This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h1645a.ECC
DATE: 2/1/2024
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/HB 1645 Energy Resources
SPONSOR(S): Energy, Communications & Cybersecurity Subcommittee, Payne
TIED BILLS: IDEN./SIM. BILLS: CS/SB 1624
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Energy, Communications & Cybersecurity
Subcommittee
16 Y, 0 N, As CS Bauldree Keating
2) Appropriations Committee
3) Commerce Committee
SUMMARY ANALYSIS
The bill updates Florida’s energy policies and amends specific energy-related laws. Specifically, the bill:
Provides an updated statement of legislative intent concerning the state’s energy policy and establishes
a list of specific, fundamental policy goals to guide the state’s energy policy.
Updates energy policy statements in current law and the duties of the Department of Agriculture and
Consumer Services (DACS) to be consistent with the energy policy goals established in the bill.
Increases the minimum length of an intrastate natural gas pipeline that requires certification under the
Natural Gas Transmission Pipeline Siting Act from 15 miles to 100 miles.
Provides that certain “resiliency facilities” owned and operated by a public utility to deploy natural gas
reserves for temporary use during a system outage or natural disaster are a permitted use in all
commercial, industrial, and manufacturing land use categories and districts, subject to setback and
landscape criteria for other similar uses.
Provides for the recovery of certain facility relocation costs incurred by a natural gas utility through a
charge separate from the utility’s base rates.
Requires the PSC to conduct an assessment of the security and resiliency of the state's electric grid
and natural gas facilities against both physical threats and cyber threats and to submit a report.
Prohibits the PSC, without specific legislative authority, from authorizing a public utility to make direct
sales of energy to a consumer solely for the consumer's use in powering a means of transportation.
Authorizes the PSC to approve a utility program for residential, customer-specific electric vehicle (EV)
charging if the program will not adversely impact the utility's general body of ratepayers.
Eliminates specific requirements for public business related to certain product and service purchases.
Requires the Department of Management Services (DMS) to develop the Florida Humane Preferred
Energy Products List to identify certain products that appear to be largely made free from forced labor.
Repeals the Renewable Energy and Energy-Efficient Technologies Grant Program, Florida Green
Government Grants, the Energy Economic Zone Pilot Program, and Qualified Energy Conservation
Bonds provisions.
Prohibits community development districts and homeowners’ associations from prohibiting certain types
or fuel sources of energy production and appliances that use such fuels.
Requires the PSC to study and evaluate the technical and economic feasibility of using advanced
nuclear power technologies and to submit a report of its findings and recommendations.
Requires DOT to study and evaluate the potential development of hydrogen fueling infrastructure,
including fueling stations, to support hydrogen-powered vehicles that use the state highway system.
The bill does not appear to impact state or local government revenues or local government expenditures. The
bill may have a negative impact on state government expenditures, which may be offset to some degree by
potential savings related to the elimination of specified purchasing requirements.
The bill provides an effective date of July 1, 2024. STORAGE NAME: h1645a.ECC PAGE: 2
DATE: 2/1/2024
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Florida Energy Profile
Florida is the third most populous state and the fourth largest energy-consuming state in the nation.
However, Florida uses less energy per capita than all but six other states, in part because of its large
population, moderate winter weather, and relatively low industrial sector energy use.
1
Florida’s energy
consumption can be broken down by end-use sector as follows:
2
Transportation – 39%
Residential – 28%
Commercial – 22%
Industrial – 11%
In the electric power industry, natural gas is the dominant fuel in Florida and since 2011 has generated
more electric power than all other fuels combined. Natural gas fueled approximately 70 percent of
electric energy consumed in Florida in 2022. This number is anticipated to decline over the next ten
years, reaching 56 percent by 2032.
3
Florida has very little natural gas production and limited gas
storage capacity, thus the state is reliant upon out-of-state production and storage to satisfy its
demand.
4
Supply from out-of-state is provided by five interstate natural gas pipelines, with the majority
of peninsular Florida’s supply provided by three interstate pipelines: Florida Gas Transmission Pipeline,
Gulf Stream Natural Gas System, and Sabal Trail Transmission.
5
In 2021, renewable energy resources were used to generate approximately 6 percent of the electric
energy consumed in Florida. This number is anticipated to increase over the next ten years, reaching
28 percent by 2032, primarily from the addition of new solar generation. Solar generation in Florida is
expected to exceed all non-natural gas energy sources combined (primarily nuclear and coal) by 2029.
6
Of the current renewable generation capacity in Florida, approximately 37 percent is considered a “firm”
resource than can be relied upon to serve customers and defer the need for traditional power plants.
Because of the coincidence of solar generation and the peak demand for electrical energy, about 40
percent of installed solar generation is considered a firm resource. For utility-scale solar projects, that
number increases to 52 percent. As the amount of solar increases in the state, the difference in how it
operates compared to traditional generation will have an increasing importance to the grid. Solar
generation cannot be dispatched as needed, but is produced based upon the conditions at the plant
site, influenced by variations in daylight hours, cloud cover, and other environmental factors. Generally,
the peak hours for production of a solar facility are closer to noon, whereas the peak in system demand
tends to be in the early evening in summer and early morning in winter. Still, Florida is projected to
meet its electricity demand and carry a reserve margin of between 16.4 and 30.1 percent on a
statewide basis over the next 10 years.
7
1
U.S. Energy Information Administration (EIA), Florida, State Profile and Energy Estimates, Analysis,
https://www.eia.gov/state/analysis.php?sid=FL#:~:text=Renewable%20resources%20fueled%20about%206,generation%
20came%20from%20solar%20energy (last visited Jan. 12, 2024).
2
EIA, Florida, State Profile and Energy Estimates, Data, https://www.eia.gov/state/data.php?sid=FL (last visited Jan. 12,
2024). These figures reflect consumption in 2021, the most recent period reported by EIA for the state.
3
Florida Public Service Commission (FPSC), Review of the 2023 Ten-Year Site Plans of Florida’s Electric Utilities,
available at https://www.floridapsc.com/pscfiles/website-files/PDF/Utilities/Electricgas/TenYearSitePlans//2023/Review.pdf
(last visited Jan. 12, 2024).
4
Id. at 42.
5
FPSC, Facts and Figures of the Florida Utility Industry, 2023, at 17, https://www.floridapsc.com/pscfiles/website-
files/PDF/Publications/Reports/General/FactsAndFigures/April%202023.pdf (last visited Jan. 15, 2024).
6
FPSC, supra note 3, at 3.
7
Id. STORAGE NAME: h1645a.ECC PAGE: 3
DATE: 2/1/2024
Since 2001, utility-scale electric generation from renewable resources in Florida had grown only 28
percent through 2016, but had grown over 300 percent by 2022.
8
Customer-owned renewable
generation connected to the electric grid in Florida has also grown dramatically in recent years,
increasing 460 percent from 2018 to 2022. This growth appears to correlate with decreasing prices for
both utility-scale and customer-owned solar generation systems.
9
In the transportation sector, the market for electric vehicles (EV) in Florida has grown significantly in
recent years and is expected to continue growing.
10
Including both full battery electric vehicles and
plug-in hybrid electric vehicles, only 21,700 EVs were registered in Florida in 2016; that number
increased to 213,800 in 2022, second only to California.
11
Florida’s generating electric utilities
anticipate that annual EV energy consumption in their service territories will increase at a rate of almost
20% per year through 2032 and will comprise 3.9 percent of their net energy for load and 4 percent of
summer peak demand in 2032.
12
This growth is accounted for in utility planning.
13
Registrations for
compressed natural gas vehicles in Florida have declined from 18,000 in 2016 to 400 in 2022, and
there is no data for registration of hydrogen-fueled vehicles in Florida for 2022.
14
Gasoline powered
vehicles still account for the overwhelming majority of vehicle registrations in Florida, with almost 16
million registered in Florida.
