Bill > SF1142

This bill modifies Minnesota's net energy metering provisions by updating definitions and compensation mechanisms for small-scale renewable energy generators (called "qualifying facilities") connected to electric utility systems. The bill clarifies technical definitions related to distributed generation, including terms like "capacity," "contiguous property," and "net metered facility," and provides detailed guidelines for how different types of utilities (cooperative electric associations, municipal utilities, and public utilities) should handle billing and compensation for small renewable energy installations. For facilities under 40 kilowatts, the bill allows customers to choose between different compensation methods, such as receiving bill credits that can be carried forward (and ultimately compensated at a per kilowatt-hour rate at year-end) or being compensated based on the utility's average retail energy rate. The legislation aims to ensure that small renewable energy generators are fairly compensated for their energy input while allowing utilities to recover their fixed costs. The bill also requires that any additional charges by utilities must be reasonable and based on a cost of service study, which must be available for customer review upon request, thereby promoting transparency in how small-scale renewable energy generators are treated by utility systems.

Agriculture and Natural Resources

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF1142&ssn=0&y=2025