Full Text of SB1485 99th General Assembly
SB1485sam002 99TH GENERAL ASSEMBLY | Sen. David Koehler Filed: 3/20/2015
| | 09900SB1485sam002 | | LRB099 06216 MGM 33073 a |
|
| 1 | | AMENDMENT TO SENATE BILL 1485
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 1485 by replacing | 3 | | line 24 on page 261 through line 6 on page 267 with the | 4 | | following: | 5 | | " (b-5) This subsection may be cited as the Carbon Dioxide | 6 | | Emissions Reduction Act.
| 7 | | (1) The General Assembly finds that it is necessary to | 8 | | form a group of diverse stakeholders to collect information | 9 | | and provide analysis regarding greenhouse gas emissions, | 10 | | including, specifically carbon dioxide (CO2) emissions, in | 11 | | Illinois, consider options for reducing CO2 emissions, and | 12 | | consider the impact of the State's compliance with any | 13 | | final effective federal rule regulating or limiting the | 14 | | emission of CO2 from existing generating units in the | 15 | | electric generating power sector. | 16 | | (A) Within 60 days after the effective date of this | 17 | | amendatory Act of the 99th General Assembly, the | 18 | | Environmental Protection Agency shall establish an |
| | | 09900SB1485sam002 | - 2 - | LRB099 06216 MGM 33073 a |
|
| 1 | | Illinois Green House Gas (GHG) Council ("Council"). | 2 | | The purpose of the Council is to develop any required | 3 | | State plan to reduce greenhouse gases or CO2 | 4 | | specifically, pursuant to the Clean Air Act. The | 5 | | Council shall be chaired by the Director of the | 6 | | Illinois Environmental Protection Agency and will | 7 | | include one designated representative from each of the | 8 | | following: the Department of Commerce and Economic | 9 | | Opportunity; the Illinois Commerce Commission; the | 10 | | Illinois Power Agency; the Illinois Finance Authority; | 11 | | the Department of Agriculture; and the Department of | 12 | | Natural Resources. | 13 | | (B) A Green House Gas (GHG) Advisory Committee, | 14 | | consisting of 15 non-governmental entity members, | 15 | | shall also be appointed within 60 days after the | 16 | | effective date of this amendatory Act of the 99th | 17 | | General Assembly, to provide input and advice to the | 18 | | Council. The Advisory Committee shall include 2 | 19 | | members appointed by the Senate President, 2 members | 20 | | appointed by the Senate Minority Leader, 2 members | 21 | | appointed by the Speaker of the House, 2 members | 22 | | appointed by the House Minority Leader and 3 members | 23 | | appointed by the Governor, and together shall include, | 24 | | at minimum, one member from each of the following | 25 | | sectors: labor unions; two from the coal-fired | 26 | | electric generating industry; the coal mining |
| | | 09900SB1485sam002 | - 3 - | LRB099 06216 MGM 33073 a |
|
| 1 | | industry; non-governmental environmental | 2 | | organizations; renewable energy industry; natural | 3 | | gas-fired electric generating industry; the nuclear | 4 | | electric generating industry; and the electric supply | 5 | | industry. Advisory Committee membership appointments | 6 | | shall be effective for one year and may be renewed each | 7 | | year the Committee is required to meet. | 8 | | (C) Members of both the Council and Advisory | 9 | | Committee shall meet regularly, but no less than once | 10 | | every other month, until the purpose of this subsection | 11 | | is achieved. The Members shall serve without | 12 | | compensation and staff assistance shall be provided by | 13 | | Council members. | 14 | | (D) The information collected and the reports | 15 | | prepared by or for the Council and the Advisory | 16 | | Committee shall be used to prepare recommendations | 17 | | concerning the governance structure required to comply | 18 | | with any final and effective federal GHG or CO2 | 19 | | reduction rule. In its decision making, the Council | 20 | | must consider the social, economic, administrative, | 21 | | and budgetary impacts of legislation, including | 22 | | rulemaking under existing legislative authorities, to | 23 | | regulate greenhouse gas emissions, including CO2 | 24 | | emissions, in Illinois. In order to achieve this | 25 | | objective, the Council shall: | 26 | | (i) Direct the collection of the following |
| | | 09900SB1485sam002 | - 4 - | LRB099 06216 MGM 33073 a |
|
| 1 | | information and data prior to developing a State | 2 | | plan framework: | 3 | | (a) An inventory of CO2 emission sources | 4 | | from the power sector and from other sectors, | 5 | | including, but not limited to, industrial | 6 | | sectors, commercial establishments, | 7 | | residential establishments, mobile sources, | 8 | | agricultural, and natural sources. This | 9 | | inventory must demonstrate, to the extent | 10 | | possible, a baseline of CO2 emissions. | 11 | | (b) An inventory of energy generated | 12 | | (MWHrs) and used in the State categorized by | 13 | | resource and resource type. This inventory | 14 | | shall include energy sold for consumption in | 15 | | Illinois by generators not located in Illinois | 16 | | and for consumption in other states by | 17 | | generators located in Illinois. This inventory | 18 | | should include, to the extent available, the | 19 | | number and source of renewable energy credits | 20 | | purchased to comply with Illinois renewable | 21 | | portfolio standards. | 22 | | (c) To the extent available, a list from | 23 | | energy generators of projected retirements of | 24 | | generation and any planned replacement with, | 25 | | or new low or zero-emitting resources. | 26 | | (d) To the extent available, future |
