Ch. 832

LAWS OF MARYLAND

(b) A public service company, including any
multijurisdictional public service company, may claim a credit
against the public service company franchise tax in the amount of
$3 for each ton of Maryland-mined coal that the public service
company purchased[:

(1)] in the calendar year in excess of the number of
tons of Maryland-mined coal that the public service company
purchased in 1986[; or

(2) in the form of energy:

(i) from a cogenerator that is not eligible for
the credit under paragraph (1) of this subsection;

(ii) that was produced by Maryland-mined coal
that the cogenerator purchased in the calendar year in excess of
the amount of Maryland-mined coal that the cogenerator purchased
in 1986 and for which the company, " including a
multijurisdictional public service company, files a statement of
oath from the cogenerator that certifies the information
substantiating the credit, as required by the Department; and

(iii) if the public service company, including
a multijurisdictional public service company, purchased at least
as many tons of Maryland-mined coal as in 1986].

[(c) In this section, "cogenerator" means a qualifying
cogenerator or qualifying small power producer as determined by
the federal Energy Regulatory Commission under the Public Utility
Regulatory Policies Act of 1978.]

10-704.1.

(A)  IN THIS SECTION, "COGENERATOR" MEANS A QUALIFYING
COGENERATOR OR QUALIFYING SMALL POWER PRODUCER AS DETERMINED BY
THE FEDERAL ENERGY REGULATORY COMMISSION UNDER THE PUBLIC UTILITY
REGULATORY POLICIES ACT OF 1978.

(B)  A COGENERATOR THAT IS NOT SUBJECT TO THE PUBLIC SERVICE
COMPANY FRANCHISE TAX MAY CLAIM A CREDIT AGAINST THE STATE INCOME
TAX IN THE AMOUNT OF $3 FOR EACH TON OF MARYLAND-MINED COAL THAT
THE COGENERATOR PURCHASED IN THE TAXABLE YEAR IN EXCESS OF THE
NUMBER OF TONS OF MARYLAND-MINED COAL THAT THE COGENERATOR
PURCHASED IN CALENDAR YEAR 1986.

(C) IF THE CREDIT ALLOWED UNDER THIS SECTION IN ANY TAXABLE
YEAR EXCEEDS THE STATE INCOME TAX FOR THAT TAXABLE YEAR, A
COGENERATOR MAY APPLY THE EXCESS AS A CREDIT AGAINST THE STATE
INCOME TAX FOR SUCCEEDING TAXABLE YEARS UNTIL THE EARLIER OF:

(1) THE FULL AMOUNT OF THE EXCESS IS USED; OR

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