MN SF2713

Allows public utilities to petition the Public Utilities Commission for an advance determination of prudence for energy storage systems owned and operated by the utility.

Petition must include project description, reasonableness evidence, discussion of alternatives, implementation schedule, cost estimate, efforts to ensure lowest costs, grid interaction information, and specific project goals such as frequency/voltage control, transmission congestion mitigation, emergency power supply, renewable energy curtailment reduction, and peak power cost reduction.

Commission must allow oral and written comment on petitions and make a final determination within six months of filing, providing findings in support and prohibiting approval unless the project provides net benefits to ratepayers.

Utilities may recover approved project costs through the next rate case or a commission-approved rider, with the commission able to accept, modify, or reject costs regardless of prior prudence determinations.

Return on investment for rider-approved projects must match the rate approved in the utility's last general rate case unless the commission determines a different rate of return serves the public interest.