Amendment ASA1-AB649

AB649-ASA1,81,2 196.378 (2) (a) 2. f. For the year 2020, each electric provider shall increase its renewable energy percentage so that it is at least 16 percentage points above the electric provider's baseline renewable percentage and shall ensure that its in-state percentage is not less than 30 percent of the renewable energy percentage required under this subd. 2. f.

AB649-ASA1, s. 199 Section 199. 196.378 (2) (a) 2. g. of the statutes is created to read:

AB649-ASA1,81,8 196.378 (2) (a) 2. g. For the years 2021, 2022, 2023, and 2024, each electric provider may not decrease its renewable energy percentage below the electric provider's renewable energy percentage required under subd. 2. f. and may not decrease its in-state percentage below the electric provider's in-state percentage required under subd. 2. f.

AB649-ASA1, s. 200 Section 200. 196.378 (2) (a) 2. h. of the statutes is created to read:

AB649-ASA1,81,14 196.378 (2) (a) 2. h. For the year 2025, each electric provider shall increase its renewable energy percentage so that it is at least 21 percentage points above the electric provider's baseline renewable percentage and shall ensure that its in-state percentage is not less than 40 percent of the renewable energy percentage required under this subd. 2. h.

AB649-ASA1, s. 201 Section 201. 196.378 (2) (a) 2. i. of the statutes is created to read:

AB649-ASA1,81,20 196.378 (2) (a) 2. i. For each year after 2025, each electric provider may not decrease its renewable energy percentage below the electric provider's renewable energy percentage required under subd. 2. h. and may not decrease its in-state percentage below the electric provider's in-state percentage required under subd. 2. h.

AB649-ASA1, s. 202 Section 202. 196.378 (2) (am) of the statutes is created to read:

AB649-ASA1,82,2 196.378 (2) (am) For the years 2020 to 2024, an electric provider is not required to increase its renewable energy percentage to a percentage in excess of 20 percent or its baseline renewable percentage, whichever is greater. For the year 2025 and each year thereafter, an electric provider is not required to increase its renewable energy percentage to a percentage in excess of 25 percent or its baseline renewable percentage, whichever is greater.

AB649-ASA1, s. 203 Section 203. 196.378 (2) (b) (intro.) of the statutes is amended to read:

AB649-ASA1,82,5 196.378 (2) (b) (intro.) For purposes of determining compliance with par. (a) the renewable portfolio standard:

AB649-ASA1, s. 204 Section 204. 196.378 (2) (b) 1g. of the statutes is created to read:

AB649-ASA1,82,9 196.378 (2) (b) 1g. An electric provider may include conservation certificates in its renewable energy percentage only for the years 2013, 2014, 2020, and each year after 2020, and only as follows:

AB649-ASA1,82,12 a. For the years 2013 and 2014, conservation certificates may be included for no more than 2.5 percentage points of an electric provider's renewable energy percentage.

AB649-ASA1,82,14 b. For the years 2020 to 2024, conservation certificates may be included for no more than 4 percentage points of an electric provider's renewable energy percentage.

AB649-ASA1,82,17 c. For the year 2025 and each year thereafter, conservation certificates may be included for no more than 5 percentage points of an electric provider's renewable energy percentage.

AB649-ASA1, s. 205 Section 205. 196.378 (2) (b) 1j. of the statutes is created to read:

AB649-ASA1,82,24 196.378 (2) (b) 1j. For each renewable resource credit that is created from renewable energy derived from a renewable facility designed for nominal operation at a capacity of 2 megawatts or less, an electric provider may include 1.25 renewable resource credits in the electric provider's renewable energy percentage, but may include only one renewable resource credit in the electric provider's in-state percentage.

AB649-ASA1, s. 206 Section 206. 196.378 (2) (b) 1m. (intro.) of the statutes is amended to read:

AB649-ASA1,83,7 196.378 (2) (b) 1m. (intro.) The Except as provided in subd. 1r., the amount of renewable resource credits associated with electricity derived from hydroelectric renewable resources that an electric provider may count toward satisfying the requirements of par. (a) 2. include in its renewable energy percentage shall be those renewable resource credits associated with all electricity provided by hydroelectric power that the electric provider purchased in the reporting year plus renewable resource credits associated with all of the following:

AB649-ASA1, s. 207 Section 207. 196.378 (2) (b) 1m. a. of the statutes is amended to read:

AB649-ASA1,83,16 196.378 (2) (b) 1m. a. The For facilities owned or operated by the electric provider that were initially placed in service before January 1, 2004, the average of the amounts of hydroelectric power generated by the facilities owned or operated by the electric provider for 2001, 2002, and 2003, regardless of whether the electric provider owned or operated the facilities in those years, adjusted to reflect the permanent removal from service of any of those facilities and adjusted to reflect any capacity increases from improvements made to those facilities on or after January 1, 2004.

