104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1544 Introduced , by Rep. Tony M. McCombie SYNOPSIS AS INTRODUCED: 415 ILCS 5/9.15 Amends the Environmental Protection Act. In a provision regarding greenhouse gases, extends deadlines by 5 years for reduced or zero carbon dioxide equivalent and copollutant emissions by certain electric generating units and large greenhouse gas-emitting units. LRB104 03409 BDA 13431 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1544 Introduced , by Rep. Tony M. McCombie SYNOPSIS AS INTRODUCED: 415 ILCS 5/9.15 415 ILCS 5/9.15 Amends the Environmental Protection Act. In a provision regarding greenhouse gases, extends deadlines by 5 years for reduced or zero carbon dioxide equivalent and copollutant emissions by certain electric generating units and large greenhouse gas-emitting units. LRB104 03409 BDA 13431 b LRB104 03409 BDA 13431 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1544 Introduced , by Rep. Tony M. McCombie SYNOPSIS AS INTRODUCED: 415 ILCS 5/9.15 415 ILCS 5/9.15 415 ILCS 5/9.15 Amends the Environmental Protection Act. In a provision regarding greenhouse gases, extends deadlines by 5 years for reduced or zero carbon dioxide equivalent and copollutant emissions by certain electric generating units and large greenhouse gas-emitting units. LRB104 03409 BDA 13431 b LRB104 03409 BDA 13431 b LRB104 03409 BDA 13431 b A BILL FOR HB1544LRB104 03409 BDA 13431 b HB1544 LRB104 03409 BDA 13431 b HB1544 LRB104 03409 BDA 13431 b 1 AN ACT concerning safety. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Environmental Protection Act is amended by 5 changing Section 9.15 as follows: 6 (415 ILCS 5/9.15) 7 Sec. 9.15. Greenhouse gases. 8 (a) An air pollution construction permit shall not be 9 required due to emissions of greenhouse gases if the 10 equipment, site, or source is not subject to regulation, as 11 defined by 40 CFR 52.21, as now or hereafter amended, for 12 greenhouse gases or is otherwise not addressed in this Section 13 or by the Board in regulations for greenhouse gases. These 14 exemptions do not relieve an owner or operator from the 15 obligation to comply with other applicable rules or 16 regulations. 17 (b) An air pollution operating permit shall not be 18 required due to emissions of greenhouse gases if the 19 equipment, site, or source is not subject to regulation, as 20 defined by Section 39.5 of this Act, for greenhouse gases or is 21 otherwise not addressed in this Section or by the Board in 22 regulations for greenhouse gases. These exemptions do not 23 relieve an owner or operator from the obligation to comply 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1544 Introduced , by Rep. Tony M. McCombie SYNOPSIS AS INTRODUCED: 415 ILCS 5/9.15 415 ILCS 5/9.15 415 ILCS 5/9.15 Amends the Environmental Protection Act. In a provision regarding greenhouse gases, extends deadlines by 5 years for reduced or zero carbon dioxide equivalent and copollutant emissions by certain electric generating units and large greenhouse gas-emitting units. LRB104 03409 BDA 13431 b LRB104 03409 BDA 13431 b LRB104 03409 BDA 13431 b A BILL FOR 415 ILCS 5/9.15 LRB104 03409 BDA 13431 b HB1544 LRB104 03409 BDA 13431 b HB1544- 2 -LRB104 03409 BDA 13431 b HB1544 - 2 - LRB104 03409 BDA 13431 b HB1544 - 2 - LRB104 03409 BDA 13431 b 1 with other applicable rules or regulations. 2 (c) (Blank). 3 (d) (Blank). 4 (e) (Blank). 5 (f) As used in this Section: 6 "Carbon dioxide emission" means the plant annual CO2 total 7 output emission as measured by the United States Environmental 8 Protection Agency in its Emissions & Generation Resource 9 Integrated Database (eGrid), or its successor. 10 "Carbon dioxide equivalent emissions" or "CO2e" means the 11 sum total of the mass amount of emissions in tons per year, 12 calculated by multiplying the mass amount of each of the 6 13 greenhouse gases specified in Section 3.207, in tons per year, 14 by its associated global warming potential as set forth in 40 15 CFR 98, subpart A, table A-1 or its successor, and then adding 16 them all together. 