(1) 

Terms Used In Utah Code 54-17-602

  • Adjusted retail electric sales: means the total kilowatt-hours of retail electric sales of an electrical corporation to customers in this state in a calendar year, reduced by:
(a) the amount of those kilowatt-hours attributable to electricity generated or purchased in that calendar year from qualifying zero carbon emissions generation and qualifying carbon sequestration generation;
(b) the amount of those kilowatt-hours attributable to electricity generated or purchased in that calendar year from generation located within the geographic boundary of the Western Electricity Coordinating Council that derives its energy from one or more of the following but that does not satisfy the definition of a renewable energy source or that otherwise has not been used to satisfy Subsection 54-17-602(1):
(i) wind energy;
(ii) solar photovoltaic and solar thermal energy;
(iii) wave, tidal, and ocean thermal energy;
(iv) except for combustion of wood that has been treated with chemical preservatives such as creosote, pentachlorophenol or chromated copper arsenate, biomass and biomass byproducts, including:
(A) organic waste;
(B) forest or rangeland woody debris from harvesting or thinning conducted to improve forest or rangeland ecological health and to reduce wildfire risk;
(C) agricultural residues;
(D) dedicated energy crops; and
(E) landfill gas or biogas produced from organic matter, wastewater, anaerobic digesters, or municipal solid waste;
(v) geothermal energy;
(vi) hydroelectric energy; or
(vii) waste gas and waste heat capture or recovery; and
(c) the number of kilowatt-hours attributable to reductions in retail sales in that calendar year from demand side management as defined in Section 54-7-12. See Utah Code 54-17-601
  • Banked renewable energy certificate: means a bundled or unbundled renewable energy certificate that is:
    (a) not used in a calendar year to comply with this part or with a renewable energy program in another state; and
    (b) carried forward into a subsequent year. See Utah Code 54-17-601
  • Commission: means the Public Service Commission. See Utah Code 54-2-1
  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Corporation: includes an association and a joint stock company having any powers or privileges not possessed by individuals or partnerships. See Utah Code 54-2-1
  • Electrical corporation: includes every corporation, cooperative association, and person, their lessees, trustees, and receivers, owning, controlling, operating, or managing any electric plant, or in any way furnishing electric power for public service or to its consumers or members for domestic, commercial, or industrial use, within this state. See Utah Code 54-2-1
  • Qualifying electricity: means electricity generated on or after January 1, 1995 from a renewable energy source if:
    (a) 
    (i) the renewable energy source is located within the geographic boundary of the Western Electricity Coordinating Council; or
    (ii) the qualifying electricity is delivered to the transmission system of an electrical corporation or a delivery point designated by the electrical corporation for the purpose of subsequent delivery to the electrical corporation; and
    (b) the renewable energy attributes of the electricity are not traded, sold, transferred, or otherwise used to satisfy another state's renewable energy program. See Utah Code 54-17-601
  • Renewable energy certificate: means a certificate issued under Section 54-17-603. See Utah Code 54-17-601
  • Renewable energy source: means :
    (a) an electric generation facility or generation capability or upgrade that becomes operational on or after January 1, 1995 that derives its energy from one or more of the following:
    (i) wind energy;
    (ii) solar photovoltaic and solar thermal energy;
    (iii) wave, tidal, and ocean thermal energy;
    (iv) except for combustion of wood that has been treated with chemical preservatives such as creosote, pentachlorophenol or chromated copper arsenate, biomass and biomass byproducts, including:
    (A) organic waste;
    (B) forest or rangeland woody debris from harvesting or thinning conducted to improve forest or rangeland ecological health and to reduce wildfire risk;
    (C) agricultural residues;
    (D) dedicated energy crops; and
    (E) landfill gas or biogas produced from organic matter, wastewater, anaerobic digesters, or municipal solid waste;
    (v) geothermal energy located outside the state;
    (vi) waste gas and waste heat capture or recovery whether or not it is renewable, including methane gas from:
    (A) an abandoned coal mine; or
    (B) a coal degassing operation associated with a state-approved mine permit;
    (vii) efficiency upgrades to a hydroelectric facility, without regard to the date upon which the facility became operational, if the upgrades become operational on or after January 1, 1995;
    (viii) compressed air, if:
    (A) the compressed air is taken from compressed air energy storage; and
    (B) the energy used to compress the air is a renewable energy source; or
    (ix) municipal solid waste;
    (b) any of the following:
    (i) up to 50 average megawatts of electricity per year per electrical corporation from a certified low-impact hydroelectric facility, without regard to the date upon which the facility becomes operational, if the facility is certified as a low-impact hydroelectric facility on or after January 1, 1995, by a national certification organization;
    (ii) geothermal energy if located within the state, without regard to the date upon which the facility becomes operational; or
    (iii) hydroelectric energy if located within the state, without regard to the date upon which the facility becomes operational;
    (c) hydrogen gas derived from any source of energy described in Subsection (10)(a) or (b);
    (d) if an electric generation facility employs multiple energy sources, that portion of the electricity generated that is attributable to energy sources described in Subsections (10)(a) through (c); and
    (e) any of the following located in the state and owned by a user of energy:
    (i) a demand side management measure, as defined by Subsection 54-7-12. See Utah Code 54-17-601
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
  • Unbundled renewable energy certificate: means a renewable energy certificate associated with:
    (a) qualifying electricity that is acquired by an electrical corporation or other person by trade, purchase, or other transfer without acquiring the electricity for which the certificate was issued; or
    (b) activities listed in Subsection (10)(e). See Utah Code 54-17-601
    (a)  To the extent that it is cost effective to do so, beginning in 2025 the annual retail electric sales in this state of each electrical corporation shall consist of qualifying electricity or renewable energy certificates in an amount equal to at least 20% of adjusted retail electric sales.

