Mandatory Utility Green Power Option

July 01, 2009

Summary

Electric utilities in Minnesota must offer customers the option to purchase green power, defined as power generated from renewable resources or "high-efficiency, low-emission distributed generation, such as fuel cells or microturbines fueled by a renewable fuel." Rates charged for green power must be based on the difference between the cost of the renewable energy and the same amount of non-renewable energy. The Minnesota Public Utilities Commission (PUC) must approve rates developed by investor-owned utilities (IOUs). As a result of the enactment of Minnesota's renewable portfolio standard (RPS) in February 2007, the requirement for utilities to offer voluntary green-power programs was set to expire January 1, 2010. However, S.B 550 enacted in May 2009 moved up this expiration date to July 1, 2009. The Minnesota Department of Commerce is responsible for certifying generating sources, and for tracking and verifying all green-power programs. As part of the adoption of the Midwest Renewable Energy Trading System (M-RETS) for the state RPS, the PUC determined in December 2007 that RECs traded over M-RETS could be used to supply customer demand for green power. Click here for further details on the PUC's adoption of the M-RETs tracking system. Utility green pricing filings and other information is available in Docket E999/DI-02-1240 (search 02-1240) on the MN PUC e-docket website.

Program Overview

Implementing Sector: State
Category: Regulatory Policy
State: Minnesota
Incentive Type: Mandatory Utility Green Power Option
Web Site:
Administrator:
Start Date:
Eligible Renewable/Other Technologies:
  • Geothermal Electric
  • Solar Photovoltaics
  • Wind (All)
  • Biomass
  • Hydroelectric
  • Landfill Gas
  • Wind (Small)
  • Fuel Cells using Renewable Fuels
  • Microturbines

Authorities

Name: Minn. Stat. § 216B.169
Date Enacted: 05/29/2001
Expiration Date: 07/01/2009
Name: S.B. 550
Date Enacted: 05/19/2009
Effective Date: 07/01/2009

Contact

Name: Energy Information Center
Organization: Minnesota Department of Commerce
Address: 85 7th Place East
St. Paul MN 55101-2198
Phone: (800) 657-3710
Email: energy.info@state.mn.us

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.