Florida Senate - 2020                                     SB 256
       By Senator Rodriguez
       37-00394A-20                                           2020256__
    1                        A bill to be entitled                      
    2         An act relating to renewable energy; amending s.
    3         366.92, F.S.; defining the terms “renewable energy
    4         credit” and “renewable portfolio standard”; requiring
    5         the Public Service Commission to adopt rules for a
    6         renewable portfolio standard; requiring the commission
    7         to present a draft rule to the Legislature for
    8         consideration by a specified date; providing
    9         requirements for the rule; requiring providers to
   10         submit annual progress reports to the commission after
   11         such rule has been adopted; providing requirements for
   12         the reports; creating s. 377.821, F.S.; providing
   13         legislative findings; directing the Office of Energy
   14         within the Department of Agriculture and Consumer
   15         Services, in consultation with other state agencies,
   16         state colleges and universities, public utilities, and
   17         other private and public entities, to develop a
   18         unified statewide plan to generate the state’s energy
   19         from renewable sources by specified dates; requiring
   20         state and public entities to cooperate as requested;
   21         providing plan requirements; requiring the office to
   22         submit the plan and updates to the Governor and the
   23         Legislature by a specified date; providing an
   24         effective date.
   26  Be It Enacted by the Legislature of the State of Florida:
   28         Section 1. Present subsections (3), (4), and (5) of section
   29  366.92, Florida Statutes, are redesignated as subsections (4),
   30  (5), and (6), respectively, paragraphs (c) and (d) are added to
   31  subsection (2) of that section, and a new subsection (3) is
   32  added to that section, to read:
   33         366.92 Florida renewable energy policy.—
   34         (2) As used in this section, the term:
   35         (c) “Renewable energy credit” means a value that represents
   36  the unbundled, separable, renewable attribute of renewable
   37  energy produced in this state and is equivalent to 1 megawatt
   38  hour of electricity generated by a source of renewable energy
   39  located in this state.
   40         (d) “Renewable portfolio standard” or “RPS” means the
   41  minimum percentage of total annual retail electricity sales by a
   42  provider to consumers in this state which must be supplied by
   43  renewable energy produced in this state.
   44         (3) To ensure that 100 percent of the electric supply comes
   45  from renewable energy by 2050 as required by s. 377.821, the
   46  commission shall adopt rules for a renewable portfolio standard
   47  requiring each provider to supply renewable energy to its
   48  customers directly by procurement or through the purchase of
   49  renewable energy credits. In developing the RPS rule, the
   50  commission shall consult the Department of Environmental
   51  Protection and the Department of Agriculture and Consumer
   52  Services. The rule may not be implemented until adopted by the
   53  Legislature. The commission shall present a draft rule for
   54  consideration by the Legislature by February 1, 2021.
   55         (a) In developing the rule, the commission shall evaluate
   56  the current and forecasted levelized cost in cents per kilowatt
   57  hour through 2032 and the current and forecasted installed
   58  capacity in kilowatts for each renewable energy generation
   59  method through 2032.
   60         (b) The commission’s rule:
   61         1.Must include methods of managing the cost of compliance
   62  with the renewable portfolio standard, whether through direct
   63  supply or procurement of renewable power or through the purchase
   64  of renewable energy credits. The commission may include
   65  provision in the rule for annual cost recovery and incentive
   66  based adjustments to authorized rates of return on common equity
   67  to providers to incentivize renewable energy. Notwithstanding s.
   68  366.91(3) and (4), and upon the ratification of the rules
   69  developed pursuant to this subsection, the commission may
   70  approve projects and power sales agreements with renewable power
   71  producers and the sale of renewable energy credits needed to
   72  comply with the renewable portfolio standard. In the event of
   73  any conflict, this subparagraph supersedes s. 366.91(3) and (4).
   74  However, this section does not alter the obligation of each
   75  public utility to continuously offer a purchase contract to
   76  producers of renewable energy.
   77         2.Must provide for appropriate compliance measures and the
   78  conditions under which noncompliance is excused due to a
   79  determination by the commission that the supply of renewable
   80  energy or renewable energy credits was not adequate to satisfy
   81  the demand for such energy or that the cost of securing
   82  renewable energy or renewable energy credits was cost
   83  prohibitive.
   84         3.May provide added weight to energy provided by wind and
   85  solar photovoltaic over other forms of renewable energy, whether
   86  directly supplied or procured or indirectly obtained through the
   87  purchase of renewable energy credits.
   88         4.Must determine an appropriate period of time during
   89  which renewable energy credits may be used for purposes of
   90  compliance with the renewable portfolio standard.
   91         5.Must provide for monitoring of compliance with and
   92  enforcement of this section.
   93         6.Must ensure that energy credited toward compliance with
   94  this section is not credited toward any other purpose.
   95         7.Must include procedures to track and account for
   96  renewable energy credits, including ownership of renewable
   97  energy credits that are derived from a customer-owned renewable
   98  energy facility as a result of any action by a customer of an
   99  electric power supplier that is independent of a program
  100  sponsored by the electric power supplier.
  101         8.Must provide for the conditions and options for the
  102  repeal or alteration of the rule in the event that new
  103  provisions of federal law supplant or conflict with the rule.
  104         (c)Beginning on April 1 of the year following final
  105  adoption of the commission’s renewable portfolio standard rule,
  106  each provider shall submit an annual report to the commission
  107  describing the steps that have been taken during the previous
  108  year and the steps that will be taken in the future to add
  109  renewable energy to the provider’s energy supply portfolio. The
  110  report must state whether the provider was in compliance with
  111  the renewable portfolio standard during the previous year and
  112  how it intends to comply with the renewable portfolio standard
  113  in the upcoming year.
  114         Section 2. Section 377.821, Florida Statutes, is created to
  115  read:
  116         377.821State entity renewable energy goals.—
  117         (1)The Legislature finds that achieving 100 percent
  118  renewable energy generation in this state by 2050 will provide
  119  unique benefits to the state, including all of the following:
  120         (a)Displacing fossil fuel consumption.
  121         (b)Adding new electrical generating facilities in the
  122  transmission network.
  123         (c)Reducing air pollution, particularly criteria pollutant
  124  emissions and toxic air contaminants.
  125         (d)Contributing to the safe and reliable operation of the
  126  electrical grid, including providing predictable electrical
  127  supply, voltage support, lower line losses, and congestion
  128  relief.
  129         (e)Enhancing economic development and job creation in the
  130  clean energy industry.
  131         (2)The Office of Energy within the Department of
  132  Agriculture and Consumer Services, in consultation with other
  133  state agencies, state colleges and universities, public
  134  utilities, and other private and public entities, is directed to
  135  develop a unified statewide plan to generate 100 percent of the
  136  state’s energy from renewable sources by 2050. All public
  137  agencies, state colleges and universities, and public utilities
  138  must cooperate with the office as requested. The plan must
  139  include interim goals to generate at least 40 percent of the
  140  state’s energy from renewable sources by 2030.
  141         (3)The plan must consider the potential impact of existing
  142  and additional renewable energy incentives and programs with an
  143  emphasis on solar and distributed resources, including energy
  144  storage. The plan must also consider the impact of power
  145  purchase agreements on attaining 100 percent renewable energy
  146  generation. The office must submit a statewide plan outlining
  147  potential strategies to reach the goals of this section to the
  148  Governor, the President of the Senate, and the Speaker of the
  149  House of Representatives by January 1, 2022, and must provide
  150  updates on the progress of achieving the state’s renewable
  151  energy goals each January 1 thereafter.
  152         Section 3. This act shall take effect July 1, 2020.