The bill amends Minnesota Statutes 2024, section 216B.16, subdivision 12, to adjust the eligibility criteria for small natural gas utilities seeking exemption from regulation by the Minnesota Public Utilities Commission. Specifically, it raises the customer limit for municipalities to qualify for this exemption from 650 to 2,500 customers, while also allowing for a total of 5,000 customers when considering those served outside the municipality's corporate limits. The bill clarifies that municipalities can request exemptions for specific portions of a public utility's business and mandates that the same tariff rates apply to customers both within and outside the municipality.

Additionally, the bill introduces new definitions and requirements, including the definition of "system" as the infrastructure owned and operated by a public utility that delivers gas to customers. It also stipulates that public utilities must submit their municipally approved rates to the commission annually and allows the commission to investigate complaints regarding service outside of municipalities. If a municipality rescinds its request for exemption, the commission will then regulate the public utility's business in that area. The changes are set to take effect the day following final enactment.

Statutes affected:
Introduction: 216B.16