15
The United States Environmental Protection Agency (EPA) maintains an inventory of greenhouse gas
(GHG) emissions by state, end-use sector, and type of gas, with the most recent inventory data for
2021.
16
According to this inventory, Florida’s net GHG emissions for all sectors peaked in 2005 and
were slightly lower (0.7 percent) in 2021 as compared to 2008.
17
GHGs reported to the EPA by large
facilities
18
in Florida have declined from 147 million metric tons in 2010 to 113 million metric tons in
2022.
19
In 2021, the transportation sector accounted for 41 percent of Florida’s GHG emissions, the
electric power industry accounted for 35 percent, and the remaining 24 percent was associated with the
industrial, commercial, agricultural, and residential sectors.
20
State Energy Policy and Governance (Sections 7-9)
8
EIA, Electricity Data Browser,
https://www.eia.gov/electricity/data/browser/#/topic/0?agg=2,0,1&fuel=02fh&geo=g000001&sec=g&linechart=ELEC.GEN.
AOR-US-99.A~ELEC.GEN.AOR-FL-99.A&columnchart=ELEC.GEN.AOR -US-99.A&map=ELEC.GEN.AOR -US-
99.A&freq=A&start=2001&end=2022&chartindexed=1&ctype=linechart<ype=pin&rtype=s&maptype=0&rse=0&pin= (last
visited Jan. 12, 2024).
9
See, e.g., NREL, Documenting a Decade of Cost Declines for PV Systems, Feb. 10, 2021,
https://www.nrel.gov/news/program/2021/documenting-a-decade-of-cost-declines-for-pv-systems.html (last visited Jan.
12, 2024) (stating that, from 2010 to 2020, there had been a 64%, 69%, and 82% reduction in the cost of residential,
commercial-rooftop, and utility-scale PV systems, respectively and that a significant portion of the cost declines over that
decade can be attributed to an 85% cost decline in module price).
10
Florida Department of Transportation (FDOT), Florida's Electric Vehicle Infrastructure Deployment Plan, August 2023,
at 17, https://fdotwww.blob.core.windows.net/sitefinity/docs/default-
source/emergingtechnologies/evprogram/2023_florida's-evidp_update_092923.pdf?sfvrsn=1e4aee0_1 (last visited Jan.
15, 2024).
11
U.S Department of Energy (DOE), Alternative Fuels Data Center,
https://afdc.energy.gov/transatlas/#/?state=FL&view=vehicle_count (last visited Jan. 15, 2024).
12
FPSC, supra note 3, at 5-6, 19.
13
Id. at 17-20/.
14
DOE, supra note 11.
15
Id.
16
For purposes of the EPA’s inventory, GHGs include carbon dioxide, methane, fluorinated gases, and nitrous oxide. The
inventory also accounts for changes associated with land use and forestry that affect the land’s ability to serve as a sink
for GHG emissions. EPA, Greenhouse Gas Inventory Data Explorer,
https://cfpub.epa.gov/ghgdata/inventoryexplorer/#iallsectors/allsectors/allgas/gas/all (last visited Jan, 15, 2024).
17
Id.
18
Facilities that emit 25,000 metric tons or more per year of GHGs are required to annually report their GHG emissions to
the EPA. Roughly half of total U.S. GHG emissions are reported by direct emitters. EPA, Facility Level Information on
Greenhouse Gases Tool, https://ghgdata.epa.gov/ghgp/main.do?site_preference=normal (last visited Jan. 12, 2024).
19
Id.
20
EPA, supra note 16. STORAGE NAME: h1645a.ECC PAGE: 4
DATE: 2/1/2024
Present Situation
In 1974, in response to the 1973-1974 oil embargo,
21
the Legislature, upon finding that a lack of
accurate and relevant information was hampering its ability to develop energy policy to address the
energy resource shortages facing the state, created an “energy data center” to collect data on
production, refinement, transportation, storage, and sale of energy resources in Florida, including all
types of fossil fuels, nuclear energy, and renewables.
22
Three years later, the Legislature developed an
energy policy statement with a focus on energy conservation, alternative energy resources, and public
education about energy use.
23
This energy policy statement is still mostly intact in Florida law.
24
In 1978, the Legislature transferred the duties of the energy data center to the former Department of
Administration and expanded those duties to include additional data analysis and forecasting, public
education, promoting conservation, and coordinating state energy-related programs.
25
This list of duties
is now reflected in the duties established in current law for the Department of Agriculture and
Consumer Services (DACS).
26
Florida’s current energy policies are largely established through various provisions of law related to
specific aspects of energy production, distribution, sales, and use. The Legislature last addressed
energy policy at a holistic level in 2008,
27
when it adopted the following statement of intent with regard
to energy resource planning and development, which is unchanged in current law:
28
The Legislature finds that the state’s energy security can be increased by lessening
dependence on foreign oil; that the impacts of global climate change can be reduced through
the reduction of greenhouse gas emissions; and that the implementation of alternative energy
technologies can be a source of new jobs and employment opportunities for many Floridians.
The Legislature further finds that the state is positioned at the front line against potential impacts
of global climate change. Human and economic costs of those impacts can be averted by global
actions and, where necessary, adapted to by a concerted effort to make Florida’s communities
more resilient and less vulnerable to these impacts. In focusing the government’s policy and
efforts to benefit and protect our state, its citizens, and its resources, the Legislature believes
that a single government entity with a specific focus on energy and climate change is both
desirable and advantageous. Further, the Legislature finds that energy infrastructure provides
the foundation for secure and reliable access to the energy supplies and services on which
Florida depends. Therefore, there is significant value to Florida consumers that comes from
investment in Florida’s energy infrastructure that increases system reliability, enhances energy
independence and diversification, stabilizes energy costs, and reduces greenhouse gas
emissions.
In 2008, the Legislature also adopted the following energy policy statements, which are unchanged in
current law:
29
It is the policy of the State of Florida to:
Develop and promote the effective use of energy in the state, discourage all forms of energy
waste, and recognize and address the potential of global climate change wherever possible.
Play a leading role in developing and instituting energy management programs aimed at
promoting energy conservation, energy security, and the reduction of greenhouse gas
emissions.
21
See, generally, U.S Department of State, Office of the Historian, Oil Embargo, 1973-1974,
https://history.state.gov/milestones/1969-1976/oil-embargo (last visited Jan. 12, 2024).
22
Ch. 74-186, L.O.F.
23
Ch. 77-334, L.O.F.
24
See s. 377.601(2), F.S.
25
Ch. 78-25, L.O.F.
26
See ss. 377.603 and 377.703, F.S.
27
Ch. 2008-227, L.O.F.
28
S. 377.601(1), F.S.
29
S. 377.601(2), F.S. STORAGE NAME: h1645a.ECC PAGE: 5
DATE: 2/1/2024
Include energy considerations in all state, regional, and local planning.
Utilize and manage effectively energy resources used within state agencies.
Encourage local governments to include energy considerations in all planning and to
support their work in promoting energy management programs.
Include the full participation of citizens in the development and implementation of energy
programs.
Consider in its decisions the energy needs of each economic sector, including residential,
industrial, commercial, agricultural, and governmental uses, and reduce those needs
whenever possible.
Promote energy education and the public dissemination of information on energy and its
environmental, economic, and social impact.
Encourage the research, development, demonstration, and application of alternative energy
resources, particularly renewable energy resources.
Consider, in its decisionmaking, the social, economic, and environmental impacts of energy-
related activities, including the whole-life-cycle impacts of any potential energy use choices,
so that detrimental effects of these activities are understood and minimized.
Develop and maintain energy emergency preparedness plans to minimize the effects of an
energy shortage within Florida.
Under current law,
30
DACS is required to perform the following functions, consistent with the
development of a state energy policy:
Perform or coordinate the functions of any federal energy programs delegated to the state,
including energy supply, demand, conservation, or allocation.
