196.491(3)(d)
(d) Except as provided under
par. (e) and
s. 196.493, the commission shall approve an application for a certificate of public convenience and necessity only if the commission determines all of the following:
196.491(3)(d)2.
2. The proposed facility satisfies the reasonable needs of the public for an adequate supply of electric energy. This subdivision does not apply to a wholesale merchant plant.
196.491(3)(d)3.
3. The design and location or route is in the public interest considering alternative sources of supply, alternative locations or routes, individual hardships, engineering, economic, safety, reliability and environmental factors, except that the commission may not consider alternative sources of supply or engineering or economic factors if the application is for a wholesale merchant plant. In its consideration of environmental factors, the commission may not determine that the design and location or route is not in the public interest because of the impact of air pollution if the proposed facility will meet the requirements of
ch. 285.
196.491(3)(d)3m.
3m. For a high-voltage transmission line, as defined in
s. 30.40 (3r), that is to be located in the lower Wisconsin state riverway, as defined in
s. 30.40 (15), the high-voltage transmission line will not impair, to the extent practicable, the scenic beauty or the natural value of the riverway. The commission may not require that a high-voltage transmission line, as defined in
s. 30.40 (3r), be placed underground in order for it to approve an application.
196.491(3)(d)3r.
3r. For a high-voltage transmission line that is proposed to increase the transmission import capability into this state, existing rights-of-way are used to the extent practicable and the routing and design of the high-voltage transmission line minimizes environmental impacts in a manner that is consistent with achieving reasonable electric rates.
196.491(3)(d)3t.
3t. For a high-voltage transmission line that is designed for operation at a nominal voltage of 345 kilovolts or more, the high-voltage transmission line provides usage, service or increased regional reliability benefits to the wholesale and retail customers or members in this state and the benefits of the high-voltage transmission line are reasonable in relation to the cost of the high-voltage transmission line.
196.491(3)(d)4.
4. The proposed facility will not have undue adverse impact on other environmental values such as, but not limited to, ecological balance, public health and welfare, historic sites, geological formations, the aesthetics of land and water and recreational use. In its consideration of the impact on other environmental values, the commission may not determine that the proposed facility will have an undue adverse impact on these values because of the impact of air pollution if the proposed facility will meet the requirements of
ch. 285.
196.491(3)(d)6.
6. The proposed facility will not unreasonably interfere with the orderly land use and development plans for the area involved.
196.491(3)(d)7.
7. The proposed facility will not have a material adverse impact on competition in the relevant wholesale electric service market.
196.491(3)(dm)
(dm) In making a determination required under
par. (d), the commission may not consider a factual conclusion in a strategic energy assessment unless the conclusion is independently corroborated in the hearing under
par. (b).
196.491(3)(e)
(e) If the application does not meet the criteria under
par. (d), the commission shall reject the application or approve the application with such modifications as are necessary for an affirmative finding under
par. (d). The commission may not issue a certificate of public convenience and necessity until the department has issued all permits and approvals identified in the listing specified in
par. (a) 3. a. that are required prior to construction.
196.491(3)(g)1.1. The commission shall take final action on an application within 180 days after the application is determined or considered to be complete under
par. (a) 2. If the commission fails to take final action within the 180-day period, the commission is considered to have issued a certificate of public convenience and necessity with respect to the application, unless the commission, within the 180-day period, petitions the circuit court for Dane County for an extension of time for taking final action on the application and the court grants an extension. Upon a showing of good cause, the court may extend the 180-day period for no more than an additional 180 days . If the commission fails to take final action within the extended period, the commission is considered to have issued a certificate of public convenience and necessity with respect to the application.
196.491(3)(g)1m.
1m. Subdivision 1. does not apply to an application for a certificate of public convenience and necessity if another state is also taking action on the same or a related application.
