Enrolled Copy H.B. 389
4 Chief Sponsor: Colin W. Jack
5 Senate Sponsor: David P. Hinkins
8 General Description:
9 This bill creates the Electrical Power Delivery Quality Act.
10 Highlighted Provisions:
11 This bill:
12 < defines terms;
13 < grants rulemaking authority to the Public Service Commission (commission);
14 < requires certain electric utility companies to prepare an electrical power delivery
15 quality plan;
16 < grants rulemaking authority to the commission;
17 < creates a reporting requirement for the commission to report to the Public Utilities,
18 Energy, and Technology Interim Committee;
19 < makes changes to the state energy policy; and
20 < makes technical changes.
21 Money Appropriated in this Bill:
22 None
23 Other Special Clauses:
24 None
25 Utah Code Sections Affected:
27 79-6-301, as last amended by Laws of Utah 2021, Chapter 383 and renumbered and
28 amended by Laws of Utah 2021, Chapter 280
H.B. 389 Enrolled Copy
30 54-25-101, Utah Code Annotated 1953
31 54-25-102, Utah Code Annotated 1953
32 54-25-201, Utah Code Annotated 1953
34 Be it enacted by the Legislature of the state of Utah:
35 Section 1. Section 54-25-101 is enacted to read:
37 Part 1. General Provisions
38 54-25-101. Definitions.
39 As used in this chapter:
40 (1) "Electrical power delivery quality" means the suitability of power delivered to
41 customers as measured in comparison to accepted industry standards on voltage and power
42 quality.
43 (2) "Electrical power delivery quality plan" means a plan submitted to the commission
44 in accordance with the requirements of this chapter.
45 (3) "Interconnection request" means a request from a utility-scale energy generation
46 system to a qualified utility's transmission line.
47 (4) "Qualified utility" means the same as that term is defined in Section 54-17-801.
48 (5) "Utility-scale energy generation system" means an electric generation facility that
49 has a generating capacity of more than two megawatts and is intermittent, non-dispatchable, or
50 controlled by an inverter.
51 Section 2. Section 54-25-102 is enacted to read:
52 54-25-102. Commission rulemaking authority.
53 (1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
54 commission shall make rules to implement this chapter, including:
55 (a) rules establishing the submission of an electrical power delivery quality plan;
56 (b) rules establishing procedures for the review of an electrical power delivery quality
57 plan;
Enrolled Copy H.B. 389
58 (c) rules establishing the procedures for the review of the implementation of an
59 electrical power delivery quality plan; and
60 (d) any other rules that the commission determines are necessary to protect the public
61 interest and implement this chapter.
62 (2) In establishing the procedures and rules described in Subsection (1), the
63 commission shall consult with:
64 (a) qualified utilities;
65 (b) utility-scale electricity providers; and
66 (c) other state agencies.
67 Section 3. Section 54-25-201 is enacted to read:
68 Part 2. Electrical Power Delivery Quality Plan
69 54-25-201. Electrical power delivery quality plan for a qualified utility.
70 (1) A qualified utility shall:
71 (a) prepare an electrical power delivery quality plan in accordance with the
72 requirements of this chapter; and
73 (b) submit the electrical power delivery quality plan to the commission.
74 (2) An electrical power delivery quality plan under Subsection (1) shall include:
75 (a) a description of the procedures and standards that the qualified utility will use to
76 assess an interconnection request to:
77 (i) decrease the risk that the interconnected utility-scale generation facility will
78 adversely affect the electrical power delivery quality to other customers on the qualified utility
79 lines; and
80 (ii) address adverse effects to the electrical power service quality caused by
81 interconnected customer-owned generation systems that are discovered after the time of
82 interconnection;
83 (b) a description of the equipment that the qualified utility will use to perform the
84 assessment described in Subsection (2)(a); and
85 (c) a description of proposed modifications or upgrades to facilities and preventative
H.B. 389 Enrolled Copy
86 programs that the qualified utility will implement to address any electrical power delivery
87 quality issues that do not meet the qualified utility's interconnections policy or relevant national
88 standards.
89 (3) (a) The commission may only approve an electrical power delivery quality plan that
90 meets the requirements of Subsection (2).