| | | 09900SB1485sam002 | - 5 - | LRB099 06216 MGM 33073 a |
|
| 1 | | resource plans from energy generation units | 2 | | that deliver energy to load without using the | 3 | | transmission system or any distribution | 4 | | facilities (on-site generators). | 5 | | (ii) Direct the completion of the following | 6 | | reports before developing a State plan framework: | 7 | | (a) A report by the Illinois Commerce | 8 | | Commission regarding the State's and the grid | 9 | | operators' ability to build infrastructure and | 10 | | expand transmission to expand the use of | 11 | | renewable or low-emitting resources and the | 12 | | impact of such construction on residential, | 13 | | commercial, and industrial electric rates. | 14 | | (b) A report by the Illinois Commerce | 15 | | Commission, in cooperation with the Illinois | 16 | | Power Agency, Department of Commerce and | 17 | | Economic Opportunity, and Illinois | 18 | | Environmental Protection Agency evaluating | 19 | | market conditions and the differences in | 20 | | capacity prices paid to owners of electric | 21 | | generation units located in PJM | 22 | | Interconnection, LLC and Midcontinent | 23 | | Independent Systems Operator market regions in | 24 | | Illinois and to evaluate the ability of those | 25 | | capacity markets and prices to provide | 26 | | adequate revenues to owners to support |
| | | 09900SB1485sam002 | - 6 - | LRB099 06216 MGM 33073 a |
|
| 1 | | investments necessary for compliance with any | 2 | | required State plan. | 3 | | (c) A report by the Department of Commerce | 4 | | and Economic Opportunity regarding the | 5 | | potential for job impacts through the year | 6 | | 2030, including a discussion of geographic | 7 | | areas in the State that would be most affected | 8 | | by changes in energy generation and delivery. | 9 | | (d) A report by the Illinois Environmental | 10 | | Protection Agency that outlines the carbon | 11 | | dioxide reductions achievable from fossil fuel | 12 | | fired steam electric generating units, | 13 | | including those reductions from specific heat | 14 | | rate improvements, considering the age of the | 15 | | units, the remaining useful life of the | 16 | | existing units and prior significant capital | 17 | | investment and voluntary retirements. | 18 | | (e) A report by the Illinois Environmental | 19 | | Protection Agency discussing the quantity of | 20 | | CO2 reductions and measures to demonstrate to | 21 | | the United States Environmental Protection | 22 | | Agency the CO2 reductions that have occurred | 23 | | between 2005 and 2020 due to circumstances such | 24 | | as plant retirements, conversions, and | 25 | | renewable energy growth and recommending how | 26 | | to carry forward credit for such actions. |
| | | 09900SB1485sam002 | - 7 - | LRB099 06216 MGM 33073 a |
|
| 1 | | (iii) Identify whether additional legislation | 2 | | is needed to address the following issues: | 3 | | (a) Credit for the remaining useful life | 4 | | of affected electric generating units. | 5 | | (b) Enforcing unit-specific emission | 6 | | reduction requirements or authorizing emission | 7 | | trading programs for any affected electric | 8 | | generating unit or other affected entity in the | 9 | | State plan. | 10 | | (c) Establishing an offset program, | 11 | | including methods for monitoring, | 12 | | verification, and acceptance to comply with | 13 | | the federal rule. | 14 | | (d) Changing existing Illinois law | 15 | | regarding generation resource planning, | 16 | | adequacy, and reliability, including | 17 | | provisions to address energy delivery | 18 | | emergencies created by resource scarcity | 19 | | (including reliability issues), extreme | 20 | | weather events, natural disasters, or similar | 21 | | issues. | 22 | | (e) Changing existing Illinois renewable | 23 | | portfolio standards and energy efficiency | 24 | | programs. | 25 | | (f) Establishing ratepayer protection | 26 | | measures. |
| | | 09900SB1485sam002 | - 8 - | LRB099 06216 MGM 33073 a |
|
| 1 | | (g) Participating in a state-wide, | 2 | | regional, or national emissions trading | 3 | | program. | 4 | | (h) Amending or establishing tax policies | 5 | | or incentives to support clean coal | 6 | | technologies. | 7 | | (i) Authorizing one or more State agencies | 8 | | not subject to the authority of the Illinois | 9 | | Environmental Protection Act or the Agency to | 10 | | develop and implement elements of the plan. | 11 | | (j) Authorizing the construction of | 12 | | infrastructure necessary to meet plan goals, | 13 | | including expedited permitting or planning. | 14 | | (k) Authorizing cost recovery mechanisms | 15 | | for capacity and transmission construction | 16 | | necessary to implement federal requirements. | 17 | | (l) Authorizing the State to accept direct | 18 | | legal responsibility for compliance with any | 19 | | federal rule. | 20 | | (iv) Develop a State plan framework | 21 | | considering all, but not limited to, the | 22 | | following: | 23 | | (a) The data and inventories collected | 24 | | pursuant to item (i) of subparagraph (D) of | 25 | | paragraph (1) of subsection (b-5). | 26 | | (b) The reports of State agencies |