Analyze present and proposed federal energy programs and make recommendations regarding
those programs to the Governor and the Legislature.
Coordinate efforts to seek federal support or other support for state energy activities, including
energy conservation, research, or development, and is responsible for the coordination of
multiagency energy conservation programs and plans.
Analyze energy data collected and prepare long-range forecasts of energy supply and demand
in coordination with the Public Service Commission (PSC), which is responsible for electricity
and natural gas forecasts, which must contain:
o An analysis of the relationship of state economic growth and development to energy
supply and demand.
o Plans for the development of renewable energy resources and reduction in dependence
on depletable energy resources, particularly oil and natural gas, and an analysis of the
extent to which renewable energy sources are being utilized in the state.
o Consideration of alternative scenarios of statewide energy supply and demand for 5, 10,
and 20 years to identify strategies for long-range action, including identification of
potential social, economic, and environmental effects.
o An assessment of the state’s energy resources, including examination of the availability
of commercially developable and imported fuels, and an analysis of anticipated effects
on the state’s environment and social services resulting from energy resource
development activities or from energy supply constraints, or both.
Submit an annual report to the Governor and the Legislature reflecting its activities and making
recommendations for policies for improvement of the state’s response to energy supply and
demand and its effect on the health, safety, and welfare of the residents of this state, including a
report from the PSC on electricity and natural gas and information on energy conservation
programs, with recommendations for energy efficiency and conservation programs for the state.
Promote the development and use of renewable energy resources, consistent with the state
comprehensive plan and the policy statements made in 2008.
Promote energy efficiency and conservation in all energy use sectors in the state, including
consultation with the Department of Management Services to coordinate energy conservation
programs of state agencies.
30
S. 377.703, F.S. STORAGE NAME: h1645a.ECC PAGE: 6
DATE: 2/1/2024
Serve as the state clearinghouse for indexing and gathering all information related to energy
programs in state universities, in private universities, in federal, state, and local government
agencies, and in private industry and prepare and distribute this information in any manner
necessary to inform and advise the public.
Coordinate energy-related programs of state government.
Promote a comprehensive research plan for state programs, which must be consistent with
state energy policy and be updated on a biennial basis.
Prepare an assessment of the state’s renewable energy production credit.
DACS is also responsible for administering the Florida Renewable Energy Technologies and Energy
Efficiency Act,
31
which consists of the Renewable Energy and Energy-Efficient Technologies Grant
Program, and the Florida Green Government Grants Act.
32
Both programs are discussed in further
detail in this analysis under Energy Grant Programs, below.
Effect of the Bill
The bill replaces the current statement of legislative intent concerning the state’s energy policy with a
more streamlined statement of intent that expresses the purpose of the state’s energy policy. The new
statement of intent provides:
The purpose of the state's energy policy is to ensure an adequate, reliable, and cost-effective
supply of energy for the state in a manner that promotes the health and welfare of the public
and economic growth. The Legislature intends that governance of the state's energy policy be
efficiently directed toward achieving this purpose.
For purposes of achieving this new statement of intent, the bill provides a list of specific, fundamental
policy goals to guide the state’s energy policy. These goals are:
Ensuring a cost-effective and affordable energy supply;
Ensuring adequate supply and capacity;
Ensuring a secure, resilient, and reliable energy supply, with an emphasis on a diverse
supply of domestic energy resources;
Protecting public safety;
Protecting the state's natural resources, including its coastlines, tributaries, and waterways;
and
Supporting economic growth.
The bill’s revised statement of intent removes current legislative findings related to global climate
change, and the bill’s list of energy policy goals does not specifically address global climate change.
Consistent with the bill’s revised statement of legislative intent and its list of energy policy goals, the bill
revises the energy policy statements in current law. These changes:
Specify that it is the state’s policy to promote the “cost-effective development and use of a
diverse supply of domestic energy resources in the state,” rather than the “effective use of
energy in the state.”
Remove a provision that provides for recognizing and addressing “the potential of global climate
change” as a state energy policy.
Add that promotion of “the cost-effective development and maintenance of energy infrastructure
that is resilient to natural and manmade threats to the security and reliability of the state's
energy supply” is a state energy policy.
Remove a provision that provides for the state to “play a leading role in developing and
instituting energy management programs aimed at promoting energy conservation, energy
security, and the reduction of greenhouse gas emissions.”
Add that reduction of “reliance on foreign energy resources” is a state energy policy.
31
Ss. 377.801-377.804, F.S.
32
S. 377.808, F.S. STORAGE NAME: h1645a.ECC PAGE: 7
DATE: 2/1/2024
Provide that it is the state’s policy to promote energy education and dissemination of public
information on energy and its impacts in relation to the list of energy policy goals established by
the bill.
Provide that it is the state’s energy policy to consider, in its decision-making, the impacts of
energy-related activities on the energy policy goals established in the bill.
Provide that it is the state’s energy policy to encourage the research, development,
demonstration, and application of domestic energy resources, including the use of renewable
resources.
The bill also revises DACS’ energy-related duties to be consistent with these changes. First, the bill
requires that DACS advocate for energy issues consistent with the bill’s list of energy policy goals.
Next, the bill provides that DACS’ energy data analyses must address potential impacts in relation to
the bill’s list of energy policy goals. The bill removes a provision that requires these analyses to include
plans for development of renewable energy resources and reduction in dependence on depletable
energy resources.
Reliability and Resilience of Energy Infrastructure and Supply (Sections 1, 15, 17)
Present Situation
Florida’s Electrical Power Grid
The electric power grid primarily consists of a network of transmission lines, substations, distribution
lines, transformers, and meters that deliver electricity from electrical power plants to homes and
businesses. Since 1974, the PSC has had jurisdiction over the planning, development, and
maintenance of a coordinated electric power grid throughout Florida to assure an adequate and reliable
source of energy for operational and emergency purposes and to avoid uneconomic duplication of
facilities.
33
The PSC exercises this jurisdiction, in part, through its review of electric utilities’ ten-year
plans regarding power generating needs and proposed electrical power plant sites
34
and through its
review of applications for certain electrical power plant additions and expansions and certain intrastate
transmission line additions and expansions.
Natural Gas Infrastructure
Natural gas is transported to Florida consumers via three major interstate pipelines: Florida Gas
Transmission Company (3.2 billion cubic feet, or bcf, per day), Gulfstream Natural Gas System (1.4 bcf
per day), and Sabal Trail Interstate Pipeline (1.1 bcf per day). Florida also receive natural gas from two
minor interstate pipelines: Gulf South Pipeline Company reaches into northwest Florida, and Southern
Natural Gas reaches into north Florida.
35
Companies seeking to build interstate natural gas pipelines
must obtain certificates of public convenience and necessity issued by the Federal Energy Regulatory
Commission (FERC). FERC considers both economic and environmental factors in its review.
36
Construction and operation of intrastate natural gas pipelines generally require approval through a
process similar to the PPSA and TLSA processes. The Natural Gas Transmission Pipeline Siting Act
(NGTPSA)
37
is the state’s process for licensing the construction and operation of such pipelines within
Florida.
38
The NGTPSA provides a centralized and coordinated permitting process for the location of
natural gas transmission pipeline corridors and the construction and maintenance of natural gas
transmission pipelines in Florida.
39
33
Ch. 74-196, L.O.F., codified at s. 366.04(5), F.S.
34
S. 186.801, F.S.
35
FPSC, supra note 5, at 13 and 17.
36
See Congressional Research Service, Interstate Natural Gas Pipeline Siting: FERC Policy and Issues for Congress,
Jun. 9, 2024, available at https://crsreports.congress.gov/product/pdf/R/R45239 (last visited Jan. 23, 2024).
37
Ss. 403.9401-403.9425, F.S.
