1.1                          A bill for an act
  1.2             relating to utilities; exempting cogeneration plants 
  1.3             from the certificate of need process; requiring 
  1.4             exempted cogeneration plants to waive federal rights 
  1.5             which force utilities to purchase power generated by 
  1.6             the exempted plant; amending Minnesota Statutes 1994, 
  1.7             section 216B.243, subdivision 8. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1994, section 216B.243, 
  1.10  subdivision 8, is amended to read: 
  1.11     Subd. 8.  [EXEMPTIONS.] (a) This section does not apply to 
  1.12  cogeneration or small power production facilities as defined in 
  1.13  the Federal Power Act, United States Code, title 16, sections 
  1.14  796(18)(A) and section 796, paragraph (17), subparagraph (A), 
  1.15  and having a combined capacity at a single site of less than 
  1.16  80,000 kilowatts or. 
  1.17     (b) If a waiver has been filed with the commission pursuant 
  1.18  to paragraph (c), this section does not apply: 
  1.19     (1) to either a cogeneration facility or a qualifying 
  1.20  cogeneration facility as defined in the Federal Power Act, 
  1.21  United States Code, title 16, section 796, paragraph (18), 
  1.22  subparagraphs (A) and (B); nor 
  1.23     (2) to an eligible facility as defined in the federal 
  1.24  Public Utility Holding Company Act, United States Code, title 
  1.25  15, section 79z-5a, subsection (a), paragraph (2), that is also 
  1.26  a cogeneration facility or qualifying cogeneration facility. 
  2.1      (c) This section does not apply to a facility described in 
  2.2   paragraph (b) if the facility has on file with the commission a 
  2.3   waiver of all rights under the federal Public Utility Regulatory 
  2.4   Policies Act, United States Code, title 16, section 824a-3, and 
  2.5   any regulations promulgated under that act, to require any 
  2.6   electric utility to offer to purchase, or to purchase electric 
  2.7   energy or capacity from the facility.  
  2.8      (d) This section does not apply to plants or facilities for 
  2.9   the production of ethanol or fuel alcohol nor. 
  2.10     (e) This section does not apply in any case where the 
  2.11  commission shall determine after being advised by the attorney 
  2.12  general that its application has been preempted by federal law.