Closure of large electric generating facilities
The bill requires electric utilities and cooperative associations to notify PSC at least 180 days prior to closing any large electric generating facility with a capacity of 100 megawatts or more, and requires PSC, after public comment and hearing, to issue a determination as to whether the proposed closure will have an effect on electric reliability. The bill requires PSC to make its determination by considering the utility or cooperative’s most recent integrated resources and reliability plan and information collected from the electric utility or cooperative and from the public, as well as any other information PSC deems relevant. Under the bill, PSC must notify the electric utility or cooperative of its determination no less than 45 days prior to the planned closure.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
AB682,,44The people of the state of Wisconsin, represented in senate and assembly, do enact as follows: AB682,15Section 1. 196.025 (1) (ar) of the statutes is amended to read: AB682,,66196.025 (1) (ar) Consideration of energy priorities. Except as provided in pars. (b) to (d), to the extent cost-effective, technically feasible and environmentally sound, the commission shall implement the priorities under s. 1.12 (4) in making all energy-related decisions and orders, including strategic energy assessment approval of integrated resource and reliability plans under s. 196.491 (2), rate setting and rule-making orders. AB682,27Section 2. 196.027 (1) (d) 3. of the statutes is created to read: AB682,,88196.027 (1) (d) 3. The retiring of any existing electric generating facility. AB682,39Section 3. 196.027 (1) (f) of the statutes is renumbered 196.027 (1) (f) 1. (intro.) and amended to read: AB682,,1010196.027 (1) (f) 1. (intro.) “Environmental control cost” means capital all of the following: AB682,,1111a. Capital cost, including the capitalized cost relating to regulatory assets, incurred or expected to be incurred by an energy utility in undertaking an environmental control activity and, with respect to an environmental control activity described in par. (d) 2., includes or 3., the unrecovered value of property that is retired, including any demolition or similar cost that exceeds the salvage value of the property. AB682,,12122. “Environmental control cost” does not include any monetary penalty, fine, or forfeiture assessed against an energy utility by a government agency or court under a federal or state environmental statute, rule, or regulation. AB682,413Section 4. 196.027 (1) (f) 1. b. of the statutes is created to read: AB682,,1414196.027 (1) (f) 1. b. With respect to an environmental control activity described in par. (d) 3., and subject to sub. (2) (b) 2. a., the portion of an energy utility’s rate that is attributable to the rate of return for the facility authorized under the commission’s order in a rate-making proceeding and that is forgone as a result of the retirement. AB682,515Section 5. 196.027 (3) (b) of the statutes is amended to read: AB682,,1616196.027 (3) (b) The commission may not order or otherwise directly or indirectly require an energy utility to use environmental trust bonds to finance any a project, addition, plant, facility, extension, capital improvement, environmental control equipment, retirement, or any other expenditure, unless, except as provided in sub. (2) (c), the energy utility has made an application under sub. (2) (a) to finance such expenditure using environmental trust bonds. The commission may not refuse to allow an energy utility to recover costs for environmental control activities in an otherwise permissible fashion solely because of the potential availability of environmental trust financing. AB682,617Section 6. 196.378 (2) (c) of the statutes is amended to read: AB682,,1818196.378 (2) (c) 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 describes the electric provider’s compliance with par. (a) 2. 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 an integrated resource and reliability plan under s. 196.491 (2). No later than 90 days after the commission’s receipt of an electric provider’s report, the commission shall inform the electric provider whether the electric provider is in compliance with par. (a) 2. AB682,719Section 7. 196.491 (title) of the statutes is amended to read: AB682,,2020196.491 (title) Strategic energy assessment Integrated resource and reliability planning; electric generating facilities and transmission lines; natural gas lines. AB682,821Section 8. 196.491 (1) (b) of the statutes is amended to read: AB682,,2222196.491 (1) (b) “Commencement of construction” means site clearing, excavation, placement of facilities or installations, or any other substantial action adversely affecting the natural environment of the site, but does not mean borings necessary to determine foundation conditions or other preconstruction monitoring to establish background information related to site or environmental suitability. AB682,923Section 9. 196.491 (1) (fm) of the statutes is created to read: AB682,,2424196.491 (1) (fm) “Installation” means, unless the context requires otherwise, a small electric generating facility, a large electric generating facility, or a high-voltage transmission line. AB682,1025Section 10. 196.491 (1) (s) of the statutes is created to read: AB682,,2626196.491 (1) (s) “Small electric generating facility” means electric generating equipment and associated facilities designed for nominal operation at a capacity of at least 12 but less than 100 megawatts. AB682,1127Section 11. 196.491 (2) (title) of the statutes is repealed and recreated to read: