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1 | AN ACT concerning utilities.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Public Utilities Act is amended by adding | ||||||||||||||||||||||||
5 | Section 8-402.2 as
follows:
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6 | (220 ILCS 5/8-402.2 new)
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7 | Sec. 8-402.2. Renewable energy portfolio standards.
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8 | (a) "Renewable energy resources" shall have the meaning set | ||||||||||||||||||||||||
9 | forth in
subsection
(f) of Section 6-3 of The Renewable Energy, | ||||||||||||||||||||||||
10 | Energy Efficiency, and Coal
Resources
Development Law of 1997. | ||||||||||||||||||||||||
11 | However, for the limited purposes of this
Section,
energy | ||||||||||||||||||||||||
12 | produced by methane recovered from landfills in Illinois may be | ||||||||||||||||||||||||
13 | counted as a renewable
energy
resource for up to, but no more | ||||||||||||||||||||||||
14 | than, 25% of the amount of renewable energy
resources
provided | ||||||||||||||||||||||||
15 | by the electric utility or alternative retail electric supplier | ||||||||||||||||||||||||
16 | in meeting the standards set forth in
subsection (c).
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17 | (b) The objective of this Section is to ensure the | ||||||||||||||||||||||||
18 | development and use of
renewable energy resources to advance | ||||||||||||||||||||||||
19 | the goals stated in Section 5 of the
Illinois
Resource | ||||||||||||||||||||||||
20 | Development and Energy Security Act.
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21 | (c) Each electric utility or alternative retail electric | ||||||||||||||||||||||||
22 | supplier shall provide
sufficient renewable energy resources | ||||||||||||||||||||||||
23 | to comprise at
least 2% of the total electricity | ||||||||||||||||||||||||
24 | (megawatthours) that it supplies to its
Illinois customers
as | ||||||||||||||||||||||||
25 | of December 31, 2006, at least 4% of the total electricity | ||||||||||||||||||||||||
26 | (megawatthours)
that it
supplies to its Illinois customers as | ||||||||||||||||||||||||
27 | of December 31, 2008, at least 6% of
the total
electricity | ||||||||||||||||||||||||
28 | (megawatthours) that it supplies to its Illinois customers as | ||||||||||||||||||||||||
29 | of
December 31,
2010, at least 8% of the total electricity | ||||||||||||||||||||||||
30 | (megawatthours) that it supplies to its Illinois customers as | ||||||||||||||||||||||||
31 | of December 31, 2012, and at least 10% of the total electricity | ||||||||||||||||||||||||
32 | (megawatthours) that it supplies to its Illinois customers as |
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1 | of December 31, 2014. Such electric utilities or alternative | ||||||
2 | retail electric suppliers shall report to the Commission on | ||||||
3 | their
compliance with
these standards by April 1, 2006 and by | ||||||
4 | April 1st of each succeeding year.
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5 | (d) In order to help achieve improved air quality, public | ||||||
6 | health, and
environmental
quality for Illinois, renewable | ||||||
7 | energy resources shall be counted for purposes
of meeting
the | ||||||
8 | renewable energy portfolio standards set forth in subsection | ||||||
9 | (c) only if
they are
generated from facilities located in this | ||||||
10 | State or in a directly adjacent serious or severe
ozone | ||||||
11 | non-attainment area as designated by the United States | ||||||
12 | Environmental Protection
Agency. However, the renewable energy | ||||||
13 | resources may be counted for purposes of the renewable energy | ||||||
14 | portfolio standards after
January 1, 2007 if generated from a | ||||||
15 | facility in an adjacent state that has entered into an | ||||||
16 | agreement with Illinois as provided in subsection (e) and the | ||||||
17 | renewable energy resource provided meets the definition set | ||||||
18 | forth in subsection (f) of Section 6-3 of the Renewable Energy, | ||||||
19 | Energy Efficiency, and Coal Resources Development Law of 1997.
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20 | (e) Illinois officials may work with public officials in | ||||||
21 | adjacent states to develop a
regional agreement in which | ||||||
22 | Illinois electric utilities and alternative retail electricity
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23 | suppliers will be allowed, after January 1, 2007, to count for | ||||||
24 | purposes of meeting the
designated renewable energy portfolio | ||||||
25 | standards set forth in subsection (c) some
renewable energy | ||||||
26 | resources generated in an adjacent state if that other state
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27 | has enacted statutory renewable energy portfolio standards | ||||||
28 | that are similar to the standards
set forth in subsection (c) | ||||||
29 | and that other state also allows renewable energy resources
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30 | generated in Illinois to be counted toward meeting its | ||||||
31 | statutory renewable energy
portfolio standards on a similar | ||||||
32 | basis. For the purposes of such an agreement, only those | ||||||
33 | renewable energy resources meeting the definition set forth in | ||||||
34 | subsection (f) of Section 6-3 of the Renewable Energy, Energy | ||||||
35 | Efficiency, and Coal Resources Development Law of 1997 may be | ||||||
36 | included.
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1 | (f) Costs of obtaining renewable energy resources to meet | ||||||
2 | the renewable energy
portfolio standards, after January 1, | ||||||
3 | 2007, pursuant to subsection (c), shall be recoverable
by a | ||||||
4 | utility from its ratepayers to the same extent as other fuel or | ||||||
5 | purchase power costs as allowed by law after January 1, 2007.
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6 | (g) If an electric utility or alternative retail electric | ||||||
7 | supplier does not purchase and supply all of the amounts of
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8 | renewable energy specified by the standards in subsection (c), | ||||||
9 | then the electric utility
or alternative retail electric | ||||||
10 | supplier shall pay a penalty of $25 per megawatthour each year | ||||||
11 | for any shortfall in supply. That
payment shall be deposited | ||||||
12 | into the Renewable Energy Resources Trust Fund to be used
by | ||||||
13 | the Department of Commerce and Economic Opportunity for the | ||||||
14 | purposes of
supporting the actual development, construction, | ||||||
15 | and utilization of renewable energy
projects in Illinois. | ||||||
16 | However, if the electric utility or alternative retail electric | ||||||
17 | supplier compellingly demonstrates
that renewable energy | ||||||
18 | resources are not available in sufficient quantities to meet | ||||||
19 | the
renewable energy portfolio standards set forth in | ||||||
20 | subsection (c), and makes such a force
majeure showing as to | ||||||
21 | the shortfall and any obstacles to availability, and if the | ||||||
22 | Illinois
Commerce Commission finds that the electric utility or | ||||||
23 | alternative retail electric supplier, after notice and a | ||||||
24 | hearing with an
opportunity for the public to be heard, has, in | ||||||
25 | fact, made such a compelling
demonstration, then the electric | ||||||
26 | utility or alternative retail electric supplier may avoid | ||||||
27 | paying the penalty. The penalty
payments shall be set aside in | ||||||
28 | a separate escrow fund pending the hearing. In any case
where | ||||||
29 | the Commission finds that such a compelling demonstration has | ||||||
30 | been made, the
electric utility or alternative retail electric | ||||||
31 | supplier must provide a mutually acceptable alternative means | ||||||
32 | of developing and
utilizing renewable energy resources in | ||||||
33 | Illinois, subject to the review and approval of the
Illinois | ||||||
34 | Commerce Commission and the Department of Commerce and Economic
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35 | Opportunity.
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