AB649-ASA1, s. 208 Section 208. 196.378 (2) (b) 1r. of the statutes is created to read:

AB649-ASA1,83,21 196.378 (2) (b) 1r. a. Except as provided in subd. 1r. b. and c., an electric provider may not include in its renewable energy percentage any renewable resource credits associated with electricity derived from a hydroelectric facility that has a rated capacity of 60 megawatts or more.

AB649-ASA1,84,2 b. Except as provided in subd. 1r. c., an electric provider may include in its renewable energy percentage renewable resource credits associated with electricity generated after December 31, 2015, from a hydroelectric facility located outside this state that has a rated capacity of 60 megawatts or more and that is first placed in service on or after the effective date of this subd. 1r. b. .... [LRB inserts date].

AB649-ASA1,84,12 c. Renewable resource credits associated with electricity derived from a hydroelectric facility that is located in Manitoba, Canada, that has a rated capacity of 60 megawatts or more, and that is first placed in service on or after the effective date of this subd. 1r. c. .... [LRB inserts date], shall be included in a renewable energy percentage only if the province of Manitoba has informed the commission in writing that the interim licenses under which the Lake Winnipeg Regulation Project and the Churchill River Diversion Project were operating on the effective date of this subd. 1r. c. .... [LRB inserts date], have been replaced by final licenses after the completion of a Crown-Aboriginal consultation process as required under Canadian law and the final licenses are in effect under Canadian law.

AB649-ASA1,84,22 d. The province of Manitoba shall file with the commission all final approvals, licenses, and permits required under subd. 1r. c.; a written report setting forth the processes followed to obtain such final licenses; a report summarizing the consultation processes with impacted First Nations and its compliance with Canadian law; and all agreements with impacted First Nations related to the Lake Winnipeg Regulation Project and the Churchill River Diversion Project. Such filings shall be subject to public comment. Within 90 days of receiving the filings required under this subd. 1r. d., the commission shall prepare and deliver a report to the legislature, in the manner described under s. 13.172 (2), summarizing such filings and the comments received on them.

AB649-ASA1, s. 209 Section 209. 196.378 (2) (b) 2. of the statutes is repealed.

AB649-ASA1, s. 210 Section 210. 196.378 (2) (b) 2m. of the statutes is created to read:

AB649-ASA1,85,3 196.378 (2) (b) 2m. A wholesale supplier may demonstrate compliance with the renewable portfolio standard on behalf of a member or customer, or on behalf of its members or customers in the aggregate.

AB649-ASA1, s. 211 Section 211. 196.378 (2) (b) 4. and 5. of the statutes are repealed.

AB649-ASA1, s. 212 Section 212. 196.378 (2) (c) of the statutes is renumbered 196.378 (2) (c) 1. and amended to read:

AB649-ASA1,85,22 196.378 (2) (c) 1. No later than April 15 annually, or another annual date specified by the commission by rule, an electric provider shall submit a report to the commission that identifies the electric provider's renewable energy percentage for the previous year and, beginning with the report submitted in 2021, the electric provider's in-state percentage for the previous year, and describes the electric provider's compliance with par. (a) 2. the renewable portfolio standard and the electric provider's implementation plans for future compliance. Reports under this paragraph may include certifications from renewable energy suppliers regarding the sources and amounts of renewable energy supplied to the electric provider. The commission may specify the documentation that is required to be included with reports submitted under this paragraph. The commission may require that electric providers submit the reports in a proceeding, initiated by the commission under this section relating to the implementation of s. 1.12, or in a proceeding for preparing a strategic energy assessment under s. 196.491 (2). A wholesale supplier may submit a report under this subdivision on behalf of a member or customer or on behalf of its members or customers in the aggregate.

