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HF2928 (Legislative Session 94 (2025-2026))

Preapplication filings for large water appropriation projects required, permit application information for large water appropriation projects added, level of environmental review for data centers specified, data centers exempted from making financial contributions to an energy conservation and optimization plan, and other data center provisions modified.

AI Generated Summary

Purpose of the Bill

The bill aims to regulate water usage and energy consumption, particularly focusing on large water appropriation projects and data centers in Minnesota. It seeks to establish new procedures and requirements for these projects to ensure sustainable resource use and environmental protection.

Main Provisions

  • Preapplication Requirements: Projects that intend to use over 100 million gallons of water annually or 250,000 gallons daily must engage in preapplication discussions with the Department of Natural Resources. This is to ensure compatibility with existing and future water needs and priorities.

  • Permit Application Enhancements: Further information must be included in permit applications for large water appropriation projects, such as estimated water use rates, potential water sources, and quality requirements.

  • Environmental Review for Data Centers: Specifies the level of environmental review data centers must undergo. This adjustment aims to increase the efficiency of these reviews.

  • Exemptions for Data Centers:

    • Data centers' energy use will not impact a utility's energy savings goals.
    • Data centers are exempt from making financial contributions to energy conservation plans.

  • Revenues and Fees: The bill proposes that fees collected be directed into an account dedicated to energy conservation efforts. Additionally, data centers are required to pay a specified fee.

  • Public Utilities Commission Tariff: It mandates the establishment of a new tariff by the Public Utilities Commission specifically for data centers.

  • Energy Requirements: New energy consumption requirements for data centers are established to monitor and regulate their energy usage.

Significant Changes

  • The bill amends several Minnesota statutes to incorporate additional regulations and exemptions specific to data centers and large water usage projects.
  • It broadens the definition of what constitutes a "large energy facility."
  • It modifies existing processes by including preapplication protocols and data transparency enhancements.

Relevant Terms

water appropriation, data centers, environmental review, energy conservation, energy consumption, Public Utilities Commission, tariff, energy facility, Minnesota statutes, water use permit.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 26, 2025HouseFloorActionIntroduction and first reading, referred toEnergy Finance and Policy

Citations

 
[
  {
    "analysis": {
      "added": [
        "Adds data centers to the list of subjects for energy conservation measures."
      ],
      "removed": [],
      "summary": "This bill modifies the energy conservation and optimization plan requirements under section 216B.2402.",
      "modified": [
        "Redefines the role of data centers in achieving energy savings."
      ]
    },
    "citation": "216B.2402",
    "subdivision": "subdivision 10"
  },
  {
    "analysis": {
      "added": [],
      "removed": [
        "Eliminates requirement for data centers to contribute financially to energy conservation plans."
      ],
      "summary": "This bill updates the provisions regarding utility energy conservation plans under 216B.241.",
      "modified": [
        "Alters utility obligations in terms of energy savings calculations, excluding data center consumption."
      ]
    },
    "citation": "216B.241",
    "subdivision": "subdivision 1a"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Amendments modify incentives for utilities that exceed their energy savings goals.",
      "modified": [
        "Exemption of data center consumption from energy savings metrics."
      ]
    },
    "citation": "216B.241",
    "subdivision": "subdivision 2a"
  },
  {
    "analysis": {
      "added": [
        "Specifies energy requirements and fees applicable to data centers."
      ],
      "removed": [],
      "summary": "Changes the definition and requirements for large energy facilities.",
      "modified": []
    },
    "citation": "216B.2421",
    "subdivision": "subdivision 2"
  }
]

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