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1 | AN ACT concerning regulation. | |||||||||||||||||||
2 | Be it enacted by the People of the State of Illinois, | |||||||||||||||||||
3 | represented in the General Assembly: | |||||||||||||||||||
4 | Section 5. The Energy Transition Act is amended by | |||||||||||||||||||
5 | changing Section 5-25 as follows: | |||||||||||||||||||
6 | (20 ILCS 730/5-25) | |||||||||||||||||||
7 | (Section scheduled to be repealed on September 15, 2045) | |||||||||||||||||||
8 | Sec. 5-25. Clean Jobs Curriculum. | |||||||||||||||||||
9 | (a) As used in this Section, "clean energy jobs", subject | |||||||||||||||||||
10 | to administrative rules, means jobs in the solar energy, wind | |||||||||||||||||||
11 | energy, energy efficiency, energy storage, solar thermal, | |||||||||||||||||||
12 | green hydrogen, geothermal, electric vehicle industries, | |||||||||||||||||||
13 | electrification industries, other renewable energy industries, | |||||||||||||||||||
14 | industries achieving emission reductions, and other related | |||||||||||||||||||
15 | sectors including related industries that manufacture, | |||||||||||||||||||
16 | develop, build, maintain, or provide ancillary services to | |||||||||||||||||||
17 | renewable energy resources or energy efficiency products or | |||||||||||||||||||
18 | services, including the manufacture and installation of | |||||||||||||||||||
19 | healthier building materials that contain fewer hazardous | |||||||||||||||||||
20 | chemicals. "Clean energy jobs" includes administrative, sales, | |||||||||||||||||||
21 | other support functions within these industries and other | |||||||||||||||||||
22 | related sector industries. | |||||||||||||||||||
23 | (b) The Department shall convene a comprehensive |
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1 | stakeholder process that includes representatives from the | ||||||
2 | State Board of Education, the Illinois Community College | ||||||
3 | Board, the Department of Labor, community-based organizations, | ||||||
4 | workforce development providers, labor unions, building | ||||||
5 | trades, educational institutions, residents of BIPOC and | ||||||
6 | low-income communities, residents of environmental justice | ||||||
7 | communities, clean energy businesses, nonprofit organizations, | ||||||
8 | worker-owned cooperatives, other groups that provide clean | ||||||
9 | energy jobs opportunities, groups that provide construction | ||||||
10 | and building trades job opportunities, and other participants | ||||||
11 | to identify the career pathways and training curriculum needed | ||||||
12 | for participants to be skilled, work ready, and able to enter | ||||||
13 | clean energy jobs. The curriculum shall: | ||||||
14 | (1) identify the core training curricular competency | ||||||
15 | areas needed to prepare workers to enter clean energy and | ||||||
16 | related sector jobs; | ||||||
17 | (2) identify a set of required core cross-training | ||||||
18 | competencies provided in each training area for clean | ||||||
19 | energy jobs with the goal of enabling any trainee to | ||||||
20 | receive a standard set of skills common to multiple | ||||||
21 | training areas that would provide a foundation for | ||||||
22 | pursuing a career composed of multiple clean energy job | ||||||
23 | types; | ||||||
24 | (3) include approaches to integrate broad occupational | ||||||
25 | training to provide career entry into the general | ||||||
26 | construction and building trades sector and any remedial |
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1 | education and work readiness support necessary to achieve | ||||||
2 | educational and professional eligibility thresholds; and | ||||||
3 | (4) identify on-the-job training formats, where | ||||||
4 | relevant, and identify suggested trainer certification | ||||||
5 | standards, where relevant. | ||||||
6 | (c) The Department shall publish a report that includes | ||||||
7 | the findings, recommendations, and core curriculum identified | ||||||
8 | by the stakeholder group and shall post a copy of the report on | ||||||
9 | its public website. The Department shall convene the process | ||||||
10 | described to update and modify the recommended curriculum | ||||||
11 | every 3 years to ensure the curriculum contents are current to | ||||||
12 | the evolving clean energy industries, practices, and | ||||||
13 | technologies. | ||||||
14 | (d) Organizations that receive funding to provide training | ||||||
15 | under the Clean Jobs Workforce Network Program, including, but | ||||||
16 | not limited to, community-based and labor-based training | ||||||
17 | providers, and educational institutions must use the core | ||||||
18 | curriculum that is developed under this Section. | ||||||
19 | (Source: P.A. 102-662, eff. 9-15-21.) | ||||||
20 | Section 10. The Public Utilities Act is amended by | ||||||
21 | changing Sections 1-102, 8-101, 9-229, 9-241, and 16-111.10 | ||||||
22 | and by adding Sections 1-103, 3-127, 8-104B, 9-228.5, 9-235, | ||||||
23 | 9-254, and 9-255, and Articles XXIII, XXIV, and XXV as | ||||||
24 | follows: |
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1 | (220 ILCS 5/1-102) (from Ch. 111 2/3, par. 1-102) | ||||||
2 | Sec. 1-102. Findings and Intent. The General Assembly | ||||||
3 | finds that the health, welfare , and prosperity of all Illinois | ||||||
4 | citizens require the provision of adequate, efficient, | ||||||
5 | reliable , affordable , environmentally safe , and least-cost | ||||||
6 | public utility services at prices which accurately reflect the | ||||||
7 | long-term cost of such services and which are equitable to all | ||||||
8 | citizens. It is therefore declared to be the policy of the | ||||||
9 | State that public utilities shall continue to be regulated | ||||||
10 | effectively and comprehensively. It is further declared that | ||||||
11 | the goals and objectives of such regulation shall be to | ||||||
12 | ensure : | ||||||
13 | (a) Efficiency: the provision of reliable and | ||||||
14 | affordable energy services that meet the State's climate | ||||||
15 | and emissions reduction targets at the lowest societal | ||||||
16 | least possible cost to the citizens of the State; in such | ||||||
17 | manner that: | ||||||
18 | (i) physical, human , and financial resources are | ||||||
19 | allocated efficiently and equitably ; | ||||||
20 | (ii) all supply and demand options are considered | ||||||
21 | and evaluated using comparable terms and methods in | ||||||
22 | order to determine how utilities shall meet State | ||||||
23 | emissions reduction targets and their customers' | ||||||
24 | demands for public utility services at the lowest | ||||||
25 | societal least cost; | ||||||
26 | (iii) utilities are allowed a sufficient return on |
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1 | investment so as to enable them to attract capital in | ||||||
2 | financial markets at competitive rates; | ||||||
3 | (iv) tariff rates for the sale of various public | ||||||
4 | utility services are authorized such that they | ||||||
5 | accurately reflect the cost of delivering those | ||||||
6 | services and allow utilities to recover the total | ||||||
7 | costs prudently and reasonably incurred; | ||||||
8 | (v) variation in costs by customer class and time | ||||||
9 | of use is taken into consideration in authorizing | ||||||
10 | rates for each class. | ||||||
11 | (b) Environmental Quality: the protection of the | ||||||
12 | environment , people, and communities from the adverse | ||||||
13 | external costs of public utility services , including | ||||||
14 | environmental costs, so that : | ||||||
15 | (i) environmental costs of proposed actions having | ||||||
16 | a significant impact on the environment and the | ||||||
17 | environmental impact of the alternatives are | ||||||
18 | identified, documented , monetized, included in | ||||||
19 | assessments of cost, and considered in all aspects of | ||||||
20 | the regulatory process; | ||||||
21 | (ii) the prudently and reasonably incurred costs | ||||||
22 | of environmental controls are recovered. | ||||||
23 | (c) Reliability: the ability of utilities to provide | ||||||
24 | consumers with public utility services under varying | ||||||
25 | demand conditions in such manner that suppliers of public | ||||||
26 | utility services are able to provide service at varying |
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1 | levels of economic reliability giving appropriate | ||||||
2 | consideration to the costs likely to be incurred as a | ||||||
3 | result of service interruptions, and to the costs of | ||||||
4 | increasing or maintaining current levels of reliability | ||||||
5 | consistent with commitments to consumers. | ||||||
6 | (d) Equity: the fair treatment of consumers , including | ||||||
7 | equity investment eligible persons and equity investment | ||||||
8 | eligible communities, as defined in the Energy Transition | ||||||
9 | Act, and investors in order that | ||||||
10 | (i) the public health, safety , and welfare shall | ||||||
11 | be protected; | ||||||
12 | (ii) the application of rates is based on public | ||||||
13 | understandability and acceptance of the reasonableness | ||||||
14 | of the rate structure and level; | ||||||
15 | (iii) the cost of supplying public utility | ||||||
16 | services is allocated to those who cause the costs to | ||||||
17 | be incurred; | ||||||
18 | (iv) if factors other than cost of service are | ||||||
19 | considered in regulatory decisions, the rationale for | ||||||
20 | these actions is set forth; | ||||||
21 | (v) regulation allows for orderly transition | ||||||
22 | periods to accommodate changes in public utility | ||||||
23 | service markets; | ||||||
24 | (vi) regulation does not result in undue or | ||||||
25 | sustained adverse impact on utility earnings; | ||||||
26 | (vii) the impacts of regulatory actions on all |
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1 | sectors of the State are carefully weighed; | ||||||
2 | (viii) the rates for utility services are | ||||||
3 | affordable and , therefore , ensure and preserve the | ||||||
4 | availability and accessibility of such services to all | ||||||
5 | customers, and customers are not energy burdened or | ||||||
6 | severely energy burdened citizens . | ||||||
7 | As used in this subsection (d): | ||||||
8 | (I) "Energy burdened" means, with respect to a | ||||||
9 | customer's household, that the household pays 6% or | ||||||
10 | more of its income toward electricity and gas bills. | ||||||
11 | (II) "Severely energy burdened" means, with | ||||||
12 | respect to a customer's household, that the household | ||||||
13 | pays 10% or more of its income toward electricity and | ||||||
14 | gas bills. | ||||||
15 | (e) Affordability: the ability of utilities to ensure | ||||||
16 | uninterrupted access to essential utility service; to | ||||||
17 | minimize and reduce over time the number of households who | ||||||
18 | are energy burdened and severely energy burdened, as | ||||||
19 | defined in this Act, ideally to zero; and to minimize | ||||||
20 | disconnections to residential customers in a manner which | ||||||
21 | ensures that: | ||||||
22 | (i) all low-income customers, defined as those | ||||||
23 | whose income is less than or equal to 80% of the area | ||||||
24 | median income, as defined by the United States | ||||||
25 | Department of Housing and Urban Development, have | ||||||
26 | access to a discounted utility rate; |
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1 | (ii) low-income customers 65 years of age or older | ||||||
2 | are not disconnected from essential utility service | ||||||
3 | due to inability to afford the monthly bill; | ||||||
4 | (iii) low-income customers with children under the | ||||||
5 | age of 6 are not disconnected from essential utility | ||||||
6 | service due to inability to afford the monthly bill; | ||||||
7 | (iv) persons with medical conditions are not | ||||||
8 | disconnected from essential utility service if a | ||||||
9 | medical or qualified professional as described in | ||||||
10 | subsection (b) of Section 8-202.7 certifies that the | ||||||
11 | condition will be exacerbated by disconnection from | ||||||
12 | essential utility service; | ||||||
13 | (v) disconnection of essential utility service is | ||||||
14 | not accelerated based on a utility's payment risk | ||||||
15 | assessment of a customer; and | ||||||
16 | (vi) a utility assesses whether a customer may be | ||||||
17 | eligible for energy assistance programs under the | ||||||
18 | Energy Assistance Act, provides the customer with | ||||||
19 | specific information on where and how to obtain energy | ||||||
20 | assistance, and ceases disconnection activity for 60 | ||||||
21 | days to allow the customer to apply for and establish | ||||||
22 | eligibility for the energy assistance. | ||||||
23 | It is further declared to be the policy of the State that | ||||||
24 | this Act shall not apply in relation to motor carriers and rail | ||||||
25 | carriers as defined in the Illinois Commercial Transportation | ||||||
26 | Law, or to the Commission in the regulation of such carriers. |
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1 | Nothing in this Act shall be construed to limit, restrict, | ||||||
2 | or mitigate in any way the power and authority of the State's | ||||||
3 | Attorneys or the Attorney General under the Consumer Fraud and | ||||||
4 | Deceptive Business Practices Act. | ||||||
5 | (Source: P.A. 92-22, eff. 6-30-01.) | ||||||
6 | (220 ILCS 5/1-103 new) | ||||||
7 | Sec. 1-103. Commission methodologies and metrics. The | ||||||
8 | Commission shall oversee the objectives identified in Section | ||||||
9 | 1-102 by establishing and implementing methodologies for | ||||||
10 | tracking each of the following metrics: | ||||||
11 | (1) Environmental costs: The Commission shall | ||||||
12 | establish a social cost of greenhouse gases, measured in | ||||||
13 | dollars per ton of carbon dioxide equivalent, that shall | ||||||
14 | serve as a monetary estimate of the value of not emitting a | ||||||
15 | ton of greenhouse gas emissions. The Commission shall | ||||||
16 | consider prior or existing estimates of the social cost of | ||||||
17 | carbon issued or adopted by the federal government, | ||||||
18 | appropriate international bodies, or other appropriate and | ||||||
19 | reputable scientific organizations. The social cost of | ||||||
20 | greenhouse gases shall: | ||||||
21 | (A) estimate the emissions for all relevant | ||||||
22 | greenhouse gases, including carbon, methane, nitrous | ||||||
23 | oxide, hydrofluorocarbons and hydrofluoroolefins, | ||||||
24 | perfluorocarbons, sulfur hexafluoride, and nitrogen | ||||||
25 | trifluoride; |
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1 | (B) consider the fullest geographic and temporal | ||||||
2 | scope of damages; | ||||||
3 | (C) for the purposes of this Act, the cost of | ||||||
4 | greenhouse gas emissions is no less than the cost per | ||||||
5 | metric ton of carbon dioxide equivalent emissions, | ||||||
6 | using the 2.5% discount rate, listed in Table ES-1 of | ||||||
7 | "Technical Support Document: Social Cost of Carbon, | ||||||
8 | Methane, and Nitrous Oxide Interim Estimates under | ||||||
9 | Executive Order 13990", a report prepared in support | ||||||
10 | of federal Executive Order 13990 and dated February | ||||||
11 | 2021. | ||||||
12 | The Commission must annually adjust the costs | ||||||
13 | established in this Section to reflect the effect of | ||||||
14 | inflation and may, at its discretion, set the price at a | ||||||
15 | higher level than described above, but no lower. | ||||||
16 | (2) Impacts to public health: The Commission shall | ||||||
17 | develop a methodology for measuring and monetizing in cost | ||||||
18 | assessments the public health impacts of pollutants, | ||||||
19 | including impacts of both indoor and outdoor air quality, | ||||||
20 | including carbon monoxide and carbon dioxide, nitrogen | ||||||
21 | oxides, including nitrogen dioxide, particulate matter, | ||||||
22 | formaldehyde, sulfur dioxide, ozone, and lead. The | ||||||
23 | Commission shall integrate its methodology into | ||||||
24 | assessments of utility system planning and supply and | ||||||
25 | demand-side resource selection. | ||||||
26 | It is further declared to be the policy of the State that |
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1 | this Section does not apply to motor carriers and rail | ||||||
2 | carriers as defined in the Illinois Commercial Transportation | ||||||
3 | Law or to the Commission in the regulation of such carriers. | ||||||
4 | Nothing in this Section shall be construed to limit, | ||||||
5 | restrict, or mitigate in any way the power and authority of the | ||||||
6 | State's Attorneys or the Attorney General under the Consumer | ||||||
7 | Fraud and Deceptive Business Practices Act. | ||||||
8 | (220 ILCS 5/3-127 new) | ||||||
9 | Sec. 3-127. Fixed charge. "Fixed charge" means a charge | ||||||
10 | that is assessed by a public utility as part of its rates, is | ||||||
11 | equal across all customers or customers of a certain class, | ||||||
12 | and is not directly proportional to a customer's usage. | ||||||
13 | (220 ILCS 5/8-101) (from Ch. 111 2/3, par. 8-101) | ||||||
14 | Sec. 8-101. Duties of public utilities; nondiscrimination. | ||||||
15 | A public utility shall furnish, provide, and maintain such | ||||||
16 | service instrumentalities, equipment, and facilities as shall | ||||||
17 | promote the safety, health, comfort, and convenience of its | ||||||
18 | patrons, employees, and public and as shall be in all respects | ||||||
19 | adequate, efficient, just, and reasonable. | ||||||
20 | All rules and regulations made by a public utility | ||||||
21 | affecting or pertaining to its charges or service to the | ||||||
22 | public shall be just and reasonable. | ||||||
23 | An electric A public utility shall, and a gas utility may, | ||||||
24 | upon reasonable notice, furnish to all persons who may apply |
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1 | therefor and be reasonably entitled thereto, suitable | ||||||
2 | facilities and service, without discrimination and without | ||||||
3 | delay. Notwithstanding any other provision of law, a gas | ||||||
4 | utility may cease providing service if the Commission | ||||||
5 | determines that adequate substitute service is available at a | ||||||
6 | reasonable cost to support the existing end uses of the | ||||||
7 | affected utility customers. Any applicant for gas service | ||||||
8 | shall receive clear, timely information from the gas utility, | ||||||
9 | written in plain language, and approved by the Commission | ||||||
10 | after stakeholder input on incentives and opportunities for | ||||||
11 | installing, as alternatives to gas, energy-efficient electric | ||||||
12 | technologies and incentives and opportunities for other energy | ||||||
13 | efficiency measures, weatherization, demand management, and | ||||||
14 | distributed energy resource programs. The information provided | ||||||
15 | must include, among other things, information detailing | ||||||
16 | electrification incentives in the Inflation Reduction Act and | ||||||
17 | describing how the applicant can elect to receive the upfront | ||||||
18 | discounts or tax incentives applicable to the applicant's | ||||||
19 | electric purchases. | ||||||
20 | Nothing in this Section shall be construed to prevent a | ||||||
21 | public utility from accepting payment electronically or by the | ||||||
22 | use of a customer-preferred financially accredited credit or | ||||||
23 | debit methodology. | ||||||
24 | (Source: P.A. 92-22, eff. 6-30-01.) | ||||||
25 | (220 ILCS 5/8-104B new) |
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1 | Sec. 8-104B. Gas energy efficiency. | ||||||
2 | (a) As used in this Section: | ||||||
3 | "Benefit-cost ratio" means the ratio of the net present | ||||||
4 | value of the total benefits of the measures to the net present | ||||||
5 | value of the total costs as calculated over the lifetime of the | ||||||
6 | measures. | ||||||
7 | "Cost-effective measure" means a measure that satisfies | ||||||
8 | the total resource cost test. | ||||||
9 | "Energy efficiency measure" means a measure that reduces | ||||||
10 | (i) the total Btus of electricity and natural gas and other | ||||||
11 | utility-delivered gaseous fuels needed to meet an end use or | ||||||
12 | end uses and (ii) the amount of natural gas and other | ||||||
13 | utility-delivered gaseous fuels consumed on site, at the home | ||||||
14 | or business facility, to meet an end use or end uses. | ||||||
15 | "Total resource cost test" means a standard that is met | ||||||
