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H.B. 412





Chief Sponsor: Roger E. Barrus

Senate Sponsor: Scott K. Jenkins

             7      LONG TITLE
             8      General Description:
             9          This bill amends the state energy policy.
             10      Highlighted Provisions:
             11          This bill:
             12          .    amends the state energy policy to determine the economic impacts of a proposed
             13      legislative or executive action involving climate change;
             14          .    amends the state energy policy to promote and advocate for fair and consistent
             15      federal climate change regulation; and
             16          .    makes technical corrections.
             17      Monies Appropriated in this Bill:
             18          None
             19      Other Special Clauses:
             20          None
             21      Utah Code Sections Affected:
             22      AMENDS:
             23          63M-4-301, as renumbered and amended by Laws of Utah 2008, Chapter 382
             25      Be it enacted by the Legislature of the state of Utah:
             26          Section 1. Section 63M-4-301 is amended to read:
             27           63M-4-301. State energy policy.

             28          (1) It is the policy of the state that:
             29          (a) Utah have adequate, reliable, affordable, sustainable, and clean energy resources;
             30          (b) Utah will promote the development of:
             31          (i) nonrenewable energy resources, including natural gas, coal, oil, oil shale, and tar
             32      sands; and
             33          (ii) renewable energy resources, including geothermal, solar, wind, biomass, biodiesel,
             34      hydroelectric, and ethanol;
             35          (c) Utah will promote the study of nuclear power generation;
             36          (d) Utah will promote the development of resources and infrastructure sufficient to
             37      meet the state's growing demand, while contributing to the regional and national energy supply,
             38      thus reducing dependence on international energy sources;
             39          (e) Utah will allow market forces to drive prudent use of energy resources, although
             40      incentives and other methods may be used to ensure the state's optimal development and use of
             41      energy resources in the short- and long-term;
             42          (f) Utah will pursue energy conservation, energy efficiency, and environmental quality;
             43          (g) (i) state regulatory processes should be streamlined to balance economic costs with
             44      the level of review necessary to ensure protection of the state's various interests; and
             45          (ii) where federal action is required, Utah will encourage expedited federal action and
             46      will collaborate with federal agencies to expedite review;
             47          (h) Utah will maintain an environment that provides for stable consumer prices that are
             48      as low as possible while providing producers and suppliers a fair return on investment,
             49      recognizing that:
             50          (i) economic prosperity is linked to the availability, reliability, and affordability of
             51      consumer energy supplies; and
             52          (ii) investment will occur only when adequate financial returns can be realized; and
             53          (i) Utah will promote training and education programs focused on developing a
             54      comprehensive understanding of energy, including programs addressing:
             55          (i) energy conservation;
             56          (ii) energy efficiency;
             57          (iii) supply and demand; and
             58          (iv) energy related workforce development.

             59          (2) Before adopting legislative action, including a bill or resolution, or an executive
             60      action, including an executive order, to address climate change, Utah will determine the
             61      action's:
             62          (a) economic impacts, if any, on existing Utah industry, business, and consumers; and
             63          (b) impact on Utah's ability to attract industry to rural Utah and urban Utah.
             64          (3) If federal law contemplates climate change regulations, Utah will:
             65          (a) promote and advocate for alternative compliance methods during the initial
             66      cost-recovery period to temper the effect of future climate change legislation on Utah industry,
             67      business, and consumers;
             68          (b) promote and advocate for fair and consistent regional methodologies to ensure that:
             69          (i) during the initial regulation period, federal climate change law does not result in
             70      dramatic regulation disparity region to region; and
             71          (ii) the federal regulation is not premature to the investigation, development, testing,
             72      redesign, and implementation of climate change technologies on a commercially successful and
             73      widespread basis; and
             74          (c) promote and advocate pass-through pricing for energy producers and providers with
             75      existing long-term contracts to ensure that regulation compliance costs are not borne
             76      exclusively or inordinately by a subset of the energy producers' or providers' customers.
             77          [(2)] (4) State agencies [are encouraged to] shall conduct agency activities consistent
             78      with [Subsection (1)] this section.
             79          [(3)] (5) A person may not file suit to challenge a state agency's action that is
             80      inconsistent with [Subsection (1)] this section.

Legislative Review Note
    as of 2-10-09 1:41 PM

Office of Legislative Research and General Counsel

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