38
Florida Department of Environmental Protection, Natural Gas Pipeline Siting Act (July 27, 2022),
https://floridadep.gov/water/siting-coordination-office/content/natural-gas-pipeline-siting-act (last visited Jan. 18, 2024).
39
S. 403.9402, F.S. STORAGE NAME: h1645a.ECC PAGE: 8
DATE: 2/1/2024
An intrastate natural gas pipeline does not require certification if the pipeline:
Is less than 15 miles long or does not cross a county line;
40
Has been issued a certificate of public convenience and necessity by FERC under s. 7 of the
Natural Gas Act;
41
Has been certified as an associated facility to an electrical power plant pursuant to the Florida
Electrical Power Plant Siting Act;
42
or
Is owned or operated by a municipality or an agency thereof, by any person primarily for the
local distribution of natural gas, or by a special district created by special act to distribute natural
gas.
43
These exceptions do not preclude an applicant from applying for certification under the NGTPSA.
44
The U.S. Department of Transportation/Pipeline and Hazardous Materials Safety Administration
(PHMSA) implements federal pipeline safety standards for interstate and intrastate gas pipelines,
hazardous liquid pipelines, and underground natural gas storage under the Pipeline Safety Act.
45
The
Pipeline Safety Act authorizes state assumption of the intrastate regulatory, inspection, and
enforcement responsibilities subject to an annual certification with PHMSA.
46
State agencies must
adopt standards that comply with the Pipeline Safety Act to qualify for certification.
In Florida, The Gas Safety Law of 1967 authorizes the PSC to regulate the safe transmission and
distribution of natural gas in Florida.
47
The Gas Safety Law grants the PSC exclusive jurisdiction over
“all persons, corporations, partnerships, associations, public agencies, municipalities, or other legal
entities engaged in the operation of gas transmission or distribution facilities with respect to their
compliance with the rules and regulations governing safety standards.”
48
Under this authority, the PSC
promulgates rules covering the design, improvement, fabrication, installation, inspection, repair,
reporting, testing, and safety standards of gas transmission and gas distribution systems.
49
The PSC is
currently the state agency certified by PHMSA to inspect and enforce intrastate gas pipelines.
50
Land Development Regulations and Comprehensive Plans
Under the Community Planning Act, local governments manage local growth through comprehensive
plans enforced by local land use ordinances.
51
The Act prescribes certain principles, guidelines,
standards, and strategies to allow for an orderly and balanced future land development
52
and outlines
the required and optional elements of a comprehensive plan.
53
Local governments are directed to
create and adopt comprehensive plans which are sensitive to private property rights, have no undue
restrictions, and leave property owners free from government action that would harm their property or
constitute an inordinate burden on their property rights.
54
Effect of the Bill
Intrastate Natural Gas Pipeline Permitting
40
S. 403.9405(2)(a), F.S.
41
S. 403.9405(2)(b), F.S.
42
S. 403.9405(2)(b), F.S.
43
S. 403.9405(2)(c), F.S.
44
S. 403.9405(2)(a)-(c), F.S.
45
See 49 U.S.C. §§ 60102-60143.
46
49 U.S.C. §§ 60105(e), 60106(d).
47
S. 368.01-061, F.S.
48
S. 368.05(1), F.S.; see also S. 368.021, F.S. (providing more entities subject to PSC jurisdiction).
49
See ch. 25-12, F.A.C.
50
Florida Public Service Commission, Agency Analysis of 2023 House Bill 81, p. 2 (October 26, 2023).
51
S. 163.3167(1)(b), F.S.
52
S. 163.3167(2), F.S.
53
S. 163.3177, F.S.
54
S. 163.3161(10), F.S. Specifically, such plans STORAGE NAME: h1645a.ECC PAGE: 9
DATE: 2/1/2024
The bill increases the minimum length of an intrastate natural gas pipeline that requires certification
under the NGTPSA from 15 miles to 100 miles. A natural gas transmission pipeline company may still
obtain certification under the NGTPSA if it chooses to do so.
Land Development Regulations and Comprehensive Plans for Certain Natural Gas Facilities
The bill defines the term “resiliency facility” as a facility owned and operated by a public utility for the
purposes of assembling, creating, holding, securing, or deploying natural gas reserves for temporary
use during a system outage or natural disaster. Under the bill, “natural gas reserve” means a facility
that is capable of storing and transporting and, when operational, actively stores and transports a
supply of natural gas.
The bills states that a resiliency facility is a permitted use in all commercial, industrial, and
manufacturing land use categories in a local government comprehensive plan and in all commercial,
industrial, and manufacturing districts.
Under the bill, a resiliency facility must comply with the setback and landscape criteria for other similar
uses. As long as buffer and landscaping requirements do not exceed the requirements for similar uses
in commercial, industrial, and manufacturing land use categories and zoning districts, a local
government may adopt an ordinance specifying such requirements for resiliency facilities.
The bill provides that after July 1, 2024, a local government may not amend its comprehensive plan,
land use map, zoning districts, or land development regulations in a way that would conflict with a
resiliency facility’s classification as a permitted and allowable use, including, but not limited to, a
nonconforming use, structure, or development.
Security and Resiliency Assessment of Electric and Natural Gas Infrastructure
The bill requires the PSC to conduct an assessment of the security and resiliency of the state's electric
grid and natural gas facilities against both physical threats and cyber threats. The bill requires the PSC
to consult with the Division of Emergency Management and, in its assessment of cyber threats, with the
Florida Digital Service. The bill provides that all electric utilities, natural gas utilities, and natural gas
pipelines operating in this state, regardless of ownership structure, shall cooperate with the PSC to
provide access to all information necessary to conduct the assessment.
The bill requires the PSC, by July 1, 2025, to submit a report of its assessment to the Governor, the
President of the Senate, and the Speaker of the House of Representatives. The report must also
contain any recommendations for potential legislative or administrative actions that may enhance the
physical security or cyber security of the state's electric grid or natural gas facilities.
Provision of Transportation Fuels by Public Utilities (Sections 4-5)
Present Situation
Under Florida law, the term “public utility” includes providers of electricity or natural gas, with the
exception of rural cooperatives, municipal utilities, special districts, and wholesale-only pipeline
companies.
55
With the growing use of EVs, most public electric utilities in the state have begun to offer
EV charging services through their own public charging equipment, charging equipment at customer
premises, or both. These services are typically provided under pilot programs and at rates approved by
the PSC. Some public natural gas utilities in Florida support natural gas vehicle fueling under specific
rate schedules approved by the PSC, either through publicly accessible compressed natural gas fueling
facilities or through delivery of such gas to customer premises for use by the customer to fuel vehicles
(typically for fleet fueling).
55
S. 366.02(8), F.S. STORAGE NAME: h1645a.ECC PAGE: 10
DATE: 2/1/2024
Effect of the Bill
The bill provides that the PSC, without specific legislative authority, may not authorize a public utility to
expand the scope of its regulated business activity to include direct sales of energy to a consumer
solely for the consumer's use in powering means of transportation owned by the consumer. The bill
provides that it does not apply to limited or pilot programs approved by the PSC before January 1,
2024.
The bill provides specific authority for the PSC to approve public utility programs for residential,
customer-specific EV charging if the PSC determines that the rates and rate structure of the program
will not adversely impact the public utility's general body of ratepayers. The bill requires that all
revenues received from the program must be credited to the utility's retail ratepayers. The bill provides
that it does not preclude cost recovery for EV charging programs approved by the PSC before January
1, 2024.
Relocation of Utility Facilities (Section 6)
Present Situation
Under current law, utilities bear the cost of relocating utility facilities placed upon, under, over, or within
the right-of-way limits of any public road or publicly owned rail corridor which is found by the authority
56
to be unreasonably interfering in any way with the convenient, safe, or continuous use, or the
maintenance, improvement, extension, or expansion, of such public road or publicly owned rail corridor.
