023-3 Wyo. Code R. §§ 3-38 - Low-Carbon Energy Portfolio Standards

(a) Each electric utility subject to the provisions of W.S. § 37-18-102 shall file an initial application to establish intermediate standards and requirements by March 31, 2022. The initial application shall include, at a minimum, the following:

(i) An analysis of carbon capture, utilization and storage suitability of a utility's Coal Fired Electric Generation Facilities, owned in whole or in part with another utility or utilities subject to the provisions of W.S. § 37-18-102(a), that shall include:

(A) A description of the potential suitability of each Coal Fired Electric Generation Facility for carbon capture, utilization and storage technologies, including space requirements for the necessary equipment and other technical considerations that would support or limit implementation of any given technology for each unit;

(B) The proximity of each Coal Fired Electric Generation Facility to known sequestration locations, carbon dioxide transport pipelines, and oil fields potentially suitable for enhanced oil recovery or any other possible uses of carbon dioxide;

(C) Identification of all relevant environmental factors, including potentially applicable pollution control requirements, water availability, and a preliminary identification of all necessary permits with an estimated timeline for obtaining each permit;

(D) An estimate, on a unit basis, of the amount of annual electricity generated in megawatt-hours that would qualify as dispatchable and reliable low-carbon electricity if carbon capture, utilization and storage technology were installed;

(E) A description of the estimated impact, if any, on the operation of each unit from the installation of the carbon capture, utilization and storage technology identified as appropriate for that unit;

(F) The amount of electricity generated each year for the past five calendar years and the projected generation for the current year and each of the next two subsequent years for each unit;

(ii) A description of any public or private entities who have submitted proposals to the public utility, including pilot projects or other resources that may support the development of carbon capture, utilization and storage technology on the utility's Coal Fired Electric Generation Facilities;

(iii) A description of any potential offsets or revenue streams, including but not limited to:

(A) Availability of any tax credits;

(B) Revenue from carbon dioxide sales; and

(C) Availability of grants.

(iv) Results of an economic analysis from the most recent integrated resource plan, or other comparable analysis, projecting the costs for equipping each unit in a utility's Coal Fired Electric Generation Facility with any carbon capture, utilization and storage technology identified as potentially appropriate for that unit;

(v) A description of any rate recovery mechanism for incremental costs incurred to comply with the dispatchable and reliable low-carbon electricity generation standard, including:

(A) An estimate of the annual collection amount from each customer's total electric bill equal to the cap set forth in W.S. § 37-18-102(c)(iii); and

(B) Any proposal for a higher rate of return on equity.

(vi) Based on paragraphs (i) through (v) of this subsection, a utility shall establish and include in its application a plan to complete a technical analysis for carbon capture, utilization and storage technology identified to achieve the dispatchable and reliable low-carbon electricity generation standard. The plan shall include:

(A) Identification of specific unit or units at the utility's Coal Fired Electric Generation Facilities for which the utility will complete a technical analysis. The utility shall also identify any units it will not analyze and demonstrate why a technical analysis is not appropriate;

(B) A timeline and description of the technical analysis;

(C) Estimated incremental costs to complete the technical analysis and the proposed regulatory recovery method for any associated costs incurred to complete the analysis;

(D) An estimate of the generation at identified units and the associated projected costs in comparison to an energy portfolio standard set at twenty percent (20%), forty percent (40%), sixty percent (60%), and eighty percent (80%), in each case as a percentage of the utility's Wyoming load under the following scenarios;

(I) The utility's actual retail sales in kilowatt-hours in Wyoming during calendar year 2021; and

(II) A forecast of the utility's retail sales in kilowatt-hours in Wyoming for calendar years 2021 through 2030.

(E) An estimate of the highest economically feasible energy portfolio standard and identified units to meet that standard.

(vii) Any other information the Commission deems appropriate.

(b) After the initial application, each utility shall file an application providing updates to its plan annually no later than March 31. The updates shall include, where applicable:

(i) A report of all steps taken in the past calendar year to implement its plan;

(ii) A description and support for any material changes to the information required in sections (a)(i) through (iv) above;

(iii) An updated analysis for the energy portfolio standards set forth in subsection (a)(vi)(D) above; and

(iv) Any proposed amendments to the plan.

(c) No later than March 31, 2023, the utility will submit for Commission approval a final plan with its proposed energy portfolio standard for dispatchable and reliable low-carbon electricity, its plan for achieving the standard, and a target date of no later than July 1, 2030.

(i) The final plan shall, at a minimum, include:

(A) A summary, results, and supporting workpapers for technical analysis completed and approved in the initial application in paragraph (a)(vi) along with any updates;

(B) The utility's estimation of the highest economically feasible energy portfolio standard in accordance with W.S. § 37-18-102(c)(iii); and

(C) In no case shall a portfolio standard be set at less than twenty percent (20%) of retail Wyoming sales for an identified calendar year unless the utility establishes by clear and convincing evidence that a minimum twenty percent (20%) standard is not economically or technically feasible.

(d) No application under subsection (a) of this Rule is required for any unit in a Coal Fired Electric Generation Facility where a utility subject to this Commission's jurisdiction has a part-ownership interest in the facility with another utility or utilities, one or more of which is not subject to the Commission's jurisdiction pursuant to W.S. § 37-1-101. If the ownership of a unit changes so that all owners are subject to Commission jurisdiction pursuant to W.S. § 37-1-101, the utility or utilities shall file a joint application as required by subsection (a)(vi) within ninety (90) days of the change in ownership.

(e) Each utility subject to the provisions of W.S. § 37-18-102(a) shall file a report annually by June 1 providing its Electric Reliability and Power Quality outcomes.

(i) The initial report shall establish the utility's baseline standard for Electric Reliability. Subsequent annual reports shall update the baseline standard.

(ii) In its discretion, the Commission may require a utility, after notice and opportunity for a hearing, to take any reasonably necessary steps to maintain reasonable levels of Electric Reliability and Power Quality.

Notes

023-3 Wyo. Code R. §§ 3-38

Adopted, Eff. 1/3/2022. Amended, Eff. 9/15/2022. Amended, Eff. 3/8/2023.