SB450,88,2524
196.374
(4) (a) 2. Shall provide services to
utility customers target fuel users 25on a nondiscriminatory basis and subject to a
customer's user's choice.
SB450, s. 122
1Section
122. 196.374 (4) (b) of the statutes is amended to read:
SB450,89,92
196.374
(4) (b) An energy utility that provides financing under
an energy
3efficiency program under sub. (2) (b) 1. or 2. a utility-administered or supplemental
4utility program for installation, by a customer, of energy efficiency or renewable
5resource processes, equipment, or appliances, or an affiliate of such a utility, may not
6sell to or install for the customer those processes, equipment, appliances, or related
7materials. The customer shall acquire the installation of the processes, equipment,
8appliances, or related materials from an independent contractor of the customer's
9choice.
SB450, s. 123
10Section
123. 196.374 (5) (a) of the statutes is amended to read:
SB450,89,1411
196.374
(5) (a)
Rate-making orders. The commission shall ensure in
12rate-making orders that an energy utility recovers from its ratepayers the amounts
13the energy utility
spends for pays for statewide, utility-administered, and
14supplemental utility programs
under sub. (2) (a) 1.
SB450, s. 124
15Section
124. 196.374 (5) (bm) 3. of the statutes is repealed.
SB450, s. 125
16Section
125. 196.374 (5) (d) of the statutes is amended to read:
SB450,89,2117
196.374
(5) (d)
Equitable contributions. Subject to pars. (b) and (bm) 2., the
18commission shall ensure that the cost of
energy efficiency and renewable resource 19the statewide and utility-administered programs is equitably divided among
20customer classes so that similarly situated ratepayers contribute equivalent
21amounts for the programs.
SB450, s. 126
22Section
126. 196.374 (5m) (a) of the statutes is amended to read:
SB450,90,623
196.374
(5m) (a)
The Except as provided in par. (am), the commission shall
24ensure that, on an annual basis, each customer class of an energy utility has the
25opportunity to receive grants and benefits under
energy efficiency the statewide and
1utility-administered programs in an amount equal to the amount that is recovered
2from the customer class under sub. (5) (a). Biennially, the commission shall submit
3a report to the governor, and the chief clerk of each house of the legislature for
4distribution to the legislature under s. 13.172 (2), that summarizes the total amount
5recovered from each customer class and the total amount of grants made to, and
6benefits received by, each customer class.
SB450, s. 127
7Section
127. 196.374 (5m) (am) of the statutes is created to read:
SB450,90,138
196.374
(5m) (am) The commission may allow a customer class of an energy
9utility the opportunity to receive grants and benefits under the statewide and
10utility-administered programs in an amount that is not equal to the amount
11recovered from the customer class under sub. (5) (a), but only if the commission finds
12that the allowance is in the public interest and promotes the cost-effective
13achievement of a goal established under sub. (3) (bn) 1. e. or 2. c.
SB450, s. 128
14Section
128. 196.374 (5m) (b) of the statutes is amended to read:
SB450,90,2115
196.374
(5m) (b) The commission shall ensure that
customers target fuel users 16throughout the state have an equivalent opportunity to receive the benefits of the
17statewide and utility-administered programs
under sub. (2) (a) 1. and (b) 1. The
18commission shall ensure that
the statewide programs are designed to ensure that
19retail customers target fuel users in areas not served by
utility-administered 20programs
under sub. (2) (b) 1. receive equivalent opportunities as those in areas
21served by
utility-administered programs
under sub. (2) (b) 1.
SB450, s. 129
22Section
129. 196.374 (6) of the statutes is amended to read:
SB450,91,323
196.374
(6) Annual statements. Annually, the commission shall prepare a
24statement that describes the
statewide, utility-administered, supplemental utility,
25and large energy customer programs
under sub. (2) (a) 1., (b) 1. and 2., and (c), and
1ordered programs, administered or funded by the energy utility and presents cost
2and benefit information for those programs. An energy utility shall provide each of
3its customers with a copy of the statement.
SB450, s. 130
4Section
130. 196.374 (7) (a) of the statutes is repealed.
SB450, s. 131
5Section
131. 196.374 (7) (am) of the statutes is created to read:
SB450,91,106
196.374
(7) (am)
Quadrennial funding of goals. Except as provided in par. (bg),
7in each year of the quadrennium following the proceeding under sub. (3) (bc), each
8municipal utility and retail electric cooperative shall spend the amount determined
9by the municipal utility or retail electric cooperative under sub. (3) (br) 2. for that
10year on the following:
SB450,91,1311
1. Commitment to community programs administered individually by the
12municipal utility or retail electric cooperative or jointly by the municipal utility or
13retail cooperative and other municipal utilities or retail electric cooperatives.