16 | if, for an investment in an energy efficiency measure, the | ||||||
17 | benefit-cost ratio is greater than one. The total resource | ||||||
18 | cost test quantifies the net savings obtained through the | ||||||
19 | substitution of demand-side measures for supply resources by | ||||||
20 | comparing (i) the sum of avoided natural gas utility costs, | ||||||
21 | representing the benefits that accrue to the natural gas | ||||||
22 | system and the participant in the delivery of those energy | ||||||
23 | efficiency measures and including avoided costs associated | ||||||
24 | with the use of electricity or other fuels, avoided costs | ||||||
25 | associated with reduced water consumption, and avoided | ||||||
26 | operation and maintenance costs, as well as other quantifiable |
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1 | societal benefits and (ii) the sum of all incremental costs of | ||||||
2 | end-use measures, including both utility and participant | ||||||
3 | contribution costs to administer, deliver, and evaluate each | ||||||
4 | demand-side measure. In calculating avoided costs, reasonable | ||||||
5 | estimates shall be included for financial costs likely to be | ||||||
6 | imposed by future regulation of emissions of greenhouse gases. | ||||||
7 | In discounting future societal costs and benefits for the | ||||||
8 | purpose of calculating net present values, a societal discount | ||||||
9 | rate based on actual, long-term U.S. Treasury bond yields | ||||||
10 | shall be used. The income-qualified measures described in | ||||||
11 | paragraphs (5) and (6) of subsection (d) shall not be required | ||||||
12 | to meet the total resource cost test. | ||||||
13 | (b) It is the policy of the State for gas utilities to be | ||||||
14 | required to use cost-effective energy efficiency measures to | ||||||
15 | reduce delivery load. Requiring investment in cost-effective | ||||||
16 | energy efficiency measures will reduce direct and indirect | ||||||
17 | costs to consumers by decreasing environmental impacts, | ||||||
18 | reducing the amount of natural gas and other utility-delivered | ||||||
19 | gaseous fuels that need to be purchased, and avoiding or | ||||||
20 | delaying the need for new transmission, distribution, storage, | ||||||
21 | and other related infrastructure. Moreover, the public | ||||||
22 | interest is served by allowing gas utilities to recover costs | ||||||
23 | for reasonably and prudently incurred expenditures for energy | ||||||
24 | efficiency measures. | ||||||
25 | (c) This Section applies to all gas distribution utilities | ||||||
26 | in the State and supersedes Section 8-104 beginning January 1, |
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1 | 2024. | ||||||
2 | (d) Natural gas utilities shall implement cost-effective | ||||||
3 | energy efficiency measures to achieve all of the following | ||||||
4 | requirements: | ||||||
5 | (1) Total incremental annual savings shall be equal to | ||||||
6 | at least 0.6% of annual sales to distribution customers in | ||||||
7 | 2025, 0.8% of such sales in 2026, and at least 1% of such | ||||||
8 | sales in 2027 and each subsequent year. For the purpose of | ||||||
9 | calculating savings as a percent of sales to distribution | ||||||
10 | customers for a given program year, the denominator of | ||||||
11 | sales to distribution customers shall be annual average | ||||||
12 | sales over the second, third, and fourth full calendar | ||||||
13 | years prior to the beginning of the program year. | ||||||
14 | (2) The savings achieved must have an average life of | ||||||
15 | at least 12 years. | ||||||
16 | (3) Savings may not be applied toward achievement of | ||||||
17 | utility savings goals if the savings arise from the | ||||||
18 | installation of efficient new gas furnaces, gas boilers, | ||||||
19 | gas water heaters, or other gas-consuming equipment in a | ||||||
20 | residential building, such as a single-family, | ||||||
21 | individually metered multifamily building or a | ||||||
22 | master-metered multifamily building. | ||||||
23 | (4) At least 50% of the entire budget for efficiency | ||||||
24 | programs shall be spent on energy efficiency measures that | ||||||
25 | reduce space heating needs through improvements to the | ||||||
26 | efficiency of building envelopes, including, but not |
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1 | limited to, insulation measures and efficient windows and | ||||||
2 | energy efficiency measures that reduce air leakage through | ||||||
3 | improvements to systems for distributing heat, including, | ||||||
4 | but not limited to, duct leakage reduction, duct | ||||||
5 | insulation, or pipe insulation in buildings or through | ||||||
6 | improved heating systems controls, including, but not | ||||||
7 | limited to, advanced thermostats and demand control | ||||||
8 | ventilation. Spending on efficient furnaces, efficient | ||||||
9 | boilers, or other efficient heating systems is permitted | ||||||
10 | within business efficiency programs but does not count | ||||||
11 | toward this minimum requirement for spending on building | ||||||
12 | envelope, heating distribution, and control efficiencies. | ||||||
13 | Spending on income-qualified building envelope measures, | ||||||
14 | heating distribution system measures, and heating controls | ||||||
15 | does count toward this requirement. The portion of | ||||||
16 | portfolio spending on program marketing, training of | ||||||
17 | installers, audits of buildings, inspections of work | ||||||
18 | performed, and other administrative and technical expenses | ||||||
19 | that are clearly tied to promotion or installation of | ||||||
20 | building envelope or heating distribution system measures | ||||||
21 | shall count toward this requirement. If this minimum | ||||||
22 | requirement is not met, any performance incentive earned | ||||||
23 | under subsection (h) should be reduced by the percentage | ||||||
24 | point level of shortfall in meeting this requirement. | ||||||
25 | (5) The portion of the entire budget for efficiency | ||||||
26 | programs that is spent on efficiency measures for |
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1 | income-qualified households shall be the greater of 20% or | ||||||
2 | 5 percentage points more than the proportion of total | ||||||
3 | residential and business customer gas sales going to | ||||||
4 | income-qualified households. For purposes of this Section, | ||||||
5 | households at or below 80% of area median income are | ||||||
6 | income-qualified. At least 80% of spending on measures in | ||||||
7 | programs targeted at income-qualified households shall be | ||||||
8 | delivered through whole building weatherization programs | ||||||
9 | and spent on measures that reduce space heating needs | ||||||
10 | through improvements to the building envelope, heating | ||||||
11 | distribution systems, or heating controls. The utilities | ||||||
12 | shall invest in health and safety measures appropriate and | ||||||
13 | necessary for comprehensively weatherizing the homes and | ||||||
14 | multifamily buildings of income-qualified households, with | ||||||
15 | up to 15% of income-qualified program spending made | ||||||
16 | available for such purposes. The ratio of spending on | ||||||
17 | efficiency programs targeted at multifamily buildings of | ||||||
18 | income-qualified households to spending on energy | ||||||
19 | efficiency programs targeted at single-family buildings of | ||||||
20 | income-qualified households shall be designed to achieve | ||||||
21 | levels of savings from each building type that are | ||||||
22 | approximately proportional to the magnitude of | ||||||
23 | cost-effective lifetime savings potential in each building | ||||||
24 | type. The gas utilities shall participate in a Low-Income | ||||||
25 | Energy Efficiency Accountability Committee as established | ||||||
26 | in Section 8-103B. |
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1 | Gas utilities must conduct customer outreach and | ||||||
2 | education efforts in equity investment eligible | ||||||
3 | communities in order to provide notice of and explanations | ||||||
4 | concerning the following types of programs: | ||||||
5 | (A) energy efficiency programs, the Illinois Solar | ||||||
6 | for All Program, and whole home retrofit programs that | ||||||
7 | reduce natural gas usage; | ||||||
8 | (B) income-qualified financial assistance | ||||||
9 | programs, including rebate programs from the federal | ||||||
10 | government; and | ||||||
11 | (C) general education programs designed to explain | ||||||
12 | utility bills and the decisions customers can make to | ||||||
13 | lower energy usage. | ||||||
14 | These outreach and education efforts must be brought | ||||||
15 | to communities in a diversity of ways, must be created | ||||||
16 | with input from members of the communities, and must be | ||||||
17 | provided through, among other things: | ||||||
18 | (i) information on customers' bills in the main | ||||||
19 | languages spoken in the communities; | ||||||
20 | (ii) a quarterly posting in local newspapers that | ||||||
21 | cover the service area; | ||||||
22 | (iii) a dedicated section on the investor-owned | ||||||
23 | utility's website; and | ||||||
24 | (iv) in-person and virtual educational sessions | ||||||
25 | that take place in the income-qualified and Justice40 | ||||||
26 | community, provide food and child care for |
| |||||||
| |||||||
1 | participating customers, and are codesigned with | ||||||
2 | interested community-based organization | ||||||
3 | representatives. | ||||||
4 | (6) Implementation of energy efficiency measures and | ||||||
5 | programs targeted at income-qualified households shall be | ||||||
6 | contracted, when practicable, to independent third parties | ||||||
7 | that have demonstrated the capability of serving those | ||||||
8 | households, with a preference for not-for-profit entities | ||||||
9 | and government agencies that have existing relationships | ||||||
10 | with, experience serving, or working directly within and | ||||||
11 | alongside income-qualified communities in the State. Each | ||||||
12 | gas utility shall develop and implement reporting | ||||||
13 | procedures that address and assist in determining the | ||||||
14 | amount of energy savings that can be applied to the | ||||||
15 | income-qualified procurement and expenditure requirements | ||||||
16 | set forth in this paragraph. | ||||||
17 | (7) A minimum of 10% of the utility's entire portfolio | ||||||
18 | funding level for a given year shall be used to procure | ||||||
19 | cost-effective energy efficiency measures from units of | ||||||
20 | local government, municipal corporations, school | ||||||
21 | districts, public housing, community college districts, | ||||||
22 | and nonprofit-owned buildings as long as a minimum | ||||||
23 | percentage of available funds shall be used to procure | ||||||
24 | energy efficiency from public housing, which percentage | ||||||
25 | shall be, at a minimum, equal to public housing's share of | ||||||
26 | public building energy consumption. Spending on public |
| |||||||
| |||||||
1 | housing may count toward minimum spending requirements on | ||||||
2 | efficiency improvements for income-qualified households. | ||||||
3 | (e) Notwithstanding any other provision of law, a utility | ||||||
4 | providing approved energy efficiency measures in the State may | ||||||
5 | recover all reasonable and prudently incurred costs of those | ||||||
6 | measures from its retail customers. However, nothing in this | ||||||
7 | subsection permits the double recovery of such costs from | ||||||
8 | customers. | ||||||
9 | (f) Beginning in 2024, each gas utility shall file an | ||||||
10 | energy efficiency plan with the Commission to meet the energy | ||||||
11 | efficiency standards in subsection (d) for the next applicable | ||||||
12 | multiyear period beginning January 1 of the year following the | ||||||
13 | filing, according to the schedule set forth in paragraphs (1) | ||||||
14 | through (4). If a utility does not file such a plan on or | ||||||
15 | before the applicable filing deadline for the plan, the | ||||||
16 | utility shall be liable for a civil penalty of $100,000 per day | ||||||
17 | until the plan is filed. | ||||||
18 | (1) No later than 120 days after the effective date of | ||||||
19 | this amendatory Act of the 103rd General Assembly, each | ||||||
20 | gas utility shall file an energy efficiency plan to | ||||||
21 | supersede its previously filed energy efficiency plan for | ||||||
22 | calendar year 2025 that is designed to achieve through | ||||||
23 | implementation of energy efficiency measures the | ||||||
24 | incremental annual savings goals, minimum average savings | ||||||
25 | life, and other requirements specified in paragraphs (1) | ||||||
26 | through (7) of subsection (d). An energy efficiency plan |
| |||||||
| |||||||
1 | submitted by a gas utility under this paragraph supersedes | ||||||
2 | any energy efficiency plan previously filed by the gas | ||||||
3 | utility for calendar year 2025. | ||||||
4 | (2) No later than March 1, 2025, each gas utility | ||||||
5 | shall file a 4-year energy efficiency plan that takes | ||||||
6 | effect on January 1, 2026 and is designed to achieve, | ||||||
7 | through implementation of emergency efficiency measures, | ||||||
8 | the incremental annual savings goals, minimum average | ||||||
9 | savings life, and other requirements specified in | ||||||
10 | paragraphs (1) through (7) of subsection (d). However, the | ||||||
11 | incremental annual savings goals may be reduced if the | ||||||
12 | plan's analysis and forecasts of the utility's ability to | ||||||
13 | acquire energy savings demonstrate by clear and convincing | ||||||
14 | evidence and through independent analysis that achievement | ||||||
15 | of such goals is not cost-effective. In no event may | ||||||
16 | incremental annual savings goals for any year be reduced | ||||||
17 | to levels below (i) those actually achieved in calendar | ||||||
18 | year 2024, (ii) those forecast to be achieved in calendar | ||||||
19 | year 2025, or (iii) 0.75% of sales. The Commission shall | ||||||
20 | review any proposed goal reduction as part of its review | ||||||
21 | and approval of the utility's proposed plan. | ||||||
22 | (3) Beginning in 2029 and every 4 years thereafter, | ||||||
23 | each gas utility shall file by no later than March 1 of the | ||||||
24 | applicable year, a 4-year energy efficiency plan that | ||||||
25 | takes effect on the following January 1 and is designed to | ||||||
26 | achieve, through implementation of energy efficiency |
| |||||||
| |||||||
1 | measures, the incremental annual savings goals, minimum | ||||||
2 | average savings life, and other requirements specified in | ||||||
3 | paragraphs (1) through (7) of subsection (d). However, the | ||||||
4 | incremental annual savings goals may be reduced if the | ||||||
5 | plan's analysis and forecasts of the utility's ability to | ||||||
6 | acquire energy savings demonstrate by clear and convincing | ||||||
7 | evidence and through independent analysis that achievement | ||||||
8 | of such goals is not cost-effective. In no event may | ||||||
9 | incremental annual savings goals for any year be reduced | ||||||
10 | to levels below (i) those actually achieved in the | ||||||
11 | calendar year before the plan filing, (ii) those forecast | ||||||
12 | to be achieved in the calendar year in which the plan | ||||||
13 | filing is made, or (iii) 0.75% of sales. The Commission | ||||||
14 | shall review any proposed goal reduction as part of its | ||||||
15 | review and approval of the utility's proposed plan. | ||||||
16 | (4) Each utility's plan shall set forth the utility's | ||||||
17 | proposals to meet the energy efficiency standards | ||||||
18 | identified in subsection (d). The Commission shall seek | ||||||
19 | public comment on each plan that takes effect on January | ||||||
20 | 1, 2024 and before January 1, 2026 and shall issue an order | ||||||
21 | approving or disapproving the plan no later than November | ||||||
22 | 30, 2023, or 225 days after the effective date of this | ||||||
23 | amendatory Act of the 103rd General Assembly, whichever is | ||||||
24 | later. The Commission shall seek public comment on each | ||||||
25 | plan that takes effect on January 1, 2026 and shall issue | ||||||
26 | an order approving or disapproving the plan within 6 |
| |||||||
| |||||||
1 | months after its submission. If the Commission disapproves | ||||||
2 | a plan, the Commission shall, within 30 days, describe in | ||||||
3 | detail the reasons for the disapproval and describe a path | ||||||
4 | by which the utility may file a revised draft of the plan | ||||||
5 | to address the Commission's concerns satisfactorily. If | ||||||
6 | the utility does not refile with the Commission within 60 | ||||||
7 | days, the utility shall be subject to civil penalties at a | ||||||
8 | rate of $100,000 per day until the plan is refiled. This | ||||||
9 | process shall continue, and penalties shall accrue, until | ||||||
10 | the utility has successfully filed a portfolio of energy | ||||||
11 | efficiency measures. Penalties shall be deposited into the | ||||||
12 | Energy Efficiency Trust Fund. | ||||||
13 | (g) In submitting proposed plans and funding levels under | ||||||
14 | subsection (f) to meet the savings goals identified in | ||||||
15 | subsection (d), the utility shall: | ||||||
16 | (1) demonstrate that its proposed energy efficiency | ||||||
17 | measures will achieve the requirements that are identified | ||||||
18 | in subsection (d); | ||||||
19 | (2) demonstrate consideration of program options for | ||||||
20 | supporting efforts to improve compliance with new building | ||||||
21 | codes, appliance standards, and municipal regulations as | ||||||
22 | potentially cost-effective means of acquiring energy | ||||||
23 | savings to count toward energy savings goals; | ||||||
24 | (3) demonstrate that its overall portfolio of measures | ||||||
25 | and programs, not including income-qualified programs | ||||||
26 | described in subsection (d), is cost-effective using the |
| |||||||
| |||||||
1 | total resource cost test and represents a diverse cross | ||||||
2 | section of opportunities for customers of all rate classes | ||||||
3 | to participate in programs. Individual measures need not | ||||||
4 | be cost-effective; | ||||||
5 | (4) demonstrate that the utility's plan integrates the | ||||||
6 | delivery of energy efficiency programs with electric | ||||||
7 | efficiency programs, programs promoting demand response, | ||||||
8 | and other efforts to address bill payment issues, | ||||||
9 | including, but not limited to, the Low Income Home Energy | ||||||
10 | Assistance Program and the Percentage of Income Payment | ||||||
11 | Plans; | ||||||
12 | (5) include a proposed or revised cost-recovery | ||||||
13 | mechanism to fund the proposed energy efficiency measures | ||||||
14 | and ensure the recovery of the prudently and reasonably | ||||||
15 | incurred costs of Commission-approved programs; | ||||||
16 | (6) provide, using not more than 3% of portfolio | ||||||
17 | resources in any given year, an annual independent | ||||||
18 | evaluation of the performance and cost-effectiveness of | ||||||
19 | the utility's portfolio of measures and programs; | ||||||
20 | (7) demonstrate how it will ensure that program | ||||||
21 | implementation contractors and energy efficiency | ||||||
22 | installation vendors will promote workforce equity and | ||||||
23 | quality jobs. Utilities shall collect, and make publicly | ||||||
24 | available at least quarterly, data necessary to | ||||||
25 | demonstrate how efforts are advancing workforce equity. | ||||||
26 | Utilities shall work with relevant vendors providing |
| |||||||
| |||||||
1 | education, training, and other resources needed to ensure | ||||||
2 | compliance and, where necessary, adjusting or terminating | ||||||
3 | work with vendors that cannot assist with compliance; and | ||||||
4 | (8) include any plans for research, development, or | ||||||
5 | pilot deployment of new measures or program approaches. | ||||||
6 | For utilities with unmodified savings goals, no more than | ||||||
7 | 4% of energy efficiency portfolio spending may be | ||||||
8 | allocated for such purposes. For utilities with modified | ||||||
9 | savings goals, no more than 2% of energy efficiency | ||||||
10 | portfolio spending may be allocated for such purposes. | ||||||
11 | Utilities shall work with interested stakeholders to | ||||||
12 | formulate a plan for how any proposed funds should be | ||||||
13 | spent, incorporate statewide approaches for these | ||||||
14 | allocations whenever such approaches would be more | ||||||
