This bill proposes an exemption from the public utilities tax for certain sales of electricity to qualifying green businesses, effective October 1, 2023. The exemption applies to sales of electricity generated from renewable resources or nonemitting sources, provided that the qualifying business begins its activities by July 1, 2033. The contract for electricity must ensure that the electricity used for qualifying activities is separately metered and that the price charged reflects a tax exemption not exceeding $100,000 per year. Additionally, the bill outlines requirements for qualifying businesses, including the need to demonstrate that at least 60% of the hydrogen produced is used in qualifying projects and to file an annual tax performance report.

The bill also includes definitions for key terms such as "qualifying activities," "qualifying business," and "qualifying projects," which encompass various uses of hydrogen in industrial processes and transportation. It stipulates that the maximum annual exemption per qualifying business is $100,000, and any excess claims must be remitted to the department. The section providing the exemption will expire on January 1, 2034, and the bill clarifies that RCW 82.32.808 does not apply to this act.