Utility owners, upon 30 days’ notice, must eliminate the unreasonable interference within a reasonable
time or an agreed time, at their own expense.
57
These requirements apply even if the utility facility is
within a public utility easement and the utility has a franchise agreement with the authority,
absent some other agreement to the contrary regarding costs of relocation.
58
These costs are
recovered by public utilities through base rates approved by the PSC.
Effect of the Bill
The bill authorizes natural gas public utilities to petition the PSC to annually recover prudently incurred
costs to relocate natural gas facilities
59
to accommodate requirements imposed by DOT and local
government entities.
60
The bill allows each utility to recover such costs through a charge separate and
apart from base rates, referred to in the bill as the natural gas facilities relocation cost recovery clause.
Such costs may not include any costs that the utility recovers through its base rates.
The bill requires the PSC to establish an annual proceeding to review these petitions. This review is
limited to:
Determining the prudence of the utility’s actual incurred natural gas facilities relocation costs;
Determining the reasonableness of the utility’s projected natural gas facilities relocation costs
for the next calendar year; and
Providing for a true-up of the costs with the projections on which past cost recovery charges
were set.
Any refund or collection made pursuant to the true-up process must include applicable interest.
56
As used in ss. 337.401-337.404, F.S., “the authority” means DOT and local government entities. S. 337.401(1)(a), F.S
57
S. 337.403(1)(a)-(j), F.S., provides exceptions.
58
Lee County Electric Coop., Inc. v. City of Cape Coral, 159 So. 3d 126, 130 (Fla. 2d DCA 2014).
59
The bill defines natural gas facilities as gas mains, laterals, and service lines used to distribute natural gas to
customers. The term also includes all ancillary equipment needed for safe operations, including, but not limited to,
regulating stations, meters, other measuring devices, regulators, and pressure monitoring equipment.
60
The bill defines these costs as the costs to relocate or reconstruct facilities as required by a mandate, a statute, a law,
an ordinance, or an agreement between the utility and an authority, including, but not limited to, costs associated with
reviewing plans provided by an authority. STORAGE NAME: h1645a.ECC PAGE: 11
DATE: 2/1/2024
The bill requires that all costs approved pursuant to this clause be allocated to customer classes
pursuant to the rate design most recently approved by the PSC. If a capital expenditure is recoverable
as a natural gas facilities relocation cost, the public utility may recover the annual depreciation on the
cost, calculated at the public utility’s current approved depreciation rates, and a return on the
undepreciated balance of the costs at the public utility’s weighted average cost of capital using the last
approved return on equity.
The bill requires the PSC to adopt implementing rules as soon as practicable.
Energy Guidelines for Public Business (Section 2)
Present Situation
Current law requires state agencies to follow specified guidelines to promote energy efficiency and
other environmental benefits when conducting public business.
61
Such guidelines require state
agencies to:
Consult the Florida Climate-Friendly Preferred Products List
62,63
when procuring products from
state term contracts
64
and procuring such products if the price is comparable;
65
Contract for meeting and conference space only with facilities that have received the “Green
Lodging” designation from DEP for best practices in water, energy, and wastewater efficiency
standards, absent a determination from the agency head that no other viable alternative
exists;
66
Ensure all maintained vehicles meet minimum maintenance schedules shown to reduce fuel
consumption and reporting compliance to the Department of Management Services (DMS);
67
and
Use ethanol and biodiesel blended fuels when available. State agencies administering central
fueling operations for state-owned vehicles must procure biofuels for fleet needs to the greatest
extent practicable.
68
Additionally, when procuring new vehicles, state agencies, state universities, community colleges, and
local governments that purchase vehicles under a state purchasing plan must first define the intended
purpose for the vehicle and determine which statutorily listed use class
69
the vehicle is being procured
for. These vehicles must be selected based on the greatest fuel efficiency available for the appropriate
use class when fuel economy data is available. Exceptions may be made for emergency response
vehicles in certain circumstances.
70
Goods Produced by Child and Forced Labor
61
S. 286.29, F.S.
62
The Florida Climate-Friendly Preferred Products List is developed by the Department of Management Services (DMS),
which works with the Department of Environmental Protection to continually assess the list. The list identifies specific
products and vendors that offer energy efficiency or other environmental benefits over competing products. See s.
286.29(1), F.S.
63
The Florida Climate-Friendly Preferred Products List was last updated in January of 2021 and contains 12
recommended products, which all are categorized as either hand sanitizer or cleaning supplies. See Florida Climate-
Friendly Preferred Products List, Department of Management Services (Jan. 2021),
https://www.dms.myflorida.com/business_operations/state_purchasing/state_contracts_and_agreements/florida_climate-
friendly_preferred_products_list (last visited Jan. 12, 2024).
64
A state term contract is a contract for commodities or contractual services that is competitively procured by DMS and is
used by agencies and other eligible users. See ss. 287.012(28), F.S. and 287.042(2)(a), F.S
65
S. 286.29(1), F.S.
66
S. 286.29(2), F.S.
67
S. 286.29(3), F.S.
68
S. 286.29(5), F.S.
69
Vehicle use classes include: state business travel, designated operator; state business travel, pool operators;
construction, agricultural, or maintenance work; conveyance of passengers; conveyance of building or maintenance
materials and supplies; off-road vehicle, motorcycle, or all-terrain vehicle; emergency response; or other. S. 286.29(4),
F.S.
70
S. 286.29(4), F.S. STORAGE NAME: h1645a.ECC PAGE: 12
DATE: 2/1/2024
The Bureau of International Labor Affairs (ILAB) in the United States Department of Labor maintains a
list of goods and the countries which they are sourced from which ILAB has reason to believe are
produced by child labor or forced labor. ILAB maintains this list to raise awareness about these issues
in an effort to combat them. This list also provides information to consumers by highlighting product
categories that may be at risk of being produced with child labor or forced labor.
71
Effect of the Bill
Under the bill, DMS is no longer required to maintain the Florida Climate-Friendly Preferred Products
List, and state agencies are no longer required to consult the list when procuring products from state
term contracts.
The bill repeals the requirement that state agencies contract for meeting and conference space only
with hotels or conference facilities that have received the “Green Lodging” designation.
Under the bill, state agencies, local governments, state universities, and community colleges procuring
a new vehicle no longer have to select each vehicle based on the greatest fuel efficiency available for
the use class.
The bill requires DMS, in consultation with the Department of Commerce (COM) and DACS, to develop
the Florida Humane Preferred Energy Products List. In developing the list, DMS must assess products
currently available for purchase under state term contracts and identify specific products that appear to
be largely made free from forced labor if the products contain or consist of:
An energy storage device with a capacity of greater that one kilowatt, or
An energy generation device with a capacity of greater than 500 kilowatts.
Under the bill, the term “forced labor” means any work performed or service rendered that is:
Obtained by intimidation, fraud, or coercion, including by threat of serious bodily harm to, or
physical restraint against, a person, by means of a scheme intended to cause the person to
believe that if he or she does not perform such labor or render such service, the person will
suffer serious bodily harm or physical restraint, or by means of the abuse or threatened abuse
of law or the legal process;
Imposed on the basis of a characteristic that has been held by the United States Supreme Court
or the Florida Supreme Court to be protected against discrimination under the Fourteenth
Amendment to the United States Constitution or under s. 2, Art. I of the State Constitution,
including race, color, national origin, religion, gender, or physical disability;
Not performed or rendered voluntarily by a person; or
In violation of the Child Labor Law or otherwise performed or rendered through oppressive child
labor.
When procuring the specified energy storage and generation devices, state agencies and political
subdivisions must consult the Florida Humane Preferred Energy Products List and only purchase
products from the list.
