6.1. ERMUSR STAFF UPDATES 11-15-2011

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North Dakota sues Minnesota over law restricting electricity imports due to carbon emissi... Page 1 of 1 Public Pawer Daily Friday, November d, 1011 North Dakota sues Minnesota over law restricting electricity imports due to carbon emissions North Dakota has filed a lawsuit against Minnesota over its Next Generation Energy Act of 2007 (NGEA), which imposes restrictions on carbon dioxide emissions from the generation of electricity imported into and consumed in Minnesota. "Minnesota's Next Generation Energy Act has direct and serious consequences for North Dakota," said Attorney General Wayne Stenehjem. Missouri River Energy Services joined the state and others in the suit. "NGEA restricts MRES from considering all options when choosing the least-cost resources for our 24 municipal electric utility members in Minnesota as well as for our 36 other municipal electric utility members in the states of Iowa, North Dakota, and South Dakota," MRES CEO Tom Heller said. Two other electric utilities (Basin Electric Power Cooperative and Minnkota Power Cooperative), two coal companies (The North American Coal Corp. and Great Northern Properties Ltd. Partnership), as well as the Lignite Energy Council, also joined the suit. The Minnesota law presumes that human carbon dioxide emissions are a cause of global warming and "imposes restrictions on carbon dioxide emissions from out-of--state energy sources as a purely symbolic gesture that could only have negligible impact toward actually achieving the purpose of reducing greenhouse gases on a global scale," North Dakota said in its Nov. 2 complaint filed in the U.S. District Court for Minnesota. North Dakota alleges that the NGEA violates the Commerce Clause of the United States Constitution, unconstitutionally interfering with North Dakota's energy production. Minnesota improperly seeks to control and regulate new energy facilities, as well as the expansion and refurbishment of existing energy facilities, located in North Dakota and other states, the complaint said. The complaint also alleges that the Minnesota law favors new large energy projects in Minnesota or Minnesota-based businesses with new large energy projects to the detriment ofNorth Dakota and other out-of--state interests and entities. "It is unfortunate it has come to this," said Stenehjem. Over the last four years, North Dakota officials have made every effort to convince Minnesota officials to rescind the law, he said. The Minnesota Legislature voted to repeal the law, but the governor vetoed the legislation, he noted. Copyright ®2011, American Public Power Association http://www.naylornetwork.com/app-ppd/articles/print-V2.asp?aid=158490 11/7/2011