11-13-318. Notice of decommissioning or disposal of project entity assets.
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Effective 3/24/2025
11-13-318. Notice of decommissioning or disposal of project entity assets.
(1)As used in this section:
(a)"Critical switchyard equipment" means equipment located in a switchyard that is necessary for the delivery of electricity to the transmission or distribution system, including transformers, circuit breakers, disconnect switches, and other essential interconnection equipment.
(b)"Decommissioning" means to remove an electrical generation facility from active service.
(c)"Disposal" means the sale, transfer, dismantling, or other disposition of a project entity's assets.
(d)"Division" means the Division of Air Quality created in Section 19-1-105 .
(e)"Fair market value" means the same as that term is defined in Section 79-6-408 .
(f)"Interconnection" means the physical system that connects an electrical generation facility to the transmission or distribution system, including all switching stations, transformers, and other equipment necessary to deliver electricity to customers.
(i)"Project entity asset" means a project entity's:
(A)land;
(B)water;
(C)buildings; or
(D)essential equipment, including turbines, generators, transformers, and transmission lines.
(ii)"Project entity asset" does not include an asset that is not essential for the generation of electricity in the project entity's coal-powered electrical generation facility.
(h)"Project purchaser" means any entity that has the right to purchase power from the project entity.
(i)"Station service" means the electric supply required for the operation of an electrical generation facility and associated facilities, essential auxiliary equipment, and all facilities necessary to maintain electrical output.
(2)A project entity shall provide a notice of decommissioning or disposal to the Legislative Management Committee at least 180 days before:
(a)the disposal of any project entity assets; or
(b)the decommissioning of the project entity's coal-powered electrical generation facility.
(3)The notice of decommissioning or disposal described in Subsection
(2)shall include:
(a)the date of the intended decommissioning or disposal;
(b)a description of the project entity's coal-powered electrical generation facility intended for decommissioning or any project entity asset intended for disposal; and
(c)the reasons for the decommissioning or disposal.
(4)A project entity may not intentionally prevent the functionality of the project entity's existing coal-powered electrical generation facility.
(5)A project entity shall:
(a)maintain:
(i)facilities that provide power to station service so as to ensure continued functionality;
(ii)at least one operational coal-powered electrical generation unit connected to existing interconnection facilities; and
(iii)existing interconnection and critical switchyard equipment in a manner that ensures the ability to reactivate any remaining coal-powered electrical generation units; and
(b)make available an interconnection with the switchyard for a project entity's coal-powered electrical generation facility that does not require a new interconnection request.
(6)Notwithstanding the requirements in Subsections
(2)through (4), a project entity may take any action necessary to transition to a new electrical generation facility powered by natural gas, hydrogen, or a combination of natural gas and hydrogen, including any action that has been approved by a permitting authority, provided that such actions:
(a)do not violate the requirements in Subsection (5); or
(b)are specifically required by a permitting authority as an essential component of the transition, with no feasible alternative that would avoid violating Subsection (5).
(7)A project entity shall provide the state the option to purchase for fair market value a project entity asset intended for decommissioning, with the option remaining open for at least two years, beginning on July 2, 2025.
Amended by Chapter 120 , 2025 General Session