196.491(2)(gm)
(gm) Based on comments received on a draft, the commission shall prepare a final strategic energy assessment within 90 days after a hearing under
par. (g). The commission shall provide copies of the final strategic energy assessment to any state agency, county, municipality, town or other person who submitted comments on the draft under
par. (e) and to the persons specified in
par. (b).
196.491(2r)
(2r) Local ordinances. No local ordinance may prohibit or restrict testing activities undertaken by an electric utility for purposes of determining the suitability of a site for the placement of a facility. Any local unit of government objecting to such testing may petition the commission to impose reasonable restrictions on such activity.
196.491(3)
(3) Certificate of public convenience and necessity. 196.491(3)(a)1.1. Except as provided in
sub. (3b), no person may commence the construction of a facility unless the person has applied for and received a certificate of public convenience and necessity under this subsection. An application for a certificate issued under this subsection shall be in the form and contain the information required by commission rules and shall be filed with the commission not less than 6 months prior to the commencement of construction of a facility. Within 10 days after filing an application under this subdivision, the commission shall send a copy of the application to the clerk of each municipality and town in which the proposed facility is to be located and to the main public library in each such county.
196.491(3)(a)2.
2. The commission shall determine whether an application filed under
subd. 1. is complete and, no later than 30 days after the application is filed, notify the applicant about the determination. If the commission determines that the application is incomplete, the notice shall state the reason for the determination. An applicant may supplement and refile an application that the commission has determined to be incomplete. There is no limit on the number of times that an applicant may refile an application under this subdivision. If the commission fails to determine whether an application is complete within 30 days after the application is filed, the application shall be considered to be complete.
196.491(3)(a)3.a.a. At least 60 days before a person files an application under
subd. 1., the person shall provide the department with an engineering plan if the facility is a large electric generating facility or a detailed project plan if the facility is a high-voltage transmission line. The engineering or project plan shall show the location of the facility, a description of the facility, including the major components of the facility that have a significant air, water or solid waste pollution potential, and a brief description of the anticipated effects of the facility on air quality, water quality, wetlands, solid waste disposal capacity, and other natural resources. Within 30 days after a person provides an engineering or project plan, the department shall provide the person with a listing of each department permit or approval which, on the basis of the information contained in the engineering or project plan, appears to be required for the construction or operation of the facility.
196.491(3)(a)3.b.
b. Within 20 days after the department provides a listing specified in
subd. 3. a. to a person, the person shall apply for the permits and approvals identified in the listing. The department shall determine whether an application under this
subd. 3. b. is complete and, no later than 30 days after the application is filed, notify the applicant about the determination. If the department determines that the application is incomplete, the notice shall state the reason for the determination. An applicant may supplement and refile an application that the department has determined to be incomplete. There is no limit on the number of times that an applicant may refile an application under this
subd. 3. b. If the department fails to determine whether an application is complete within 30 days after the application is filed, the application shall be considered to be complete. The department shall complete action on an application under this
subd. 3. b. for any permit or approval that is required prior to construction of a facility within 120 days after the date on which the application is determined or considered to be complete.
196.491(3)(b)
(b) The commission shall hold a public hearing on an application filed under
par. (a) 1. that is determined or considered to be complete in the area affected pursuant to
s. 227.44. A class 1 notice, under
ch. 985, shall be given at least 30 days prior to the hearing.
196.491(3)(d)
(d) Except as provided under
par. (e) and
s. 196.493, the commission shall approve an application filed under
par. (a) 1. 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 an application filed under
par. (a) 1. 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 under this subsection 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)
(g) The commission shall take final action on an application filed under
par. (a) 1. 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)(gm)
(gm) The commission may not approve an application filed after October 29, 1999, under this subsection 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 subsection 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)(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 for which an application is filed under
par. (a) 1. 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(3b)(a)(a) A person who proposes to construct a high-voltage transmission line may apply for a certificate under this subsection if the construction is limited to adding conductors to existing transmission poles or towers and if all related construction activity takes place entirely within the area of an existing electric transmission line right-of-way.
196.491(3b)(b)
(b) The commission shall promulgate rules specifying the information that must be included in an application under this subsection. If the commission receives an application that complies with rules, the commission shall, as soon as practicable, notify the applicant that the commission has received a complete application.
196.491(3b)(c)
(c) The commission is considered to have issued a certificate of public convenience and necessity under
sub. (3) for construction specified in an application under
par. (a) unless the commission notifies the applicant, no later than 30 business days after the date on which the commission notifies an applicant under
par. (b) that the application is complete, that the commission has determined that the public interest requires the applicant to obtain a certificate under
s. 196.49.
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)1.1. 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 345 kilovolts if all related construction activity takes place entirely within the area of an existing electric transmission line right-of-way.
196.491(4)(c)2.
2. The commission is not required to prepare an environmental impact statement under under
s. 1.11 (2) (c) for construction that is specified in
subd. 1., but shall prepare an environmental assessment regarding the construction if an environmental assessment is required under the commission's rules.
196.491(4)(c)3.
3. If construction or utilization of a high-voltage transmission line described in
subd. 1. is precluded or inhibited by a local ordinance, the construction and utilization of the line may nevertheless proceed.
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(6)
(6) Waiver. 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.