AB649-ASA1,86,2 2. No later than 90 days after the commission's receipt of an electric provider's a report submitted by or on behalf of an electric provider under subd. 1., the commission shall inform the electric provider whether the electric provider is in compliance with par. (a) 2. the renewable portfolio standard.

AB649-ASA1, s. 213 Section 213. 196.378 (2) (d) (intro.) of the statutes is amended to read:

AB649-ASA1,86,9 196.378 (2) (d) (intro.) The commission shall allow an electric utility to recover from ratepayers the cost of providing total renewable energy to its retail customers in amounts that equal or exceed the percentages specified in par. (a) complying with or exceeding the renewable portfolio standard. Subject to any approval of the commission that is necessary, an electric utility may recover costs under this paragraph by any of the following methods:

AB649-ASA1, s. 214 Section 214. 196.378 (2) (e) (intro.) of the statutes is amended to read:

AB649-ASA1,86,19 196.378 (2) (e) (intro.) An electric provider, or a wholesale supplier for its members, may request that the commission grant a delay for complying with a deadline specified in par. (a) 2. the renewable portfolio standard or a waiver from complying with an in-state percentage deadline specified in the renewable portfolio standard. The commission shall hold a hearing on the request and, if requested by the electric provider or wholesale supplier, treat the matter as a contested case. The commission shall grant a delay or waiver if the commission determines that the applicant has demonstrated good faith efforts to comply with the deadline and that any of the following applies:

AB649-ASA1, s. 215 Section 215. 196.378 (2) (f) of the statutes is amended to read:

AB649-ASA1,87,7 196.378 (2) (f) A wholesale electric cooperative for its members or a municipal electric company supplier for its members or customers may delay compliance with a deadline specified in par. (a) 2. the renewable portfolio standard or waive compliance with an in-state percentage deadline specified in the renewable portfolio standard for any reason specified in par. (e) 1. to 4. A wholesale electric cooperative or a municipal electric company supplier that delays or waives compliance with a deadline specified in par. (a) 2. under this paragraph shall inform the commission of the delay or waiver and the reason for the delay or waiver, and shall submit information to the commission demonstrating that, notwithstanding good faith efforts by the wholesale electric cooperative or municipal electric company supplier and its members or customers, the members or customers cannot meet the deadline for the stated reason.

AB649-ASA1, s. 216 Section 216. 196.378 (2) (g) 2. of the statutes is amended to read:

AB649-ASA1,87,17 196.378 (2) (g) 2. An energy consumer advocacy group may request that the commission grant to an electric provider that serves one or more members of the group a delay for complying with a deadline specified in par. (a) 2. the renewable portfolio standard or a waiver from complying with an in-state percentage deadline specified in the renewable portfolio standard. The commission shall hold a hearing on the request and, if requested by the energy consumer advocacy group, treat the matter as a contested case. The commission shall grant a delay or waiver if the commission determines that the utility has demonstrated good faith efforts to comply with the deadline and that any of the conditions in par. (e) 1. to 4. apply.

AB649-ASA1, s. 217 Section 217. 196.378 (2) (h) of the statutes is created to read:

AB649-ASA1,87,22 196.378 (2) (h) For purposes of a delay or waiver under pars. (e), (f), and (g), a renewable energy percentage deadline for a year and an in-state percentage deadline for the same year are separate deadlines for which separate delays or waivers must be granted or authorized under par. (e), (f), or (g).

AB649-ASA1, s. 218 Section 218. 196.378 (3) of the statutes is repealed and recreated to read:

AB649-ASA1,88,3 196.378 (3) Portfolio credits. (a) Renewable resource credits. 1. Whenever a person generates renewable energy, the person creates renewable resource credits in an amount equal to one credit for each megawatt hour of renewable energy generated. Except as provided in subd. 2., a person that generates renewable energy may do any of the following:

AB649-ASA1,88,7 a. Sell the renewable energy and the associated renewable resource credits to any other person. For renewable energy that is sold at wholesale in this state, the sale is considered to include the associated renewable resource credits unless an agreement between the parties specifies otherwise.

AB649-ASA1,88,11 b. Separate the renewable resource credits from the renewable energy and sell, trade, transfer, assign, bank for future use, or permanently retire the credits or, if the person is an electric provider, elect to include the credits in the electric provider's renewable energy percentage.

AB649-ASA1,88,14 2. Renewable resource credits associated with hydroelectric power specified in sub. (2) (b) 1m. a. may not be sold, traded, transferred, assigned, or banked for future use.