SB450,91,1614
2. Contracts with a statewide programs contractor to administer commitment
15to community programs in the service territory of the municipal utility or retail
16electric cooperative.
SB450,91,1917
3. Contracts with a wholesale supplier to administer commitment to
18community programs in the service territory of the municipal utility or retail electric
19cooperative.
SB450,91,2120
4. Any combination of commitment to community programs or contracts under
21subds. 1. to 3.
SB450, s. 132
22Section
132. 196.374 (7) (b) (title) of the statutes is renumbered 196.374 (7)
23(br) (title).
SB450, s. 133
24Section
133. 196.374 (7) (b) 1. of the statutes is renumbered 196.374 (7) (br)
25and amended to read:
SB450,92,5
1196.374
(7) (br)
Except as provided in subd. 2., each retail electric cooperative
2and municipal utility shall spend the fees that it charges under par. (a) on
3commitment to community programs. The purpose of the
commitment to community 4programs
under this paragraph shall be to help achieve environmentally sound and
5adequate energy supplies at reasonable cost.
SB450, s. 134
6Section
134. 196.374 (7) (b) 2. of the statutes is repealed.
SB450, s. 135
7Section
135. 196.374 (7) (bg) of the statutes is created to read:
SB450,92,138
196.374
(7) (bg)
Wholesale supplier assignments. A municipal utility or retail
9electric cooperative may assign to a wholesale supplier the duty to achieve a goal
10determined for the municipal utility or retail electric cooperative under sub. (3) (bn)
111. f. for a regulated fuel. If a wholesale supplier accepts an assignment, the wholesale
12supplier shall notify the commission. A wholesale supplier that accepts an
13assignment shall do all of the following:
SB450,92,1414
1. Determine the amount of funds necessary to achieve the assigned goal.
SB450,92,1715
2. Spend the amount determined under subd. 1. in administering commitment
16to community programs on behalf of the municipal utility or retail electric
17cooperative.
SB450,92,1918
3. Prepare and provide statements on behalf of the municipal utility or retail
19electric cooperative under par. (dm).
SB450,92,2120
4. Provide for audits and submit reports on behalf of the municipal utility or
21retail electric cooperative under par. (e).
SB450,92,2522
5. If the wholesale supplier accepts an assignment from more than one
23municipal utility or retail electric cooperative, carry out the duties specified in subds.
241. to 4. on an aggregate basis for all the municipal utilities and retail electric
25cooperatives for which the wholesale supplier has accepted an assignment.
SB450, s. 136
1Section
136. 196.374 (7) (c) of the statutes is repealed.
SB450, s. 137
2Section
137. 196.374 (7) (cm) of the statutes is created to read:
SB450,93,53
196.374
(7) (cm)
Cost recovery. The commission shall ensure in rate-making
4orders that a municipal utility recovers from its ratepayers the amounts the
5municipal utility spends to comply with this section.
SB450, s. 138
6Section
138. 196.374 (7) (d) of the statutes is repealed.
SB450, s. 139
7Section
139. 196.374 (7) (dm) of the statutes is created to read:
SB450,93,118
196.374
(7) (dm)
Annual statements. Annually, a municipal utility or retail
9electric cooperative shall prepare a statement that describes the municipal utility's
10or retail electric cooperative's commitment to community programs and provide
11customers or members with a copy of the statement.
SB450, s. 140
12Section
140. 196.374 (7) (e) (title) of the statutes is repealed and recreated to
13read:
SB450,93,1414
196.374
(7) (e) (title)
Audits and reports.
SB450, s. 141
15Section
141. 196.374 (7) (e) 1. (intro.) of the statutes is amended to read:
SB450,93,2116
196.374
(7) (e) 1. (intro.) Annually, each municipal utility and retail electric
17cooperative
that spends the fee that it charges under par. (a) for commitment to
18community programs under par. (b) shall provide for an independent
financial and
19program audit of
its the commitment to community programs
that it administers or
20for which it contracts under par. (am) and submit a report to the commission that
21describes all of the following:
SB450, s. 142
22Section
142. 196.374 (7) (e) 1. a. of the statutes is amended to read:
SB450,94,323
196.374
(7) (e) 1. a. An accounting of
any fees charged to customers or members
24under par. (a) in the year
in order to comply with the spending required under par.
25(am) and
an accounting of the expenditures
in the year on commitment to community
1programs
under par. (b), including any amounts included in the municipal utility's
2or retail electric cooperative's calculations under par. (c) that the municipal utility
3or retail electric cooperative administers or for which it contracts under par. (am).
SB450, s. 143
4Section
143. 196.374 (7) (e) 1. b. of the statutes is amended to read:
SB450,94,75
196.374
(7) (e) 1. b. A description of
the commitment to community programs
6established by the municipal utility or retail electric cooperative in the year 7described in subd. 1. a.
