HB 1487 Summary

• Increases renewable energy portfolio requirements for electric utilities to 7% for 2014-2017, 12% for 2018-2020, and 15% for 2021 and beyond, with at least 2% from solar sources annually starting in 2021.

• Restricts renewable energy credit (REC) sourcing to Missouri or bordering states beginning January 1, 2017 (previously allowed credits from any of the 48 continental states through December 31, 2016).

• Establishes a cost recovery surcharge mechanism capped at 1% of base rate revenue requirement annually, with provisions for over/under recovery adjustments made effective May 1st of the following year.

• Modifies solar rebate program to provide $2 per watt for systems installed in 2013, decreasing by $0.25 annually until eliminated for systems not installed by December 31, 2020; requires customers to transfer REC rights to utilities for 10 years.

• Creates the "Agricultural Energy Fund" financed by utility assessments to support biomass energy project development, with unused funds rolling forward to reduce future assessments.