Energy Grant Programs (Sections 10-14)
Present Situation
Renewable Energy and Energy-Efficient Technologies Grant Program
The Renewable Energy and Energy-Efficient Technologies (REET) Grant Program is established within
DACS to provide matching grants for demonstration, commercialization, research, and development
projects relating to renewable energy technologies and innovative technologies that significantly
71
U.S. Department of Labor, Bureau of International Labor Affairs, List of Goods Produced by Child Labor or Forced
Labor, https://www.dol.gov/agencies/ilab/reports/child-labor/list-of-goods (last visited Jan. 12, 2024). STORAGE NAME: h1645a.ECC PAGE: 13
DATE: 2/1/2024
increase energy efficiency for vehicles and commercial buildings.
72
The REET program is no longer
active.
73
Florida Green Government Grants Act
DACS also administers the Florida Green Government Grants Act.
74
DACS is directed to adopt rules
and come up with green government standards that provide for cost-efficient solutions, reducing
greenhouse gas emissions, improving quality of life, and strengthening the state’s economy.
75
DACS
must administer the program to assist local governments, including municipalities, counties, and school
districts in the development and implementation of programs that achieve green standards.
76
The
Florida Green Government Grants program is no longer active.
77
Energy Economic Zone Pilot Program
In 2009, the Legislature authorized the creation of the Energy Economic Zone Pilot Program for the
purpose of developing a model area that incorporates energy-efficient land-use patterns, cultivates
green economic development, encourages the generation of renewable electric energy, and promotes
the manufacturing of “green” products and jobs.
78
Florida law directs the Department of Commerce,
79
in
consultation with the Department of Transportation to implement the program.
80
Qualified Energy Conservation Bond Allocation
Qualified Energy Conservation Bonds (QECBs) are taxable bonds that are issued by state or local
governments to finance one or more qualified energy conservation purpose. QCEBs are federally
funded, with Congress first authorizing the program in 2008. Examples of qualified projects include
energy efficiency capital expenditures in public buildings, green communities, renewable energy
production, and energy efficiency education campaigns.
81
Current law authorizes DACS to establish an
allocation program for Florida’s QCEB allocation in accordance with federal law.
82
Effect of the Bill
The bill repeals the REET Grant Program, the Florida Green Government Grants Act, the Energy
Economic Zone Pilot Program, and all provisions related to Qualified Energy Conservation Bonds.
Under the bill, no new applications, certifications, or allocations may be approved; no new letters of
certification may be issued; no new contracts or agreements may be executed; and no new awards
may be made for the repealed programs. All certifications or allocations issued under such programs
are rescinded except for the certifications of, or allocations to, those certified applicants or projects that
continue to meet the applicable criteria in effect before July 1, 2024. Any existing contract or agreement
authorized under any of these programs shall continue in full force and effect in accordance with the
statutory requirements in effect when the contract or agreement was executed or last modified.
72
S. 377.804, F.S.
73
Email from Isabelle Garbarino, Director of Legislative Affairs, Florida Department of Agriculture and Consumer
Services, RE: [External]RE: Question about grants programs (Jan. 22, 2024).
74
S. 377.808, F.S.
75
S. 377.808(2), F.S.
76
Id.
77
Email from Isabelle Garbarino, Director of Legislative Affairs, Florida Department of Agriculture and Consumer
Services, RE: [External]RE: Question about grants programs (Jan. 22, 2024).
78
S. 377.809(1), F.S.
79
In 2023, the Department of Economic Opportunity was renamed as the Department of Commerce. See Chapter 2023-
173, Laws of Fla.
80
S. 377.809(1), F.S.
81
Kelly Smith Burk, Florida Department of Agriculture and Consumer Services, Qualified Energy Efficiency Conservation
Bonds (QCEB) Formula Allocations to Large Local Jurisdiction (Apr. 23, 2015),
https://ccmedia.fdacs.gov/content/download/60128/file/FDACS%27_Memorandum_regarding_Qualified_Energy_Conserv
ation_Bond_Formula_Allocations_to_Large_Local_Governments.pdf (last visited Jan. 25, 2024).
82
S. 377.816, F.S. STORAGE NAME: h1645a.ECC PAGE: 14
DATE: 2/1/2024
However, further modifications, extensions, or waivers may not be made or granted relating to such
contracts or agreements, except computations by the Department of Revenue of the income generated
by or arising out of the qualifying project.
Consumer Choice of Energy Resources (Sections 3, 16)
Present Situation
Community Development Districts
Community development districts (CDDs) are a type of independent special district intended to provide
urban community services in a cost-effective manner by managing and financing the delivery of basic
services and capital infrastructure to developing communities without overburdening other governments
and their taxpayers.
83
As of January 18, 2024, there were 961 active CDDs in Florida.
84
Each CDD is governed by a five-member board elected by the landowners of the district on a one-acre,
one-vote basis.
85
Board members serve four-year terms, except some initial board members serve a
two-year term for the purpose of creating staggered terms.
86
After the sixth year (for districts of up to
5,000 acres) or the 10th year (for districts exceeding 5,000 acres or for a compact, urban, mixed-use
district
87
) following the CDD’s creation, each member of the board is subject to election by the electors
of the district at the conclusion of their term. However, this transition does not occur if the district has
fewer than 250 qualified electors (for districts of up to 5,000 acres) or 500 qualified electors (for districts
exceeding 5,000 acres or for a compact, urban, mixed-use district).
88
Homeowners’ Associations
A homeowners’ association (HOA) is an association of residential property owners in which voting
membership is made up of parcel owners and membership is a mandatory condition of parcel
ownership. HOAs are authorized to impose assessments that, if unpaid, may become a lien on the
parcel.
89
Only HOAs whose covenants and restrictions include mandatory assessments are regulated under
chapter 720, F.S., the Homeowners’ Association Act (HOA Act). An HOA is administered by an elected
board of directors (board). The powers and duties of an HOA include the powers and duties provided in
the HOA Act and in the association’s governing documents, which include the recorded covenants and
restrictions, together with the bylaws, articles of incorporation, and duly adopted amendments to those
documents.
90
An HOA must be a Florida corporation, and the initial governing documents must be recorded in the
official records of the county in which the community is located. The powers and duties of an
association include those set forth in the HOA Act and in the governing documents, except as
expressly limited or restricted in the HOA Act.
HOA governing documents may not:
83
S. 190.002(1)(a), F.S.
84
Dept. of Commerce, Special District Accountability Program, Official List of Special Districts, available at
https://specialdistrictreports.floridajobs.org/OfficialList/CustomList (last visited Jan. 26, 2024).
85
S. 190.006(2), F.S.
86
S. 190.006(1), F.S.
87
S. 190.006(3)(a)2.a., F.S. A “compact, urban, mixed-use district” is a district located within a municipality and a CRA
that consists of a maximum of 75 acres, and has development entitlements of at least 400,000 square feet of retail
development and 500 residential units. S, 190.003(7), F.S.
88
S. 190.006(3)(a)2.b., F.S.
89
S. 720.301(9), F.S.
90
See generally ch. 720, F.S. STORAGE NAME: h1645a.ECC PAGE: 15
DATE: 2/1/2024
Prohibit a homeowner from displaying up to two portable, removable flags in a respectful
manner, consistent with the requirements for the United States flag.
91
Prohibit any property owner from implementing Florida-friendly landscaping
92
on his or her land
or create any requirement or limitation in conflict with any provision of part II of Chapter 373,
F.S., regarding consumptive uses of water or a water shortages order.
93
Prohibit solar collectors, clotheslines, or other energy devices based on renewable resources
from being installed on buildings erected on the lots or parcels covered by the deed restriction,
covenant, declaration, or binding agreement.
94
Additionally, HOAs may not restrict the installation, display, and storage of any items on a parcel that
are not visible from the parcel’s frontage or an adjacent parcel, unless the item is prohibited by general
law or local ordinance. Such items include, but are not limited to:
95
Artificial turf.
