Senate Bill No. 125–Committee on Commerce and Labor

 

(On Behalf of the Public Utilities Commission)

 

February 13, 2003

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Revises provisions relating to certain final orders and permits for public utilities. (BDR 58‑488)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to public utilities; revising provisions governing notice for certain parties to a permit proceeding involving a utility facility; increasing the time allowed for entry of a final order for an application relating to the sale of energy, capacity or ancillary services by a provider of new electric resources; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1. NRS 704.870 is hereby amended to read as follows:

1-2  704.870  1.  Except as otherwise provided in subsection 2, a

1-3  person who wishes to obtain a permit for a utility facility must file

1-4  with the Commission an application, in such form as the

1-5  Commission prescribes, containing:

1-6  (a) A description of the location and of the utility facility to be

1-7  built thereon;

1-8  (b) A summary of any studies which have been made of the

1-9  environmental impact of the facility; and

1-10      (c) A description of any reasonable alternate location or

1-11  locations for the proposed facility, a description of the comparative

1-12  merits or detriments of each location submitted, and a statement of

2-1  the reasons why the primary proposed location is best suited for the

2-2  facility.

2-3  A copy or copies of the studies referred to in paragraph (b) must be

2-4  filed with the Commission and be available for public inspection.

2-5  2.  If a person wishes to obtain a permit for a utility facility and

2-6  a federal agency is required to conduct an environmental analysis of

2-7  the proposed utility facility, the person must:

2-8  (a) Not later than the date on which the person files with the

2-9  appropriate federal agency an application for approval for the

2-10  construction of the utility facility, file with the Commission and

2-11  each other permitting entity an application, in such a form as the

2-12  Commission or other permitting entity prescribes, containing:

2-13          (1) A general description of the proposed utility facility; and

2-14          (2) A summary of any studies which the applicant anticipates

2-15  will be made of the environmental impact of the facility; and

2-16      (b) Not later than 30 days after the issuance by the appropriate

2-17  federal agency of a final environmental assessment or

2-18  environmental impact statement relating to the construction of the

2-19  utility facility:

2-20          (1) File with the Commission an amended application that

2-21  complies with the provisions of subsection 1; and

2-22          (2) File with each other permitting entity an amended

2-23  application for a permit, license or other approval for the

2-24  construction of the utility facility.

2-25      3.  A copy of each application and amended application filed

2-26  with the Commission must be filed with the Administrator of the

2-27  Division of Environmental Protection of the State Department of

2-28  Conservation and Natural Resources.

2-29      4.  Each application and amended application filed with the

2-30  Commission must be accompanied by:

2-31      (a) Proof of service of a copy of the application or amended

2-32  application on the clerk of each local government in the area in

2-33  which any portion of the facility is to be located, both as primarily

2-34  and as alternatively proposed; and

2-35      (b) Proof that public notice thereof was given to persons

2-36  residing in the municipalities entitled to receive notice pursuant to

2-37  paragraph (a) by the publication of a summary of the application or

2-38  amended application in newspapers published and distributed in the

2-39  area in which the utility facility is proposed to be located.

2-40      5.  Not later than 5 business days after the Commission

2-41  receives an application or amended application pursuant to this

2-42  section, the Commission shall issue a notice concerning the

2-43  application or amended application. Any person who wishes to

2-44  become a party to a permit proceeding pursuant to NRS 704.885

2-45  must file with the Commission the appropriate document required

3-1  by NRS 704.885 within the time frame set forth in the notice

3-2  issued by the Commission pursuant to this subsection.

3-3  Sec. 2.  NRS 704.885 is hereby amended to read as follows:

3-4  704.885  1.  The parties to a permit proceeding include:

3-5  (a) The applicant.

3-6  (b) The Division of Environmental Protection of the State

3-7  Department of Conservation and Natural Resources.

3-8  (c) Each local government entitled to receive service of a copy

3-9  of the application pursuant to subsection 4 of NRS 704.870, if it has

3-10  filed with the Commission a notice of intervention as a party, within

3-11  [30 days after the date it was served with a copy of the application.]

3-12  the time frame established by the Commission pursuant to

3-13  subsection 5 of NRS 704.870.

3-14      (d) Any natural person residing in a local government entitled to

3-15  receive service of a copy of the application pursuant to subsection 4

3-16  of NRS 704.870, if such a person has petitioned the Commission for

3-17  leave to intervene as a party within [30 days after the date of the

3-18  published notice] the time frame established by the Commission

3-19  pursuant to subsection 5 of NRS 704.870 and if the petition has

3-20  been granted by the Commission for good cause shown.

3-21      (e) Any domestic nonprofit corporation or association, formed

3-22  in whole or in part to promote conservation of natural beauty, to

3-23  protect the environment, personal health or other biological values,

3-24  to preserve historical sites, to promote consumer interests, to

3-25  represent commercial and industrial groups, or to promote the

3-26  orderly development of the areas in which the facility is to be

3-27  located, if it has filed with the Commission a notice of intent to be a

3-28  party within [30 days after the date of the published notice.] the time

3-29  frame established by the Commission pursuant to subsection 5 of

3-30  NRS 704.870.

3-31      2.  Any person may make a limited appearance in the

3-32  proceeding by filing a statement of position within [30 days after the

3-33  date of the published notice.] the time frame established by the

3-34  Commission pursuant to subsection 5 of NRS 704.870. A

3-35  statement filed by a person making a limited appearance becomes

3-36  part of the record. No person making a limited appearance has the

3-37  right to present oral testimony or cross-examine witnesses.