AB649-ASA1,88,17 3. A person that purchases renewable energy from which the associated renewable resource credits have not been separated may take any of the actions described in subd. 1. a. and b.

AB649-ASA1,88,20 4. a. An electric provider may not use renewable resource credits created by the generation of renewable energy outside this state to comply with an in-state percentage requirement of the renewable portfolio standard.

AB649-ASA1,89,2 b. An electric provider may include renewable resource credits created by the generation of renewable energy in the electric provider's renewable energy percentage if the credits are documented in a regional credit tracking system designated by the commission in rules promulgated under par. (c) 4. and the credits satisfy the requirements of this subsection and the rules promulgated under par. (c) 4.

AB649-ASA1,89,6 c. An electric provider may not include a renewable resource credit in the electric provider's renewable energy percentage if the renewable resource credit or renewable energy from which the credit has been separated has been used to comply with the renewable energy requirements of another state.

AB649-ASA1,89,10 5. The commission shall promulgate rules that allow an electric provider to include in the electric provider's renewable energy percentage renewable energy generated or purchased by the electric provider from which renewable resource credits have not been separated.

AB649-ASA1,89,19 (b) Nonelectric energy credits. The commission shall promulgate rules allowing any person to create nonelectric energy credits in an amount equal to one credit for each megawatt hour equivalent of nonelectric energy produced or generated by the person in this state. The rules shall include requirements and procedures for determining the megawatt hour equivalent of nonelectric energy, measuring and verifying nonelectric energy, and demonstrating that nonelectric energy has displaced fossil fuel use in this state. In determining the megawatt hour equivalent of nonelectric energy, the rules shall reduce the megawatt hour equivalent to account for the energy consumed in producing or generating the nonelectric energy.

AB649-ASA1,89,21 (c) In general. 1. A person that creates a portfolio credit may assign ownership of the credit to another person by contract.

AB649-ASA1,89,25 2. A person that purchases portfolio credits may sell, trade, transfer, assign, bank for future use, or permanently retire the credits, or, if the person is an electric provider, elect to include the credits in the electric provider's renewable energy percentage.

AB649-ASA1,90,3 3. A portfolio credit remains eligible to be included in a renewable energy percentage until an electric provider uses the credit in the electric provider's renewable energy percentage or the owner of the credit retires the credit.

AB649-ASA1,90,12 4. The commission shall promulgate rules that establish requirements and procedures for creating, selling, trading, transferring, assigning, banking, and retiring portfolio credits, for an electric provider's inclusion of portfolio credits in the electric provider's renewable energy percentage, and for tracking portfolio credits under a regional credit tracking system designated by the commission. The commission may designate a regional credit tracking system other than the Midwest Renewable Energy Tracking System only if the commission determines that the other system has eligibility and verification requirements that are comparable to the Midwest Renewable Energy Tracking System.

AB649-ASA1, s. 219 Section 219. 196.378 (3m) of the statutes is created to read:

AB649-ASA1,90,14 196.378 (3m) Conservation certificates. (a) In this subsection:

AB649-ASA1,90,16 1. "Commitment to community program" has the meaning given in s. 196.374 (1) (b).

AB649-ASA1,90,20 2. "Eligible facility" means a facility of an agricultural, commercial, industrial, governmental, or institutional customer or member of an electric provider that is a large customer or member. The commission shall promulgate rules defining "large customer or member" for purposes of this subdivision.

AB649-ASA1,90,21 3. "Supplemental utility program" has the meaning given in s. 196.374 (1) (mh).

AB649-ASA1,90,23 4. "Utility-administered program" has the meaning given in s. 196.374 (1) (mu).

AB649-ASA1,91,4 (b) The commission shall promulgate rules allowing for the creation of conservation certificates in an amount equal to one certificate for each megawatt hour of electric energy conserved under a project at an eligible facility if all of the requirements of par. (c) are satisfied. The rules shall include requirements and procedures for calculating the megawatt hours of electric energy that is conserved under a project and for determining that the requirements of par. (c) are satisfied.

AB649-ASA1,91,7 (bm) 1. A person who creates a conservation certificate under the rules promulgated under par. (b) may assign ownership of the certificate to another person by contract.