Boats.
Flags.
Recreational vehicles.
Effect of the Bill
Prohibition of CDD Energy Use Restrictions
The bill provides that development district resolutions, ordinances, rules, codes, or policies, may not
take any action that restricts or prohibits, or has the effect of restricting or prohibiting, certain types or
fuel sources of energy production which may be used, delivered, converted, or supplied by the
following entities to serve customers that these entities are authorized to serve:
Investor-owned electric utilities;
Municipal electric utilities;
Rural electric cooperatives;
Entities formed by interlocal agreement to generate, sell, and transmit electrical energy;
Investor-owned gas utilities;
Gas districts;
Municipal natural gas utilities;
Natural gas transmission companies; and
Certain propane dealers, dispensers, and gas cylinder exchange operators.
The bill also provides that development district resolutions, ordinances, rules, codes, or policies, may
not take any action that restricts or prohibits, or have the effect of restricting or prohibiting, the use of
any appliance,
96
including a stove or grill, which uses the types or fuel source of energy production
which may be used, delivered, converted, or supplied by the entities listed above.
Prohibition of HOA Energy Use Restrictions
The bill provides that HOA documents, including declarations of covenants, articles of incorporation, or
bylaws, may not preclude the types or fuel sources of energy production which may be used, delivered,
91
S. 720.3075(3), F.S.
92
Section 373.185, F.S., defines “Florida-friendly landscaping” as quality landscapes that conserve water, protect the
environment, are adaptable to local conditions, and are drought tolerant. The principles of such landscaping include
planting the right plant in the right place, efficient watering, appropriate fertilization, mulching, attraction of wildlife,
responsible management of yard pests, recycling yard waste, reduction of stormwater runoff, and waterfront protection.
Additional components include practices such as landscape planning and design, soil analysis, the appropriate use of
solid waste compost, minimizing the use of irrigation, and proper maintenance.
93
S. 720.3075(4), F.S.
94
S. 163.04(2), F.S.
95
S. 720.3045, F.S.
96
The bill defines the term “appliance” as a device or apparatus manufactured and designed to use energy and for which
the Florida Building Code or the Florida Fire Prevention Code provides specific requirements. STORAGE NAME: h1645a.ECC PAGE: 16
DATE: 2/1/2024
converted, or supplied by the following entities to customer within the HOA that these entities are
authorized to serve:
Investor-owned electric utilities;
Municipal electric utilities;
Rural electric cooperatives;
Entities formed by interlocal agreement to generate, sell, and transmit electrical energy;
Investor-owned gas utilities;
Gas districts;
Municipal natural gas utilities;
Natural gas transmission companies; and
Certain propane dealers, dispensers, and gas cylinder exchange operators.
The bill also provides that HOA declarations of covenants, articles of incorporation, or bylaws may not
preclude, the use of any appliance,
97
including a stove or grill, which uses the types or fuel source of
energy production which may be used, delivered, converted, or supplied by the entities listed above.
Developing Energy Technologies (Sections 18, 19)
Present Situation
Nuclear Technologies
Historically, nuclear power generation in the United States has relied on large light water reactors
(LWRs) which were first commercialized in the 1950s.
98
Following the passage of the 2005 Energy
Policy Act, federal loan guarantees along with state financing mechanisms began to spur activity in
nuclear reactor development throughout states.
99
This activity slowed after public sentiment turned
against nuclear power due to safety concerns related to the 2011 disaster at the Fukushima Daiichi
nuclear plant in Japan and after the economics of power generation changed due to falling natural gas
prices.
100
However, there has been increasing interest in “advanced nuclear reactors”
101
and “small
modular reactors”
102
recently.
103
Advanced nuclear reactors are believed to improve upon earlier
generations of reactors in areas of: cost, safety, security, waste management, and versatility.
104
Nuclear energy is “carbon-free” as it does not directly produce carbon dioxide or other greenhouse
gases.
105
Nuclear power provides more than half of the carbon-free electricity produced in the U.S.
106
Nuclear energy currently constitutes 8% of electric generating capacity in the United States, yet
generates 18% of the total electricity in the country.
107
Nuclear energy generates about 13% of total
electricity generation in Florida.
108
This is because most nuclear plants operate around the clock and
97
The bill defines the term “appliance” as a device or apparatus manufactured and designed to use energy and for which
the Florida Building Code or the Florida Fire Prevention Code provides specific requirements.
98
MARK HOLT, CONG. RSCH. SERV., R45706, ADVANCED NUCLEAR REACTORS: TECHNOLOGY OVERVIEW AND CURRENT ISSUES
(2023) [hereinafter CRS Report, Advanced Nuclear Reactors].
99
Daniel Shea, Nuclear Policy in the States: A National Review, Journal of Critical Infrastructure Policy, Fall/Winter 2023,
at 14-15 [hereinafter Shea, Nuclear Policy in the States].
100
Id. at 15.
101
An advanced nuclear reactor is a fission reactor “with significant improvements compared to reactors operating on the
date of enactment” or a reactor using nuclear fusion. 42 U.S.C § 16271(b)(1).
102
Small modular reactors are a form of advanced nuclear reactor with an electric generating capacity of 300 MW.
Advanced nuclear reactors can be configured into small modular reactors. CRS Report, Advanced Nuclear Reactors,
supra note 98, at 3-4.
103
Id. at Introduction.
104
CRS Report, Advanced Nuclear Reactors, supra note 98, at 3.
105
Anne White & Aaron Krol, Nuclear Energy, Climate Portal (Oct. 14, 2020), https://climate.mit.edu/explainers/nuclear-
energy (last visited Jan. 13, 2024).
106
Id.
107
U.S. Energy Information Administration, U.S. energy facts explained, https://www.eia.gov/energyexplained/us-energy-
facts/data-and-statistics.php (last visited Jan. 12, 2024).
108
U.S. Energy Information Administration, Florida’s electricity generation mix is changing, (Aug. 24, 2023),
https://www.eia.gov/todayinenergy/detail.php?id=60221 (last visited Jan. 19, 2024). STORAGE NAME: h1645a.ECC PAGE: 17
DATE: 2/1/2024
generate at maximum capacity around 93% of the time – nearly twice the capacity factor of resources
like coal and natural gas, and triple that of wind and solar.
109
State legislation related to nuclear energy has increased over the past decades.
110
These policies
address different vantage points; some states have enacted policies to insulate their existing fleet of
reactors from premature closure, while others have enacted policies to develop new nuclear
capacity.
111
Many states have directed the conduct of studies on advanced nuclear reactors.
112
Hydrogen for Transportation
Hydrogen powered vehicles use hydrogen as a fuel source and produce no harmful tailpipe emissions
as they only emit water vapor and warm air.
113
Currently, hydrogen powered vehicles are only available
in select markets like southern and northern California.
114
This is because California is the only state
which has a hydrogen fueling infrastructure, with over 60 public stations.
115
California implemented its hydrogen fueling infrastructure with its “Hydrogen Highway Network”
(Network) in 2004, which was later implemented by the legislature in 2005. The Network was designed
with the desire to expand zero-emission hydrogen fuel cell electric cars by expanding California’s
network of hydrogen refueling stations.
116
While hydrogen powered vehicles are environmentally
beneficial, issues arise from the fueling infrastructure. Such issues, made apparent by the Network,
include
117
:
Vehicles becoming stranded because of lack of fueling stations;
Frequent station malfunctions/shortages; and
High state subsidies per fueling station.
In October 2023, the U.S. Department of Energy announced $7 billion in federal funding under the
Bipartisan Infrastructure Law to fund seven Regional Clean Hydrogen Hubs. The purpose of these
investments is to “accelerate the commercial-scale deployment of clean hydrogen helping to generate
clean, dispatchable power, create a new form of energy storage, and decarbonize heavy industry and
transportation.”