15 | effective or cost-efficient, and demonstrate such | ||||||
16 | collaboration in the utilities' plans. | ||||||
17 | (h) Each gas utility shall be eligible to earn a | ||||||
18 | shareholder incentive for effective implementation of its | ||||||
19 | efficiency programs. The incentive shall be tied to each | ||||||
20 | utility's annual energy efficiency spending and its savings. | ||||||
21 | There shall be no incentive if the independent evaluator | ||||||
22 | determines the utility either (i) failed to achieve the | ||||||
23 | minimum average savings life specified in paragraph (2) of | ||||||
24 | subsection (d), (ii) did not fully meet all of the | ||||||
25 | requirements specified in paragraphs (3) through (7) of | ||||||
26 | subsection (d), or (iii) failed to achieve incremental annual |
| |||||||
| |||||||
1 | savings equal to at least 90% of the incremental savings goal | ||||||
2 | specified in paragraph (1) of subsection (d). If a utility | ||||||
3 | meets all of the requirements specified in paragraphs (2) | ||||||
4 | through (7) of subsection (d), it can earn an incentive equal | ||||||
5 | 0.5% of total annual efficiency spending in the year being | ||||||
6 | evaluated for every one percentage point above 90% of its | ||||||
7 | incremental annual savings goal that it achieves for that | ||||||
8 | year, with a maximum incentive of 15% for achieving 120% of its | ||||||
9 | incremental annual savings goal. | ||||||
10 | (i) The utility shall submit energy savings data to the | ||||||
11 | independent evaluator no later than 30 days after the close of | ||||||
12 | the plan year. The independent evaluator shall determine the | ||||||
13 | incremental annual savings and average savings life, as well | ||||||
14 | as an estimate of the job impacts and other macroeconomic | ||||||
15 | impacts of the efficiency programs for that year, achieved no | ||||||
16 | later than 120 days after the close of the plan year. The | ||||||
17 | utility shall submit an informational filing to the Commission | ||||||
18 | no later than 160 days after the close of the plan year that | ||||||
19 | attaches the independent evaluator's final report identifying | ||||||
20 | the incremental annual savings for the year, identifying | ||||||
21 | average savings life for the year, documenting compliance with | ||||||
22 | other requirements in subsection (d), and, as applicable, the | ||||||
23 | magnitude of any shareholder incentive which the utility has | ||||||
24 | earned. | ||||||
25 | (j) Gas utilities shall report annually to the Commission | ||||||
26 | and General Assembly on how hiring, contracting, job training, |
| |||||||
| |||||||
1 | and other practices related to its energy efficiency programs | ||||||
2 | enhance the diversity of vendors working on such programs. | ||||||
3 | These reports must include data on vendor and employee | ||||||
4 | diversity. | ||||||
5 | (k) The independent evaluator shall follow the guidelines | ||||||
6 | and use the savings set forth in Commission-approved energy | ||||||
7 | efficiency policy manuals and technical reference manuals, as | ||||||
8 | each may be updated from time to time. Until measure life | ||||||
9 | values for energy efficiency measures implemented for | ||||||
10 | income-qualified households are separately incorporated into | ||||||
11 | such Commission-approved manuals, the income-qualified | ||||||
12 | measures shall have the same measure life values that are | ||||||
13 | established for the same measures implemented in households | ||||||
14 | that are not income-qualified households. | ||||||
15 | (220 ILCS 5/9-228.5 new) | ||||||
16 | Sec. 9-228.5. Consideration of gas main and gas service | ||||||
17 | extension costs. Gas main and gas service extension policies | ||||||
18 | shall be based on the principle that the full incremental cost | ||||||
19 | associated with new development and growth shall be borne by | ||||||
20 | the customers that cause those incremental costs. Gas main and | ||||||
21 | gas service extension policies, procedures, and conditions | ||||||
22 | shall align with the greenhouse gas emission reduction goals | ||||||
23 | established in Article XXIV. | ||||||
24 | (220 ILCS 5/9-229) |
| |||||||
| |||||||
1 | Sec. 9-229. Consideration of attorney and expert | ||||||
2 | compensation as an expense and intervenor compensation fund. | ||||||
3 | (a) The Commission shall specifically assess the justness | ||||||
4 | and reasonableness of any amount expended by a public utility | ||||||
5 | to compensate attorneys or technical experts to prepare and | ||||||
6 | litigate a general rate case filing. This issue shall be | ||||||
7 | expressly addressed in the Commission's final order. | ||||||
8 | (b) The State of Illinois shall create a Consumer | ||||||
9 | Intervenor Compensation Fund subject to the following: | ||||||
10 | (1) Provision of compensation for Consumer Interest | ||||||
11 | Representatives that intervene in Illinois Commerce | ||||||
12 | Commission proceedings will increase public engagement, | ||||||
13 | encourage additional transparency, expand the information | ||||||
14 | available to the Commission, and improve decision-making. | ||||||
15 | (2) As used in this Section, " consumer Consumer | ||||||
16 | interest representative" means: | ||||||
17 | (A) a residential utility customer or group of | ||||||
18 | residential utility customers represented by a | ||||||
19 | not-for-profit group or organization registered with | ||||||
20 | the Illinois Attorney General under the Solicitation | ||||||
21 | for of Charity Act; | ||||||
22 | (B) representatives of not-for-profit groups or | ||||||
23 | organizations whose membership is limited to | ||||||
24 | residential utility customers; or | ||||||
25 | (C) representatives of not-for-profit groups or | ||||||
26 | organizations whose membership includes Illinois |
| |||||||
| |||||||
1 | residents and that address the community, economic, | ||||||
2 | environmental, or social welfare of Illinois | ||||||
3 | residents, except government agencies or intervenors | ||||||
4 | specifically authorized by Illinois law to participate | ||||||
5 | in Commission proceedings on behalf of Illinois | ||||||
6 | consumers. | ||||||
7 | (3) A consumer interest representative is eligible to | ||||||
8 | receive compensation from the consumer intervenor | ||||||
9 | compensation fund if its participation included lay or | ||||||
10 | expert testimony or legal briefing and argument concerning | ||||||
11 | the expenses, investments, rate design, rate impact, or | ||||||
12 | other matters affecting the pricing, rates, costs or other | ||||||
13 | charges associated with utility service, the Commission | ||||||
14 | adopts a material recommendation related to a significant | ||||||
15 | issue in the docket, and participation caused a | ||||||
16 | significant financial cost hardship to the participant; | ||||||
17 | however, no consumer interest representative shall be | ||||||
18 | eligible to receive an award pursuant to this Section if | ||||||
19 | the consumer interest representative receives any | ||||||
20 | compensation, funding, or donations, directly or | ||||||
21 | indirectly, from parties that have a financial interest in | ||||||
22 | the outcome of the proceeding. | ||||||
23 | (4) Within 30 days after September 15, 2021 ( the | ||||||
24 | effective date of Public Act 102-662) this amendatory Act | ||||||
25 | of the 102nd General Assembly , each utility that files a | ||||||
26 | request for an increase in rates under Article IX or |
| |||||||
| |||||||
1 | Article XVI shall deposit an amount equal to one half of | ||||||
2 | the rate case attorney and expert expense allowed by the | ||||||
3 | Commission, but not to exceed $500,000, into the fund | ||||||
4 | within 35 days of the date of the Commission's Final final | ||||||
5 | Order in the rate case or 20 days after the denial of | ||||||
6 | rehearing under Section 10-113 of this Act, whichever is | ||||||
7 | later. The Consumer Intervenor Compensation Fund shall be | ||||||
8 | used to provide payment to consumer interest | ||||||
9 | representatives as described in this Section. | ||||||
10 | (5) An electric public utility with 3,000,000 or more | ||||||
11 | retail customers shall contribute $450,000 to the Consumer | ||||||
12 | Intervenor Compensation Fund within 60 days after | ||||||
13 | September 15, 2021 ( the effective date of Public Act | ||||||
14 | 102-662) this amendatory Act of the 102nd General | ||||||
15 | Assembly . A combined electric and gas public utility | ||||||
16 | serving fewer than 3,000,000 but more than 500,000 retail | ||||||
17 | customers shall contribute $225,000 to the Consumer | ||||||
18 | Intervenor Compensation Fund within 60 days after | ||||||
19 | September 15, 2021 ( the effective date of Public Act | ||||||
20 | 102-662) this amendatory Act of the 102nd General | ||||||
21 | Assembly . A gas public utility with 1,500,000 or more | ||||||
22 | retail customers that is not a combined electric and gas | ||||||
23 | public utility shall contribute $225,000 to the Consumer | ||||||
24 | Intervenor Compensation Fund within 60 days after | ||||||
25 | September 15, 2021 ( the effective date of Public Act | ||||||
26 | 102-662) this amendatory Act of the 102nd General |
| |||||||
| |||||||
1 | Assembly . A gas public utility with fewer than 1,500,000 | ||||||
2 | retail customers but more than 300,000 retail customers | ||||||
3 | that is not a combined electric and gas public utility | ||||||
4 | shall contribute $80,000 to the Consumer Intervenor | ||||||
5 | Compensation Fund within 60 days after September 15, 2021 | ||||||
6 | ( the effective date of Public Act 102-662) this amendatory | ||||||
7 | Act of the 102nd General Assembly . A gas public utility | ||||||
8 | with fewer than 300,000 retail customers that is not a | ||||||
9 | combined electric and gas public utility shall contribute | ||||||
10 | $20,000 to the Consumer Intervenor Compensation Fund | ||||||
11 | within 60 days after September 15, 2021 ( the effective | ||||||
12 | date of Public Act 102-662) this amendatory Act of the | ||||||
13 | 102nd General Assembly . A combined electric and gas public | ||||||
14 | utility serving fewer than 500,000 retail customers shall | ||||||
15 | contribute $20,000 to the Consumer Intervenor Compensation | ||||||
16 | Fund within 60 days after September 15, 2021 ( the | ||||||
17 | effective date of Public Act 102-662) this amendatory Act | ||||||
18 | of the 102nd General Assembly . A water or sewer public | ||||||
19 | utility serving more than 100,000 retail customers shall | ||||||
20 | contribute $80,000, and a water or sewer public utility | ||||||
21 | serving fewer than 100,000 but more than 10,000 retail | ||||||
22 | customers shall contribute $20,000. | ||||||
23 | (6)(A) Prior to the entry of a Final Order in a | ||||||
24 | docketed case, the Commission Administrator shall provide | ||||||
25 | a payment to a consumer interest representative that | ||||||
26 | demonstrates through a verified application for funding |
| |||||||
| |||||||
1 | that the consumer interest representative's participation | ||||||
2 | or intervention without an award of fees or costs imposes | ||||||
3 | a significant financial hardship based on a schedule to be | ||||||
4 | developed by the Commission. The Administrator may require | ||||||
5 | verification of costs incurred, including statements of | ||||||
6 | hours spent, as a condition to paying the consumer | ||||||
7 | interest representative prior to the entry of a Final | ||||||
8 | Order in a docketed case. | ||||||
9 | (B) If the Commission adopts a material recommendation | ||||||
10 | related to a significant issue in the docket and | ||||||
11 | participation caused a significant financial cost hardship | ||||||
12 | to the participant, then the consumer interest | ||||||
13 | representative shall be allowed payment for some or all of | ||||||
14 | the consumer interest representative's reasonable | ||||||
15 | attorney's or advocate's fees, reasonable expert witness | ||||||
16 | fees, and other reasonable costs of preparation for and | ||||||
17 | participation in a hearing or proceeding. Expenses related | ||||||
18 | to travel or meals shall not be compensable. | ||||||
19 | (C) The consumer interest representative shall submit | ||||||
20 | an itemized request for compensation to the Consumer | ||||||
21 | Intervenor Compensation Fund, including the advocate's or | ||||||
22 | attorney's reasonable fee rate, the number of hours | ||||||
23 | expended, reasonable expert and expert witness fees, and | ||||||
24 | other reasonable costs for the preparation for and | ||||||
25 | participation in the hearing and briefing within 30 days | ||||||
26 | of the Commission's final order after denial or decision |
| |||||||
| |||||||
1 | on rehearing, if any. | ||||||
2 | (7) Administration of the Fund. | ||||||
3 | (A) The Consumer Intervenor Compensation Fund is | ||||||
4 | created as a special fund in the State treasury. All | ||||||
5 | disbursements from the Consumer Intervenor Compensation | ||||||
6 | Fund shall be made only upon warrants of the Comptroller | ||||||
7 | drawn upon the Treasurer as custodian of the Fund upon | ||||||
8 | vouchers signed by the Executive Director of the | ||||||
9 | Commission or by the person or persons designated by the | ||||||
10 | Director for that purpose. The Comptroller is authorized | ||||||
11 | to draw the warrant upon vouchers so signed. The Treasurer | ||||||
12 | shall accept all warrants so signed and shall be released | ||||||
13 | from liability for all payments made on those warrants. | ||||||
14 | The Consumer Intervenor Compensation Fund shall be | ||||||
15 | administered by an Administrator that is a person or | ||||||
16 | entity that is independent of the Commission. The | ||||||
17 | administrator will be responsible for the prudent | ||||||
18 | management of the Consumer Intervenor Compensation Fund | ||||||
19 | and for recommendations for the award of consumer | ||||||
20 | intervenor compensation from the Consumer Intervenor | ||||||
21 | Compensation Fund. The Commission shall issue a request | ||||||
22 | for qualifications for a third-party program administrator | ||||||
23 | to administer the Consumer Intervenor Compensation Fund. | ||||||
24 | The third-party administrator shall be chosen through a | ||||||
25 | competitive bid process based on selection criteria and | ||||||
26 | requirements developed by the Commission. The Illinois |
| |||||||
| |||||||
1 | Procurement Code does not apply to the hiring or payment | ||||||
2 | of the Administrator. All Administrator costs may be paid | ||||||
3 | for using monies from the Consumer Intervenor Compensation | ||||||
4 | Fund, but the Program Administrator shall strive to | ||||||
5 | minimize costs in the implementation of the program. | ||||||
6 | (B) The computation of compensation awarded from the | ||||||
7 | fund shall take into consideration the market rates paid | ||||||
8 | to persons of comparable training and experience who offer | ||||||
9 | similar services, but may not exceed the comparable market | ||||||
10 | rate for services paid by the public utility as part of its | ||||||
11 | rate case expense. | ||||||
12 | (C)(1) Recommendations on the award of compensation by | ||||||
13 | the administrator shall include consideration of whether | ||||||
14 | the participation raised Commission adopted a material | ||||||
15 | recommendation related to a significant issue in the | ||||||
16 | docket and whether participation caused a significant | ||||||
17 | financial cost hardship to the participant and the payment | ||||||
18 | of compensation is fair, just , and reasonable. | ||||||
19 | (2) Recommendations on the award of compensation by | ||||||
20 | the administrator shall be submitted to the Commission for | ||||||
21 | approval. Unless the Commission initiates an investigation | ||||||
22 | within 45 days after the notice to the Commission, the | ||||||
23 | award of compensation shall be allowed 45 days after | ||||||
24 | notice to the Commission. Such notice shall be given by | ||||||
25 | filing with the Commission on the Commission's e-docket | ||||||
26 | system, and keeping open for public inspection the award |
| |||||||
| |||||||
1 | for compensation proposed by the Administrator. The | ||||||
2 | Commission shall have power, and it is hereby given | ||||||
3 | authority, either upon complaint or upon its own | ||||||
4 | initiative without complaint, at once, and if it so | ||||||
5 | orders, without answer or other formal pleadings, but upon | ||||||
6 | reasonable notice, to enter upon a hearing concerning the | ||||||
7 | propriety of the award. | ||||||
8 | (c) The Commission may adopt rules to implement this | ||||||
9 | Section. | ||||||
10 | (Source: P.A. 102-662, eff. 9-15-21; revised 1-20-24.) | ||||||
11 | (220 ILCS 5/9-235 new) | ||||||
12 | Sec. 9-235. Tariffed gas main and gas service extension | ||||||
13 | provisions. No later than 60 days after the effective date of | ||||||
14 | this amendatory Act of the 103rd General Assembly, the | ||||||
15 | Commission shall initiate a docketed rulemaking reviewing each | ||||||
16 | gas public utility tariff that provides for gas main and gas | ||||||
17 | service extensions without additional charge to new customers | ||||||
18 | in excess of the default extensions without charge as | ||||||
19 | specified in 83 Ill. Adm. Code 501. The focus of the rulemaking | ||||||
20 | shall be to modify each gas utility's gas main and gas service | ||||||
21 | extension tariff to align with the provisions set forth in | ||||||
22 | Section 9-228.5. | ||||||
23 | (220 ILCS 5/9-241) (from Ch. 111 2/3, par. 9-241) | ||||||
24 | Sec. 9-241. No public utility shall, as to rates or other |
| |||||||
| |||||||
1 | charges, services, facilities , or in other respect, make or | ||||||
2 | grant any preference or advantage to any corporation or person | ||||||
3 | or subject any corporation or person to any prejudice or | ||||||
4 | disadvantage. No public utility shall establish or maintain | ||||||
5 | any unreasonable difference as to rates or other charges, | ||||||
6 | services, facilities, or in any other respect, either as | ||||||
7 | between localities or as between classes of service. | ||||||
8 | However, nothing in this Section shall be construed as | ||||||
9 | limiting the authority of the Commission to permit the | ||||||
10 | establishment of economic development rates as incentives to | ||||||
11 | economic development either in enterprise zones as designated | ||||||
12 | by the State of Illinois or in other areas of a utility's | ||||||
13 | service area. Such rates should be available to existing | ||||||
14 | businesses which demonstrate an increase to existing load as | ||||||
15 | well as new businesses which create new load for a utility so | ||||||
16 | as to create a more balanced utilization of generating | ||||||
17 | capacity. The Commission shall ensure that such rates are | ||||||
18 | established at a level which provides a net benefit to | ||||||
19 | customers within a public utility's service area. | ||||||
20 | On or before January 1, 2025 2023 , the Commission shall | ||||||
21 | conduct a comprehensive study to assess whether low-income | ||||||
22 | discount rates for electric and natural gas residential | ||||||
23 | customers are appropriate and the potential design and | ||||||
24 | implementation of any such rates. The Commission shall include | ||||||
25 | its findings, together with the appropriate recommendations, | ||||||
26 | in a report to be provided to the General Assembly. Upon |
| |||||||
| |||||||
1 | completion of the study, the Commission shall have the | ||||||
2 | authority to permit or require electric and natural gas | ||||||
3 | utilities to file a tariff establishing low-income discount | ||||||
4 | rates. | ||||||
5 | Such study shall assess, at a minimum, the following: | ||||||
6 | (1) customer eligibility requirements, including | ||||||
7 | income-based eligibility and eligibility based on | ||||||
8 | participation in or eligibility for certain public | ||||||
9 | assistance programs; | ||||||
10 | (2) appropriate rate structures, including | ||||||
11 | consideration of tiered discounts for different income | ||||||
12 | levels; | ||||||
13 | (3) appropriate recovery mechanisms, including the | ||||||
14 | consideration of volumetric charges and customer charges; | ||||||
15 | (4) appropriate verification mechanisms; | ||||||
16 | (5) measures to ensure customer confidentiality and | ||||||
17 | data safeguards; | ||||||
18 | (6) outreach and consumer education procedures; and | ||||||
19 | (7) the impact that a low-income discount rate would | ||||||
20 | have on the affordability of delivery service to | ||||||
21 | low-income customers and customers overall. | ||||||
