An Act To Lower the Price of Electricity for Maine Consumers
Maine Legislature, Session 125, LD 1863
Committee Amendment CA_B-SA_A_S538 (Senate)
Amends: 35-A MRSA §3210-C

SENATE AMENDMENT" A " to COMMITTEE AMENDMENT "B" to S.P. 648, 
L.D. 1863, Bill, "An Act To Lower the Price of Electricity for Maine Consumers" 
Amend the amendment by striking out all of section 2. 
Amend the amendment by striking out all of section 4 and inserting the following: 
'Sec. 4. 35-A MRSA §3210-C, sub-§13 is enacted to read: 
13. Contracts to ensure lower rates. In accordance with this subsection, the 
commission may direct investor-owned transmission and distribution utilities to enter into 
contracts with electricity resources for the purpose of reducing the price of electricity to 
ratepayers. Except for the requirements of subsection 3, paragraph C, contracts under this 
subsection are not governed by the provisions of subsection 3. 
A. The commission shall ensure that a contract under this subsection requires the 
price for electric energy purchased under the contract to be at least 10% less than the 
applicable market clearing price at the time of delivery. as determined by the 
commission by rule, except that if the commission determines that a discount price 
closer to the applicable market clearing price is necessary to achieve the purposes of 
this section, the commission may by rule establish a lower discount. 
B. The commission may not require contracts entered into under this subsection to 
involve in the aggregate an amount of electric energy that exceeds 10% of the total 
statewide electric energy load, as determined by the commission by rule. 
C. The commission may not require an investor-owned transmission and distribution 
utility to enter into any contract under this subsection that has a term that exceeds 20 
years. 
D. The commission may require an investor-owned transmission and distribution 
utility to enter into a contract for electric energy and associated renewable energy 
credits, with appropriate valuation of each component, consistent with the other 
requirements of this subsection. 
E. The commission may not require investor-owned transmission and distribution 
utilities to enter into contracts under this subsection with renewable capacity 
resources, as defined in section 3210, subsection 2, paragraph B-3, subparagraph (3), 
that in the aggregate exceed, in any year during the term of the contract, 50% of that 
SENATE AMENDMENT 
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SENATE AMENDMENT" A" to COMMITTEE AMENDMENT "B" to S.P. 648, L.D. 1863 
portion of the total statewide portfolio requirement as established under section 3210, 
subsection 3-A that is greater than the total statewide portfolio requirement 
established under section 3210 for the period from January 1, 2012 to December 31, 
2012. 
F. An investor-owned transmission and distribution utility shall sell entitlements for 
capacity, energy and renewable energy credits purchased pursuant to this subsection 
as directed by the commission. 
G. The commission shall ensure that an investor-owned transmission and distribution 
utility recovers in rates all costs of contracts entered into pursuant to this subsection, 
including but not limited to any impacts on the utility's costs of capital. 
The commission shall adopt rules implementing this subsection and defining when a 
source of electric generation that is subject to a contract entered into under this subsection 
qualifies as a renewable capacity resource under section 3210, subsection 2, paragraph 
B-3, subparagraph (3) or a renewable resource under section 3210, subsection 2, 
paragraph C, subparagraph (3). 
Rules adopted under this subsection are major 
substantive rules as defined in Title 5, chapter 375, subchapter 2-A.' 
Amend the amendment by relettering or renumbering any nonconsecutive Part letter 
or section number to read consecutively. 
SUMMARY 
This amendment modifies Committee Amendment "B" as follows. 
1. It provides that the new contracts with electricity resources for the purposes of 
reducing the price of electricity to ratepayers must comply with the current requirement 
that the price paid by the investor-owned transmission and distribution utility for any 
renewable energy credits must be lower than the price received for those renewable 
energy credits at the time they are sold by the transmission and distribution utility. 
2. It removes the provision that allows a generator whose total power production 
capacity exceeds 100 megawatts to qualify as a renewable resource under the so-called 
Class 2 portfolio requirement under the Maine Revised Statutes, Title 35-A, section 3210, 
subsection 3. 
3. It limits the amount of electricity that can be contracted from generators whose 
total power production capacity exceeds 100 megawatts, to the extent those generators, as 
a result of the contracts, are allowed to qualify for the so-called Class 1 portfolio 
requirement under the Maine Revised Statutes, Title 35-A, section 3210, subsection 3-A. 
In the aggregate such contracts may not in any year account for more than 50% of the 
annual incremental increases in the total statewide Class 1 portfolio requirement over the 
amount currently established for 2012. The 2012 Class 1 portfolio requirement amounts 
to 5% of supply resources. This portfolio requirement is currently scheduled to increase 
by 1 % each year until it reaches 10% in 2017. Under this current schedule, up to 50% of 
each year's 1% increase, or up to .5% of supply resources in 2013 and up to .5% 
SENATE AMENDMENT 
SENATE AMENDMENT" A" to COMMITTEE AMENDMENT "B" to S.P. 648, L.D. 1863 
additionally each year thereafter, may be under contract with generators whose total 
power production capacity exceeds 100 megawatts. 
SPONSOREDBY:~~ 
(Senator THIBODEAU) 
COUNTY: Waldo 
FISCAL \OTE REQUIREri 
(See attached), 
SENATE AMENDMENT 
Approved: 04/09/12 
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LD 1863 
LR2795(05) 
An Act To Lower the Price of Electricity for Maine Consumers 
Fiscal Note for Senate Amendment" A" to Committee Amendment "B" S.-. 53i" 
Sponsor: Sen. Thibodeau of Waldo 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - Other Special Revenue Funds 
Fiscal Detail and Notes 
Any additional costs to the Public Utilities Commission can be absorbed within existing budgeted resources. 
LR2795(05) - Fiscal Note - Page 1 of 1