MN HF1326

Allows utilities to recover costs for emission reduction projects installed on existing large electric generating power plants through rate riders, with projects required to either comply with federal Clean Air Act standards or reduce emissions to cost-effective levels.

Expands eligibility to include projects on power plants located outside Minnesota if needed to comply with state or federal air quality standards, subject to advance commission approval of prudence.

Exempts out-of-state projects from certain rate rider requirements under subdivisions 2, 4, and 5 of section 216B.1692.

Extends the sunset date for the emission reduction rate rider program from December 31, 2015 to December 31, 2020.

Clarifies that utilities may recover project costs in rate cases or through riders approved under the emission reduction program, with commission review required to ensure costs are reasonable and necessary.