| | | 09900SB1485sam002 | - 9 - | LRB099 06216 MGM 33073 a |
|
| 1 | | specified in item (ii) of subparagraph (D) of | 2 | | paragraph (1) of subsection (b-5). | 3 | | (c) Additional legislation that is | 4 | | necessary to implement a State plan as | 5 | | identified pursuant to item (iii) of | 6 | | subparagraph (D) of paragraph (1) of | 7 | | subsection (b-5), and a schedule for | 8 | | development and enactment. | 9 | | (d) Existing carbon dioxide emission and | 10 | | sources of emissions in Illinois. | 11 | | (e) Options for reducing CO2 emissions to | 12 | | a level that complies with federal | 13 | | requirements. | 14 | | (f) Electricity rates paid by Illinois | 15 | | consumers. | 16 | | (g) Ability to achieve Illinois renewable | 17 | | portfolio standards. | 18 | | (h) Impact on Illinois coal mining | 19 | | industry. | 20 | | (i) Impact to ethanol production in | 21 | | Illinois. | 22 | | (j) Impact to natural gas distribution in | 23 | | Illinois. | 24 | | (k) Impact to coal fired generation in | 25 | | Illinois. | 26 | | (l) Impact to nuclear generation in |
| | | 09900SB1485sam002 | - 10 - | LRB099 06216 MGM 33073 a |
|
| 1 | | Illinois. | 2 | | (m) The ability to implement | 3 | | cost-effective additional demand response | 4 | | programs. | 5 | | (n) The ability to implement | 6 | | cost-effective additional energy efficiency | 7 | | programs. | 8 | | (o) The ability of sources to implement | 9 | | cost-effective carbon reduction measures. | 10 | | (p) The remaining useful life of affected | 11 | | electric generating units. | 12 | | (q) An offset program, including | 13 | | consideration of programs in and out-of-state | 14 | | including, but not limited to: | 15 | | (i) transportation system | 16 | | modifications; | 17 | | (ii) rebates; | 18 | | (iii) electric vehicle charging | 19 | | stations; | 20 | | (iv) agriculture programs, such as | 21 | | manure and other organic material use for | 22 | | electricity generation or soil carbon | 23 | | sequestration; | 24 | | (v) return of developed land to | 25 | | natural carbon sinks; | 26 | | (vi) green infrastructure; |
| | | 09900SB1485sam002 | - 11 - | LRB099 06216 MGM 33073 a |
|
| 1 | | (vii) stormwater management projects; | 2 | | and | 3 | | (viii) forestation programs. | 4 | | (r) Impact of the plan on disadvantaged | 5 | | communities and rural communities. | 6 | | (s) State-based financial incentives to | 7 | | encourage the repowering of fossil fuel fired | 8 | | electricity generating units to less | 9 | | CO2-intensive power sources. | 10 | | (t) Legal, tax, permitting, or similar | 11 | | barriers to the development of low or | 12 | | zero-carbon emitting generation resources. | 13 | | (u) The advantages and disadvantages of a | 14 | | rate-based compliance plan. | 15 | | (v) The advantages and disadvantages of a | 16 | | mass-based compliance plan. | 17 | | (w) The advantages and disadvantages of | 18 | | linking to other state plans. | 19 | | (x) Compliance with House Resolution 782 | 20 | | from the 98th General Assembly, providing | 21 | | preference to and support to the owners of | 22 | | existing coal-fired steam electric power | 23 | | plants with remaining useful lives. | 24 | | (y) Any other consideration required by | 25 | | any federal program regulating or limiting | 26 | | carbon dioxide emissions under the Clean Air |
| | | 09900SB1485sam002 | - 12 - | LRB099 06216 MGM 33073 a |
|
| 1 | | Act, or other information deemed relevant by | 2 | | the Council or Advisory Committee. | 3 | | (E) The Council and Advisory Committee shall | 4 | | present a plan framework and proposed rulemaking | 5 | | language in written report form to the Director by no | 6 | | later than 10 months before the federally required date | 7 | | for any State plan. If the Council and Advisory | 8 | | Committee identify additional legislation needed to | 9 | | implement the plan, the Council and Advisory Committee | 10 | | must also present a written summary description of such | 11 | | legislation to the Director by the same date. | 12 | | (F) Relying on the State plan framework developed | 13 | | by the Council and Advisory Committee, the Director | 14 | | shall recommend actions to be taken with a final | 15 | | effective federal rule. The Director's | 16 | | recommendations, including all supporting documents | 17 | | and reports, will be published on the Agency's website. | 18 | | Notwithstanding any other law to the contrary, no State | 19 | | agency or department shall propose for adoption of a | 20 | | State plan regulating or limiting CO2 emissions or | 21 | | greenhouse gases unless and until: (1) there is a final | 22 | | and effective federal rule requiring such a State plan; | 23 | | and (2) any required legislative authorizations are | 24 | | enacted. ".
|
|