Subd. 3a.

deleted text begin Cost-effectivedeleted text end Energy improvements.

"deleted text begin Cost-effectivedeleted text end Energy improvements"
means:

(1) any new construction, renovation, or retrofitting of qualifying commercial real
property to improve energy efficiency thatnew text begin : (i)new text end is permanently affixed to the propertydeleted text begin ,deleted text end new text begin ; and
(ii)new text end results in a net reduction in energy consumption deleted text begin without altering the principal source
of energy, and has been identifieddeleted text end new text begin or greenhouse gas emissions, as documentednew text end in an energy
audit deleted text begin as repaying the purchase and installation costs in 20 years or less,deleted text end based on the amount
of future energy saved deleted text begin and estimated future energy pricesdeleted text end new text begin or emissions avoidednew text end ;

(2) any renovation or retrofitting of qualifying residential real property that is permanently
affixed to the property and is eligible to receive an incentive through a program offered by
the electric or natural gas utility that provides service under section 216B.241 to the property
or is otherwise determined to be deleted text begin a cost-effectivedeleted text end new text begin an eligiblenew text end energy improvement by the
commissioner under section 216B.241, subdivision 1d, paragraph (a);

(3) permanent installation of new or upgraded electrical circuits and related equipment
to enable electrical vehicle charging; or

(4) a solar voltaic or solar thermal energy system attached to, installed within, or
proximate to a building that generates electrical or thermal energy from a renewable energy
source that has been deleted text begin identifieddeleted text end new text begin documentednew text end in an energy audit or renewable energy system
feasibility study deleted text begin as repaying their purchase and installation costs in 20 years or less, based
on the amount of future energy saved and estimated future energy pricesdeleted text end new text begin , along with the
estimated amount of related renewable energy productionnew text end .

Subd. 3b.

Commercial PACE loan contractor.

"Commercial PACE loan contractor"
means a person or entity that installs deleted text begin cost-effective energydeleted text end new text begin eligiblenew text end improvements financed
under a commercial PACE loan program.

Subd. 4.

Energy audit.

"Energy audit" means a formal evaluation of the energy
consumption of a building by a certified energy auditor, whose certification is approved by
the commissioner, for the purpose of identifying appropriate energy improvements that
could be made to the building and including an estimate of the deleted text begin length of time a specific
energy improvement will take to repay its purchase and installation costs, based on the
amount of energy saved and estimated future energy pricesdeleted text end new text begin effective useful life, the reduction
of energy consumption, and the related avoided greenhouse gas emissions resulting from
the proposed eligible improvementsnew text end .

Subd. 8.

Qualifying commercial real property.

"Qualifying commercial real property"
means a multifamily residential dwelling, a commercial or industrial building, or farmland,
as defined in section 216C.436, subdivision 1b, that the implementing entity has determined,
after review of an energy audit, renewable energy system feasibility study, new text begin water
improvement study, resiliency improvement study, new text end or agronomic assessment, as defined in
section 216C.436, subdivision 1b, can benefit from deleted text begin the installation of cost-effective energydeleted text end new text begin
installing eligiblenew text end improvements or land and water improvements, as defined in section
216C.436, subdivision 1b. Qualifying commercial real property includes new construction.

Subd. 10.

Renewable energy system feasibility study.

"Renewable energy system
feasibility study" means a written study, conducted by a contractor trained to perform that
analysis, for the purpose of determining the feasibility of installing a renewable energy
system in a building, including an estimate of the deleted text begin length of time a specificdeleted text end new text begin effective useful
life, the production of renewable energy, and any related avoided greenhouse gas emissions
of the proposednew text end renewable energy system deleted text begin will take to repay its purchase and installation
costs, based on the amount of energy saved and estimated future energy prices. For a
geothermal energy improvement, the feasibility study must calculate net savings in terms
of nongeothermal energy and costsdeleted text end .