22 | On or before January 1, 2026, the Commission shall begin a | ||||||
23 | docketed rulemaking process to implement low-income discount | ||||||
24 | rates for electric and natural gas residential customers, | ||||||
25 | incorporating the recommendations of the report required by | ||||||
26 | this Section, released by the Commission in December 2022 and |
| |||||||
| |||||||
1 | titled the "Illinois Commerce Commission Low-Income Discount | ||||||
2 | Rate Study Report to the Illinois General Assembly". | ||||||
3 | The Commission shall adopt rules requiring utility | ||||||
4 | companies to produce information, in the form of a mailing, | ||||||
5 | and other approved methods of distribution, to its consumers, | ||||||
6 | to inform the consumers of available rebates, discounts, | ||||||
7 | credits, and other cost-saving mechanisms that can help them | ||||||
8 | lower their monthly utility bills, and send out such | ||||||
9 | information semi-annually, unless otherwise provided by this | ||||||
10 | Article. | ||||||
11 | Prior to October 1, 1989, no public utility providing | ||||||
12 | electrical or gas service shall consider the use of solar or | ||||||
13 | other nonconventional renewable sources of energy by a | ||||||
14 | customer as a basis for establishing higher rates or charges | ||||||
15 | for any service or commodity sold to such customer; nor shall a | ||||||
16 | public utility subject any customer utilizing such energy | ||||||
17 | source or sources to any other prejudice or disadvantage on | ||||||
18 | account of such use. No public utility shall without the | ||||||
19 | consent of the Commission, charge or receive any greater | ||||||
20 | compensation in the aggregate for a lesser commodity, product, | ||||||
21 | or service than for a greater commodity, product , or service | ||||||
22 | of like character. | ||||||
23 | The Commission, in order to expedite the determination of | ||||||
24 | rate questions, or to avoid unnecessary and unreasonable | ||||||
25 | expense, or to avoid unjust or unreasonable discrimination | ||||||
26 | between classes of customers, or, whenever in the judgment of |
| |||||||
| |||||||
1 | the Commission public interest so requires, may, for rate | ||||||
2 | making and accounting purposes, or either of them, consider | ||||||
3 | one or more municipalities either with or without the adjacent | ||||||
4 | or intervening rural territory as a regional unit where the | ||||||
5 | same public utility serves such region under substantially | ||||||
6 | similar conditions, and may within such region prescribe | ||||||
7 | uniform rates for consumers or patrons of the same class. | ||||||
8 | Any public utility, with the consent and approval of the | ||||||
9 | Commission, may as a basis for the determination of the | ||||||
10 | charges made by it classify its service according to the | ||||||
11 | amount used, the time when used, the purpose for which used, | ||||||
12 | and other relevant factors. | ||||||
13 | (Source: P.A. 102-662, eff. 9-15-21.) | ||||||
14 | (220 ILCS 5/9-254 new) | ||||||
15 | Sec. 9-254. Independent gas system assessment. | ||||||
16 | (a) The General Assembly finds that an independent audit | ||||||
17 | of the current state of the gas distribution system, and of the | ||||||
18 | expenditures made since 2012, will need to be made. | ||||||
19 | Specifically, the General Assembly finds: | ||||||
20 | (1) Pursuant to 2013 legislation establishing the | ||||||
21 | qualifying infrastructure plant charge, gas utilities in | ||||||
22 | this State that serve over 700,000 retail customers have | ||||||
23 | spent significant amounts of ratepayer dollars on system | ||||||
24 | investments purporting to refurbish, rebuild, modernize, | ||||||
25 | and expand gas system infrastructure. |
| |||||||
| |||||||
1 | (2) The qualifying infrastructure plant charge is set | ||||||
2 | to conclude at its statutory deadline of December 31, | ||||||
3 | 2023, and it is in the interest of this State and in the | ||||||
4 | interest of gas utilities' customers to understand the | ||||||
5 | benefits of these investments to the gas system and to | ||||||
6 | customers and to evaluate the current condition of the gas | ||||||
7 | system. | ||||||
8 | (3) It is also necessary for gas utilities, the | ||||||
9 | Commission, and stakeholders to have an independently | ||||||
10 | verified set of data to draw upon for future gas rate cases | ||||||
11 | and any other proposed gas system spending. | ||||||
12 | (4) Meeting the State's climate goals will require an | ||||||
13 | ordered transition away from gas, and toward electric | ||||||
14 | heating and appliances, for all or nearly all buildings, | ||||||
15 | and planning this transition will require a thorough | ||||||
16 | understanding of the current state of the gas system. | ||||||
17 | (5) The Commission has authority to order and | ||||||
18 | implement the requirements of this Section under Section | ||||||
19 | 8-102. | ||||||
20 | (b) Terms used in this Section shall have the meanings | ||||||
21 | given to them in Section 19-105. | ||||||
22 | (c) Within 30 days after the effective date of this | ||||||
23 | amendatory Act of the 103rd General Assembly, the Commission | ||||||
24 | shall issue an order initiating an audit of each gas utility | ||||||
25 | serving over 700,000 retail customers in the State, which | ||||||
26 | shall examine the following: |
| |||||||
| |||||||
1 | (1) An assessment of the gas distribution system, as | ||||||
2 | described in paragraph (2) of subsection (a). The | ||||||
3 | Commission shall have the authority to require additional | ||||||
4 | items that it deems necessary. | ||||||
5 | (2) An analysis of the utility's capital projects | ||||||
6 | placed into service in the preceding 10 years, including, | ||||||
7 | but not limited to, an assessment of the value and safety | ||||||
8 | impact of pipe replacement, increased system pressure, and | ||||||
9 | pipe capacity expansion. | ||||||
10 | (3) An assessment of the utility's emissions | ||||||
11 | reductions to date and what preparations the utility has | ||||||
12 | made to meet the terms of the Paris Climate Agreement, | ||||||
13 | with which it is the policy of the State to comply. | ||||||
14 | (4) The creation of a visual, geographic map of the | ||||||
15 | gas system displaying the level of risk of various | ||||||
16 | pipelines and showing the areas where pipelines have | ||||||
17 | already been replaced. | ||||||
18 | (5) The identifying areas of the gas system where the | ||||||
19 | cost to replace pipeline is likely to be high, including, | ||||||
20 | but not limited to, identifying places where | ||||||
21 | decommissioning a portion of the gas system and planning | ||||||
22 | to provide for electric heating and appliance needs in | ||||||
23 | that area may be preferable, considering the costs and | ||||||
24 | benefits for affordability, health, and climate. | ||||||
25 | (d) It is contemplated that the auditor will use materials | ||||||
26 | filed with the Commission by the utilities with respect to the |
| |||||||
| |||||||
1 | auditor's expenditures in the preceding 10 years; however, the | ||||||
2 | auditor may also, with Commission approval, assess other | ||||||
3 | information deemed necessary to make its report. The results | ||||||
4 | of the audit described in this Section shall be reflected in a | ||||||
5 | report delivered to the Commission, describing the information | ||||||
6 | specified in this Section. The report is to be delivered no | ||||||
7 | later than 180 days after the Commission enters its order | ||||||
8 | under subsection (c). It is understood that any public report | ||||||
9 | may not contain items that are confidential or proprietary. | ||||||
10 | (e) The costs of a gas utility's audit described in this | ||||||
11 | Section shall not exceed $500,000 and shall be paid for by the | ||||||
12 | electric utility that is the subject of the audit. Such costs | ||||||
13 | shall be a recoverable expense. | ||||||
14 | (f) The Commission shall have the authority to retain the | ||||||
15 | services of an auditor to assist with the distribution | ||||||
16 | planning process, as well as in docketed proceedings. Such | ||||||
17 | expenses for these activities shall also be borne by the | ||||||
18 | Commission. | ||||||
19 | (220 ILCS 5/9-255 new) | ||||||
20 | Sec. 9-255. Phase-out of gas fixed changes. Beginning | ||||||
21 | January 1, 2035, a public utility providing gas service may | ||||||
22 | not assess fixed charges as part of its rates. Beginning | ||||||
23 | January 1, 2030, a public utility providing gas service must | ||||||
24 | limit, for each customer class, any fixed charges in its rates | ||||||
25 | to no greater than 50% of the average of monthly fixed charges |
| |||||||
| |||||||
1 | for that customer class during the period January 1, 2019 to | ||||||
2 | December 31, 2021. | ||||||
3 | (220 ILCS 5/16-111.10) | ||||||
4 | Sec. 16-111.10. Equitable Energy Upgrade Program. | ||||||
5 | (a) The General Assembly finds and declares that Illinois | ||||||
6 | homes and businesses can contribute to the creation of a clean | ||||||
7 | energy economy, conservation of natural resources, and | ||||||
8 | reliability of the electricity grid through the installation | ||||||
9 | of cost-effective renewable energy generation, energy | ||||||
10 | efficiency and demand response equipment, and energy storage | ||||||
11 | systems. Further, a large portion of Illinois residents and | ||||||
12 | businesses that would benefit from the installation of energy | ||||||
13 | efficiency, storage, and renewable energy generation systems | ||||||
14 | are unable to purchase systems due to capital or credit | ||||||
15 | barriers. This State should pursue options to enable many more | ||||||
16 | Illinoisans to access the health, environmental, and financial | ||||||
17 | benefits of new clean energy technology. | ||||||
18 | (b) As used in this Section: | ||||||
19 | "Commission" means the Illinois Commerce Commission. | ||||||
20 | "Energy project" means renewable energy generation | ||||||
21 | systems, including solar projects, energy efficiency upgrades, | ||||||
22 | decarbonization and electrification measures, energy storage | ||||||
23 | systems, demand response equipment, or any combination | ||||||
24 | thereof. | ||||||
25 | "Fund" means the Clean Energy Jobs and Justice Fund |
| |||||||
| |||||||
1 | established in the Clean Energy Jobs and Justice Fund Act. | ||||||
2 | "Program" means the Equitable Energy Upgrade Program | ||||||
3 | established under subsection (c). | ||||||
4 | "Utility" means electric public utilities providing | ||||||
5 | services to 500,000 or more customers under this Act. | ||||||
6 | (c) The Commission shall open an investigation into and | ||||||
7 | direct all electric and gas public utilities in this State to | ||||||
8 | adopt an Equitable Energy Upgrade Program that permits | ||||||
9 | customers to finance the construction of energy projects | ||||||
10 | through an optional tariff payable directly through their | ||||||
11 | utility bill, modeled after the Pay As You Save system, | ||||||
12 | developed by the Energy Efficiency Institute. The Program | ||||||
13 | model shall enable utilities to offer to make investments in | ||||||
14 | energy projects to customer properties with low-cost capital | ||||||
15 | and use an opt-in tariff to recover the costs. The Program | ||||||
16 | shall be designed to provide customers with immediate | ||||||
17 | financial savings if they choose to participate. The Program | ||||||
18 | shall allow residential electric and gas utility customers | ||||||
19 | that own the property, or renters that have permission of the | ||||||
20 | property owner, for which they subscribe to utility service to | ||||||
21 | agree to the installation of an energy project. The Program | ||||||
22 | shall ensure: | ||||||
23 | (1) eligible projects do not require upfront payments; | ||||||
24 | however, customers may pay down the costs for projects | ||||||
25 | with a payment to the installing contractor in order to | ||||||
26 | qualify projects that would otherwise require upfront |
| |||||||
| |||||||
1 | payments; | ||||||
2 | (2) eligible projects have sufficient estimated | ||||||
3 | savings and estimated life span to produce significant, | ||||||
4 | immediate net savings; | ||||||
5 | (3) participants shall agree the utility can recover | ||||||
6 | its costs for the projects at their location by paying for | ||||||
7 | the project through an optional tariff directly through | ||||||
8 | the participant's utility electricity bill, allowing | ||||||
9 | participants to benefit from installation of energy | ||||||
10 | projects without traditional loans; | ||||||
11 | (4) accessibility by lower-income residents and | ||||||
12 | environmental justice community residents; and | ||||||
13 | (5) the utility must ensure that customers who are | ||||||
14 | interested in participating are notified that if they are | ||||||
15 | income qualified, they may also be eligible for the | ||||||
16 | Percentage of Income Payment Plan program and free energy | ||||||
17 | improvements through other programs and facilitate | ||||||
18 | interested customers' enrollment in those programs; and | ||||||
19 | provide contact information. | ||||||
20 | (6) coordination with existing utility, state, and | ||||||
21 | federal energy efficiency, solar, electrification, and | ||||||
22 | other energy savings funding and implementation programs. | ||||||
23 | (d) The Commission shall establish Program guidelines with | ||||||
24 | the anticipated schedule of Program availability as follows: | ||||||
25 | (1) Year 1: Beginning in the first year of operation, | ||||||
26 | each utility with greater than 100,000 retail customers is |
| |||||||
| |||||||
1 | required to obtain low-cost capital of at least | ||||||
2 | $20,000,000 annually for investments in energy projects. | ||||||
3 | (2) Year 2: Beginning in the second year of operation, | ||||||
4 | each utility with greater than 100,000 retail customers is | ||||||
5 | required to obtain low-cost capital for investments in | ||||||
6 | energy projects of at least $40,000,000 annually. | ||||||
7 | (3) Year 3: Beginning in the third year of operation, | ||||||
8 | each utility with greater than 100,000 retail customers is | ||||||
9 | required to obtain low-cost capital for investments in as | ||||||
10 | many systems as customers demand, subject to available | ||||||
11 | capital provided by the utility, State, or other lenders. | ||||||
12 | (e) In the design of the Program, the Commission shall: | ||||||
13 | (1) Within 90 days after the effective date of this | ||||||
14 | amendatory Act of the 103rd General Assembly, begin a | ||||||
15 | process to update the Program guidelines for | ||||||
16 | implementation of the Program. Any such process shall | ||||||
17 | allow for participation from interested stakeholders. | ||||||
18 | Within 270 days after the effective date of this | ||||||
19 | amendatory Act of the 102nd General Assembly, convene a | ||||||
20 | workshop during which interested participants may discuss | ||||||
21 | issues and submit comments related to the Program. | ||||||
22 | (2) Establish Program guidelines for implementation of | ||||||
23 | the Program in accordance with the Pay As You Save | ||||||
24 | Essential Elements and Minimum Program Requirements that | ||||||
25 | electric and gas utilities must abide by when implementing | ||||||
26 | the Program. Program guidelines established by the |
| |||||||
| |||||||
1 | Commission shall include the following elements: | ||||||
2 | (A) The Commission shall establish conditions | ||||||
3 | under which utilities secure capital to fund the | ||||||
4 | energy projects. The Commission may allow utilities to | ||||||
5 | raise capital independently, work with third-party | ||||||
6 | lenders to secure the capital for participants, or a | ||||||
7 | combination thereof. Any process the Commission | ||||||
8 | approves must use a market mechanism to identify the | ||||||
9 | least costly sources of capital funds so as to pass on | ||||||
10 | maximum savings to participants. The State or the | ||||||
11 | Clean Energy Jobs and Justice Fund may also provide | ||||||
12 | capital for the Program. | ||||||
13 | (B) Customer protection guidelines should be | ||||||
14 | designed consistent with Pay As You Save Essential | ||||||
15 | Elements and Minimum Program Requirements. | ||||||
16 | (C) The Commission shall establish conditions by | ||||||
17 | which utilities may connect Program participants to | ||||||
18 | energy project vendors. In setting conditions for | ||||||
19 | connection, the Commission may prioritize vendors that | ||||||
20 | have a history of good relations with the State, | ||||||
21 | including vendors that have hired participants from | ||||||
22 | State-created job training programs. | ||||||
23 | (D) Guarantee that conservative estimates of | ||||||
24 | financial savings will immediately and significantly | ||||||
25 | exceed estimated Program costs for Program | ||||||
26 | participants. |
| |||||||
| |||||||
1 | (E) Require any customer data sharing between | ||||||
2 | electric and gas utilities and third-party vendors | ||||||
3 | needed to evaluate the energy and demand saving and | ||||||
4 | energy services revenue opportunities of all customers | ||||||
5 | and otherwise facilitate a positive customer | ||||||
6 | experience. Such data sharing may include but shall | ||||||
7 | not be limited to historical and ongoing customer | ||||||
8 | usage data and billing rates. The Commission may allow | ||||||
9 | utilities to recover the costs associated with data | ||||||
10 | sharing from all customers. | ||||||
11 | (F) Notwithstanding the method used to estimate | ||||||
12 | site-specific energy savings or measure direct energy | ||||||
13 | savings for Program participants, the utility will | ||||||
14 | report aggregate savings to the Commission for | ||||||
15 | regulatory filings in the same or a similar manner as | ||||||
16 | other energy efficiency or clean energy programs. | ||||||
17 | (f) Within 90 120 days after the Commission releases the | ||||||
18 | Program conditions established under this Section, each | ||||||
19 | utility subject to the requirements of this Section shall | ||||||
20 | submit an informational filing to the Commission that | ||||||
21 | describes its plan for implementing the provisions of this | ||||||
22 | Section. If the Commission finds that the submission does not | ||||||
23 | properly comply with the statutory or regulatory requirements | ||||||
24 | of the Program, the Commission may require that the utility | ||||||
25 | make modifications to its filing. | ||||||
26 | (g) An independent process evaluation shall be conducted |
| |||||||
| |||||||
1 | after one year of the Program's operation. An independent | ||||||
2 | impact evaluation shall be conducted after 3 years of | ||||||
3 | operation, excluding one-time startup costs and results from | ||||||
4 | the first 12 months of the Program. The Commission shall | ||||||
5 | convene an advisory council of stakeholders, including | ||||||
6 | representation of low-income and environmental justice | ||||||
7 | community members to make recommendations in response to the | ||||||
8 | findings of the independent evaluation. | ||||||
9 | (h) The Program shall be designed using the Pay As You Save | ||||||
10 | system guidelines to be cost-effective for customers. Only | ||||||
11 | projects that are deemed to be cost-effective and can be | ||||||
12 | reasonably expected to ensure customer savings are eligible | ||||||
13 | for funding through the Program, unless, as specified in | ||||||
14 | paragraph (1) of subsection (c), customers able to make | ||||||
15 | upfront copayments to installers buy down the cost of projects | ||||||
16 | so it can be deemed cost-effective. | ||||||
17 | (i) Eligible customers must be: | ||||||
18 | (1) property renters with permission of the property | ||||||
19 | owner; or | ||||||
20 | (2) property owners. | ||||||
21 | (j) The calculation of project cost-effectiveness shall be | ||||||
22 | based upon the Pay As You Save system requirements. | ||||||
23 | (1) The calculation of cost-effectiveness must be | ||||||
24 | conducted by an objective process approved by the | ||||||
25 | Commission and based on rates in effect at the time of | ||||||
26 | installation. |
| |||||||
| |||||||
1 | (2) A project shall be considered cost-effective only | ||||||
2 | if it is estimated to produce significant immediate net | ||||||
3 | savings, not counting copayments voluntarily made by | ||||||
4 | customers. The Commission may establish guidelines by | ||||||
5 | which this required savings is estimated. | ||||||