SB450, s. 144
8Section
144. 196.374 (7) (e) 1. c. of the statutes is amended to read:
SB450,94,119
196.374
(7) (e) 1. c. The effectiveness of the commitment to community
10programs
described in subd. 1. a. in reducing demand for
electricity by customers or
11members regulated fuels.
SB450, s. 145
12Section
145. 196.374 (7) (e) 1. e. of the statutes is created to read:
SB450,94,1513
196.374
(7) (e) 1. e. An assessment, based on the program audit, of whether the
14commitment to community programs described in subd. 1. a. have met the goal for
15each regulated fuel for the year determined under sub. (3) (bn) 1. f.
SB450, s. 146
16Section
146. 196.374 (8) of the statutes is renumbered 196.374 (8) (d) and
17amended to read:
SB450,94,2418
196.374
(8) (d)
Exceptions. An energy utility that
spends pays to a statewide
19programs contractor the full amount required under sub. (3)
(b) 2. (bw) 3. in any year
20is considered to have satisfied its requirements under this section for that year.
A
21municipal utility or retail electric cooperative that contracts with a statewide
22programs contractor under sub. (7) (am) 2. to achieve each of the utility's or
23cooperative's goals determined under sub. (3) (bn) 1 f. for a year is considered to have
24satisfied its requirements under this section for that year.
SB450, s. 147
25Section
147. 196.374 (8) (a), (b) and (c) of the statutes are created to read:
SB450,95,9
1196.374
(8) (a)
Determinations. 1. a. For each quadrennium following the
2proceeding under sub. (3) (bc), the commission shall determine the annual average
3reduction in demand for and use of each target fuel that is achieved under the
4statewide programs and achieved by or on behalf of each municipal utility and retail
5electric cooperative through commitment to community programs. Except as
6provided in subds. 1. b. and 1. c., if the annual average reduction for a target fuel
7equals or exceeds the average of the goals determined under sub. (3) (bn) 1. e., 1. f.,
8or 2. c. for the quadrennium, the commission shall conclude that the goal is achieved
9for the quadrennium.
SB450,95,1510
b. If a municipal utility or retail electric cooperative enters into a contract
11under sub. (7) (am) 3. with a wholesale supplier and at least one other municipal
12utility or retail electric cooperative enters into a similar contract with the wholesale
13supplier, the commission shall determine whether to conclude that a goal is achieved
14for a regulated fuel for a year under subd. 1. a. based on the aggregate annual average
15reduction that results for that regulated fuel for that year under all of the contracts.
SB450,95,2116
c. If a wholesale supplier accepts assignment of a goal under sub. (7) (bg) for
17a regulated fuel for a year from more than one municipal utility or retail electric
18cooperative, the commission shall determine whether to conclude that the goal is
19achieved on an aggregate basis for all the municipal utilities and retail electric
20cooperatives for which the wholesale supplier has accepted the assignment, rather
21than on an individual basis for each municipal utility or retail electric cooperative.
SB450,96,222
2. For each utility-administered, supplemental utility, and large energy
23customer program, the commission shall determine whether the program achieved
24the goals approved for the program under sub. (3) (c) 2. on average over the time
1period in which the program is in effect or another time period specified by the
2commission.
SB450,96,63
(b)
Reviews. 1. If the commission determines under par. (a) that a goal is not
4achieved, the commission shall investigate, as applicable, the statewide programs or
5the utility-administered, large energy customer, or commitment to community
6programs at issue, and determine the reasons for failure to achieve the goal.
SB450,96,137
2. If the commission determines under subd. 1. that a statewide programs
8contractor or person administering the utility-administered, large energy customer,
9or commitment to community program made a good faith effort to meet the goal and
10that the failure is due to factors outside the statewide program contractor's or
11person's control, the commission shall take those factors into account in modifying
12goals for and, where applicable, approving future programs administered by the
13statewide programs contractor or person.
SB450,96,2314
3. If the commission determines under subd. 1. that a statewide programs
15contractor or person administering the utility-administered, large energy customer,
16or commitment to community program did not make a good faith effort to achieve the
17goal or that the failure to achieve the goal was due to factors within the statewide
18program contractor's or person's control, the commission shall implement remedies
19according to the rules promulgated under par. (c). The commission may determine
20that a statewide programs contractor or person administering the
21utility-administered, large energy customer, or commitment to community program
22did not make a good faith effort to meet a goal only if the commission finds any of the
23following:
SB450,96,2524
a. The statewide programs contractor or person has repeatedly or grossly failed
25to meet a goal.
SB450,97,4
1b. For a commitment to community program, the municipal utility, retail
2electric cooperative, or wholesale supplier administering or contracting for the
3program did not determine an amount of funds under sub. (3) (br) 2. or (7) (bg) 1. that
4could reasonably be considered necessary to achieve the goal.