196.491(3)(gm)
(gm) The commission may not approve an application filed after October 29, 1999, under this section for a certificate of public convenience and necessity for a high-voltage transmission line that is designed for operation at a nominal voltage of 345 kilovolts or more unless the approval includes the condition that the applicant shall pay the fees specified in
sub. (3g) (a). If the commission has approved an application under this section for a certificate of public convenience and necessity for a high-voltage transmission line that is designed for operation at a nominal voltage of 345 kilovolts or more that was filed after April 1, 1999, and before October 29, 1999, the commission shall require the applicant to pay the fees specified in
sub. (3g) (a). For any application subject to this paragraph, the commission shall determine the cost of the high-voltage transmission line, identify the counties, towns, villages and cities through which the high-voltage transmission line is routed and allocate the amount of investment associated with the high-voltage transmission line to each such county, town, village and city.
196.491(3)(h)
(h) The commission may waive compliance with any requirement of this section to the extent necessary to restore service which has been substantially interrupted by a natural catastrophe, accident, sabotage or act of God.
196.491(3)(i)
(i) If installation or utilization of a facility for which a certificate of convenience and necessity has been granted is precluded or inhibited by a local ordinance, the installation and utilization of the facility may nevertheless proceed.
196.491(3)(j)
(j) Any person whose substantial rights may be adversely affected or any county, municipality or town having jurisdiction over land affected by a certificate of public convenience and necessity may petition for judicial review, under
ch. 227, of any decision of the commission regarding the certificate.
196.491(3)(k)
(k) No person may purchase, or acquire an option to purchase, any interest in real property knowing that such property is being purchased to be used for the construction of a high-voltage transmission line unless the person gives written notice to the prospective seller of the size, maximum voltage and structure type of any transmission line planned to be constructed thereon and the person by whom it will be operated. Contracts made in violation of this paragraph are subject to rescission by the seller at any time prior to the issuance of a certificate of public convenience and necessity for the high-voltage transmission line by the commission.
196.491(3c)
(3c) Commencement of construction of large electric generating facilities. 196.491(3c)(a)(a) Except as provided in
par. (b), an electric utility that has received a certificate of public convenience and necessity under
sub. (3) for constructing a large electric generating facility shall commence construction no later than one year after the latest of the following:
196.491(3c)(a)1.
1. The date on which the commission issues the certificate of public convenience and necessity.
196.491(3c)(a)2.
2. The date on which the electric utility has been issued every federal and state permit, approval, and license that is required prior to commencement of construction.
196.491(3c)(a)3.
3. The date on which every deadline has expired for requesting administrative review or reconsideration of every federal and state permit, approval, and license that is required prior to commencement of construction.
196.491(3c)(a)4.
4. The date on which the electric utility has received the final decision, after exhaustion of judicial review, in every proceeding for judicial review described in
sub. (3) (j).
196.491(3c)(b)
(b) Upon showing of good cause, the commission may grant an extension to the deadline specified in
par. (a).
196.491(3c)(c)
(c) If an electric utility does not commence construction of a large electric generating facility within the deadline specified in
par. (a) or extended under
par. (b), the certificate of public convenience and necessity is void, and the electric utility may not commence construction of the large electric generating facility.
196.491(3g)
(3g) Fees for certain high-voltage transmission lines. 196.491(3g)(a)(a) A person who receives a certificate of public convenience and necessity for a high-voltage transmission line that is designed for operation at a nominal voltage of 345 kilovolts or more under
sub. (3) shall pay the department of administration an annual impact fee as specified in the rules promulgated by the department of administration under
s. 16.969 (2) (a) and shall pay the department of administration a one-time environmental impact fee as specified in the rules promulgated by the department of administration under
s. 16.969 (2) (b).
196.491(3g)(b)
(b) A person that pays a fee under
par. (a) may not use the payment to offset any other mitigation measure that is required in an order by the commission under
sub. (3) regarding the certificate of public convenience and necessity specified in
par. (a).