6 | (3) Net savings shall include savings across all fuel | ||||||
7 | sources, not limited to electricity and natural gas. | ||||||
8 | (4) The calculation of project cost-effectiveness | ||||||
9 | shall not exclude projects that: | ||||||
10 | (A) would raise customer costs in a particular | ||||||
11 | month so long as customers see annual project savings; | ||||||
12 | or | ||||||
13 | (B) increase electric load and accompanying costs | ||||||
14 | when a heating electrification project results in the | ||||||
15 | ability to cool part or all of a home that was not | ||||||
16 | previously cooled. In such cases, the increased | ||||||
17 | electricity consumption associated with that added | ||||||
18 | cooling shall not be included in calculations of net | ||||||
19 | savings. Extreme heat poses an increasing risk to | ||||||
20 | Illinois communities. As such, it is in the public | ||||||
21 | interest to mitigate that risk through the addition of | ||||||
22 | building cooling systems. | ||||||
23 | However, any expected increase in electric load and | ||||||
24 | customer costs should be clearly communicated to impacted | ||||||
25 | customers, along with any options for mitigating that | ||||||
26 | increase. |
| |||||||
| |||||||
1 | (k) The Program should be modeled after the Pay As You Save | ||||||
2 | system, by which Program participants finance energy projects | ||||||
3 | using the savings that the energy project creates with a | ||||||
4 | tariffed on-bill program. Eligible projects shall not create | ||||||
5 | personal debt for the customer, result in a lien in the event | ||||||
6 | of nonpayment, or require customers to pay monthly charges for | ||||||
7 | any upgrade that fails and is not repaired within 21 days. The | ||||||
8 | utility may restart charges once the upgrade is repaired and | ||||||
9 | functioning and extend the term of payments to recover its | ||||||
10 | costs for missed payments and deferred cost recovery, | ||||||
11 | providing the upgrade continues to function. | ||||||
12 | (l) Any energy project that is defective or damaged due to | ||||||
13 | no fault of the participant must be either replaced or | ||||||
14 | repaired with parts that meet industry standards at the cost | ||||||
15 | of the utility or vendor, as specified by the Commission, and | ||||||
16 | charges shall be suspended until repairs or replacement is | ||||||
17 | completed. The Commission may establish, increase, or replace | ||||||
18 | the requirements imposed in this subsection. The Commission | ||||||
19 | may determine that this responsibility is best handled by | ||||||
20 | participating project vendors in the form of insurance, | ||||||
21 | contractual guarantees, or other mechanisms, and issue rules | ||||||
22 | detailing this requirement. Customers shall not be charged | ||||||
23 | monthly payments for upgrades that are no longer functioning. | ||||||
24 | (m) In the event of nonpayment, the remaining balance due | ||||||
25 | to pay off the system shall remain with the utility meter at an | ||||||
26 | upgraded location. The Commission shall establish conditions |
| |||||||
| |||||||
1 | subject to this constraint in the event of nonpayment that are | ||||||
2 | in accordance with the Pay As You Save system. | ||||||
3 | (n) The utility shall make every effort to ensure that | ||||||
4 | customers who are income-qualified for free energy upgrade | ||||||
5 | programs take full advantage of those programs first before | ||||||
6 | using the Equitable Energy Upgrade Program. If the demand by | ||||||
7 | utility customers exceeds the Program capital supply in a | ||||||
8 | given year, utilities shall ensure that 50% of participants | ||||||
9 | are: | ||||||
10 | (1) customers in neighborhoods where a majority of | ||||||
11 | households make 150% or less of area median income; or | ||||||
12 | (2) residents of environmental justice communities. | ||||||
13 | (o) Utilities shall endeavor to inform customers about the | ||||||
14 | availability of the Program, their potential eligibility for | ||||||
15 | participation in the Program, and whether they are likely to | ||||||
16 | save money on the basis of an estimate conducted using | ||||||
17 | variables consistent with the Program that the utility has at | ||||||
18 | its disposal. The Commission may establish guidelines by which | ||||||
19 | utilities must abide by this directive and alternatives if the | ||||||
20 | Commission deems utilities' efforts as inadequate. | ||||||
21 | (p) Subject to Commission specifications under subsection | ||||||
22 | (c), each utility shall work with certified project vendors | ||||||
23 | selected using a request for proposals process to establish | ||||||
24 | the terms and processes under which a utility can install | ||||||
25 | eligible renewable energy generation and energy storage | ||||||
26 | systems using the capital to fit the Equitable Energy Upgrade |
| |||||||
| |||||||
1 | model. The utility certified project vendor shall explain and | ||||||
2 | offer the approved upgrades to customers and shall assist | ||||||
3 | customers in applying for financing through the Program. As | ||||||
4 | part of the process, utilities vendors shall also provide | ||||||
5 | participants with information about any other relevant | ||||||
6 | incentives that may be available and customer service | ||||||
7 | regarding the effective use of the upgrades . | ||||||
8 | Nothing shall preclude gas and electric utilities that | ||||||
9 | have overlapping service territories from jointly implementing | ||||||
10 | and delivering the Program. | ||||||
11 | (q) A participating An electric utility shall recover all | ||||||
12 | of the prudently incurred costs of offering a program approved | ||||||
13 | by the Commission under this Section. For investor-owned | ||||||
14 | utilities, shareholder incentives will be proportional to | ||||||
15 | meeting Commission approved thresholds for the number of | ||||||
16 | customers served and the amount of its investments in those | ||||||
17 | locations. | ||||||
18 | (r) The Commission shall adopt all rules necessary for the | ||||||
19 | administration of this Section. | ||||||
20 | (Source: P.A. 102-662, eff. 9-15-21.) | ||||||
21 | (220 ILCS 5/Art. XXIII heading new) | ||||||
22 | ARTICLE XXIII. CLEAN BUILDING HEATING LAW | ||||||
23 | (220 ILCS 5/23-101 new) | ||||||
24 | Sec. 23-101. Short title. This Article may be cited as the |
| |||||||
| |||||||
1 | Clean Building Heating Law. References in this Article to | ||||||
2 | "this Act" mean this Article. | ||||||
3 | (220 ILCS 5/23-102 new) | ||||||
4 | Sec. 23-102. Findings. The General Assembly finds that the | ||||||
5 | adoption and use of clean, zero-pollution space and water | ||||||
6 | heating appliances in residential and commercial buildings | ||||||
7 | would benefit the State by (i) protecting the air that | ||||||
8 | Illinoisans breathe through reducing unhealthy levels of smog | ||||||
9 | and ozone, (ii) minimizing health risks associated with air | ||||||
10 | pollution, including respiratory ailments, cardiovascular | ||||||
11 | illnesses, and premature death, which are linked to exposure | ||||||
12 | to fine particulate matter and nitrogen dioxide, (iii) | ||||||
13 | assisting the State in achieving attainment of federal | ||||||
14 | National Ambient Air Quality Standards for ozone and meeting | ||||||
15 | the State's obligations under the federal Regional Haze Rule, | ||||||
16 | (iv) reducing climate pollution in service to the State's | ||||||
17 | net-zero greenhouse gas goals, and (v) contributing to the | ||||||
18 | State's economy through building and mobilizing a trained and | ||||||
19 | competitive workforce to install and maintain newly purchased | ||||||
20 | appliances. | ||||||
21 | (220 ILCS 5/23-103 new) | ||||||
22 | Sec. 23-103. Definitions. As used in this Article: | ||||||
23 | "Annual fuel utilization efficiency" or "AFUE" means the | ||||||
24 | efficiency as defined by Section 4.2.35 of the Code of Federal |
| |||||||
| |||||||
1 | Regulations, Title 10, Part 430, Subpart B, Appendix N. | ||||||
2 | "Boiler" or "water heater" means a product used to heat | ||||||
3 | water or produce steam and that is not exclusively used to | ||||||
4 | produce electricity for sale. "Boiler" does not include any | ||||||
5 | waste heat recovery boiler that is used to recover sensible | ||||||
6 | heat from the exhaust of a combustion turbine or any unfired | ||||||
7 | waste heat recovery boiler that is used to recover sensible | ||||||
8 | heat from the exhaust of any combustion equipment. | ||||||
9 | "Btu" means British thermal unit, which is a scientific | ||||||
10 | unit of measurement equal to the quantity of heat required to | ||||||
11 | raise the temperature of one pound of water by one degree | ||||||
12 | Fahrenheit at approximately 60 degrees Fahrenheit. | ||||||
13 | "Director" means the Director of the Environmental | ||||||
14 | Protection Agency or the Director's designee. | ||||||
15 | "Fan-type central furnace" means a self-contained space | ||||||
16 | heater providing for circulation of heated air at pressures | ||||||
17 | other than atmospheric through ducts more than 25 cm (10 in) in | ||||||
18 | length. | ||||||
19 | "Furnace" means a product designed to be a source of | ||||||
20 | interior space heating. | ||||||
21 | "Heat input" means the heat released by the combustion of | ||||||
22 | fuels in a unit based on the higher heating value of fuel, | ||||||
23 | excluding the enthalpy of incoming combustion air. | ||||||
24 | "Heat output" means the product obtained by multiplying | ||||||
25 | the recovery efficiency, as defined by Section 6.1.3 of the | ||||||
26 | Code of Federal Regulation, Title 10, Part 430, Subpart B, |
| |||||||
| |||||||
1 | Appendix E, by the input rating of the unit. | ||||||
2 | "NO x " and "NO x emissions" means the sum of nitric oxide and | ||||||
3 | nitrogen dioxide in the unit's flue gas, collectively | ||||||
4 | expressed as nitrogen dioxide. | ||||||
5 | "Rated heat input capacity" means the heat input capacity | ||||||
6 | specified on the nameplate of the combustion unit. If a unit | ||||||
7 | has been altered or modified such that its maximum heat input | ||||||
8 | is different from the heat input capacity specified on the | ||||||
9 | nameplate, the new maximum heat input is the unit's rated heat | ||||||
10 | input capacity. | ||||||
11 | "Useful heat delivered to the heated space" means the | ||||||
12 | annual fuel utilization efficiency (expressed as a fraction) | ||||||
13 | multiplied by the heat input. | ||||||
14 | (220 ILCS 5/23-104 new) | ||||||
15 | Sec. 23-104. Applicability. This Article applies to any | ||||||
16 | person who sells, installs, offers for sale, leases, or offers | ||||||
17 | for lease the following products in this State, as well as any | ||||||
18 | manufacturer who intends to sell or distribute for sale or | ||||||
19 | installation the following products in this State: (i) new | ||||||
20 | water heaters and boilers with a rated heat input capacity of | ||||||
21 | 2,000,000 Btus per hour or less; and (ii) new furnaces with a | ||||||
22 | rated heat input capacity of 175,000 Btus per hour or less, | ||||||
23 | and, in the case of combination heating and cooling units, a | ||||||
24 | cooling rate of 65,000 Btus per hour or less. |
| |||||||
| |||||||
1 | (220 ILCS 5/23-105 new) | ||||||
2 | Sec. 23-105. Emissions standards for new building heating | ||||||
3 | and water heating appliances. | ||||||
4 | (a) On and after January 1, 2025, a person shall not sell, | ||||||
5 | install, offer for sale, lease, or offer for lease, and a | ||||||
6 | manufacturer shall not sell or distribute for sale or | ||||||
7 | installation, the following new products in this State: | ||||||
8 | (1) water heaters with a rated heat input capacity of | ||||||
9 | 75,000 Btus per hour or less, and any water heaters with | ||||||
10 | power assist, that emit more than 10 nanograms of NO x per | ||||||
11 | joule of heat output; | ||||||
12 | (2) water heaters and boilers with a rated heat input | ||||||
13 | capacity from 75,001 to 2,000,000 Btus per hour, | ||||||
14 | inclusive, that emit more than 14 nanograms of NO x per | ||||||
15 | joule of heat output; or | ||||||
16 | (3) fan-type central furnaces with a rated heat input | ||||||
17 | capacity of 175,000 Btus per hour or less that emit more | ||||||
18 | than 14 nanograms of NO x per joule of heat output. | ||||||
19 | (b) On and after January 1, 2030, a person shall not sell, | ||||||
20 | install, offer for sale, lease, or offer for lease, and a | ||||||
21 | manufacturer shall not sell or distribute for sale or | ||||||
22 | installation, the following new products in this State: | ||||||
23 | (1) water heaters and boilers with a rated heat input | ||||||
24 | capacity of 2,000,000 Btus per hour or less that emit more | ||||||
25 | than 0.0 nanograms of NO x per joule of heat output; or | ||||||
26 | (2) furnaces with a rated heat input capacity of |
| |||||||
| |||||||
1 | 175,000 Btus per hour or less that emit more than 0.0 | ||||||
2 | nanograms of NO x per joule of heat output. This includes | ||||||
3 | non-central installations, such as wall furnaces, as well | ||||||
4 | as units installed in non-residential applications. | ||||||
5 | (220 ILCS 5/23-106 new) | ||||||
6 | Sec. 23-106. Certification and identification of compliant | ||||||
7 | products. | ||||||
8 | (a) The manufacturer shall obtain confirmation from an | ||||||
9 | independent testing laboratory that each water heater, boiler, | ||||||
10 | or furnace model that is subject to the requirements of this | ||||||
11 | Article and that the manufacturer intends to sell or | ||||||
12 | distribute for sale or installation into the State has been | ||||||
13 | tested in accordance with the procedures in Section 23-107. | ||||||
14 | This confirmation shall include the following statement signed | ||||||
15 | and dated by the person responsible for the report at the | ||||||
16 | independent testing laboratory: "Based on my inquiry of those | ||||||
17 | individuals with primary responsibility for obtaining the | ||||||
18 | information, I certify that the statements and information in | ||||||
19 | this source test report are to the best of my knowledge and | ||||||
20 | belief true, accurate, and complete. I am aware that there are | ||||||
21 | significant civil and criminal penalties for submitting false | ||||||
22 | statements or information or omitting required statements or | ||||||
23 | information, including the possibility of fine or | ||||||
24 | imprisonment." | ||||||
25 | (b) For each such product model, the manufacturer shall |
| |||||||
| |||||||
1 | submit to the Director either of the following: | ||||||
2 | (1) A statement that each product model meets the | ||||||
3 | emission standards set forth in Section 23-105. The | ||||||
4 | statement must: | ||||||
5 | (A) provide the following general information: | ||||||
6 | name and address of manufacturer, brand name, trade | ||||||
7 | name, model number, and rated heat input capacity; | ||||||
8 | (B) provide a description of the model being | ||||||
9 | certified; | ||||||
10 | (C) include a complete certification source test | ||||||
11 | report demonstrating that the product model was tested | ||||||
12 | in accordance with procedures in Section 23-107 and a | ||||||
13 | written statement that the model complies with Section | ||||||
14 | 23-105; | ||||||
15 | (D) include the following statement signed and | ||||||
16 | dated by a managerial level employee responsible for | ||||||
17 | the certification request at the manufacturer: "Based | ||||||
18 | on my inquiry of those individuals with primary | ||||||
19 | responsibility for obtaining the information, I | ||||||
20 | certify that the statements and information in this | ||||||
21 | request for certification are to the best of my | ||||||
22 | knowledge and belief true, accurate, and complete. I | ||||||
23 | am aware that there are significant civil and criminal | ||||||
24 | penalties for submitting false statements or | ||||||
25 | information or omitting required statements or | ||||||
26 | information, including the possibility of fine or |
| |||||||
| |||||||
1 | imprisonment."; | ||||||
2 | (E) be submitted to the Director no more than 90 | ||||||
3 | days after the date of the emissions compliance test | ||||||
4 | conducted in accordance with Section 23-107; and | ||||||
5 | (F) be submitted to the Director no less than 90 | ||||||
6 | days before the intention to sell or distribute a new | ||||||
7 | product model within the State or no less than 90 days | ||||||
8 | before the dates described in Section 23-105. | ||||||
9 | (2) An approved South Coast Air Quality Management | ||||||
10 | District (SCAQMD) certification for each product model | ||||||
11 | issued pursuant to SCAQMD Rules 1111, 1121, or 1146.2, to | ||||||
12 | demonstrate compliance with subsection (a) of Section | ||||||
13 | 23-105. | ||||||
14 | (c) The manufacturer shall display the model number and | ||||||
15 | the certification status of a product complying with this | ||||||
16 | Article on the shipping carton and rating plate of each unit. | ||||||
17 | (220 ILCS 5/23-107 new) | ||||||
18 | Sec. 23-107. Determination of emissions. Emissions from | ||||||
19 | products subject to the requirements of this Article shall be | ||||||
20 | tested in accordance with the following provisions: | ||||||
21 | (1) Each product model shall receive certification | ||||||
22 | based on emission tests of a randomly selected unit of | ||||||
23 | that model. | ||||||
24 | (2) The measurement of NO x emissions shall be | ||||||
25 | conducted in accordance with EPA Reference Method 7 (40 |
| |||||||
| |||||||
1 | CFR Part 60, Appendix A), Test Methods 7A-7E. | ||||||
2 | (3) Each tested water heater shall be operated in | ||||||
3 | accordance with Section 2.4 of American National Standards | ||||||
4 | ANSI Z21.10.1-1990 at normal test pressure, input rates, | ||||||
5 | and with a 5-foot exhaust stack installed during the NO x | ||||||
6 | emissions tests. | ||||||
7 | (4) Each tested furnace shall be operated in | ||||||
8 | accordance with the procedures specified in Section 3.1 of | ||||||
9 | the Code of Federal Regulations, Title 10, Part 430, | ||||||
10 | Subpart B, Appendix N. | ||||||
11 | (5) One of the 2 following formulas shall be used to | ||||||
12 | calculate the NO x emission rate in nanograms of NO x per | ||||||
13 | joule of heat output: | ||||||
14 | N=4.566×104PUHCE | ||||||
15 | or | ||||||
16 | N=3.655×1010P20.9-YZE | ||||||
17 | Where: | ||||||
18 | N = Calculated mass emissions of NO x per unit of useful | ||||||
19 | heat (nanograms per joule of useful heat delivered to the | ||||||
20 | heated space). | ||||||
21 | P = Measured concentration of NO x in flue gas (parts | ||||||
22 | per million by volume). | ||||||
23 | Y = Measured concentration of O 2 in flue gas | ||||||
24 | (percentage by volume). | ||||||
25 | Z = Gross heating value of gas (joules per cubic meter | ||||||
26 | at 0.0 degrees Celsius, 1 atm). |
| |||||||
| |||||||
1 | E = AFUE (percentage), as defined in Section 23-103. | ||||||
2 | U = Concentration of CO 2 in water-free flue gas for | ||||||
3 | stoichiometric combustion (percentage by volume). | ||||||
4 | H = Gross heating value of the fuel (Btu per cubic | ||||||
5 | foot, 60 degrees Fahrenheit, 30-in Hg). | ||||||
6 | C = Measured concentration of CO 2 in flue gas | ||||||
7 | (percentage by volume). | ||||||
8 | (220 ILCS 5/23-108 new) | ||||||
9 | Sec. 23-108. Enforcement and penalties. | ||||||
10 | (a) The Director may require the emission test results to | ||||||
11 | be provided when deemed necessary to verify compliance and may | ||||||
12 | periodically conduct on-site inspections and tests as are | ||||||
13 | deemed necessary to ensure compliance. Such verifications | ||||||
14 | shall be conducted at least once within 2 years of the date | ||||||
15 | described in subsection (a) of Section 23-105 and again at | ||||||
16 | least once every 5 years thereafter. | ||||||
17 | (b) If the Director determines that a manufacturer, | ||||||
18 | distributor, retailer, installer, or other person is in | ||||||
19 | violation of any provision of this Act, that violation is | ||||||
20 | subject to fines and penalties according to the Director's | ||||||
21 | authority. | ||||||
22 | (c) For purposes of this Section, fines or penalties may | ||||||
23 | be levied against an installer who installs a product covered | ||||||
24 | by this Article in violation of this Article, however they | ||||||
25 | shall not be levied against such installer's nonmanagerial |
| |||||||
| |||||||
1 | employees, if any, who perform such installation. | ||||||
2 | (d) Fines and penalties collected under this Section may | ||||||
