AR SB721

Requires electric utilities to file feed-in tariffs with the Arkansas Public Service Commission to purchase renewable energy from facilities using solar, wind, water, geothermal, or biomass resources located in Arkansas

Limits renewable electric generation facilities to a maximum effective capacity of 20 megawatts and requires the commission to approve tariffs that differentiate pricing by technology type, facility size, dispatch-ability, and interconnection costs

Mandates utilities offer to purchase at least 20% of electricity supply from residential or commercial renewable facilities and continue purchases until the state reaches 200 megawatts of combined renewable capacity

Permits electric utilities to recover costs exceeding their avoided cost of generation and to recover and earn a return on reasonable investments for necessary system upgrades to receive renewable energy

Requires renewable generation facilities that consume any self-generated energy to complete a certified energy audit demonstrating prudent energy efficiency measures before applying for a feed-in tariff contract