Minnesota Compliance Training
Assistance with Completing Minnesota RPS and Green Pricing Retirements in M-RETS
*This information is provided for informational purposes only and Minnesota Statutes and Rules are subject to change. Please verify all instructions with the most recent Minnesota Public Utilities Commission Filings. Legal Compliance must be consistent with Minnesota Statutes and Rules. Always Consult the following Minnesota Public Utilities Commission Dockets:
In the Matter of Commission Consideration and Determination on Compliance with Renewable Energy Standards Docket Number E-999/M-18-78 (for MN Compliance Year 2018)
In the Matter of the Green Pricing Verification Filing ProcessDocket No. E-999/PR-02-1240
All utilities subject to Minn. Stat. §216B.1691, as well as those with Green Pricing Programs, must retire Renewable Energy Credits (RECs) and file annual verification reports for the Renewable Energy Standards (RES) and Green Pricing Programs. These may be addressed by completing the information requested in the spreadsheet and filing it no later than June 1, 2020. The spreadsheet may be found here:
For the 2019 compliance year, RECS must be retired by May 1, 2020.
Utilities are required to file this information pursuant to the Commission’s Order Finding Utilities In Compliance With Minn. Stat. §216b.1691 And Modifying Biennial Reporting Procedures, in Docket No. E-999/M-12-958, issued May 28, 2013.
In accordance with the Commission’s March 19, 2010 Order (Docket No. E-999/CI-03-869), all entities covered under Minn. Stat. §216B.1691, except Xcel Energy, must retire RECs representing 17 percent of annual retail sales for calendar year 2018. Xcel Energy is required to retire RECs representing 25 percent of annual retail sales for calendar year 2018.
Compliance is measured on a calendar year basis. Utilities must retire a sufficient number of RECs to meet the 2019 RES and retire a sufficient number of RECs to meet the green pricing sales for the applicable calendar year. These retirements must be completed by May 1 of the year following the compliance year. For example, RECs for compliance (calendar) year 2019 must be transferred and retired by May 1, 2020.
2012 - 12%
2016 - 17%
2020 - 20%
2025 - 25%
Xcel Energy (the only nuclear utility which is how this is referenced in the statute)
2010 - 15%
2012 - 18%
2016 - 25%
2020 - 30%
Eligible energy facilities: RECs must originate from eligible energy technology as defined by Minn. Stat. §216B.1691, subd. 1.
REC shelf life: Only RECs retired before the end of their Commission-designated shelf life (the year of generation plus four years) will be counted towards either the RES requirement or a utility’s Green Pricing Program.
I. Minnesota Compliance and Green Pricing Retirement Accounts
Utilities should have been invited to the Minnesota REC retirement program via M-RETS account holders. Organizations need to accept the Program invitation BEFORE creating a Retirement Account for the Program.
Utilities must establish an M-RETS retirement Account designated for the retirement of RECS for a specific compliance year (e.g. 2019 MN RES RECs for 2019 Minnesota RES Compliance Retirements) for all retail load serving entities. For those power agencies or cooperatives serving more than one distribution company, one RES REC retirement Account for all retail load serving entities served by a power agency or cooperative in the compliance year is sufficient. Each utility with a Green Pricing Program should establish a single account labeled with the year and MN Green Pricing retirement (e.g. 2019 MN Green Pricing).
Utilities should be as specific as possible in selecting names for the retirement accounts and should not use the default account name. Abbreviations will be required. RECs within these accounts must be segregated by compliance year and designated for either the Minnesota RES program [e.g. 2019 (Utility Name) MN RES] or the Minnesota Green Pricing Program [e.g. 2019 (Utility Name) MN Green Pricing].
Regulators already have access to these accounts so utilities do not need to do anything further to grant regulators access to their compliance retirement accounts.
II. Retiring Compliance RECs
YOU MUST RETIRE RECs TO THE ACCOUNT CREATED FOR THE MN PROGRAM
III. Minnesota REC Shelf Life
Only RECs retired before the end of their Commission-designated shelf life (the year of generation plus four years) will be counted towards either the RES requirement or a utility’s Green Pricing Program. Note this application of REC shelf life does not apply to S-RECs intended to meet the SES.
IV. Compliance Period and Retirement Deadline
Compliance for Minnesota is measured on a calendar year basis. Utilities must transfer and retire a sufficient number of RECs to the RES retirement account to meet their annual RES obligations and transfer and retire a sufficient number of RECs to the Green Pricing retirement account to meet their annual green pricing sales for the applicable calendar year. These transfers and retirements must be completed by May 1 of the year following the compliance year. For example, RECs for compliance (calendar) year 2019 must be transferred and retired by May 1, 2020.
Filing requirements: Utilities, telecommunications carriers, official parties, and state agencies are required to file documents using the Commission’s electronic filing system (eFiling). All parties, participants and interested persons are encouraged to use eFiling: mn.gov/puc, select eFiling, and follow the prompts.
Questions about the Green Pricing section of the reporting form may be directed to Lise Trudeau, Minnesota Department of Commerce, Division of Energy Resources staff, at Clean.Energy@state.mn.us or (651) 539-1861.