3 | be used for supplemental environmental programs to offset the | ||||||
4 | cost of furnace and water heater replacements in low-income | ||||||
5 | and moderate-income households or households in environmental | ||||||
6 | justice communities, according to the Director's authority to | ||||||
7 | use fines and penalties. | ||||||
8 | (e) On or before the date described in subsection (a) of | ||||||
9 | Section 23-105, the Director shall establish a process whereby | ||||||
10 | individuals may anonymously report potential violations of | ||||||
11 | this Act. The Director shall investigate any such reported | ||||||
12 | potential violations. | ||||||
13 | (220 ILCS 5/23-109 new) | ||||||
14 | Sec. 23-109. Additional regulation. The Director may adopt | ||||||
15 | rules as necessary to ensure the proper implementation and | ||||||
16 | enforcement of this Article. | ||||||
17 | (220 ILCS 5/23-111 new) | ||||||
18 | Sec. 23-111. Revisions to building codes to comply with | ||||||
19 | greenhouse gas emissions reduction requirements. | ||||||
20 | (a) Beginning no later than July 1, 2025, to support the | ||||||
21 | State's achievement of its greenhouse gas emissions | ||||||
22 | requirements and to improve public health outcomes, the State | ||||||
23 | building code shall require that the site energy use intensity | ||||||
24 | between minimally compliant but otherwise similar buildings of |
| |||||||
| |||||||
1 | differing fuel types shall not be significantly unequal in all | ||||||
2 | new construction statewide. Beginning no later than July 1, | ||||||
3 | 2025, to the fullest extent feasible, the building code shall | ||||||
4 | require that any area or service within a project where | ||||||
5 | infrastructure, building systems, or equipment used for the | ||||||
6 | combustion of fossil fuels are installed must be all-electric | ||||||
7 | ready. | ||||||
8 | (b) Requirements for all-electric ready new construction | ||||||
9 | for residential buildings shall include: | ||||||
10 | (1) a heat pump space heater ready. Systems using gas | ||||||
11 | or propane furnaces to serve individual dwelling units | ||||||
12 | shall include the following: | ||||||
13 | (A) a dedicated 240 volt branch circuit wiring | ||||||
14 | shall be installed within 3 feet from the furnace and | ||||||
15 | accessible to the furnace with no obstructions. The | ||||||
16 | branch circuit conductors shall be rated at 30 amps | ||||||
17 | minimum. The blank cover shall be identified as "240V | ||||||
18 | ready"; and | ||||||
19 | (B) the main electrical service panel shall have a | ||||||
20 | reserved space to allow for the installation of a | ||||||
21 | double pole circuit breaker for a future heat pump | ||||||
22 | space heater installation. The reserved space shall be | ||||||
23 | permanently marked as "For Future 240V use"; | ||||||
24 | (2) an electric cooktop ready. Systems using gas or | ||||||
25 | propane cooktops to serve individual dwelling units shall | ||||||
26 | include the following: |
| |||||||
| |||||||
1 | (A) a dedicated 240 volt branch circuit wiring | ||||||
2 | shall be installed within 3 feet from the cooktop and | ||||||
3 | accessible to the cooktop with no obstructions. The | ||||||
4 | branch circuit conductors shall be rated at 50 amps | ||||||
5 | minimum. The blank cover shall be identified as "240V | ||||||
6 | ready"; and | ||||||
7 | (B) the main electrical service panel shall have a | ||||||
8 | reserved space to allow for the installation of a | ||||||
9 | double pole circuit breaker for a future electric | ||||||
10 | cooktop installation. The reserved space shall be | ||||||
11 | permanently marked as "For Future 240V Use"; | ||||||
12 | (3) an electric clothes dryer ready. Clothes dryer | ||||||
13 | locations with gas or propane plumbing shall include the | ||||||
14 | following: | ||||||
15 | (A) systems serving individual dwelling units | ||||||
16 | shall include: | ||||||
17 | (i) a dedicated 240 volt branch circuit wiring | ||||||
18 | shall be installed within 3 feet from the clothes | ||||||
19 | dryer location and accessible to the clothes dryer | ||||||
20 | location with no obstructions. The branch circuit | ||||||
21 | conductors shall be rated at 30 amps minimum. The | ||||||
22 | blank cover shall be identified as "240V ready"; | ||||||
23 | and | ||||||
24 | (ii) the main electrical service panel shall | ||||||
25 | have a reserved space to allow for the | ||||||
26 | installation of a double pole circuit breaker for |
| |||||||
| |||||||
1 | a future electric clothes dryer installation. The | ||||||
2 | reserved space shall be permanently marked as "For | ||||||
3 | Future 240V Use"; and | ||||||
4 | (B) systems in common use areas shall include | ||||||
5 | conductors or raceway shall be installed with | ||||||
6 | termination points at the main electrical panel, via | ||||||
7 | subpanels if applicable, to a location no more than 3 | ||||||
8 | feet from each gas outlet or a designated location of | ||||||
9 | future electric replacement equipment. Both ends of | ||||||
10 | the conductors or raceway shall be labeled "Future | ||||||
11 | 240V Use". The conductors or raceway and any | ||||||
12 | intervening subpanels, panelboards, switchboards, and | ||||||
13 | busbars shall be sized to meet the future electric | ||||||
14 | power requirements, at the service voltage to the | ||||||
15 | point at which the conductors serving the building | ||||||
16 | connect to the utility distribution system. The | ||||||
17 | capacity requirements may be adjusted for demand | ||||||
18 | factors. Gas flow rates shall be determined in | ||||||
19 | accordance with State plumbing code. Capacity shall be | ||||||
20 | one of the following: | ||||||
21 | (i) 0.24 amps at 208/240 volts per clothes | ||||||
22 | dryer; | ||||||
23 | (ii) 2.6 kVA for each 10,000 Btu per hour of | ||||||
24 | rated gas input or gas pipe capacity; or | ||||||
25 | (iii) the electrical power required to provide | ||||||
26 | equivalent functionality of the gas-powered |
| |||||||
| |||||||
1 | equipment as calculated and documented by the | ||||||
2 | responsible person associated with the project; | ||||||
3 | and | ||||||
4 | (4) a heat pump water heater ready. Systems using gas | ||||||
5 | or propane service water heaters to serve individual | ||||||
6 | dwelling units shall include the following: | ||||||
7 | (A) a dedicated 240 volt branch circuit wiring | ||||||
8 | shall be installed within 3 feet from the furnace and | ||||||
9 | accessible to the furnace with no obstructions. The | ||||||
10 | branch circuit conductors shall be rated at 30 amps | ||||||
11 | minimum. The blank cover shall be identified as "240V | ||||||
12 | ready"; | ||||||
13 | (B) the main electrical service panel shall have a | ||||||
14 | reserved space to allow for the installation of a | ||||||
15 | double pole circuit breaker for a future heat pump | ||||||
16 | water heater installation. The reserved space shall be | ||||||
17 | permanently marked as "For Future 240V use"; and | ||||||
18 | (C) an indoor space that is at least 3 feet by 3 | ||||||
19 | feet by 7 feet high shall be available surrounding or | ||||||
20 | within 3 feet of the installed water heater, except | ||||||
21 | where a tankless water heater is installed. | ||||||
22 | (c) Newly constructed commercial buildings shall meet the | ||||||
23 | requirements of Appendix CH of the 2024 version of the | ||||||
24 | International Energy Conservation Code. | ||||||
25 | (d) Beginning no later than January 1, 2026, the State | ||||||
26 | building code must include a prescriptive requirement for |
| |||||||
| |||||||
1 | central air conditioning systems that are being removed due to | ||||||
2 | equipment failure or as part of a larger renovation project, | ||||||
3 | that they must be replaced with a heat pump capable of both | ||||||
4 | heating and cooling in accordance with the following | ||||||
5 | requirements: | ||||||
6 | (1) Requirements for residential buildings: | ||||||
7 | (A) If an existing central air conditioner is | ||||||
8 | removed from a natural gas, propane, or fuel oil | ||||||
9 | forced air system that is to remain in place, the | ||||||
10 | replacement heat pump must be sized to meet the | ||||||
11 | cooling load of the home with controls allowing the | ||||||
12 | heat pump to provide the primary heating and furnace | ||||||
13 | as "backup" heating. | ||||||
14 | (B) If an existing central air conditioner is | ||||||
15 | connected to a natural gas, propane, or fuel oil | ||||||
16 | forced air system that is to also be replaced, the | ||||||
17 | replacement heat pump must be sized to meet all loads | ||||||
18 | of the home. Exceptions may be given for replacement | ||||||
19 | systems that require the main electrical service panel | ||||||
20 | to be upgraded. | ||||||
21 | (C) If an existing central air conditioner and its | ||||||
22 | accompanying ductwork are replaced, the replacement | ||||||
23 | heat pump must be sized to meet all loads of the home. | ||||||
24 | (2) Requirements for commercial buildings: If an | ||||||
25 | existing rooftop packaged unit is removed, the replacement | ||||||
26 | unit must be a heat pump. This requirement only applies to |
| |||||||
| |||||||
1 | existing rooftop packaged units that are 65,000 Btu/h or | ||||||
2 | less. Exceptions may be given for replacement systems that | ||||||
3 | require the main electrical service panel to be upgraded. | ||||||
4 | (220 ILCS 5/23-112 new) | ||||||
5 | Sec. 23-112. Revisions to gas service line extensions to | ||||||
6 | comply with greenhouse gas emissions reduction requirements. | ||||||
7 | (a) To support the State's achievement of its greenhouse | ||||||
8 | gas emissions requirements, and to improve public health | ||||||
9 | outcomes, no gas company may furnish or supply gas service, | ||||||
10 | instrumentalities, and facilities to any commercial or | ||||||
11 | residential location that did not receive gas service or did | ||||||
12 | not file applications for gas service on or before June 30, | ||||||
13 | 2027. | ||||||
14 | (b) The following locations are exempt from the | ||||||
15 | requirements of subsection (a): | ||||||
16 | (1) buildings that require gas systems for emergency | ||||||
17 | backup power; and | ||||||
18 | (2) buildings specifically designated for occupancy by | ||||||
19 | a commercial food establishment, laboratory, laundromat, | ||||||
20 | hospital, or crematorium. | ||||||
21 | (220 ILCS 5/23-301 new) | ||||||
22 | Sec. 23-301. Severability. If any provision of this | ||||||
23 | Article or the application of this Article to any person or | ||||||
24 | circumstance is held invalid, such invalidity does not affect |
| |||||||
| |||||||
1 | other provisions or applications of the Article that can be | ||||||
2 | given effect without the invalid provision or application, and | ||||||
3 | to this end the provisions of this Article are declared to be | ||||||
4 | severable. | ||||||
5 | (220 ILCS 5/Art. XXIV heading new) | ||||||
6 | ARTICLE XXIV. 2050 HEAT DECARBONIZATION STANDARD | ||||||
7 | (220 ILCS 5/24-101 new) | ||||||
8 | Sec. 24-101. Legislative policy. To provide the highest | ||||||
9 | quality of life for the residents of this State and to provide | ||||||
10 | for a clean and healthy environment, it is the policy of this | ||||||
11 | State that natural gas utilities, otherwise referred to as | ||||||
12 | "obligated parties", shall transition to 100% zero emissions | ||||||
13 | by 2050. Under the heat decarbonization standard, each gas | ||||||
14 | utility has an annual obligation, beginning in 2030, to reduce | ||||||
15 | the greenhouse gas emissions resulting from the combustion of | ||||||
16 | the fuels it delivers to its customers. The emission reduction | ||||||
17 | obligation for 2030 shall be 20% relative to each utility's | ||||||
18 | 2020 greenhouse gas emissions levels on a weather-normalized | ||||||
19 | basis. The emission reduction obligation shall grow by 4 | ||||||
20 | percentage points per year every year thereafter, such that | ||||||
21 | the annual emission reduction requirement will reach 24% in | ||||||
22 | 2031, 28% in 2032, 32% in 2033, 36% in 2034, 40% by 2035, 44% | ||||||
23 | by 2036, 48% by 2037, 52% by 2038, 56% by 2039, 60% by 2040, | ||||||
24 | 64% by 2041, 68% by 2042, 72% by 2043, 76% by 2044, 80% by |
| |||||||
| |||||||
1 | 2045, 84% by 2046, 88% by 2047, 92% by 2048, 96% by 2049, and | ||||||
2 | 100% by 2050. This obligation shall be referred to as the "heat | ||||||
3 | decarbonization standard". The heat decarbonization standard | ||||||
4 | must be met by the lowest societal cost combination of supply | ||||||
5 | and demand-side resources. References in this Article to "this | ||||||
6 | Act" means this Article. | ||||||
7 | (220 ILCS 5/24-102 new) | ||||||
8 | Sec. 24-102. Options for compliance. | ||||||
9 | (a) Obligated parties must demonstrate compliance with the | ||||||
10 | heat decarbonization standard using a combination of: | ||||||
11 | (1) emission reductions achieved from the obligated | ||||||
12 | parties' own customers; and | ||||||
13 | (2) clean heat credits purchased from other gas | ||||||
14 | utilities that are also obligated parties in this State. | ||||||
15 | (b) Prior to 2035, at least 70% of each obligated party's | ||||||
16 | emission reduction obligation must be met through emission | ||||||
17 | reductions achieved from its own customers, with no more than | ||||||
18 | 30% of the emission reduction obligation in any year met | ||||||
19 | through the purchase of clean heat credits. From 2035 through | ||||||
20 | 2040, at least 80% of each obligated party's emission | ||||||
21 | reduction requirement must be met through emission reductions | ||||||
22 | from its own customers, with no more than 20% met through the | ||||||
23 | purchase of clean heat credits. After 2040, at least 90% of | ||||||
24 | each obligated party's emission reduction requirement must be | ||||||
25 | met through emission reductions achieved from its own |
| |||||||
| |||||||
1 | customers, with no more than 10% met through the purchase of | ||||||
2 | clean heat credits. | ||||||
3 | (220 ILCS 5/24-103 new) | ||||||
4 | Sec. 24-103. Measures for customer emission reduction. | ||||||
5 | Emissions must be achieved through improvements in customers' | ||||||
6 | energy conservation practices, improvements in customers' | ||||||
7 | end-use efficiency, full or partial electrification of any end | ||||||
8 | use, or switching from fossil methane to lower-emitting liquid | ||||||
9 | or gaseous fuels that are delivered by the obligated party and | ||||||
10 | directly consumed by end-use customers at the customers' homes | ||||||
11 | or businesses. Lower-emitting liquid or gaseous fuels may | ||||||
12 | include biomethane, but lower-emitting liquid or gaseous fuels | ||||||
13 | may not include hydrogen except for industrial applications. | ||||||
14 | For emission reductions from lower-emitting liquid or gaseous | ||||||
15 | fuels to be counted toward an obligated party's emission | ||||||
16 | reduction obligation, the obligated party must both acquire | ||||||
17 | the lower-emitting fuel, including its environmental | ||||||
18 | attributes, and demonstrate a contractual pathway for the | ||||||
19 | physical delivery of the fuel from the point of injection into | ||||||
20 | a pipeline to the obligated party's delivery system. Gas | ||||||
21 | utilities may not use reductions in emissions from sources | ||||||
22 | unrelated to combustion of fossil gas at customers' homes and | ||||||
23 | businesses in this State as emissions offsets or alternatives | ||||||
24 | to reductions in the customers' own emissions. | ||||||
25 | Obligated parties must meet the heat decarbonization |
| |||||||
| |||||||
1 | standard with the lowest societal cost combination of | ||||||
2 | resources, where societal cost includes infrastructure costs, | ||||||
3 | utility return on capital, the social cost of greenhouse gas | ||||||
4 | emissions and leakage, and the cost of health impacts | ||||||
5 | attributable to pollution from a given measure. | ||||||
6 | (220 ILCS 5/24-104 new) | ||||||
7 | Sec. 24-104. Demonstrating customer emission reductions. | ||||||
8 | (a) Each obligated party's emissions in each year shall be | ||||||
9 | calculated as: | ||||||
10 | (1) a weather-normalized estimate of emissions from | ||||||
11 | the actual amount of fossil methane consumed by its | ||||||
12 | customers in the year, plus; | ||||||
13 | (2) a weather-normalized estimate of emissions from | ||||||
14 | the leakage of methane, hydrogen, or other greenhouse | ||||||
15 | gases from front or behind-the-meter sources in a given | ||||||
16 | year, plus; | ||||||
17 | (3) a weather-normalized estimate of the magnitude of | ||||||
18 | remaining emissions resulting from switching from fossil | ||||||
19 | methane to lower-emitting liquid or gaseous fuels that are | ||||||
20 | delivered by the obligated party and directly consumed by | ||||||
21 | customers at the customers' homes or businesses in the | ||||||
22 | year. The magnitude of remaining emissions resulting from | ||||||
23 | switching from fossil methane to lower-emitting liquid or | ||||||
24 | gaseous fuels shall be calculated as (i) the magnitude of | ||||||
25 | emissions that would have occurred had fossil methane |
| |||||||
| |||||||
1 | continued to be consumed, multiplied by (ii) one minus the | ||||||
2 | percent reduction in life cycle emissions resulting from | ||||||
3 | the fuel substitution. Life cycle emission calculations | ||||||
4 | shall account for emissions associated with the entire | ||||||
5 | pathway of a fuel, including extraction, production, | ||||||
6 | transportation, distribution, and combustion of the fuel | ||||||
7 | by the consumer. | ||||||
8 | (b) Obligated parties shall calculate these figures | ||||||
9 | annually, and electronically submit the figures in an easily | ||||||
10 | accessible digital format, such as .PDF, .DOCX, or XLSX, to | ||||||
11 | the Environmental Protection Agency, the Commission, the | ||||||
12 | Governor, and the General Assembly. | ||||||
13 | (c) The Environmental Protection Agency shall post these | ||||||
14 | figures for each utility on a website readily accessible to | ||||||
15 | the public, within 30 days of obligated parties submitting the | ||||||
16 | figures to the Agency, and shall maintain all previous years' | ||||||
17 | records for similar public access. | ||||||
18 | (d) The Environmental Protection Agency shall also assess | ||||||
19 | the emissions figures submitted by obligated parties to assess | ||||||
20 | those parties' compliance or lack thereof with the heat | ||||||
21 | decarbonization standard. If an obligated party does not | ||||||
22 | comply, the obligated party shall be subject to enforcement | ||||||
23 | mechanisms described in Section 24-108. | ||||||
24 | (220 ILCS 5/24-105 new) | ||||||
25 | Sec. 24-105. Tradable clean heat credits. A tradable clean |
| |||||||
| |||||||
1 | heat credit is a tradable, intangible commodity that | ||||||
2 | represents an amount of greenhouse gas reduction, measured in | ||||||
3 | tons of CO 2 , achieved by a gas utility from its customers in | ||||||
4 | this State. An obligated party must achieve excess emission | ||||||
5 | reductions, over and above its annual obligation, to sell | ||||||
6 | tradable clean heat credits to another obligated party. The | ||||||
7 | number of tradable clean heat credits sold by an obligated | ||||||
8 | party in any year may not exceed the magnitude of the obligated | ||||||
9 | party's excess emission reductions in that year. | ||||||
10 | (220 ILCS 5/24-106 new) | ||||||
11 | Sec. 24-106. Banking of emission reductions. An obligated | ||||||
12 | party that achieves emission reductions in a given year that | ||||||
13 | are in excess of its emission reduction obligation in that | ||||||
14 | year may, in lieu of selling them to another obligated party, | ||||||
15 | bank them. Emission reductions that are banked in a given year | ||||||
16 | may be used to comply with emission reduction obligations in | ||||||
17 | any of the following 3 years. Excess emission reductions may | ||||||
18 | not be banked for more than 3 years or used as part of an | ||||||
19 | obligated party's annual compliance more than 3 years after | ||||||
20 | they were generated. No obligated party may achieve more than | ||||||
21 | 20% of any annual emission reduction obligation using banked | ||||||
22 | emission reductions. | ||||||
23 | (220 ILCS 5/24-107 new) | ||||||
24 | Sec. 24-107. Equity in emission reductions. |
| |||||||
| |||||||
1 | (a) As used in this Section: | ||||||
2 | "Equity investment eligible communities" has the meaning | ||||||
3 | given to that term in the Energy Transition Act. | ||||||
