The proposed bill aims to enhance Minnesota's energy policy and finance framework by establishing a budget for various energy initiatives, including geothermal and solar energy projects. It introduces new appropriations for fiscal years 2026 and 2027, allocating funds for specific purposes such as the remediation of vermiculite insulation, natural gas innovation plans, and community solar gardens. The bill also provides grants for renewable energy projects, including a geothermal energy system at Como Zoo and a Green Hydrogen Project in St. Cloud. Additionally, it authorizes the transfer of funds from the renewable development account to support geothermal planning and extends the availability of certain appropriations for microgrid research grants.

Moreover, the bill amends existing statutes to improve energy affordability programs for low-income households by redefining eligibility criteria based on state median income rather than solely on federal assistance. It mandates the commission to implement and evaluate affordability programs, allowing utilities to recover program costs capped at five percent. The bill also introduces new definitions related to energy generation and establishes a framework for "extraordinary event bonds" to help utilities recover costs from unforeseen events. Other significant changes include extending the solar energy production incentive program, creating a renewable development account advisory group, and outlining a rebate program for solar photovoltaic modules manufactured in Minnesota. Overall, the legislation seeks to promote clean energy solutions, improve energy efficiency, and ensure public engagement in energy issues.

Statutes affected:
Introduction: 47.60, 47.601, 80A.58, 80A.65, 62E.21, 62E.23, 62E.24, 62E.25, 116C.7792, 216C.09, 216C.10, 216C.11, 216C.12, 216C.391, 342.17, 342.37
1st Engrossment: 116D.04, 216B.02, 216B.16, 216B.164, 216B.1641, 216B.1691, 216B.2402, 216B.2421, 216B.243, 216C.09, 216C.10, 216C.11, 216C.12, 216C.391, 216C.47, 216I.02, 216I.07, 216B.62, 116C.7792, 116J.55, 216B.1645, 216C.377, 216C.417, 216C.412