17 "Cogeneration" or "combined heat and power" refers to any 18 system that, either simultaneously or sequentially, produces 19 electricity and useful thermal energy from a single fuel 20 source. 21 "Copollutants" refers to the 6 criteria pollutants that 22 have been identified by the United States Environmental 23 Protection Agency pursuant to the Clean Air Act. 24 "Electric generating unit" or "EGU" means a fossil 25 fuel-fired stationary boiler, combustion turbine, or combined 26 cycle system that serves a generator that has a nameplate HB1544 - 2 - LRB104 03409 BDA 13431 b HB1544- 3 -LRB104 03409 BDA 13431 b HB1544 - 3 - LRB104 03409 BDA 13431 b HB1544 - 3 - LRB104 03409 BDA 13431 b 1 capacity greater than 25 MWe and produces electricity for 2 sale. 3 "Environmental justice community" means the definition of 4 that term based on existing methodologies and findings, used 5 and as may be updated by the Illinois Power Agency and its 6 program administrator in the Illinois Solar for All Program. 7 "Equity investment eligible community" or "eligible 8 community" means the geographic areas throughout Illinois that 9 would most benefit from equitable investments by the State 10 designed to combat discrimination and foster sustainable 11 economic growth. Specifically, eligible community means the 12 following areas: 13 (1) areas where residents have been historically 14 excluded from economic opportunities, including 15 opportunities in the energy sector, as defined as R3 areas 16 pursuant to Section 10-40 of the Cannabis Regulation and 17 Tax Act; and 18 (2) areas where residents have been historically 19 subject to disproportionate burdens of pollution, 20 including pollution from the energy sector, as established 21 by environmental justice communities as defined by the 22 Illinois Power Agency pursuant to the Illinois Power 23 Agency Act, excluding any racial or ethnic indicators. 24 "Equity investment eligible person" or "eligible person" 25 means the persons who would most benefit from equitable 26 investments by the State designed to combat discrimination and HB1544 - 3 - LRB104 03409 BDA 13431 b HB1544- 4 -LRB104 03409 BDA 13431 b HB1544 - 4 - LRB104 03409 BDA 13431 b HB1544 - 4 - LRB104 03409 BDA 13431 b 1 foster sustainable economic growth. Specifically, eligible 2 person means the following people: 3 (1) persons whose primary residence is in an equity 4 investment eligible community; 5 (2) persons whose primary residence is in a 6 municipality, or a county with a population under 100,000, 7 where the closure of an electric generating unit or mine 8 has been publicly announced or the electric generating 9 unit or mine is in the process of closing or closed within 10 the last 5 years; 11 (3) persons who are graduates of or currently enrolled 12 in the foster care system; or 13 (4) persons who were formerly incarcerated. 14 "Existing emissions" means: 15 (1) for CO2e, the total average tons-per-year of CO2e 16 emitted by the EGU or large GHG-emitting unit either in 17 the years 2018 through 2020 or, if the unit was not yet in 18 operation by January 1, 2018, in the first 3 full years of 19 that unit's operation; and 20 (2) for any copollutant, the total average 21 tons-per-year of that copollutant emitted by the EGU or 22 large GHG-emitting unit either in the years 2018 through 23 2020 or, if the unit was not yet in operation by January 1, 24 2018, in the first 3 full years of that unit's operation. 25 "Green hydrogen" means a power plant technology in which 26 an EGU creates electric power exclusively from electrolytic HB1544 - 4 - LRB104 03409 BDA 13431 b HB1544- 5 -LRB104 03409 BDA 13431 b HB1544 - 5 - LRB104 03409 BDA 13431 b HB1544 - 5 - LRB104 03409 BDA 13431 b 1 hydrogen, in a manner that produces zero carbon and 2 copollutant emissions, using hydrogen fuel that is 3 electrolyzed using a 100% renewable zero carbon emission 4 energy source. 