4 | "Income-qualified households" means those households whose | ||||||
5 | annual incomes are at or below 80% of the area median income. | ||||||
6 | (b) Each obligated party must achieve real emission | ||||||
7 | reductions from income-qualified households and environmental | ||||||
8 | justice communities that are at least 5 percentage points | ||||||
9 | greater than a proportional percentage of the annual gas | ||||||
10 | consumption of such customers multiplied by each obligated | ||||||
11 | party's annual emissions reduction requirements. At least half | ||||||
12 | of the emission reductions from equity investment eligible | ||||||
13 | communities shall be from measures that require capital | ||||||
14 | investments in homes, have expected lives of at least 10 | ||||||
15 | years, and are estimated to lower annual energy bills. | ||||||
16 | Emission reductions in equity investment eligible communities | ||||||
17 | shall include codelivery and coordinated implementation of all | ||||||
18 | relevant programs, measures, and complementary services. This | ||||||
19 | includes, but is not limited to, pairing high efficiency | ||||||
20 | electrification measures and programs with energy efficiency, | ||||||
21 | building envelope improvements, the Illinois Solar for All | ||||||
22 | Program, energy assistance, health and safety improvements, | ||||||
23 | and federal incentives targeted to disadvantaged communities. | ||||||
24 | Emission reductions from income-qualified and environmental | ||||||
25 | justice communities, including efforts to codeliver and | ||||||
26 | coordinate other programs and services, shall be reported on |
| |||||||
| |||||||
1 | at least annually to the Commission. Tradable clean heat | ||||||
2 | credits cannot be used to fulfill this requirement. | ||||||
3 | (220 ILCS 5/24-108 new) | ||||||
4 | Sec. 24-108. Enforcement. | ||||||
5 | (a) The Commission shall order an obligated party that | ||||||
6 | fails to achieve its emission reduction obligation in a given | ||||||
7 | year, including required amounts from income-qualified | ||||||
8 | customers and front-line communities, to make a noncompliance | ||||||
9 | payment. The noncompliance payment shall be equal to 3 times | ||||||
10 | the estimated cost per unit of emission reduction incurred by | ||||||
11 | all obligated parties in the State for the emission reductions | ||||||
12 | the obligated parties achieved in the prior year. | ||||||
13 | (b) The Commission may waive the noncompliance payment if: | ||||||
14 | (1) it finds that the obligated party made a good | ||||||
15 | faith effort to achieve the required amount of emission | ||||||
16 | reduction and its failure to achieve the required | ||||||
17 | reduction resulted from market factors beyond its control, | ||||||
18 | that could not have reasonably been anticipated, and for | ||||||
19 | which the obligated party could not have planned; and | ||||||
20 | (2) it directs the obligated party to add the | ||||||
21 | difference between its obligated level of emission | ||||||
22 | reduction and actual emission reduction achieved to its | ||||||
23 | required emission reduction amount in subsequent years, | ||||||
24 | with the shortfall being made up in no more than 3 years. | ||||||
25 | (c) Payments received pursuant to the noncompliance |
| |||||||
| |||||||
1 | penalty shall be directed to the Commission. | ||||||
2 | (d) The Commission shall use any noncompliance payments to | ||||||
3 | contract with an independent third party to achieve emission | ||||||
4 | reductions in the service territory of the noncomplying | ||||||
5 | utility. The Commission shall prioritize achieving such | ||||||
6 | reductions from weatherization or electrification of | ||||||
7 | income-qualified households, to the extent that such | ||||||
8 | reductions would lower annual energy bills. | ||||||
9 | (220 ILCS 5/24-109 new) | ||||||
10 | Sec. 24-109. 2050 Heat Decarbonization Pathways Study. | ||||||
11 | (a) In order to ensure sufficient planning for achieving | ||||||
12 | this goal, the Commission shall complete a 2050 Heat | ||||||
13 | Decarbonization Pathways Study by June 1, 2025, to examine | ||||||
14 | feasible and practical pathways for investor-owned natural gas | ||||||
15 | utilities to achieve the State's decarbonization requirement | ||||||
16 | to be net zero by 2050, and the impacts of decarbonization on | ||||||
17 | customers and the electric and natural gas utilities that | ||||||
18 | serve the customers. | ||||||
19 | (b) The Commission shall host the study in collaboration | ||||||
20 | with a technical working group whose members are appointed by | ||||||
21 | the Governor and a consultant selected by the technical | ||||||
22 | working group. The Commission and technical working group | ||||||
23 | shall host a public process for stakeholder input regarding | ||||||
24 | (i) the proposed scope of the study, (ii) initial draft | ||||||
25 | assumptions for the study, (iii) draft study results, and (iv) |
| |||||||
| |||||||
1 | the draft study report. The technical working group shall | ||||||
2 | consist of the following members: | ||||||
3 | (1) one representative of natural gas utilities; | ||||||
4 | (2) one representative of electric utilities; | ||||||
5 | (3) the chair of the Commission, or the chair's | ||||||
6 | designee; | ||||||
7 | (4) one representative of the Office of | ||||||
8 | Decarbonization Planning within the Illinois Commerce | ||||||
9 | Commission; | ||||||
10 | (5) one representative of the Environmental Protection | ||||||
11 | Agency; | ||||||
12 | (6) one representative of an environmental advocacy | ||||||
13 | group; | ||||||
14 | (7) one representative of a labor organization; | ||||||
15 | (8) one representative of commercial and industrial | ||||||
16 | gas customers; | ||||||
17 | (9) one representative of an organization that | ||||||
18 | represents residential ratepayer advocates; | ||||||
19 | (10) one representative of a group that represents | ||||||
20 | environmental justice or front-line communities; | ||||||
21 | (11) one representative of a group that represents | ||||||
22 | low-income residents; | ||||||
23 | (12) one representative of an organization that | ||||||
24 | focuses on access to and promotion of energy efficiency; | ||||||
25 | and | ||||||
26 | (13) one climate scientist from a national laboratory |
| |||||||
| |||||||
1 | or institution of higher education in the State. | ||||||
2 | (c) The 2050 Heat Decarbonization Pathways Study shall | ||||||
3 | consider: | ||||||
4 | (1) future clean heating strategies for residential, | ||||||
5 | commercial, and industrial customers, including | ||||||
6 | electrification, geothermal heat and thermal networks, and | ||||||
7 | energy efficiency that would comply with each gas | ||||||
8 | utility's obligation under the heat decarbonization | ||||||
9 | standard; | ||||||
10 | (2) a comparative assessment of the marginal | ||||||
11 | greenhouse gas abatement cost curve of resources and | ||||||
12 | technologies, including electrification, that are | ||||||
13 | available for helping the utility meet its heat | ||||||
14 | decarbonization standard requirements; | ||||||
15 | (3) how a reduction in natural gas and other | ||||||
16 | utility-delivered gaseous fuels throughput will impact | ||||||
17 | customer gas and electric rates, considering various price | ||||||
18 | scenarios for electricity, natural gas, and other gaseous | ||||||
19 | fuels and reference medium and high electrification | ||||||
20 | scenarios; | ||||||
21 | (4) strategies to ensure equitable prioritization of | ||||||
22 | decarbonization measures and programs in income-qualified | ||||||
23 | and environmental justice communities while minimizing | ||||||
24 | energy transition costs on ratepayers, with an emphasis on | ||||||
25 | an accessible and affordable transition for low-income | ||||||
26 | residents, fixed-income residents, and residents within |
| |||||||
| |||||||
1 | equity investment eligible communities; | ||||||
2 | (5) an assessment of demand-side resource potential, | ||||||
3 | including load management, energy efficiency, | ||||||
4 | conservation, demand response, and fuel switching, | ||||||
5 | including electrification, available federal, State, | ||||||
6 | county, local, and private incentives, or financing | ||||||
7 | options related to building electrification and | ||||||
8 | efficiency; | ||||||
9 | (6) that the federal incentives analysis must include | ||||||
10 | ways that investor-owned utilities can leverage rebates | ||||||
11 | and tax incentives in the Inflation Reduction Act and | ||||||
12 | Infrastructure Investment and Jobs Act; in addition, the | ||||||
13 | assessment must include ways for the investor-owned | ||||||
14 | utilities to maximize low-income qualified households' | ||||||
15 | participation in the electrification incentive programs; | ||||||
16 | (7) the impacts of building and vehicle | ||||||
17 | electrification on the electric grid and strategies to | ||||||
18 | integrate gas and electric system planning and resource | ||||||
19 | optimization; | ||||||
20 | (8) specific natural gas end uses that may be suitable | ||||||
21 | for the use of alternative fuels, such as biomethane and | ||||||
22 | green hydrogen, and an assessment of the natural gas end | ||||||
23 | uses' commercial availability, social cost, and life cycle | ||||||
24 | emissions; | ||||||
25 | (9) a comparative evaluation of the cost of natural | ||||||
26 | gas purchasing strategies, storage options, delivery |
| |||||||
| |||||||
1 | resources, and improvements in demand-side resources using | ||||||
2 | a consistent method to calculate cost-effectiveness; and | ||||||
3 | (10) an evaluation of employment metrics associated | ||||||
4 | with each alternative, including a projection of gas | ||||||
5 | distribution jobs affected by a given alternative and jobs | ||||||
6 | made available through the alternative, a description of | ||||||
7 | opportunities to transition any affected gas distribution | ||||||
8 | jobs to the alternative, and an explanation of how | ||||||
9 | employment impacts associated with each alternative could | ||||||
10 | affect equity investment eligible communities. Given its | ||||||
11 | findings, the study will create a Just Transition Plan, | ||||||
12 | inclusive of funding needs, for the current gas workforce. | ||||||
13 | (d) The Chair of the Commission, or the Chair's designee, | ||||||
14 | will also serve as the Chair of the Technical Working Group. | ||||||
15 | (220 ILCS 5/24-110 new) | ||||||
16 | Sec. 24-110. Gas infrastructure planning. | ||||||
17 | (a) This Article creates the Office of Decarbonization | ||||||
18 | Planning within the Commission to manage an iterative | ||||||
19 | statewide heat decarbonization plan located within the | ||||||
20 | Commission. On a timeline concurrent with the 2050 Heat | ||||||
21 | Decarbonization Pathways Study, the Office of Decarbonization | ||||||
22 | Planning shall adopt rules for implementing the heat | ||||||
23 | decarbonization plans. | ||||||
24 | (b) As used in this Section: | ||||||
25 | "Environmental justice communities" has the meaning given |
| |||||||
| |||||||
1 | to that term in the Illinois Power Agency Act. | ||||||
2 | "Lowest reasonable cost" means the least-cost, least-risk | ||||||
3 | mix of demand-side, supply-side, and electrification resources | ||||||
4 | determined through a detailed and consistent analysis of a | ||||||
5 | wide range of commercially available sources. At a minimum, | ||||||
6 | this analysis must consider resource costs, resource | ||||||
7 | availability, market-volatility risks, the risks imposed on | ||||||
8 | ratepayers, resource effect on system operations, public | ||||||
9 | policies regarding resource preferences, the cost of risks | ||||||
10 | associated with environmental effects, including emissions of | ||||||
11 | carbon dioxide, the ability to scale to meet 2050 goals, air | ||||||
12 | pollution and resulting public health impacts, equity impacts, | ||||||
13 | and the need for security of supply. | ||||||
14 | "Planned project" means any programmatic expense or | ||||||
15 | related group of programmatic expenses with a defined scope of | ||||||
16 | work and associated cost estimate that exceeds $1,000,000 in | ||||||
17 | 2020 dollars or $500,000 in 2020 dollars for gas utilities | ||||||
18 | with less than 50,000 full service customers, as adjusted | ||||||
19 | annually for inflation. | ||||||
20 | "Resources" means both demand-side and supply-side | ||||||
21 | resources, including, but not limited to, natural gas, | ||||||
22 | biomethane, green hydrogen for industrial application, | ||||||
23 | conservation, energy efficiency, demand response, and | ||||||
24 | electrification. | ||||||
25 | (c) Each natural gas utility regulated by the Commission | ||||||
26 | has the responsibility to meet system demand and public policy |
| |||||||
| |||||||
1 | requirements, including the State's heat decarbonization | ||||||
2 | standard, with the lowest reasonable cost and most feasible | ||||||
3 | mix of resources. In furtherance of that responsibility, each | ||||||
4 | natural gas utility must develop a gas infrastructure plan for | ||||||
5 | meeting the utility's heat decarbonization standard, including | ||||||
6 | 5-year interim milestones from 2025 until 2050. The gas | ||||||
7 | infrastructure plan must take into account the findings of the | ||||||
8 | 2050 Heat Decarbonization Pathways Study. | ||||||
9 | (d) Natural gas utilities shall file biennial gas | ||||||
10 | infrastructure plans that create alignment between gas utility | ||||||
11 | distribution system investments and the utility's heat | ||||||
12 | decarbonization standard obligations at lowest reasonable cost | ||||||
13 | and that consider nonpipeline infrastructure projects that | ||||||
14 | minimize costs over the long term. | ||||||
15 | (e) Before the filing of each biennial gas infrastructure | ||||||
16 | plan, the Office of Decarbonization Planning shall contract | ||||||
17 | for gas demand forecasts for each regulated gas utility in the | ||||||
18 | State from an independent party. Gas utilities must reasonably | ||||||
19 | provide accurate and timely system data to the independent | ||||||
20 | contractor selected to conduct the forecasts. For each | ||||||
21 | regulated gas utility in the State, the third party must | ||||||
22 | produce forecasts for each customer class that consider slow, | ||||||
23 | medium, and rapid acceleration of residential, commercial, and | ||||||
24 | industrial electrification of the end uses that rely upon the | ||||||
25 | direct combustion of natural gas in buildings. The forecasts | ||||||
26 | must include, to the extent possible, the effects of updated |
| |||||||
| |||||||
1 | State and local building codes, changes to the number of gas | ||||||
2 | utility customers, consumer responses to building | ||||||
3 | electrification programs or incentives offered within a gas | ||||||
4 | utility's service territory, the price elasticity of gas | ||||||
5 | demand if rates increase due to reduced gas throughput and the | ||||||
6 | impacts of commodity prices, and any other criteria as | ||||||
7 | stipulated by the Commission. The forecasts shall be due to | ||||||
8 | the Commission and the gas utilities at least 8 months prior to | ||||||
9 | the filing of a gas infrastructure plan. | ||||||
10 | (f) A gas infrastructure plan must: | ||||||
11 | (1) cover the 20 years immediately following the | ||||||
12 | approval of the plan with a 5-year action plan of | ||||||
13 | investments; | ||||||
14 | (2) provide the estimated total cost and annual | ||||||
15 | incremental revenue requirements of the proposed action | ||||||
16 | plan, assuming both conventional depreciation and | ||||||
17 | accelerated depreciation, as applicable; | ||||||
18 | (3) use the various gas demand forecasts provided to | ||||||
19 | it under this article and include a range of possible | ||||||
20 | future scenarios and input sensitivities for the purpose | ||||||
21 | of testing the robustness of the utility's portfolio of | ||||||
22 | planned projects under various parameters; | ||||||
23 | (4) take into account the findings of the 2050 Heat | ||||||
24 | Decarbonization Pathways Study; | ||||||
25 | (5) demonstrate that the utility's infrastructure | ||||||
26 | investment plans align with obligations under the heat |
| |||||||
| |||||||
1 | decarbonization standard; | ||||||
2 | (6) include a list of all proposed system expenditures | ||||||
3 | and investments, including an analysis of infrastructure | ||||||
4 | needs and detailed information on all planned projects | ||||||
5 | within the action plan; | ||||||
6 | (7) include the results of nonpipeline alternative | ||||||
7 | analyses conducted for all planned projects not necessary | ||||||
8 | to mitigate a near-term safety or reliability risk subject | ||||||
9 | to rules by the Commission that include, but are not | ||||||
10 | limited to: | ||||||
11 | (A) a consideration of both supply and demand-side | ||||||
12 | alternatives to traditional capital investments, | ||||||
13 | including gas demand response and electrification; and | ||||||
14 | (B) a cost-benefit analysis of the various options | ||||||
15 | that consider non-energy benefits and the societal | ||||||
16 | value, including health benefits, of reduced carbon | ||||||
17 | emissions and surface-level pollutants, particularly | ||||||
18 | in equity investment eligible communities; | ||||||
19 | (8) minimize rate impacts on customers, particularly | ||||||
20 | low-income households and households within equity | ||||||
21 | investment eligible communities; | ||||||
22 | (9) describe the methodology, criteria, and | ||||||
23 | assumptions used to develop the plan; | ||||||
24 | (10) include one or more system maps indicating | ||||||
25 | locations of individual planned projects, pressure | ||||||
26 | districts served by the individual project, locations of |
| |||||||
| |||||||
1 | equity investment eligible communities, and any other | ||||||
2 | information as required by the Commission; | ||||||
3 | (11) provide a summary of stakeholder participation | ||||||
4 | and input from a public stakeholder process, and an | ||||||
5 | explanation of how input was incorporated into the plan, | ||||||
6 | including for all projects located within equity | ||||||
7 | investment eligible communities, a description of its | ||||||
8 | outreach to members of that community and findings from | ||||||
9 | those efforts; and | ||||||
10 | (12) requires the utility, to the extent that the | ||||||
11 | utility assumes the use of alternative fuels, such as | ||||||
12 | biomethane or green hydrogen, to meet its obligations | ||||||
13 | under the heat decarbonization standard, to demonstrate a | ||||||
14 | plan to procure firm supply and cost-effectiveness as | ||||||
15 | compared to nonfuel alternatives, inclusive of the costs | ||||||
16 | to retrofit all public and private infrastructure to | ||||||
17 | accommodate the fuels; green hydrogen may only be used for | ||||||
18 | industrial applications; hydrogen blending with methane | ||||||
19 | shall not be part of decarbonization plans. | ||||||
20 | (g) Not later than 12 months before the due date of a plan, | ||||||
21 | the utility must provide a work plan for the Commission to | ||||||
22 | review. The work plan must outline the content of the resource | ||||||
23 | plan to be developed by the utility, the method for assessing | ||||||
24 | potential resources, and the timing and extent of public | ||||||
25 | participation. In addition, the Commission will hear comments | ||||||
26 | on the plan at a minimum of 3 public hearings, held at times |
| |||||||
| |||||||
1 | and locations accessible and convenient to most people, | ||||||
2 | including at least one in an equity investment eligible | ||||||
3 | community, which are scheduled after the utility submits its | ||||||
4 | plan for Commission review. | ||||||
5 | (h) No later than July 1, 2025, gas utilities in this State | ||||||
6 | must file the first gas infrastructure plan application for | ||||||
7 | approval. The Commission may approve, deny, or require | ||||||
8 | modifications to the plan. Once approved, the plan must be | ||||||
9 | incorporated into the utility's next general rate case using | ||||||
10 | the approved ratemaking treatments. Deviations based on | ||||||
11 | unforeseen circumstances must be justified and approved by the | ||||||
12 | Commission. | ||||||
13 | (i) The Commission shall adopt new rules, amend existing | ||||||
14 | rules, as necessary, and dedicate sufficient resources to | ||||||
15 | implement this Section. | ||||||
16 | (220 ILCS 5/24-111 new) | ||||||
17 | Sec. 24-111. Study on gas utility financial incentive | ||||||