91 (b) If the commission does not approve a proposed electrical power delivery quality
92 plan, the commission shall:
93 (i) notify the qualified utility that the proposed electrical power delivery quality plan
94 was not approved; and
95 (ii) provide specific recommendations to the qualified utility about changes needed for
96 approval of the proposed electrical power delivery quality plan.
97 (4) On or before October 31, 2023, and before October 31 of each year after 2023, the
98 commission shall report to the Public Utilities, Energy, and Technology Interim Committee
99 regarding a qualified utility's compliance with the qualified utility's electrical power delivery
100 quality plan.
101 Section 4. Section 79-6-301 is amended to read:
102 79-6-301. State energy policy.
103 (1) It is the policy of the state that:
104 (a) Utah shall have adequate, reliable, affordable, sustainable, and clean energy
105 resources;
106 (b) Utah [will] shall promote the development of:
107 (i) nonrenewable energy resources, including natural gas, coal, oil, oil shale, and oil
108 sands;
109 (ii) renewable energy resources, including geothermal, solar, wind, biomass, biofuel,
110 and hydroelectric;
111 (iii) nuclear power generation technologies certified for use by the United States
112 Nuclear Regulatory Commission including molten salt reactors producing medical isotopes;
113 (iv) alternative transportation fuels and technologies;
Enrolled Copy H.B. 389
114 (v) infrastructure to facilitate energy development, diversified modes of transportation,
115 greater access to domestic and international markets for Utah's resources, and advanced
116 transmission systems;
117 (vi) energy storage, pumped storage, and other advanced energy systems, including
118 hydrogen from all sources;
119 (vii) electricity systems that can be controlled at the request of grid operators to meet
120 system load demands, to ensure an adequate supply of dispatchable energy generation
121 resources;
122 (viii) electricity systems that are stable and capable of serving load without accelerating
123 damage to customer equipment; and
124 [(viii)] (ix) increased refinery capacity;
125 (c) Utah [will] shall promote the development of resources and infrastructure sufficient
126 to meet the state's growing demand, while contributing to the regional and national energy
127 supply, thus reducing dependence on international energy sources;
128 (d) Utah [will] shall promote the development of resources, tools, and infrastructure to
129 enhance the state's ability to:
130 (i) respond effectively to significant disruptions to the state's energy generation, energy
131 delivery systems, or fuel supplies; and
132 (ii) maintain adequate supply, including reserves of proven and cost-effective
133 dispatchable electricity reserves to meet grid demand;
134 (e) Utah [will] shall allow market forces to drive prudent use of energy resources,
135 although incentives and other methods may be used to ensure the state's optimal development
136 and use of energy resources in the short- and long-term;
137 (f) Utah [will] shall pursue energy conservation, energy efficiency, and environmental
138 quality;
139 (g) (i) state regulatory processes should be streamlined to balance economic costs with
140 the level of review necessary to ensure protection of the state's various interests; and
141 (ii) where federal action is required, Utah will encourage expedited federal action and
H.B. 389 Enrolled Copy
142 will collaborate with federal agencies to expedite review;
143 (h) Utah [will] shall maintain an environment that provides for stable consumer prices
144 that are as low as possible while providing producers and suppliers a fair return on investment,
145 recognizing that:
146 (i) economic prosperity is linked to the availability, reliability, and affordability of
147 consumer energy supplies; and
148 (ii) investment will occur only when adequate financial returns can be realized; and
149 (i) Utah [will] shall promote training and education programs focused on developing a
150 comprehensive understanding of energy, including:
151 (i) programs addressing:
152 (A) energy conservation;
153 (B) energy efficiency;
154 (C) supply and demand; and
155 (D) energy related workforce development; and
156 (ii) energy education programs in grades K-12.
157 (2) State agencies are encouraged to conduct agency activities consistent with
158 Subsection (1).
159 (3) A person may not file suit to challenge a state agency's action that is inconsistent
160 with Subsection (1).

Statutes affected:
H.B. 389 1st Substitute (Not Adopted) Text: 79-6-301
Enrolled: 79-6-301
Introduced: 79-6-301