The proposed bill, if enacted, would amend current statutes regarding the issuance of Certificates of Environmental Compatibility (CEC) by expanding the factors considered during the evaluation process. Specifically, it would introduce the speculativeness of the proposed transmission line or plant as identified by the existence of known offtakers as a new factor for consideration. The bill defines “known offtakers” as specific buyers who have entered into legally binding, long-term contracts for a portion of the output from the proposed facilities. Additionally, it defines “speculativeness” as the level of risk associated with the financial success of the proposed projects. Furthermore, the bill stipulates that if the applicant is a public service corporation or public power entity, their customers will automatically be considered known offtakers, thus exempting them from the requirement to identify specific buyers or contracts. The bill also makes various technical and conforming changes and clarifies that the committee must still comply with existing environmental standards while allowing for certain exemptions under specific conditions. Overall, these updates aim to enhance the evaluation process for CEC applications by incorporating new criteria that reflect the financial viability and market demand for proposed energy projects.

Statutes affected:
Introduced Version: 40-360.06
House Engrossed Version: 40-360.06