    (b)  The amount under Subsection (1)(a) is computed based upon adjusted retail electric sales for the calendar year commencing 36 months before the first day of the year for which the target calculated under Subsection (1)(a) applies.

    (c)  Notwithstanding Subsections (1)(a) and (b), an increase in the annual target from one year to the next may not exceed the greater of:

    (i)  17,500 megawatt-hours; or

    (ii)  20% of the prior year’s amount under Subsections (1)(a) and (b).
  • (2) 

    (a)  Cost-effectiveness under Subsection (1) for other than a cooperative association is determined in comparison to other viable resource options using the criteria provided by Subsection 54-17-201(2)(c)(ii).

    (b)  For an electrical corporation that is a cooperative association, cost-effectiveness is determined using criteria applicable to the cooperative association’s acquisition of a significant energy resource established by the cooperative association’s board of directors.

    (3)  This section does not require an electrical corporation to:

    (a)  substitute qualifying electricity for electricity from a generation source owned or contractually committed, or from a contractual commitment for a power purchase;

    (b)  enter into any additional electric sales commitment or any other arrangement for the sale or other disposition of electricity that is not already, or would not be, entered into by the electrical corporation; or

    (c)  acquire qualifying electricity in excess of its adjusted retail electric sales.

    (4)  For the purpose of Subsection (1), an electrical corporation may combine the following:

    (a)  qualifying electricity from a renewable energy source owned by the electrical corporation;

    (b)  qualifying electricity acquired by the electrical corporation through trade, power purchase, or other transfer; and

    (c)  a bundled or unbundled renewable energy certificate, including a banked renewable energy certificate.

    (5)  For an electrical corporation whose rates the commission regulates, the following rules concerning renewable energy certificates apply:

    (a)  a banked renewable energy certificate with an older issuance date shall be used before any other banked renewable energy certificate issued at a later date is used; and

    (b)  the total of all unbundled renewable energy certificates, including unbundled banked renewable energy certificates, may not exceed 20% of the amount of the annual target provided for in Subsection (1).

    (6)  An electrical corporation that is a cooperative association may count towards Subsection (1) any of the following:

    (a)  electric production allocated to this state from hydroelectric facilities becoming operational after December 31, 2007 if the facilities are located in any state in which the cooperative association, or a generation and transmission cooperative with which the cooperative association has a contract, provides electric service;

    (b)  qualifying electricity generated or acquired or renewable energy certificates acquired for a program that permits a retail customer to voluntarily contribute to a renewable energy source; and

    (c)  notwithstanding Subsection 54-17-601(7), an unbundled renewable energy certificate purchased from a renewable energy source located outside the geographic boundary of the Western Electricity Coordinating Council if the electricity on which the unbundled renewable energy certificate is based would be considered qualifying electricity if the renewable energy source was located within the geographic boundary of the Western Electricity Coordinating Council.

    (7)  The use of the renewable attributes associated with qualifying electricity to satisfy any federal renewable energy requirement does not preclude the electricity from being qualifying electricity for the purpose of this chapter.

    Enacted by Chapter 374, 2008 General Session