HF61 Summary: Energy Conservation and Optimization Act of 2020

• Increases Minnesota's statewide energy-savings goal from 1.5% to 2.5% of annual retail energy sales, with utilities achieving savings through conservation improvements, efficiency codes, rate design, and other measures.

• Establishes new authorization for public utilities to invest in innovative clean technologies (advanced, environmentally superior, not widely deployed) with spending caps of $6 million or $3 million over three years depending on customer size.

• Creates comprehensive energy conservation and optimization plan requirements for both public utilities and consumer-owned utilities, with detailed standards for program evaluation, cost-effectiveness analysis, and spending minimums for low-income programs.

• Introduces efficient fuel-switching improvement programs allowing utilities to count electric or gas technology deployments that reduce source energy consumption and greenhouse gas emissions toward energy-savings goals.

• Establishes Healthy AIR (Asbestos Insulation Removal) account funded by utilities to provide preweatherization measures for low-income households in conjunction with federal weatherization assistance programs.