Minnesota lawmakers are debating legislation that would tiptoe away from some of the state’s aggressive renewable energy policies in a bid to control costs.
An energy omnibus bill sponsored by top Democratic-Farmer-Labor lawmakers would unwind some incentives for residential and community solar, including some programs the DFL-controlled Legislature passed in 2023 as part of its sweeping climate laws. Supporters of the legislation argue those incentives are an inefficient way to bring clean energy online.
The bill would also modify Minnesota’s clean electricity standard to include peaker plants that burn only biodiesel for no more than 400 hours a year, as well as new hydroelectric projects. And it would define energy from burning wood chips as “carbon free.”
Climate advocates are loudly opposing those ideas — especially changes to solar policy, which they argue would kneecap programs that are expanding renewable energy more quickly than utilities could on their own. The proposals have also drawn some pushback from DFL Gov. Tim Walz’s administration, which has argued the state’s solar policies are working.