Back Apr 24, 2025

Minnesota omnibus energy bill includes biomass provisions

Legislation pending in Minnesota aims to classify certain types of woody biomass as carbon free. It would also provide grant funding to a biomass power producer to support the disposal of wood infested by emerald ash borer. 

Both provisions are included in an omnibus energy bill, SF 2393, that was introduced in March. The bill reported out of the Minnesota Senate Committee on Energy, Utilities, Environment and Climate on April 10 and is currently under consideration by the Senate Finance Committee. 

The bill expands the state’s definition of “carbon-free” to include technologies “used by a utility to generate electricity for retail sale in Minnesota by combusting wood chips derived from: (1) limbs, branches and other by-products of timber harvesting operations conducted to obtain wood for nonenergy purposes; or (2) discarded wood products.” The state’s definition of “carbon-free” technology already includes several other forms of biomass, including various sources of biogas and certain energy created from municipal solid waste derived fuels. 

The legislation also includes language allocating a $3 million grant “to the owner of a biomass energy generation plan tin Shakopee that uses waste heat from the generation of electricity in the malting process to purchase equipment to facilitate the disposal of wood that is infested by emerald ash borer.” The grant would be a one-time appropriation that is available until June 30, 2028. That biomass facility, Koda Energy, is owned and operated by Rahr Corp. 

Additional information, including a full copy of the bill, is available on the Minnesota legislature website.  

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