NC H721

Prohibits electric utilities operating coal-fired power plants in North Carolina from purchasing or using coal extracted through mountaintop removal mining, effective January 1, 2018, with utilities required to obtain sworn statements from coal suppliers confirming extraction methods.

Establishes a moratorium on issuing new certificates for coal-fired power plant construction filed on or after July 1, 2015, unless the unit is carbon neutral, and suspends existing certificates for units not operational by July 1, 2017 until July 1, 2022.

Allows utilities to recover reasonable and prudent incremental costs from purchasing non-mountaintop removal coal through an annual rider and prohibits cost recovery for coal obtained in violation of the mountaintop removal ban.

Requires the State Treasurer to adopt a divestment policy prohibiting the North Carolina Retirement Systems and Department of State Treasurer from investing in persons engaged in coal sector activities exceeding $20 million annually, with existing investments divested within 180 days.

Imposes penalties including loss of certificate of convenience and necessity for utilities failing to file required monthly and annual compliance reports, and permanent suspension of certificates for utilities that violate the coal-fired plant moratorium.