Florida Senate - 2009 SB 1154
By Senator King
8-00995-09 20091154__
1 A bill to be entitled
2 An act relating to renewable energy; amending s.
3 366.92, F.S.; deleting a requirement that the Public
4 Service Commission adopt rules for a renewable
5 portfolio standard and present the draft rules to the
6 Legislature for consideration by February 1, 2009;
7 providing an effective date.
8
9 Be It Enacted by the Legislature of the State of Florida:
10
11 Section 1. Subsection (3) of section 366.92, Florida
12 Statutes, is amended, and present subsections (4) through (7)
13 are redesignated as subsections (3) through (6), respectively,
14 to read:
15 366.92 Florida renewable energy policy.—
16 (3) The commission shall adopt rules for a renewable
17 portfolio standard requiring each provider to supply renewable
18 energy to its customers directly, by procuring, or through
19 renewable energy credits. In developing the RPS rule, the
20 commission shall consult the Department of Environmental
21 Protection and the Florida Energy and Climate Commission. The
22 rule shall not be implemented until ratified by the Legislature.
23 The commission shall present a draft rule for legislative
24 consideration by February 1, 2009.
25 (a) In developing the rule, the commission shall evaluate
26 the current and forecasted levelized cost in cents per kilowatt
27 hour through 2020 and current and forecasted installed capacity
28 in kilowatts for each renewable energy generation method through
29 2020.
30 (b) The commission's rule:
31 1. Shall include methods of managing the cost of compliance
32 with the renewable portfolio standard, whether through direct
33 supply or procurement of renewable power or through the purchase
34 of renewable energy credits. The commission shall have
35 rulemaking authority for providing annual cost recovery and
36 incentive-based adjustments to authorized rates of return on
37 common equity to providers to incentivize renewable energy.
38 Notwithstanding s. 366.91(3) and (4), upon the ratification of
39 the rules developed pursuant to this subsection, the commission
40 may approve projects and power sales agreements with renewable
41 power producers and the sale of renewable energy credits needed
42 to comply with the renewable portfolio standard. In the event of
43 any conflict, this subparagraph shall supersede s. 366.91(3) and
44 (4). However, nothing in this section shall alter the obligation
45 of each public utility to continuously offer a purchase contract
46 to producers of renewable energy.
47 2. Shall provide for appropriate compliance measures and
48 the conditions under which noncompliance shall be excused due to
49 a determination by the commission that the supply of renewable
50 energy or renewable energy credits was not adequate to satisfy
51 the demand for such energy or that the cost of securing
52 renewable energy or renewable energy credits was cost
53 prohibitive.
54 3. May provide added weight to energy provided by wind and
55 solar photovoltaic over other forms of renewable energy, whether
56 directly supplied or procured or indirectly obtained through the
57 purchase of renewable energy credits.
58 4. Shall determine an appropriate period of time for which
59 renewable energy credits may be used for purposes of compliance
60 with the renewable portfolio standard.
61 5. Shall provide for monitoring of compliance with and
62 enforcement of the requirements of this section.
63 6. Shall ensure that energy credited toward compliance with
64 the requirements of this section is not credited toward any
65 other purpose.
66 7. Shall include procedures to track and account for
67 renewable energy credits, including ownership of renewable
68 energy credits that are derived from a customer-owned renewable
69 energy facility as a result of any action by a customer of an
70 electric power supplier that is independent of a program
71 sponsored by the electric power supplier.
72 8. Shall provide for the conditions and options for the
73 repeal or alteration of the rule in the event that new
74 provisions of federal law supplant or conflict with the rule.
75 (c) Beginning on April 1 of the year following final
76 adoption of the commission's renewable portfolio standard rule,
77 each provider shall submit a report to the commission describing
78 the steps that have been taken in the previous year and the
79 steps that will be taken in the future to add renewable energy
80 to the provider's energy supply portfolio. The report shall
81 state whether the provider was in compliance with the renewable
82 portfolio standard during the previous year and how it will
83 comply with the renewable portfolio standard in the upcoming
84 year.
85 Section 2. This act shall take effect July 1, 2009.