This bill aims to enhance energy management in Minnesota by requiring public utilities to provide additional information in their resource plans and to establish a virtual power plant tariff and program. Specifically, it mandates that public utilities include estimates of the reduction in system peak demand and the associated costs of implementing a virtual power plant program in their resource plan filings. The bill also introduces a new section in Minnesota Statutes that outlines the definitions, objectives, and requirements for the virtual power plant program, which is designed to aggregate electricity from distributed energy resources and activate demand response measures during grid events.

Furthermore, the bill sets forth specific goals for the virtual power plant program, including reducing demand during system peaks, optimizing the use of renewable energy, and lowering ratepayer bills. It establishes operational requirements for aggregators and participants, as well as the duties of the Minnesota Public Utilities Commission in overseeing the program. The commission is empowered to approve cost recovery for investments made by public utilities in the program and requires annual reporting on the program's performance and contributions to grid services. The effective date for these provisions is the day following final enactment.

Statutes affected:
Introduction: 216B.2422