3-38      3.  The Commission may, for good cause shown, grant a

3-39  petition for leave to intervene as a party to participate in subsequent

3-40  phases of the proceeding, filed by a municipality, government

3-41  agency, person or organization who is identified in paragraph (c),

3-42  (d) or (e) of subsection 1, but who failed to file in a timely manner a

3-43  notice of intervention, a petition for leave to intervene or a notice of

3-44  intent to be a party, as the case may be.

 

4-1  Sec. 3.  NRS 704B.310 is hereby amended to read as follows:

4-2  704B.310  1.  An eligible customer that is purchasing electric

4-3  service from an electric utility shall not purchase energy, capacity or

4-4  ancillary services from a provider of new electric resources and an

4-5  eligible customer that is purchasing energy, capacity or ancillary

4-6  services from a provider of new electric resources shall not purchase

4-7  energy, capacity or ancillary services from another provider unless:

4-8  (a) The eligible customer files an application with the

4-9  Commission not later than 180 days before the date on which the

4-10  eligible customer intends to begin purchasing energy, capacity or

4-11  ancillary services from the provider; and

4-12      (b) The Commission approves the application by a written order

4-13  issued in accordance with the provisions of this section and

4-14  NRS 704B.320.

4-15  The date on which the eligible customer intends to begin purchasing

4-16  energy, capacity or ancillary services from the provider must not be

4-17  sooner than the date on which the provider is authorized by NRS

4-18  704B.300 to begin selling energy, capacity or ancillary services to

4-19  the eligible customer.

4-20      2.  Except as otherwise provided in subsection 3, each

4-21  application filed pursuant to this section must include:

4-22      (a) Information demonstrating that the person filing the

4-23  application is an eligible customer;

4-24      (b) Information demonstrating that the proposed provider will

4-25  provide energy, capacity or ancillary services from a new electric

4-26  resource;

4-27      (c) Information concerning the terms and conditions of the

4-28  proposed transaction that is necessary for the Commission to

4-29  evaluate the impact of the proposed transaction on customers and

4-30  the public interest, including, without limitation, information

4-31  concerning the duration of the proposed transaction and the amount

4-32  of energy, capacity or ancillary services to be purchased from the

4-33  provider; and

4-34      (d) Any other information required pursuant to the regulations

4-35  adopted by the Commission.

4-36      3.  Except as otherwise provided in NRS 704B.320, the

4-37  Commission shall not require the eligible customer or provider to

4-38  disclose:

4-39      (a) The price that is being paid by the eligible customer to

4-40  purchase energy, capacity or ancillary services from the provider; or

4-41      (b) Any other terms or conditions of the proposed transaction

4-42  that the Commission determines are commercially sensitive.

4-43      4.  The Commission shall provide public notice of the

4-44  application of the eligible customer and an opportunity for a hearing

5-1  on the application in a manner that is consistent with the provisions

5-2  of NRS 703.320 and the regulations adopted by the Commission.

5-3  5.  The Commission shall approve the application of the eligible

5-4  customer unless the Commission finds that the proposed transaction:

5-5  (a) Will be contrary to the public interest; or

5-6  (b) Does not comply with the provisions of NRS 704B.320, if

5-7  those provisions apply to the proposed transaction.

5-8  6.  In determining whether the proposed transaction will be

5-9  contrary to the public interest, the Commission shall consider,

5-10  without limitation:

5-11      (a) Whether the electric utility that has been providing electric

5-12  service to the eligible customer will be burdened by increased costs

5-13  as a result of the proposed transaction or whether any remaining

5-14  customer of the electric utility will pay increased costs for electric

5-15  service as a result of the proposed transaction;

5-16      (b) Whether the proposed transaction will impair system

5-17  reliability or the ability of the electric utility to provide electric

5-18  service to its remaining customers; and

5-19      (c) Whether the proposed transaction will add energy, capacity

5-20  or ancillary services to the supply in this state.

5-21      7.  If the Commission approves the application of the eligible

5-22  customer:

5-23      (a) The eligible customer shall not begin purchasing energy,

5-24  capacity or ancillary services from the provider pursuant to the

5-25  proposed transaction sooner than 180 days after the date on which

5-26  the application was filed; and

5-27      (b) The Commission shall order such terms, conditions and

5-28  payments as the Commission deems necessary and appropriate to

5-29  ensure that the proposed transaction will not be contrary to the

5-30  public interest. Such terms, conditions and payments:

5-31          (1) Must be fair and nondiscriminatory as between the

5-32  eligible customer and the remaining customers of the electric utility;

5-33  and

5-34          (2) Must include, without limitation, payment by the eligible

5-35  customer to the electric utility of the eligible customer’s load-share

5-36  portion of any unrecovered balance in the deferred accounts of the

5-37  electric utility.

5-38      8.  If the Commission does not enter a final order on the

5-39  application of the eligible customer within [90] 150 days after the

5-40  date on which the application was filed with the Commission:

5-41      (a) The application shall be deemed to be approved by the

5-42  Commission; and

5-43      (b) The eligible customer shall not begin purchasing energy,

5-44  capacity or ancillary services from the provider pursuant to the

6-1  proposed transaction sooner than 180 days after the date on which

6-2  the application was filed.

 

6-3  H