An Act To Protect Maine's Biomass and Forest Products Industries by Allowing Biomass Generators To Enter into Short-term Contracts
Maine Legislature, Session 125, LD 1706
Committee Amendment CA_A_H809 (House)
Amends: 35-A MRSA §3210

COMMITTEE AMENDMENT "A" to H.P. 1258, L.D. 1706, Bill, "An Act To 
Protect Maine's Biomass and Forest Products Industries by Allowing Biomass Generators 
To Enter into Short-term Contracts" 
Amend the bill by striking out the title and substituting the following: 
'An Act To Protect Maine's Biomass and Forest Products Industries' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 35-A MRSA §3210, sub-§10 is enacted to read: 
10. Temporary eligibility as a new renewable capacity resource. A biomass 
generator is eligible to be counted towards a competitive electricity provider's new 
renewable capacity resource requirement under subsection 3-A if the commission 
determines that the biomass generator has not been operating for at least 90 days due to 
economic hardship. The following provisions govern the temporary eligibility of a 
biomass generator as a new renewable capacity resource. 
A. The commission may require through rulemaking that a biomass generator allow 
the commission to inspect and copy the books, accounts, papers, records and 
memoranda of the biomass generator in relation to its business and affairs for the 
purposes of determining if the biomass generator has not been operating for at least 
days due to economic hardship. 
B. Upon a determination by the commission pursuant to paragraph A that a biomass 
generator has not been operating for at least 90 days due to economic hardship, the 
biomass generator is eligible as a new renewable capacity resource for 3 years. 
C. If during a biomass generator's 3-year term of eligibility as a new renewable 
capacity resource under paragraph B the commission determines that economic 
conditions have improved to the extent that the value of the renewable energy credits 
related to the new renewable capacity resource is no longer necessary to assist the 
biomass generator in overcoming economic hardship, the commission shall require 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT "A" to H.P. 1258, LD. 1706 
the monetary value of the renewable energy credits to be transferred from the 
biomass generator to the Efficiency Maine Trust established in section 10 1 03 and 
deposited into the conservation program fund established in section 1011 0, 
subsection 7 and expended in accordance with the provisions of section 10110, 
subsection 7. 
D. The cOlmnission may adopt routine technical rules pursuant to Title 5, chapter 
375, subchapter 2-A to implement this subsection. The rules may include, but are not 
limited to, the processes: 
(1) To determine if a biomass generator has not been operating for at least 90 
days due to economic hardship; 
(2) To monitor whether a biomass generator needs the value of the renewable 
energy credits for the full term of its eligibility as a new renewable capacity 
resource in order to overcome economic hardship to generate electricity; and 
(3) To transfer the monetary value of renewable energy credits to the Efficiency 
Maine Trust under paragraph C. 
Sec.2. Task force. Within its existing resources, the Department of Economic and 
Community Development shall convene a task force to meet with the owners and 
operators of the biomass facilities in this State to offer state assistance to improve the 
economic circumstances and decrease the economic vulnerability of the biomass facilities 
in the State and to determine how to restart biomass facilities that are not operating and 
how to keep the biomass facilities that are currently operating running. The task force 
shall identify and evaluate obstacles confronting biomass power generating facilities in 
the State, review policies and practices in other states in which biomass power generating 
facilities are successfully operating and recommend measures to help the biomass 
industry succeed, including any changes needed in law. 
The Department of Economic and Community Development shall invite 
representatives from the Governor's Office of Energy Independence and Security, the 
Public Utilities Commission, the Finance Authority of Maine and the Department of 
Conservation, Maine Forest Service to participate in this task force. 
The Department of Economic and Community Development shall submit a report to 
the joint standing committee of the Legislature having jurisdiction over energy and 
utilities matters by March 1, 2013. The report must include, but is not limited to, a 
description of the task force's discussions and meetings, a summary of the obstacles 
confronting biomass power generating facilities in the State and policies and practices in 
other states in which biomass power generating facilities are successfully operating. The 
report must also include a description of the assistance that the State can offer to biomass 
facilities and any recommended measures or changes to existing law to improve the 
economic circumstances and decrease the economic vulnerability of biomass facilities in 
this State.' 
SUMMARY 
This amendment is the minority report. 
This amendment replaces the bill and 
changes the title. This amendment permits that, upon a determination by the Public 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A "to H.P. 1258, L.D. 1706 
Utilities Commission that a biomass facility has not been operating for 90 days or more 
due to economic hardship, the biomass facility is temporarily eligible as a new renewable 
capacity resource and for renewable energy credits for a period of 3 years. If during that 3 
years the biomass facility no longer needs the additional revenue from the renewable 
energy credits, the value of the renewable energy credits must be transferred to the 
Efficiency Maine Trust for deposit into the conservation program fund established by the 
Efficiency Maine Trust. The Public Utilities Commission may adopt routine technical 
rules to implement these provisions. 
The amendment further requires the Department of Economic and Community 
Development to convene a task force to identify ways to improve the economic stability 
of biomass facilities in this State. The department is required to report to the joint 
standing committee of the Legislature having jurisdiction over energy and utility matters 
by March 1,2013. 
FISCAL NOTE REQVlRED 
(See Attachedj 
COMMITTEE AMENDMENT 
Approved: 03/13/12 W'czc.. 
LD 1706 
LR 2632(02) 
An Act To Protect Maine's Biomass and Forest Products Industries' 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment "A" ClJ, 3'O~ 
Committee: Energy, Utilities and Technology 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - General Fund 
Minor cost increase - Other Special Revenue Funds 
The bill provides that a biomass facility that has not been operating for 90 days or longer as a result of economic 
hardship is eligible for Class I renewable energy credits for a period ofthree years. lfthe biomass facility no longer 
needs the additional revenue from the credits during the three years, the value of the credits must be transferred to the 
Efficiency Maine Trust for deposit into the conservation program fund. 
The bill also establishes a state task force led by the Department of Economic and Community Development to 
identify ways to improve the economic stability of biomass facilities in the state. The provisions of the bill will induce 
a minor increase in costs to the Department of Economic and Community Development, the Public Utilities 
Commission, the Finance Authority of Maine and the Department of Conservation that can be absorbed within 
existing budgeted resources. 
LR2632(02) - Fiscal Note - Page 1 of 1