196.491(3m)(a)(a)
Commission approval required. Except as provided in
par. (e), an affiliated interest of a public utility may not own, control or operate a wholesale merchant plant without the approval of the commission. The commission shall grant its approval only if each of the following is satisfied:
196.491(3m)(a)1.
1. The public utility has transferred control over its transmission facilities, as defined in
s. 196.485 (1) (h), to an independent system operator, as defined in
s. 196.485 (1) (d), that is approved by the federal energy regulatory commission or the public utility has divested its interest in the transmission facilities to an independent transmission owner, as defined in
s. 196.485 (1) (dm).
196.491(3m)(a)2.
2. The commission finds that the ownership, control or operation will not have a substantial anticompetitive effect on electricity markets for any classes of customers.
196.491(3m)(b)1.1. The commission shall promulgate rules that establish requirements and procedures for an affiliated interest to apply for an approval under
par. (a). The rules shall do each of the following:
196.491(3m)(b)1.a.
a. Describe the showing that an applicant is required to make for the commission to grant an approval under
par. (a).
196.491(3m)(b)1.am.
am. Establish screening tests and safe harbors for proposed wholesale merchant plant projects, including projects in which an affiliated interest is a passive investor and over which the affiliated interest is not able to exercise control or influence and projects in which an affiliated interest's ownership interest is less than 5%.
196.491(3m)(b)1.b.
b. Describe the analytical process that the commission shall use in determining whether to make a finding under
par. (a) 2. and describe the factors specified in
subd. 3.
196.491(3m)(b)2.
2. The analytical process specified in
subd. 1. b. shall, to the extent practicable, be consistent with the analytical process described in the merger enforcement policy, as defined in
s. 196.485 (1) (dr).
196.491(3m)(b)3.
3. The commission shall use the following factors in determining whether to make a finding under
par. (a) 2.:
196.491(3m)(b)3.a.
a. The degree of market concentration resulting from the affiliated interest's proposed ownership, operation or control.
196.491(3m)(b)3.b.
b. The extent of control that the affiliated interest proposes to exercise over the wholesale merchant plant.
196.491(3m)(b)3.d.
d. Any other factor that the commission determines is necessary to determine whether to make a finding under
par. (a) 2.
196.491(3m)(c)1.a.
a. "Electric sale" means a sale of electricity that is generated at a wholesale merchant plant that is owned, operated or controlled by an affiliated interest.
196.491(3m)(c)1.b.
b. "Firm sale" means an electric sale in which electricity is intended to be available to a purchaser at all times during a specified period on an uninterruptible basis.
196.491(3m)(c)2.
2. The commission shall review any electric sale by an affiliated interest to a public utility with which the affiliated interest is affiliated. If the commission finds that an electric sale is not in the public interest, the commission shall do any of the following:
196.491(3m)(c)2.a.
a. Disallow the public utility's costs related to the sale in a rate-setting proceeding.
196.491(3m)(c)2.b.
b. Order the public utility to provide a refund, in an amount determined by the commission, to its customers.
196.491(3m)(c)2.c.
c. Order the public utility or affiliated interest to take any action that the commission determines is in the public interest, except that the commission may not order the public utility or affiliated interest to void the sale.
196.491(3m)(c)3.
3. An affiliated interest may not make any firm sale to a public utility with which the affiliated interest is affiliated if the firm sale satisfies any of the following:
196.491(3m)(c)3.b.
b. The period of the firm sale is less than 3 years and either the public utility or the affiliated interest has an option to extend the period to 3 years or more.
196.491(3m)(d)
(d)
Retail sales outside this state. The commission may not promulgate rules or issue orders that prohibit owners or operators of wholesale merchant plants from providing electric service to retail customers in another state.
196.491(3m)(e)
(e)
Exemption. An approval under
par. (a) is not required for an affiliated interest to own, operate or control a wholesale merchant plant in Grant County if the affiliated interest owned, operated or controlled the wholesale merchant plant before January 1, 1998.