18 | reform. | ||||||
19 | (a) The General Assembly finds that: | ||||||
20 | (1) Improving the alignment of gas utility customer | ||||||
21 | interests, State policy, and company interests is critical | ||||||
22 | to ensuring the expected decline in the use of natural gas | ||||||
23 | is done efficiently, safely, cost-effectively, and | ||||||
24 | transparently. | ||||||
25 | (2) There is urgency around addressing increasing |
| |||||||
| |||||||
1 | threats from climate change and assisting communities that | ||||||
2 | have borne disproportionate impacts from climate change, | ||||||
3 | including air pollution, greenhouse gas emissions, and | ||||||
4 | energy burdens. Addressing this problem requires changes | ||||||
5 | to the energy used to power homes and businesses, and | ||||||
6 | changes to the gas utility business model under which | ||||||
7 | utilities in the State have traditionally functioned. | ||||||
8 | (3) Gas utility ratepayers may face upwardly spiraling | ||||||
9 | bills if steps are not taken to contain costs and | ||||||
10 | strategically prune parts of the gas distribution network. | ||||||
11 | (4) There is a need to encourage gas utilities to | ||||||
12 | innovate and find new lines of business to maintain | ||||||
13 | financial health as their main business, the provision of | ||||||
14 | fossil natural gas, winds down. | ||||||
15 | (5) The current regulatory framework has encouraged | ||||||
16 | infrastructure programs that have been plagued by | ||||||
17 | excessive cost overruns and delays. | ||||||
18 | (6) Discussions of performance incentive mechanisms | ||||||
19 | must always take into account the affordability of | ||||||
20 | customer rates and bills via stakeholder input. | ||||||
21 | The General Assembly, therefore, directs the Commission to | ||||||
22 | reform the gas utility financial incentives structure to | ||||||
23 | further specified goals and objectives related to the | ||||||
24 | provision of clean, affordable heat and the advancement of an | ||||||
25 | equitable distribution of benefits and reduction in harms in | ||||||
26 | equity investment eligible communities and economically |
| |||||||
| |||||||
1 | disadvantaged communities. | ||||||
2 | (b) The Commission shall open an investigation to consider | ||||||
3 | performance-based ratemaking tools and other financial | ||||||
4 | mechanisms to advance the goals of affordability, equity, | ||||||
5 | pollution reduction, energy system flexibility and | ||||||
6 | electrification, reliability, safety, customer experience, | ||||||
7 | cost-effectiveness, and the financial health of gas utilities | ||||||
8 | as the gas utilities scale down their core business of | ||||||
9 | delivering fuel-based energy through the distribution network. | ||||||
10 | The investigation shall consider the following mechanisms, in | ||||||
11 | addition to any others that the Commission or stakeholders | ||||||
12 | deem necessary: | ||||||
13 | (1) accelerated and shortened depreciation schedules; | ||||||
14 | (2) performance metrics and benchmarking; | ||||||
15 | (3) revenue decoupling; | ||||||
16 | (4) cost-recovery options for nonpipeline | ||||||
17 | alternatives; | ||||||
18 | (5) electrification; | ||||||
19 | (6) networked geothermal systems; | ||||||
20 | (7) securitization; | ||||||
21 | (8) fuel-cost sharing; | ||||||
22 | (9) multiyear rate plans; | ||||||
23 | (10) performance incentive mechanisms; | ||||||
24 | (11) the equalization of capital and operational | ||||||
25 | expenditures; | ||||||
26 | (12) return on equity levels for different investment |
| |||||||
| |||||||
1 | types; | ||||||
2 | (13) rate designs at the electric and gas nexus; | ||||||
3 | (14) low-income rates; | ||||||
4 | (15) luxury gas rates; and | ||||||
5 | (16) intersectoral cost recovery. | ||||||
6 | (c) The Commission must create a framework to evaluate | ||||||
7 | each mechanism on its own and as part of a set of mechanisms to | ||||||
8 | achieve the policy objectives determined by the General | ||||||
9 | Assembly, stakeholders, and the general public after a minimum | ||||||
10 | of 3 public hearings held at times and locations accessible | ||||||
11 | and convenient to most people, including at least one in an | ||||||
12 | equity investment eligible community. | ||||||
13 | (d) The investigation shall consist of a series of | ||||||
14 | workshops facilitated by an independent consultant that | ||||||
15 | encourages representation from diverse stakeholders, ensures | ||||||
16 | equitable opportunities for participation, and does not | ||||||
17 | require formal intervention or representation by an attorney. | ||||||
18 | (e) Any recommendations at the conclusion of the process | ||||||
19 | must be shared with the General Assembly, and those | ||||||
20 | recommendations already within the Commission's existing | ||||||
21 | authorities must be adopted in the next applicable general | ||||||
22 | rate case or relevant filing. | ||||||
23 | (220 ILCS 5/24-112 new) | ||||||
24 | Sec. 24-112. Reporting requirements. | ||||||
25 | (a) Each gas utility in the State must report data to the |
| |||||||
| |||||||
1 | Commission in January and July of each year that satisfy | ||||||
2 | metrics that are set by the Commission to assess, on a system, | ||||||
3 | segment, and neighborhood basis, the level of system safety | ||||||
4 | and risk. The metrics must include, but are not limited to, the | ||||||
5 | following: | ||||||
6 | (1) the overall average leak rate of replaced and | ||||||
7 | to-be-replaced mains and leak-prone pipes; | ||||||
8 | (2) the overall average leak rate using only | ||||||
9 | leak-prone pipe and current leaks; | ||||||
10 | (3) the neighborhood average leak rate using only | ||||||
11 | remaining leak-prone pipes and current leaks; and | ||||||
12 | (4) the neighborhood historic average leak rate using | ||||||
13 | leaks on leak-prone pipes for the past 2 years, on a | ||||||
14 | rolling basis, normalized for weather, and incorporating | ||||||
15 | all class 2 leaks except third-party damage. | ||||||
16 | (b) Gas utilities must include in the report an assessment | ||||||
17 | of whether the actions taken in the prior 3 years produced the | ||||||
18 | best value, in terms of risk reduction, for the amounts | ||||||
19 | expended and a prediction of how planned projects will change | ||||||
20 | risk levels on a neighborhood, segment, and system basis. The | ||||||
21 | report filed by Peoples Gas Light and Coke Company must also | ||||||
22 | include updates on steps taken to implement the | ||||||
23 | recommendations of the Final Report on Phase One of an | ||||||
24 | Investigation of Peoples Gas Light and Coke Company's AMRP. | ||||||
25 | The Commission may require any other gas utility to adopt new | ||||||
26 | and revised practices and processes by Peoples Gas Light and |
| |||||||
| |||||||
1 | Coke Company to ensure consistency across utilities. | ||||||
2 | (c) In its review of the data and metrics provided, the | ||||||
3 | Commission may order adjustments in infrastructure replacement | ||||||
4 | plans as it deems necessary to meet an acceptable level of risk | ||||||
5 | at appropriate cost. | ||||||
6 | (220 ILCS 5/Art. XXV heading new) | ||||||
7 | ARTICLE XXV. STATE NAVIGATOR PROGRAM LAW | ||||||
8 | (220 ILCS 5/25-101 new) | ||||||
9 | Sec. 25-101. Short title. This Article may be cited as the | ||||||
10 | State Navigator Program Law. References in this Article to | ||||||
11 | "this Act" mean this Article. | ||||||
12 | (220 ILCS 5/25-102 new) | ||||||
13 | Sec. 25-102. Intent. The General Assembly finds that | ||||||
14 | improving the energy efficiency of, and reducing the | ||||||
15 | greenhouse gases from, residential buildings are critical to | ||||||
16 | meeting the State's adopted climate goals in Public Act | ||||||
17 | 102-662. | ||||||
18 | The General Assembly recognizes that making information | ||||||
19 | about energy efficiency and weatherization programs, | ||||||
20 | electrification services, skilled contractors, and federal and | ||||||
21 | State electrification incentives available to State residents | ||||||
22 | will assist obligated parties to comply with the Clean Heat | ||||||
23 | Standard set out in Article XXIII. Further, the General |
| |||||||
| |||||||
1 | Assembly recognizes that establishing a comprehensive | ||||||
2 | statewide navigator program is essential to ensuring equitable | ||||||
3 | access to electrification and energy efficient services. This | ||||||
4 | program requires the Administrator to help State residents | ||||||
5 | combine local, State, federal, and utility services related to | ||||||
6 | electrification, energy efficiency, and the reduction of | ||||||
7 | energy burdens to maximize electrification and energy | ||||||
8 | efficiency in this State, and fill gaps as needed. | ||||||
9 | (220 ILCS 5/25-103 new) | ||||||
10 | Sec. 25-103. Definitions. As used in this Article: | ||||||
11 | "Administrator" means an entity, including, but not | ||||||
12 | limited to, a nonprofit corporation or community-based | ||||||
13 | organization. "Administrator" does not include an energy | ||||||
14 | utility. | ||||||
15 | "Customers" means residents, businesses, and building | ||||||
16 | owners. | ||||||
17 | "Department" means the Department of Commerce and Economic | ||||||
18 | Opportunity. | ||||||
19 | "Electrification services" includes energy audits, | ||||||
20 | assistance converting to on-site renewable energy, installing | ||||||
21 | electric heat pumps and heat pump water heaters, electric | ||||||
22 | appliance replacement, assistance with paperwork, arranging | ||||||
23 | for financing, energy efficiency, weatherization, health and | ||||||
24 | safety, and any related services and work. | ||||||
25 | "Equity investment eligible communities" has the meaning |
| |||||||
| |||||||
1 | given to that term in Section 5-5 of the Energy Transition Act. | ||||||
2 | "Income-qualified households" means those whose annual | ||||||
3 | incomes are at or below 80% of area median income. | ||||||
4 | "Navigator Working Group" means representatives appointed | ||||||
5 | by the Department who represent members from either the | ||||||
6 | electrician trades, construction industry, community | ||||||
7 | organizations that work in energy burdened communities, | ||||||
8 | community organizations who have experience with | ||||||
9 | weatherization programs, members from equity investment | ||||||
10 | eligible communities or the Illinois Commerce Commission or | ||||||
11 | staff, and electric utilities and obligated parties as | ||||||
12 | indicated in Article XXIII. | ||||||
13 | (220 ILCS 5/25-104 new) | ||||||
14 | Sec. 25-104. Creation of State navigator program. | ||||||
15 | (a) The Department may establish and oversee a statewide | ||||||
16 | building energy upgrade navigator program. The purpose of the | ||||||
17 | navigator program is to provide a statewide resource to assist | ||||||
18 | building owners and building renters with accessing | ||||||
19 | electrification services and energy efficiency services and | ||||||
20 | programs, funding, and any other assistance that will result | ||||||
21 | in aiding obligated parties' compliance with the Clean Heat | ||||||
22 | Standard in Article XXIII. This includes, but is not limited | ||||||
23 | to, utility programs, the weatherization assistance program, | ||||||
24 | federal funding, rebates, health and safety funding, and other | ||||||
25 | State and local funding. |
| |||||||
| |||||||
1 | (b) The Department must coordinate and collaborate with | ||||||
2 | the navigator working group on the design, administration, and | ||||||
3 | implementation of the navigator program. | ||||||
4 | (c) The Department must ensure that all State residents | ||||||
5 | have equitable access to the navigator program. | ||||||
6 | (d) The Department may consult with other programs, | ||||||
7 | entities, and stakeholders as the Department determines to be | ||||||
8 | appropriate on the design, administration, and implementation | ||||||
9 | of the navigator program. | ||||||
10 | (e) Third-Party Administrator. | ||||||
11 | (1) The Department may contract out this program to | ||||||
12 | the Administrator. Subject to the following requirements: | ||||||
13 | (A) The Administrator must be selected through a | ||||||
14 | competitive process. | ||||||
15 | (B) The Administrator must have experience with | ||||||
16 | running statewide programs related to energy | ||||||
17 | efficiency, electrification services, or | ||||||
18 | weatherization programs. | ||||||
19 | (C) The Administrator must have experience working | ||||||
20 | with multifamily building owners and renters. | ||||||
21 | (D) The Administrator must have experience | ||||||
22 | assisting people with low incomes or energy burdened | ||||||
23 | households. | ||||||
24 | (E) The Administrator must have experience running | ||||||
25 | programs in both urban and rural parts of the State, | ||||||
26 | including covering a range of geographic and community |
| |||||||
| |||||||
1 | diversity. | ||||||
2 | (2) If the Department decides to hire an | ||||||
3 | Administrator, they must enter into a contract within a | ||||||
4 | year of the effective date of this amendatory Act of the | ||||||
5 | 103rd General Assembly. | ||||||
6 | (3) If the Department decides to hire an | ||||||
7 | Administrator, the contract expires after 4 years. After 4 | ||||||
8 | years, the Department can renew the contract or select a | ||||||
9 | different Administrator. If the Administrator is not | ||||||
10 | meeting the requirements of the program and its | ||||||
11 | participants, the contract may be terminated early, and a | ||||||
12 | new Administrator may be hired. | ||||||
13 | (4) The Administrator shall have the same | ||||||
14 | responsibilities as the Department in creating, | ||||||
15 | overseeing, and implementing the programs in the navigator | ||||||
16 | program. | ||||||
17 | (f) The Department or Administrator of the naviga | ||||||
tor | |||||||
18 | program must: | ||||||
19 | (1) provide outreach and deliver energy services to: | ||||||
20 | (A) owner occupied and rental residences; and | ||||||
21 | (B) single-family and multifamily dwellings; | ||||||
22 | (2) provide coverage for all geographic regions in the | ||||||
23 | State; | ||||||
24 | (3) support energy efficient and emissions reductions | ||||||
25 | alternatives for all types of fuel used in buildings; the | ||||||
26 | Department or Administrator shall ensure funding is used |
| |||||||
| |||||||
1 | for projects that include electrification and energy | ||||||
2 | efficiency work, and any related health and safety, | ||||||
3 | renewable energy, and whole building needs; funding shall | ||||||
4 | not be used for the installation of new natural gas or | ||||||
5 | other fossil fuel equipment; | ||||||
6 | (4) create strategies to ensure that the navigator | ||||||
7 | program prioritizes services in equity investment eligible | ||||||
8 | communities, one of which must include dedicating at least | ||||||
9 | 40% of the total funding for the navigator program to | ||||||
10 | deploy electrification services, energy efficiency | ||||||
11 | measures, renewable energy, health and safety upgrades, | ||||||
12 | and related upgrades in equity investment eligible | ||||||
13 | communities, through; | ||||||
14 | (A) weatherization services, including air sealing | ||||||
15 | and insulation; | ||||||
16 | (B) health and safety improvements; | ||||||
17 | (C) purchase and installation of efficient | ||||||
18 | electric equipment; | ||||||
19 | (D) energy efficiency improvements, as needed; | ||||||
20 | (E) health and safety improvements that aid in | ||||||
21 | energy conservation; | ||||||
22 | (F) weatherization services; | ||||||
23 | (G) solar, storage, and renewable energy, as | ||||||
24 | needed; and | ||||||
25 | (G) workforce development programs; | ||||||
26 | (5) create a strategy for how the navigator program |
| |||||||
| |||||||
1 | will equitably assist residents in accessing rebates and | ||||||
2 | incentives in the federal Inflation Reduction Act; | ||||||
3 | (6) create a strategy for how the navigator program | ||||||
4 | will assist customers in accessing State funding | ||||||
5 | opportunities available to access electrification | ||||||
6 | services; | ||||||
7 | (7) create a strategy to stack funding from all | ||||||
8 | available incentives and tax rebates together with the | ||||||
9 | goal of creating a 'one-stop shop' for all weatherization, | ||||||
10 | energy efficiency and electrification services; | ||||||
11 | (8) support the integrated implementation of all | ||||||
12 | relevant clean building programs funded in the State | ||||||
13 | budget, including, but not limited to: | ||||||
14 | (A) the Low Income Home Energy Assistance Program; | ||||||
15 | and | ||||||
16 | (B) the Illinois Home Weatherization Assistance | ||||||
17 | Program; and | ||||||
18 | (9) maintain a recommended contractor list. | ||||||
19 | (220 ILCS 5/25-105 new) | ||||||
20 | Sec. 25-105. Education materials and outreach. The | ||||||
21 | Department or Administrator shall: | ||||||
22 | (1) create educational materials, which must include | ||||||
23 | information about all relevant funds and financial | ||||||
24 | assistance available from federal, State, local, and | ||||||
25 | energy utility programs, including, but not limited to, |
| |||||||
| |||||||
1 | incentives, rebates, tax credits, grants, and loan | ||||||
2 | programs; | ||||||
3 | (2) contract with one or more community-based | ||||||
4 | organizations that demonstrate past success in working | ||||||
5 | with equity investment eligible communities in order to | ||||||
6 | create and distribute educational materials specifically | ||||||
7 | targeted at equity investment eligible communities; | ||||||
8 | (3) support and connect community-based organizations | ||||||
9 | in their region to training programs in areas of | ||||||
10 | electrification, energy efficiency, building envelope, and | ||||||
11 | installation technical assistance, and other relevant | ||||||
12 | areas; and | ||||||
13 | (4) ensure the education and outreach work is | ||||||
14 | coordinated with other State energy efficiency, | ||||||
15 | weatherization, electrification, and related programs and | ||||||
16 | providers. | ||||||
17 | (220 ILCS 5/25-106 new) | ||||||
18 | Sec. 25-106. Delivered services for equity investment | ||||||
19 | eligible communities. | ||||||
20 | (a) The Department or Administrator must implement the | ||||||
21 | navigator program for income-qualified households, which must | ||||||
22 | include support navigating to existing programs or directly | ||||||
23 | providing and filling gaps related to: | ||||||
24 | (1) energy audits to provide recommendations to | ||||||
25 | customers on a wide range of cost-effective energy and |
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1 | health improvements; | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2 | (2) weatherization and energy efficiency services, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
3 | including, but not limited to, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
adding insulation, sealing | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
4 | cracks, and making other changes that reduce heat loss, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
5 | save money on heating bills, and improve the health and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
6 | safety of buildings; | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
7 | (3) appliance upgrades; | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
8 | (4) electrification services, including installation | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
9 | of air-sourced heat pumps, heat pump hot water heaters, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
10 | cooling, and electric panel upgrades and wiring; | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
11 | (5) accessing qualified energy contractors; and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
12 | (6) securing financing. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
13 | (b) Nothing in this Section shall preclude the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
14 | implementation of measures that, in addition to producing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
15 | energy savings, increase electric load by adding building | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
16 | cooling systems where none existed before. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
17 | Section 99. Effective date. This Act takes effect upon | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
18 | becoming law. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||