ALLOWED COSTS IN ELECTRIC COOP RATES

Plain English Breakdown

The official text does not specify an effective date.

Allowed Costs for Electric Co-op Renewable Energy and Storage

This law requires certain electric cooperatives to include approved costs for small-scale renewable energy projects in their customer rates.

What This Bill Does

• Requires that specific project costs be included in the rates charged by eligible utilities if approved by the utility's board of directors.
• Applies only to new or purchased renewable energy facilities and battery storage systems with a nameplate capacity under 15,000 kilowatts.

Who It Names or Affects

• Electric cooperative utilities organized under Alaska state law (AS 10.25).
• Utilities that participate in an electric reliability organization certified by the commission.
• Customers who pay electricity rates to these specific cooperatives.

Terms To Know

Nameplate capacity

The maximum power output of a facility, measured here in kilowatts.

Renewable energy facility

A site that generates electricity from geothermal, wind, solar, hydroelectric, hydrokinetic, tidal, biomass, or other renewable resources.

Limits and Unknowns

• The rule only applies to projects with a nameplate capacity of less than 15,000 kilowatts.
• Costs must be approved by the utility's board of directors before they are allowed in rates.
• This law does not apply to electric utilities that are not organized as cooperatives under AS 10.25.

Official Summary Text

ALLOWED COSTS IN ELECTRIC COOP RATES
An Act relating to costs incurred by certain electric utilities for renewable energy and battery energy storage.

Current Bill Text

SB0032A -1- SB 32
New Text Underlined [DELETED TEXT BRACKETED]

34-LS0307\N

SENATE BILL NO. 32

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - FIRST SESSION

BY SENATOR GIESSEL

Introduced: 1/22/25
Referred: Resources, Finance

A BILL

FOR AN ACT ENTITLED

"An Act relating to costs incurred by certain electric utilitie s for renewable energy and 1
battery energy storage." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 42.05.431 is amended by adding a new subsection to read: 4
(i) Costs incurred by an electric cooperative utility organize d under AS 10.25 5
that participates in an electric reliability organization certi ficated by the commission 6
under AS 42.05.760 must be allowed in the rates charged by the utility if the costs are 7
approved by the utility's board o f directors in connection with a n e w o r p u r c h a s e d 8
renewable energy facility or battery energy storage system with a nameplate capacity 9
of less than 15,000 kilowatts or power purchased from a renewab le energy facility or 10
battery energy storage system with a nameplate capacity of less than 15,000 kilowatts. 11
In this subsection, "renewable energy facility" means a facilit y that generates 12
electricity from geothermal, wi nd, solar, hydroelectric, hydrok inetic, tidal, or biomass 13
energy or another renewable energy resource. 14