AB876,19 Section 19. 196.378 (2) (d) (intro.) of the statutes is amended to read:

AB876,10,21 196.378 (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). pars. (a) 2. and (am) 2. 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:

AB876,20 Section 20. 196.378 (2) (e) (intro.) of the statutes is amended to read:

AB876,11,4 196.378 (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. or (am) 2. 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 if the commission determines that the applicant has demonstrated good faith efforts to comply with the deadline and that any of the following applies:

AB876,21 Section 21. 196.378 (2) (f) (intro.) of the statutes is amended to read:

AB876,11,14 196.378 (2) (f) (intro.) A wholesale electric cooperative for its members or a municipal electric company for its members may delay compliance with a deadline specified in par. (a) 2. or (am) 2. for any reason specified in par. (e) 1. to 4. A wholesale electric cooperative or a municipal electric company that delays compliance with a deadline specified in par. (a) 2. or (am) 2. shall inform the commission of the delay and the reason for the delay, and shall submit information to the commission demonstrating that, notwithstanding good faith efforts by the wholesale electric cooperative or municipal electric company and its members, the members cannot meet the deadline for the stated reason.

AB876,22 Section 22. 196.378 (2) (g) 2. of the statutes is amended to read:

AB876,11,23 196.378 (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. or (am) 2. 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 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.

AB876,23 Section 23. 196.378 (3) (a) 1. of the statutes is renumbered 196.378 (3) (a) 1d. and amended to read:

AB876,12,16 196.378 (3) (a) 1d. Each Except as provided in subd. 1f., each megawatt hour of an electric provider's total renewable energy creates one renewable resource credit for the electric provider. Subject to subd. 2., an electric provider that exceeds its renewable energy percentage required under sub. (2) (a) 2. may, in the applicable year, bank any excess renewable resource credits or any portion of any excess renewable resource credit for use in a subsequent year or sell any excess renewable resource credits or any portion of any excess renewable resource credit to any other electric provider at any negotiated price. An electric provider that creates or purchases a renewable resource credit or portion may use the credit or portion, as provided under par. (c), to establish compliance with sub. (2) (a) 2. or (am) 2. The commission shall promulgate rules that establish requirements for the creation and use of a renewable resource credit created on or after January 1, 2004, including calculating the amount of a renewable resource credit, and for the tracking of renewable resource credits by a regional renewable resource credit tracking system. The rules shall specify the manner for aggregating or allocating credits under this subdivision or sub. (2) (b) 4. or 5.

AB876,24 Section 24. 196.378 (3) (a) 1b. of the statutes is created to read:

AB876,12,18 196.378 (3) (a) 1b. The legislature finds all of the following:

AB876,12,20 a.   It is essential to the health and safety and economic well-being of Wisconsin that the state maintain a highly reliable electric system at all times.

AB876,12,22 b. Historically, Wisconsin has relied on imports of electricity from other states for about 15 percent of the state's electricity needs.

AB876,13,2 c. It is essential to the health and safety and economic well-being of Wisconsin that the state take actions to mitigate global climate change from emissions of greenhouse gasses. Central to such mitigation efforts is reducing reliance on electricity produced from fossil fuels through policies such as the requirements under sub. (2) (a) 2.

AB876,13,6 d. To balance the competing imperatives of maintaining the reliability of the electric system and reducing dependence on electricity produced from fossil fuels, it is essential that Wisconsin encourages the production of electricity from renewable facilities in this state under subd. 1f. c.

AB876,25 Section 25. 196.378 (3) (a) 1f. of the statutes is created to read:

AB876,13,10 196.378 (3) (a) 1f. Each megawatt hour of electricity of an electric provider's total renewable energy creates 2 renewable resource credits for the electric provider if all of the following apply:

AB876,13,14 a. The facility that generated the electricity commenced operation prior to January 1, 2020, and is either a cogeneration production plant, as defined in s. 79.005 (1g), or a facility that generates electricity from direct radiant energy received from the sun.

AB876,13,19 b. If the electric provider is an electric utility that purchased the electricity, the terms and conditions of the purchase conformed with the standard purchase terms and conditions specified in the order directed to the electric utility under s. 196.379 (3) (a) that was in effect at the time of the purchase or the terms and conditions of the purchase were mutually agreed as provided under s. 196.379 (3) (b) 3.

AB876,13,20 c. The facility that generated the electricity is located in this state.

AB876,26 Section 26. 196.378 (3) (a) 1g. of the statutes is created to read:

AB876,13,25 196.378 (3) (a) 1g. An electric provider that exceeds a percentage required under sub. (2) (am) 2. may, in the applicable year, bank any excess biofuel credits or any portion of any excess biofuel credit, distinct from other renewable resource credits.

AB876,27 Section 27. 196.378 (3) (a) 1m. of the statutes is amended to read:

AB876,14,19 196.378 (3) (a) 1m. The commission shall promulgate rules that allow an electric provider or customer or member of an electric provider to create a renewable resource credit based on use in a year by the electric provider, customer, or member of solar energy, including solar water heating and direct solar applications such as solar space or water heating; integrated light pipe technology; wind energy; hydroelectric energy; geothermal energy; biomass; biogas; synthetic gas created by the plasma gasification of waste; densified fuel pellets described in sub. (1) (h) 1. i.; or fuel described in sub. (1) (h) 1. j.; but only if the use displaces the electric provider's, customer's, or member's use of electricity that is derived from conventional resources, and only if the displacement is verifiable and measurable, as determined by the commission. The rules shall allow an electric provider, customer, or member to create a renewable resource credit based on 100 percent of the amount of the displacement. The rules may not allow an electric provider to create renewable resource credits under this subdivision based on renewable energy upon which renewable resource credits are created under subd. 1. 1d. The rules may also not allow an electric provider to create renewable resource credits under this subdivision based on hydroelectric energy that is not eligible for creating renewable resource credits under subd. 1. 1d.

AB876,28 Section 28. 196.378 (3) (b) of the statutes is amended to read:

AB876,14,22 196.378 (3) (b) The commission may promulgate rules that establish requirements and procedures for a sale under par. (a) 1. 1d.

AB876,29 Section 29. 196.378 (3) (c) of the statutes is amended to read:

AB876,15,5 196.378 (3) (c) A renewable resource credit created under s. 196.378 (3) (a), 2003 stats., may not be used after December 31, 2011. A renewable resource credit created under par. (a) 1., 1d., 1f., 1m., or 2. may not be used after the 4th year after the year in which the credit is created, except the commission may promulgate rules specifying a different period of time if the commission determines that such period is necessary for consistency with any regional renewable resource credit trading program that applies in this state.