Bill > HF2986

This bill requires Minnesota public utilities to develop and implement a virtual power plant (VPP) program, which is an innovative approach to managing electricity demand by aggregating distributed energy resources like solar panels, electric vehicles, energy storage systems, and smart thermostats. The bill mandates that by 2026, each public utility must file a VPP tariff and program with the Minnesota Public Utilities Commission (PUC) designed to achieve multiple goals, including reducing electricity demand during peak times, lowering ratepayer bills, reducing greenhouse gas emissions, improving grid reliability, and avoiding infrastructure construction. Public utilities must estimate the potential peak demand reduction from their VPP program and include this information in their integrated resource plans. The bill establishes detailed requirements for the VPP program, including provisions for enrolling participants, compensating them for electricity exported or demand reductions during grid events, and setting performance standards. By 2028, utilities must reduce their winter and summer peak energy demand by at least 10% compared to a 2025 baseline. The PUC is granted authority to approve, modify, and establish standards for these programs, and utilities can seek cost recovery for investments in VPP implementation. Starting in 2028, utilities must submit annual reports detailing their VPP program's performance, enrollment, and recommendations for improvement.

Agriculture and Natural Resources

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF2986&ssn=0&y=2025