5 "Large greenhouse gas-emitting unit" or "large 6 GHG-emitting unit" means a unit that is an electric generating 7 unit or other fossil fuel-fired unit that itself has a 8 nameplate capacity or serves a generator that has a nameplate 9 capacity greater than 25 MWe and that produces electricity, 10 including, but not limited to, coal-fired, coal-derived, 11 oil-fired, natural gas-fired, and cogeneration units. 12 "NOx emission rate" means the plant annual NOx total output 13 emission rate as measured by the United States Environmental 14 Protection Agency in its Emissions & Generation Resource 15 Integrated Database (eGrid), or its successor, in the most 16 recent year for which data is available. 17 "Public greenhouse gas-emitting units" or "public 18 GHG-emitting unit" means large greenhouse gas-emitting units, 19 including EGUs, that are wholly owned, directly or indirectly, 20 by one or more municipalities, municipal corporations, joint 21 municipal electric power agencies, electric cooperatives, or 22 other governmental or nonprofit entities, whether organized 23 and created under the laws of Illinois or another state. 24 "SO2 emission rate" means the "plant annual SO2 total 25 output emission rate" as measured by the United States 26 Environmental Protection Agency in its Emissions & Generation HB1544 - 5 - LRB104 03409 BDA 13431 b HB1544- 6 -LRB104 03409 BDA 13431 b HB1544 - 6 - LRB104 03409 BDA 13431 b HB1544 - 6 - LRB104 03409 BDA 13431 b 1 Resource Integrated Database (eGrid), or its successor, in the 2 most recent year for which data is available. 3 (g) All EGUs and large greenhouse gas-emitting units that 4 use coal or oil as a fuel and are not public GHG-emitting units 5 shall permanently reduce all CO2e and copollutant emissions to 6 zero no later than January 1, 2035 2030. 7 (h) All EGUs and large greenhouse gas-emitting units that 8 use coal as a fuel and are public GHG-emitting units shall 9 permanently reduce CO2e emissions to zero no later than 10 December 31, 2050 2045. Any source or plant with such units 11 must also reduce their CO2e emissions by 45% from existing 12 emissions by no later than January 1, 2040 2035. If the 13 emissions reduction requirement is not achieved by December 14 31, 2040 2035, the plant shall retire one or more units or 15 otherwise reduce its CO2e emissions by 45% from existing 16 emissions by June 30, 2043 2038. 17 (i) All EGUs and large greenhouse gas-emitting units that 18 use gas as a fuel and are not public GHG-emitting units shall 19 permanently reduce all CO2e and copollutant emissions to zero, 20 including through unit retirement or the use of 100% green 21 hydrogen or other similar technology that is commercially 22 proven to achieve zero carbon emissions, according to the 23 following: 24 (1) No later than January 1, 2035 2030: all EGUs and 25 large greenhouse gas-emitting units that have a NOx 26 emissions rate of greater than 0.12 lbs/MWh or a SO2 HB1544 - 6 - LRB104 03409 BDA 13431 b HB1544- 7 -LRB104 03409 BDA 13431 b HB1544 - 7 - LRB104 03409 BDA 13431 b HB1544 - 7 - LRB104 03409 BDA 13431 b 1 emission rate of greater than 0.006 lb/MWh, and are 2 located in or within 3 miles of an environmental justice 3 community designated as of January 1, 2021 or an equity 4 investment eligible community. 5 (2) No later than January 1, 2045 2040: all EGUs and 6 large greenhouse gas-emitting units that have a NOx 7 emission rate of greater than 0.12 lbs/MWh or a SO2 8 emission rate greater than 0.006 lb/MWh, and are not 9 located in or within 3 miles of an environmental justice 10 community designated as of January 1, 2021 or an equity 11 investment eligible community. After January 1, 2040 2035, 12 each such EGU and large greenhouse gas-emitting unit shall 13 reduce its CO2e emissions by at least 50% from its existing 14 emissions for CO2e, and shall be limited in operation to, 15 on average, 6 hours or less per day, measured over a 16 calendar year, and shall not run for more than 24 17 consecutive hours except in emergency conditions, as 18 designated by a Regional Transmission Organization or 19 Independent System Operator. 