196.491 Cross-reference
Cross Reference: See also s.
PSC 100.11, Wis. adm. code.
196.491(4)(b)(b) Subsection (3) does not apply to a person that constructs electric generating equipment and associated facilities if the person satisfies each of the following:
196.491(4)(b)1.
1. The person is not a public utility or a cooperative association organized under
ch. 185 for the purpose of generating, distributing or furnishing electric energy at retail or wholesale to its members only.
196.491(4)(b)2.
2. The person shows to the satisfaction of the commission that the person reasonably anticipates, at the time that construction of the equipment or facilities commences, that on each day that the equipment and facilities are in operation the person will consume no less than 70% of the aggregate kilowatt hours output from the equipment and facilities in manufacturing processes at the site where the equipment and facilities are located.
196.491(4)(c)
(c) A certificate under
sub. (3) is not required for a person to construct a high-voltage transmission line designed for operation at a nominal voltage of less than 230 kilovolts if all related construction activity takes place entirely within the area of an existing electric transmission line right-of-way.
196.491(5)
(5) Service standards for electric generation, transmission and distribution facilities. The commission shall promulgate rules that establish all of the following:
196.491(5)(a)
(a) Standards for inspecting, maintaining and repairing each of the following:
196.491(5)(a)1.
1. Electric generation facilities in this state that are owned by public utilities or provide service to public utilities under contracts with terms of 5 years or more.
196.491(5)(a)2.
2. Electric transmission or distribution facilities in this state that are owned by public utilities.
196.491(5)(b)
(b) Standards that the commission determines are necessary for the safe and reliable operation of each of the following:
196.491(5)(b)1.
1. Electric generation facilities in this state that are owned by public utilities or provide service to public utilities under contracts with terms of 5 years or more.
196.491(5)(b)2.
2. Electric transmission or distribution facilities in this state that are owned by public utilities.
196.491 Cross-reference
Cross Reference: See also ch.
PSC 112, Wis. adm. code.
196.491 Annotation
It was reasonable for the PSC to issue a certificate conditioned on the issuance of DNR permits when legislatively imposed time constraints could not have been met if sub. (3) (e) had been strictly followed and all permits required before the issuance of the certificate. Responsible Use of Rural & Agricultural Land v. PSC, 2000 WI 129,
239 Wis. 2d 660,
619 N.W.2d 888.
196.493
196.493
Construction of nuclear power plants limited. 196.493(1)(1)
Definition. In this section, "nuclear power plant" means a nuclear-fired large electric generating facility as defined under
s. 196.491 (1) (g).
196.493(2)(a)
(a) A federally licensed facility, or a facility outside of the United States which the commission determines will satisfy the public welfare requirements of the people of this state, with adequate capacity to dispose of high-level nuclear waste from all nuclear power plants operating in this state will be available, as necessary, for disposal of the waste; and
196.493(2)(b)
(b) The proposed nuclear power plant, in comparison with feasible alternatives, is economically advantageous to ratepayers, based upon:
196.493(2)(b)1.
1. The existence of a reliable and adequate nuclear fuel supply;
196.493(2)(b)2.
2. The costs for construction, operation and decommissioning of nuclear power plants and for nuclear waste disposal; and
196.493(2)(b)3.
3. Any other factor having an impact on the economics of nuclear power plants, as determined by the commission.
196.493 History
History: 1983 a. 401;
1997 a. 204.
196.493 Cross-reference
Cross Reference: See also ch.
PSC 111, Wis. adm. code.
196.494
196.494
Regional transmission planning. 196.494(1)(a)
(a) "Electric utility" means a public utility, other than a municipal utility, as defined in
s. 196.377 (2) (a) 3., that provides retail electric service to customers in this state.
196.494(1)(b)
(b) "Transmission facility" means any pipe, pipeline, duct, wire, line, conduit, pole, tower, equipment or other structure used for the transmission of electric power as determined by the commission.
