An Act To Promote Cogeneration of Energy at Maine Sawmills
Maine Legislature, Session 124, LD 1044
Committee: Utilities, and Energy
Sponsors: FLETCHER, SMITH, AYOTTE, CLARK, CLEARY, FITTS, THOMAS, SHERMAN, TRAHAN

MAINE STATE LEGISLATURE 
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124thMAINELEGISLATURE 
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Legislative DOCll ment 
No. 1044 
H.P.719 
House of Representatives, March 17,2009 
An Act To Promote Cogeneration of Energy at Maine Sawmills 
Reference to the Committee on Utilities, and Energy suggested and ordered printed. 
Presented by Representative FLETCHER ofWinslbw. 
Cosponsored by Senator SMITH of Piscataquis and 
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MILLICENTM. MacFARLAND 
Clerk 
Representatives: AYOTTE of Caswell, CLARK of Millinocket, CLEARY of Houlton, FITTS 
of Pittsfield, McLEOD of Lee, THOMAS of Ripley, Senators: SHERMAN of Aroostook, 
TRAHAN of Lincoln. 
PrinlciJ 011 rCl:yckd paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 3S-A MRSA §230S-B, sub-§2, as enacted by PL 200 I, c. 110, §2, IS 
amended to read: 
2. 
Persons other than transmission and distribution utilities. -A- Except as 
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. provided under section 4406, a person· other "than a transmission arl.ddistrlbution utilitY 
may not construct or maintain electric lines, including poles or other related structures, in, 
upon, along, over, across or under a road, street or other public way unless: 
A. The person satisfies the requirements of section 2503; 
B. The person or the person's contractor hired to construct the line provides to the 
applicable licensing authority a performance bond: 
(1) 
In the amount of the value of the .line, including poles or other related 
structures, to be located in the public way; and 
(2) That is enforceable for one year from the date the line is energized; 
C. Prior to constructing the line, the person notifies the transmission and distribution 
utility in whose service territory the line is proposed to be built of the proposed 
location of the line; and 
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D. 
If i!- public utility objects to the line on the basis that it may constitute a 
duplication of existing transmission or distribution facilitiesor may interfere with the 
adequate and safe delivery of electricity to others, the commission issues a finding 
that the line is not a duplication of existing transmission or distribution facilities and 
does not interfere with the adequate and safe delivery of electricity to others. A 
finding is not required under this paragraph unless a public utility has objected in 
writing to the applicable licensing authority. 
Sec. "2. 3S-A MRS A c. 44-A is enacted to read: 
CHAPTER 44-A 
PINE TREE ENERGY ZONES 
§4405. Definitions. 
As used in this chapter, unless the context otherwise indicates, the following terms 
have the following meanings. 
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1. Cogeneration. "Cogeneration" means a process in which a facility uses its waste 
energy to generate electricity or other useful forms of energy. 
2. Manufacturing. "Manufacturing" means the production of tangible personal 
property intended to be' sold or leased ultimately for final use or consumption or the 
production of tangible personal property pursuant to a contract with the. Federal 
Government or any agency thereof. 
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Page I - 124LR161S(Ol)-1 
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3. Manufacturing cluster. "Manufacturing cluster" means at least 2 but not more 
than 10 manufacturing facilities, including at least one sawmill, located within a 20-mile 
radius. 
4. Pine Tree Energy Zone. "Pine Tree Energy Zone" means a geographic area 
designated by the commission as a Pine Tree Energy Zone in. accordance with section' 
4406foi'the purposes of encouraging cogeneration by sawmills. 
§4406. Pine Tree Energy Zones 
1. Petition. A manufacturing cluster may petition the commission to be designated 
as a Pine Tree Energy Zone. 
2. Requirements for designation. The commission shall establish the minimum 
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requirements for the designation of a Pine Tree Energy Zone. The geographic radius of a 
Pine Tree Energy Zone may not exceed 20 miles. 
3. Private transmission lines. The requirements of section 2305-B, subsection 2 do 
not apply to a person other than a transmission and distribution utility who constructs a 
private transmission line or lines over a public way for the purpose of transmitting 
electricity generated by a cogeneration facility that is operated by a sawmill located 
within a Pine Tree Energy Zone. 
The commission shall adopt rules for the implementation of this chapter. Rules 
adopted pursuant to this section are routine technical rules as defined in Title 5, chapter 
375, subchapter 2-A. 
Sec. 3. Net energybillingj rules. The Public Utilities Commission shall amend 
its rules governing net energy billing to allow a sawmill located within a Pine Tree 
Energy Zone pursuant to the Maine Revised Statutes, Title 35-A, section 4406, to elect 
net energy billing for a cogeneration facility with an installed capacityof 10 megawatts or 
less. 
SUMMARY 
This bill allows a group of manufacturing facilities, including at least one sawmill, to 
petition the Public Utilities Commission to designate the area surrounding the facilities as 
a Pine Tree Energy Zone. Within a designated Pine Tree Energy Zone, the bill provides 
an exemption from the statutory requirements for the construction of transmission lines in 
the public way for a person who constructs a private transmission line to tJ:ansmit 
electricity generated ,by a cogeneration facility located at a sawmill in the zone. The bill 
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also directs the Public Utilities Commission to amend its rules governing net energy 
billing to allow sawmills located in Pine Tree Energy Zones to elect net energy billing for 
35a cogeneration facility with an installed capacity of up to 10 megawatts.