after the effective date of this
10subsection. Notwithstanding section 101.027 (2) of the statutes, in conducting the
11review under this subsection, the department of commerce, to the extent practicable,
12shall consider incorporating into the energy conservation code design requirements
13from the most current national energy efficiency design standards for new buildings,
14except low-rise residential buildings, published by the American society of heating,
15refrigerating, and air-conditioning engineers.
SB459-SSA1,45,2116 (4) Anaerobic digestor research. The department of agriculture, trade and
17consumer protection shall include, as part of its 2007-09 biennial budget request
18that it submits to the department of administration under section 16.42 of the
19statutes, a proposal to provide additional funding for the research and development
20of anaerobic digestors at farms participating in the discovery farms program under
21the Wisconsin agricultural stewardship initiative.
SB459-SSA1,45,2222 (5) Public service commission prohibitions.
SB459-SSA1,45,2323 (a) In this subsection:
SB459-SSA1,45,24 241. "Commission" means the public service commission.
SB459-SSA1,46,2
12. "Energy efficiency program" has the meaning given in section 196.374 (1) (d),
2as affected by this act.
SB459-SSA1,46,3 33. "Public utility" has the meaning given in section 196.01 (5) of the statutes.
SB459-SSA1,46,5 44. "Renewable resource program" has the meaning given in section 196.374 (1)
5(k), as affected by this act.
SB459-SSA1,46,7 65. "Total renewable energy" has the meaning given in section 196.378 (1) (o) of
7the statutes.
SB459-SSA1,46,118 (b) Beginning on the effective date of this paragraph and ending on June 30,
92007, the commission may not order an investor-owned natural gas or electric public
10utility to administer or fund any energy efficiency or renewable resource program
11that is in addition to the requirements of section 196.374 of the statutes.
SB459-SSA1,46,1312 (c) Paragraph (b ) does not affect the authority of the commission to enforce the
13requirements of section 16.957 or 196.374 of the statutes.
SB459-SSA1,46,2114 (6) Cost recovery from certain ratepayers. Notwithstanding section 196.374
15(3), 2003 stats., during the period beginning on the effective date of this subsection
16and ending on July 1, 2007, if a ratepayer of a utility, as defined in section 196.374
17(1) (c), 2003 stats., was required to pay more than $750 for the utility's recovery of
18amounts under section 196.374 (3), 2003 stats., in any month during 2005, the
19ratepayer shall pay the utility, for the recovery of amounts under section 196.374 (3),
202003 stats., a monthly amount equal to the monthly average that the ratepayer paid
21the utility in 2005 for recovery under s. 196.374 (3), stats.
SB459-SSA1,46,2222 (7) Report.
SB459-SSA1,46,2423 (a) In this subsection, "energy utility" has the meaning given in section 196.374
24(1) (e) of the statutes, as created by this act.
SB459-SSA1,47,4
1(b) No later than July 1, 2008, the public service commission shall submit a
2report to the governor and chief clerk of each house of the legislature for distribution
3to the legislature under section 13.172 (2) of the statutes that consists of the
4following:
SB459-SSA1,47,7 51. The commission's recommendations for allocating among different classes
6of ratepayers the amounts that energy utilities recover from ratepayers under
7section 196.374 (5) (a) of the statutes, as created by this act.
SB459-SSA1,47,9 82. The commission's recommendations on whether any component of an energy
9utility's revenue requirements should be itemized on ratepayer bills.
SB459-SSA1, s. 103 10Section 103. Initial applicability.
SB459-SSA1,47,1311 (1) Energy efficiency standards. The treatment of sections 16.855 (10s) and
1220.924 (1) (j) of the statutes first applies with respect to projects for which design
13work begins on the effective date of this subsection.
SB459-SSA1, s. 104 14Section 104. Effective dates. This act takes effect on July 1, 2007, except
15as follows:
SB459-SSA1,47,2216 (1) The treatment of sections 16.75 (12), 16.897, 16.953, 79.005 (4) (d), 101.027
17(1) (intro.), (a), and (b), (2), and (3) (a) 1. and 2. and (b) 1. and 2., 196.378 (1) (a), (ag),
18(bm), (e), (f), (fg), (fm), (fr), (g), (i), (n), (o), and (p), (2) (a), (b) 1., 1m., 3., 4., and 5., (c),
19(e), (f), and (g), (3) (b), and (c), (4m), (4r), and (5) (intro.) of the statutes, the creation
20of section 196.378 (3) (a) 2. of the statutes, and the renumbering and amendment of
21section 196.378 (3) (a) of the statutes and Section 102 (2 ), (4), (5), (6 ), and (7) of this
22act take effect on the day after publication.
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