Bill Text: MI HB6067 | 2009-2010 | 95th Legislature | Introduced


Bill Title: Energy; conservation; natural gas energy efficiency standard; increase to 1.00% savings in 2013 and increase electricity to 2.00% by 2016. Amends sec. 77 of 2008 PA 295 (MCL 460.1077).

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Introduced - Dead) 2010-04-27 - Printed Bill Filed 04/23/2010 [HB6067 Detail]

Download: Michigan-2009-HB6067-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 6067

 

April 22, 2010, Introduced by Reps. Lisa Brown, Angerer, Kennedy, Robert Jones, Scripps, Miller, Constan, Bauer, McDowell, Haugh, Warren, Meadows, Nathan and Byrnes and referred to the Committee on Energy and Technology.

 

     A bill to amend 2008 PA 295, entitled

 

"Clean, renewable, and efficient energy act,"

 

by amending section 77 (MCL 460.1077).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 77. (1) Except as provided in section 81 and subject to

 

the sales revenue expenditure limits in section 89, an electric

 

provider's energy optimization programs under this subpart shall

 

collectively achieve the following minimum energy savings:

 

     (a) Biennial incremental energy savings in 2008-2009

 

equivalent to 0.3% 0.30% of total annual retail electricity sales

 

in megawatt hours in 2007.

 

     (b) Annual incremental energy savings in 2010 equivalent to

 

0.5% 0.50% of total annual retail electricity sales in megawatt

 

hours in 2009.

 


     (c) Annual incremental energy savings in 2011 equivalent to

 

0.75% of total annual retail electricity sales in megawatt hours in

 

2010.

 

     (d) Annual incremental energy savings in 2012 , 2013, 2014,

 

and 2015 and, subject to section 97, equivalent to 1.00% of total

 

annual retail electricity sales in megawatt hours in 2011.

 

     (e) Annual incremental energy savings in 2013 equivalent to

 

1.25% of total annual retail electricity sales in megawatt hours in

 

2012.

 

     (f) Annual incremental energy savings in 2014 equivalent to

 

1.50% of total annual retail electricity sales in megawatt hours in

 

2013.

 

     (g) Annual incremental energy savings in 2015 equivalent to

 

1.75% of total annual retail electricity sales in megawatt hours in

 

2014.

 

     (h) Subject to section 97(8), annual incremental energy

 

savings in 2016 and each year thereafter equivalent to 1.0% 2.00%

 

of total annual retail electricity sales in megawatt hours in the

 

preceding year.

 

     (2) If an electric provider uses load management to achieve

 

energy savings under its energy optimization plan, the minimum

 

energy savings required under subsection (1) shall be adjusted by

 

an amount such that the ratio of the minimum energy savings to the

 

sum of maximum expenditures under section 89 and the load

 

management expenditures remains constant.

 

     (3) A natural gas provider shall meet the following minimum

 

energy optimization standards using energy efficiency programs

 


under this subpart:

 

     (a) Biennial incremental energy savings in 2008-2009

 

equivalent to 0.1% 0.10% of total annual retail natural gas sales

 

in decatherms or equivalent MCFs in 2007.

 

     (b) Annual incremental energy savings in 2010 equivalent to

 

0.25% of total annual retail natural gas sales in decatherms or

 

equivalent MCFs in 2009.

 

     (c) Annual incremental energy savings in 2011 equivalent to

 

0.5% 0.50% of total annual retail natural gas sales in decatherms

 

or equivalent MCFs in 2010.

 

     (d) Annual incremental energy savings in 2012 , 2013, 2014,

 

and 2015 and, subject to section 97, equivalent to 0.75% of total

 

annual retail natural gas sales in decatherms or equivalent MCFs in

 

2011.

 

     (e) Subject to section 97(8), annual incremental energy

 

savings in 2013 and each year thereafter equivalent to 0.75% 1.00%

 

of total annual retail natural gas sales in decatherms or

 

equivalent MCFs in the preceding year.

 

     (4) Incremental energy savings under subsection (1) or (3) for

 

the 2008-2009 biennium or any year thereafter shall be determined

 

for a provider by adding the energy savings expected to be achieved

 

during a 1-year period by energy optimization measures implemented

 

during the 2008-2009 biennium or any year thereafter under any

 

energy efficiency programs consistent with the provider's energy

 

efficiency plan.

 

     (5) For purposes of calculations under subsection (1) or (3),

 

total annual retail electricity or natural gas sales in a year

 


shall be based on 1 of the following at the option of the provider

 

as specified in its energy optimization plan:

 

     (a) The number of weather-normalized megawatt hours or

 

decatherms or equivalent MCFs sold by the provider to retail

 

customers in this state during the year preceding the biennium or

 

year for which incremental energy savings are being calculated.

 

     (b) The average number of megawatt hours or decatherms or

 

equivalent MCFs sold by the provider during the 3 years preceding

 

the biennium or year for which incremental energy savings are being

 

calculated.

 

     (6) For any year after 2012, an electric provider may

 

substitute renewable energy credits associated with renewable

 

energy generated that year from a renewable energy system

 

constructed after the effective date of this act, advanced cleaner

 

energy credits other than credits from industrial cogeneration

 

using industrial waste energy, load management that reduces overall

 

energy usage, or a combination thereof for energy optimization

 

credits otherwise required to meet the energy optimization

 

performance standard, if the substitution is approved by the

 

commission. The commission shall not approve a substitution unless

 

the commission determines that the substitution is cost-effective

 

and, if the substitution involves advanced cleaner energy credits,

 

that the advanced cleaner energy system provides carbon dioxide

 

emissions benefits. In determining whether the substitution of

 

advanced cleaner energy credits is cost-effective compared to other

 

available energy optimization measures, the commission shall

 

consider the environmental costs related to the advanced cleaner

 


energy system, including the costs of environmental control

 

equipment or greenhouse gas constraints or taxes. The commission's

 

determinations shall be made after a contested case hearing that

 

includes consultation with the department of environmental quality

 

natural resources and environment on the issue of carbon dioxide

 

emissions benefits, if relevant, and environmental costs.

 

     (7) Renewable energy credits, advanced cleaner energy credits,

 

load management that reduces overall energy usage, or a combination

 

thereof shall not be used by a provider to meet more than 10% of

 

the energy optimization standard. Substitutions for energy

 

optimization credits shall be made at the following rates per

 

energy optimization credit:

 

     (a) 1 renewable energy credit.

 

     (b) 1 advanced cleaner energy credit from plasma arc

 

gasification.

 

     (c) 4 advanced cleaner energy credits other than from plasma

 

arc gasification.

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