SB450,97,55
c. Any other condition specified by the commission by rule.
SB450,97,126
(c)
Remedies. The commission shall promulgate rules specifying remedies to
7implement under par. (b) 3. that are in proportion to the magnitude of the failure to
8achieve a goal and the degree to which a statewide programs contractor or person
9administering the utility-administered, large energy customer, or commitment to
10community program did not make a good faith effort or did not control the factors
11that resulted in the failure to achieve the goal. The rules shall include all of the
12following remedies:
SB450,97,1613
1. An order that a statewide programs contractor or person take corrective
14actions, which may include achieving the goal in a year or other time period specified
15by the commission, in addition to achieving any other goal under this section that
16applies to that year or time period.
SB450,97,1717
2. For a goal under the statewide programs:
SB450,97,2018
a. An order that the energy utilities invoke any provisions of a contract under
19sub. (2) (a) 1., or that a statewide programs contractor invoke any provisions of a
20subcontract, that impose monetary penalties for failure to achieve a goal.
SB450,97,2321
b. An order that the energy utilities modify or terminate the contract with a
22statewide programs contractor under sub. (2) (a) 1. or an order that a statewide
23programs contractor modify or terminate any subcontract.
SB450,97,2524
3. For a goal under a utility-administered or large energy customer program,
25an order modifying or terminating the program.
SB450,98,5
14. For a goal of a municipal utility or retail electric cooperative, an order
2requiring the municipal utility or retail electric cooperative to modify or terminate
3a contract with or assignment to a wholesale supplier under sub. (7) (am) 3. or (bg),
4or enter into a contract with a statewide programs contractor under sub. (7) (am) 2.,
5or an order requiring both.
SB450,98,66
5. Any other remedy specified by the commission.
SB450, s. 148
7Section
148. 196.374 (9) of the statutes is created to read:
SB450,98,148
196.374
(9) Treatment of certain capital investments. (a) The commission
9may allow an energy utility to earn a return on capital invested under a
10utility-administered or supplemental utility program for energy conservation or
11efficiency equipment that is located on customer premises, including equipment
12owned by either the energy utility or a customer. The commission may make such
13an allowance only if the commission determines that the investment is prudent and
14a cost-effective means of advancing energy conservation or efficiency.
SB450,98,1615
(b) If the commission makes an allowance under par. (a), all of the following
16apply:
SB450,98,2017
1. If the investment is made to replace existing equipment, the commission
18shall allow the energy utility to earn a return only on that portion of the investment
19that can be attributed to improving energy conservation or efficiency in comparison
20to the existing equipment.
SB450,98,2521
2. If the investment is made to install new equipment that does not replace
22existing equipment, the commission shall allow the energy utility to earn a return
23only on that portion of the investment that can be attributed to improving energy
24conservation or efficiency in comparison to generally available alternative
25equipment.
SB450,99,3
1(c) The commission shall promulgate rules to implement this subsection,
2including rules specifying the energy conservation or efficiency equipment that
3qualifies for treatment under par. (a).
SB450, s. 149
4Section
149. 196.377 (title) of the statutes is repealed.
SB450, s. 150
5Section
150. 196.377 (1) of the statutes is renumbered 196.377.
SB450, s. 151
6Section
151. 196.377 (2) of the statutes is repealed.
SB450, s. 152
7Section
152. 196.378 (1) (intro.) and (ag) of the statutes are renumbered
8196.378 (1r) (intro.) and (ag), and 196.378 (1r) (ag), as renumbered, is amended to
9read:
SB450,99,1110
196.378
(1r) (ag) "Baseline renewable percentage" means the average of an
11energy electric provider's renewable energy percentage for 2001, 2002, and 2003.
SB450, s. 153
12Section
153. 196.378 (1) (am) of the statutes is repealed.
SB450, s. 154
13Section
154. 196.378 (1) (ar) of the statutes is renumbered 196.378 (1r) (ar)
14and amended to read:
SB450,99,2015
196.378
(1r) (ar) "Biomass"
means a resource that derives energy from wood
16or plant material or residue, biological waste, crops grown for use as a resource or
17landfill gases. "Biomass" does not include garbage, as defined in s. 289.01 (9), or
18nonvegetation-based industrial, commercial or household waste, except that
19"biomass" includes refuse-derived fuel used for a renewable facility that was in
20service before January 1, 1998 has the meaning given in s. 196.374 (1) (am).
SB450, s. 155
21Section
155. 196.378 (1) (b) of the statutes is repealed.
SB450, s. 156
22Section
156. 196.378 (1) (c) and (d) of the statutes are renumbered 196.378 (1r)
23(c) and (d).