118
Effect of the Bill
Evaluation of Advanced Nuclear Technologies
The bill requires the PSC to study and evaluate the technical and economic feasibility of using
advanced nuclear power technologies, including SMRs, to meet the electrical power needs of the state.
The bill also requires the PSC to research means to encourage installation and use of nuclear
technologies at military installations in the state in partnership with public utilities. In conducting this
109
Shea, Nuclear Policy in the States, supra note 99, at 16.
110
Daniel Shea, Nuclear Power and the Clean Energy Transition (Apr. 6, 2023), https://www.ncsl.org/energy/nuclear-
power-and-the-clean-energy-transition (last visited Jan. 13, 2024) (noting an increase from 74 bills considered in 2016 to
more than 160 bills considered in 2022 in relation to nuclear energy).
111
Id.
112
See e.g., MICH. COMP. LAWS § 460.10hh (2022); Montana Senate Joint Resolution 3 (2021); Penn. HR 238 (2022).
113
United States Department of Energy, Fuel Cell Electric Vehicles, https://afdc.energy.gov/vehicles/fuel_cell.html (last
visited Jan. 13, 2024).
114
United States Department of Energy, Hydrogen Fuel Cell Electric Vehicle Availability,
https://afdc.energy.gov/vehicles/fuel_cell_availability.html (last visited Jan. 13, 2024).
115
United States Department of Energy, Hydrogen Fueling Station Locations by State, https://afdc.energy.gov/data/10370
(last visited Jan. 13, 2024).
116
California Energy Commission, Hydrogen Vehicles & Refueling Infrastructure, https://www.energy.ca.gov/programs-
and-topics/programs/clean-transportation-program/clean-transportation-funding-areas-1 (last visited Jan. 13, 2014).
117
Evan Halper, Is California’s ‘Hydrogen Highway’ a road to nowhere?, L.A. Times, Aug. 10, 2021.
118
U.S. DOE, Office of Clean Energy Demonstrations, Regional Clean Hydrogen Hubs Selections for Award Negotiations,
https://www.energy.gov/oced/regional-clean-hydrogen-hubs-selections-award-negotiations (last visited Jan. 26, 2024). STORAGE NAME: h1645a.ECC PAGE: 18
DATE: 2/1/2024
study, the PSC must consult with the Department of Environmental Protection and the Division of
Emergency Management.
By April 1, 2025, the PSC must prepare and submit a report to the Governor, the President of the
Senate, and the Speaker of the House of Representatives containing its findings and recommendations
for potential legislative or administrative actions that may enhance the use of advanced nuclear
technologies in a manner consistent with the state energy policy goals established by the bill.
Evaluation of Hydrogen Fueling Infrastructure
The bill requires DOT, in consultation with DACS, to study and evaluate the potential development of
hydrogen fueling infrastructure, including fueling stations, to support hydrogen-powered vehicles that
use the state highway system.
By April 1, 2025, DOT must prepare and submit a report to the Governor, the President of the Senate,
and the Speaker of the House of Representatives containing its findings and any recommendations for
potential legislative or administrative actions concerning the development of hydrogen fueling
infrastructure in manner consistent with the state energy policy goals established by the bill.
B. SECTION DIRECTORY:
Section 1. Creates s. 163.3210, F.S., relating to natural gas resiliency and reliability infrastructure.
Section 2. Amends s. 286.29, F.S., relating to energy guidelines for public business.
Section 3. Amends s. 366.032, F.S., relating to preemptions over utility service restrictions.
Section 4. Amends s. 366.04, F.S., relating to jurisdiction of the Public Service Commission.
Section 5. Amends s. 366.94, F.S., relating to electric vehicle charging.
Section 6. Creates s. 366.99, F.S.; relating to natural gas facilities relocation costs.
Section 7. Amends s. 377.601, F.S., relating to legislative intent.
Section 8. Amends s. 377.6015, F.S., relating to the Department of Agriculture and Consumer
Services; powers and duties.
Section 9. Amends s. 377.703, F.S., relating to additional functions of the Department of Agriculture
and Consumer Services.
Section 10. Repeals energy-related grants programs.
Section 11. Provides construction.
Section 12. Amends s. 220.193, F.S., relating to Florida renewable energy production credit.
Section 13. Amends s. 288.9606, F.S., relating to issue of revenue bonds.
Section 14. Amends s. 380.0651, F.S., relating to statewide guidelines, standards, and exemptions.
Section 15. Amends s. 403.9405, F.S. relating to applicability; certification; exemption; notice of
intent under the Natural Gas Transmission Pipeline Siting Act.
Section 16. Amends s. 720.3075, F.S., relating to prohibited clauses in association documents.
Section 17. Directs the Public Service Commission to conduct a security and resiliency assessment.
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Section 18. Directs the Public Service Commission to study and evaluate advanced nuclear
technologies.
Section 19. Directs the Department of Transportation to study and evaluate hydrogen fueling
infrastructure.
Section 20. Provides an effective date of July 1, 2024.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
The bill may have a negative impact on state government expenditures because it imposes the
following new requirements for specified state agencies, which may require the expenditure of
resources:
PSC assessment of the security and resiliency of the state's electric grid and natural gas
facilities;
DMS development of a Florida Humane Preferred Energy Products List;
PSC study and evaluation of advanced nuclear power technologies; and
DOT study and evaluation of the potential development of hydrogen fueling infrastructure.
Affected agencies may be able to satisfy all or some of these requirements with existing resources.
Further, affected agencies may see expenditures offset to some degree by potential savings, and
other agencies may see reduced expenditures, related to:
Elimination of certain state purchasing requirements; and
Expansion of the types of intrastate natural gas pipelines that are exempt from siting under
the Natural Gas Transmission Pipeline Siting Act.
The impact of requiring state agencies to purchase certain energy-related items from a new Florida
Humane Preferred Energy Products List, as required by the bill, is indeterminate.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
2. Expenditures:
The impact of requiring political subdivisions of the state to purchase certain energy-related items
from a new Florida Humane Preferred Energy Products List, as required by the bill, is
indeterminate.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
The bill refocuses state energy policy on promoting and ensuring a cost-effective, reliable, resilient,
safe, diverse, and U.S. sourced energy supply and makes specific changes in law to meet these policy
goals. The bill also attempts to streamline certain regulatory requirements to strengthen energy
infrastructure, prepare Florida to respond to changing market forces, and increase market-based
policies within Florida’s various energy sectors. To the extent these changes succeed, there will be
direct positive impacts on the economic well-being of Florida’s businesses and consumers.
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D. FISCAL COMMENTS:
None.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
Not Applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditures of funds; reduce the authority that counties or municipalities have
to raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.
2. Other:
None.
B. RULE-MAKING AUTHORITY:
None.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
On January 30, 2024, the Energy, Communications & Cybersecurity Subcommittee adopted a strike-all
amendment to the bill and reported the bill favorably as a committee substitute. The strike-all amendment:
Removed provisions that:
o Require public utilities to obtain approval from the Public Service Commission (PSC) to
retire certain electrical power plants and require the PSC to inform and provide technical
support to the Attorney General if a plant retirement is required or induced by federal
regulation and is inconsistent with the state’s energy policy goals.
o Require the PSC to develop certain smart grid policies to be submitted for consideration by
the Legislature.
o Require the Department of Transportation (DOT) to offer potential access to vendors of
certain alternative motor vehicle fuels and repowering stations along the turnpike system.
o Create an Electric Vehicle Battery Deposit Program within the Department of Highway
Safety and Motor Vehicles.
Provided for the recovery of certain facility relocation costs incurred by a natural gas utility through
a charge separate from the utility’s base rates.
Extended due dates for certain reports that the bill requires the PSC and DOT to submit.
Corrected drafting errors.
This analysis is drafted to the committee substitute as passed by the Energy, Communications &
Cybersecurity Subcommittee.