FINAL BILL REPORT

ESHB 2664

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

C 112 L 12

Synopsis as Enacted

Brief Description: Concerning the voluntary option to purchase qualified energy resources.

Sponsors: House Committee on Technology, Energy & Communications (originally sponsored by Representative Morris).

House Committee on Technology, Energy & Communications

Senate Committee on Energy, Natural Resources & Marine Waters

Background:

Electric utilities must provide to their retail electricity customers a voluntary option to purchase qualified alternative energy resources. On at least a quarterly basis, electric utilities must include with their retail customers regular billing statement a voluntary option to purchase qualified alternative energy resources. A utility may provide qualified alternative energy resource options through either resources it owns or contracts for, or the purchase of credits issued by a clearinghouse, or other system.

Qualified alternative energy resource is defined to mean the electricity produced from generation facilities that are fueled by: (1) wind; (2) solar energy; (3) geothermal energy; (4) landfill gas; (5) wave or tidal action; (6) gas produced during the treatment of wastewater; (7) qualified hydropower; or (8) biomass energy based on animal waste or solid organic fuels from wood, forest, or field residues, or dedicated energy crops that do not include wood pieces that have been treated with chemical preservatives such as creosote, pentachlorophenol, or copper-chrome-arsenic.

Each consumer-owned utility must report annually to the Department of Commerce (Department) and each investor-owned utility must report annually to the Utilities and Transportation Commission (Commission) describing the option or options it is offering its customers, the rate of customer participation, the amount of qualified alternative energy resources purchased by customers, the amount of utility investments in qualified alternative energy resources, and the results of pursuing aggregated purchasing opportunities. The Department and the Commission together must report annually to the Legislature with the results of the utility reports. The reporting requirement expires on October 1, 2012.

Summary:

The definition of "qualified alternative energy resource" is modified to include thermal energy produced from certain generation facilities.

Annual reporting requirements are removed for electric utilities relating to the voluntary option to purchase qualified alternative energy resources (voluntary option). Electric utilities must maintain information relating to the voluntary option and make available the information upon request of the Department or the Commission. The Department and the Commission must report the information to the appropriate committees of the Legislature upon request.

Votes on Final Passage:

House

97

0

Senate

47

1

Effective:

June 7, 2012