AB649-ASA1,91,11 2. A person that purchases a conservation certificate may sell, trade, transfer, assign, bank for future use, or permanently retire the certificate, or, if the person is an electric provider, elect to include the certificate in the electric provider's renewable energy percentage as specified in sub. (2) (b) 1g.

AB649-ASA1,91,14 3. A conservation certificate is eligible to be included in a renewable energy percentage until an electric provider uses the certificate in the electric provider's renewable energy percentage or the owner of the certificate retires the certificate.

AB649-ASA1,91,16 (c) A conservation certificate based on a project at an eligible facility may be created only if all of the following are satisfied:

AB649-ASA1,91,18 1. The project is installed under a utility-administered program, a supplemental utility program, or a commitment to community program.

AB649-ASA1,91,20 2. The project is implemented or placed into service on or after the effective date of this subdivision .... [LRB inserts date].

AB649-ASA1,92,5 3. If the project is installed under a utility-administered program or supplemental utility program, the person installing the project complies with labor standards for the work force involved in the project specified by rule by the commission. The rules shall specify minimum wages that must be paid to a specified percentage of the work force, minimum health care benefits that the must be provided to the work force, and apprenticeship and training requirements for the work force. The rules shall also allow the commission to waive application of any requirement under the rules under conditions specified in the rules. To the extent practicable, the rules shall minimize the regulatory burden of complying with the rules.

AB649-ASA1, s. 220 Section 220. 196.378 (4) of the statutes, as affected by 2009 Wisconsin Act 40, is repealed.

AB649-ASA1, s. 221 Section 221. 196.378 (4m) (a) of the statutes is amended to read:

AB649-ASA1,92,16 196.378 (4m) (a) The commission may not impose on an electric provider any requirement that increases the electric provider's renewable energy percentage or in-state percentage beyond that required under sub. (2) (a) 2. the renewable portfolio standard. If an electric provider is in compliance with the requirements of sub. (2) (a) 2. renewable portfolio standard, the commission may not require the electric provider to undertake, administer, or fund any other renewable energy program. This paragraph does not limit the authority of the commission to enforce an electric provider's obligations under s. 196.374.

AB649-ASA1, s. 222 Section 222. 196.378 (4m) (b) of the statutes is amended to read:

AB649-ASA1,92,22 196.378 (4m) (b) An electric utility may, with commission approval, administer or fund a program that increases the electric utility's renewable energy percentage or in-state percentage beyond that required under sub. (2) (a) 2. the renewable portfolio standard. The commission may not order an electric utility to administer or fund a program under this paragraph.

AB649-ASA1, s. 223 Section 223. 196.378 (5) (intro.) of the statutes is amended to read:

AB649-ASA1,93,6 196.378 (5) Penalty. (intro.) Any person who violates sub. (2) or any renewable energy supplier who provides an electric provider with a false or misleading certification information regarding the sources or amounts of renewable energy 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 on behalf of the state by the attorney general. A court imposing a forfeiture under this subsection shall consider all of the following in determining the amount of the forfeiture:

AB649-ASA1, s. 224 Section 224. 196.378 (5) (a) of the statutes is amended to read:

AB649-ASA1,93,9 196.378 (5) (a) The appropriateness of the forfeiture to the person's or wholesale supplier's volume of business.

AB649-ASA1, s. 225 Section 225. 196.378 (6) of the statutes is created to read:

AB649-ASA1,93,17 196.378 (6) Coordination with federal law. The commission shall minimize reporting and other compliance requirements on electric providers to the maximum extent allowed under this section for the purpose of coordination with any similar requirements under federal law. If the commission determines that statutory changes to this section are necessary to comply with this subsection, the commission shall submit a report recommending the statutory changes to the legislature in the manner described under s. 13.172 (3).

AB649-ASA1, s. 226 Section 226. 196.49 (1) of the statutes is renumbered 196.49 (1r).

AB649-ASA1, s. 227 Section 227. 196.49 (1g) of the statutes is created to read:

AB649-ASA1,93,20 196.49 (1g) In this section:

AB649-ASA1,93,24 (a) "Nuclear power plant" means a nuclear power plant, as defined in s. 196.491 (1) (j), for which the commission has issued a certificate of public convenience and necessity under s. 196.491 (3) on or after the date specified in the notice published under s. 196.493 (3) (b).

AB649-ASA1,94,2 (b) "Nuclear power plant owner or operator" means a person, other than a public utility, that owns or operates a nuclear power plant.