20 (3) No later than January 1, 2040 2035: all EGUs and 21 large greenhouse gas-emitting units that began operation 22 prior to September 15, 2021 (the effective date of Public 23 Act 102-662), the effective date of this amendatory Act of 24 the 102nd General Assembly and have a NOx emission rate of 25 less than or equal to 0.12 lb/MWh and a SO2 emission rate 26 less than or equal to 0.006 lb/MWh, and are located in or HB1544 - 7 - LRB104 03409 BDA 13431 b HB1544- 8 -LRB104 03409 BDA 13431 b HB1544 - 8 - LRB104 03409 BDA 13431 b HB1544 - 8 - LRB104 03409 BDA 13431 b 1 within 3 miles of an environmental justice community 2 designated as of January 1, 2021 or an equity investment 3 eligible community. Each such EGU and large greenhouse 4 gas-emitting unit shall reduce its CO2e emissions by at 5 least 50% from its existing emissions for CO2e no later 6 than January 1, 2035 2030. 7 (4) No later than January 1, 2045 2040: All remaining 8 EGUs and large greenhouse gas-emitting units that have a 9 heat rate greater than or equal to 7000 BTU/kWh. Each such 10 EGU and Large greenhouse gas-emitting unit shall reduce 11 its CO2e emissions by at least 50% from its existing 12 emissions for CO2e no later than January 1, 2040 2035. 13 (5) No later than January 1, 2050 2045: all remaining 14 EGUs and large greenhouse gas-emitting units. 15 (j) All EGUs and large greenhouse gas-emitting units that 16 use gas as a fuel and are public GHG-emitting units shall 17 permanently reduce all CO2e and copollutant emissions to zero, 18 including through unit retirement or the use of 100% green 19 hydrogen or other similar technology that is commercially 20 proven to achieve zero carbon emissions by January 1, 2050 21 2045. 22 (k) All EGUs and large greenhouse gas-emitting units that 23 utilize combined heat and power or cogeneration technology 24 shall permanently reduce all CO2e and copollutant emissions to 25 zero, including through unit retirement or the use of 100% 26 green hydrogen or other similar technology that is HB1544 - 8 - LRB104 03409 BDA 13431 b HB1544- 9 -LRB104 03409 BDA 13431 b HB1544 - 9 - LRB104 03409 BDA 13431 b HB1544 - 9 - LRB104 03409 BDA 13431 b 1 commercially proven to achieve zero carbon emissions by 2 January 1, 2050 2045. 3 (k-5) No EGU or large greenhouse gas-emitting unit that 4 uses gas as a fuel and is not a public GHG-emitting unit may 5 emit, in any 12-month period, CO2e or copollutants in excess of 6 that unit's existing emissions for those pollutants. 7 (l) Notwithstanding subsections (g) through (k-5), large 8 GHG-emitting units including EGUs may temporarily continue 9 emitting CO2e and copollutants after any applicable deadline 10 specified in any of subsections (g) through (k-5) if it has 11 been determined, as described in paragraphs (1) and (2) of 12 this subsection, that ongoing operation of the EGU is 13 necessary to maintain power grid supply and reliability or 14 ongoing operation of large GHG-emitting unit that is not an 15 EGU is necessary to serve as an emergency backup to 16 operations. Up to and including the occurrence of an emission 17 reduction deadline under subsection (i), all EGUs and large 18 GHG-emitting units must comply with the following terms: 19 (1) if an EGU or large GHG-emitting unit that is a 20 participant in a regional transmission organization 21 intends to retire, it must submit documentation to the 22 appropriate regional transmission organization by the 23 appropriate deadline that meets all applicable regulatory 24 requirements necessary to obtain approval to permanently 25 cease operating the large GHG-emitting unit; 26 (2) if any EGU or large GHG-emitting unit that is a HB1544 - 9 - LRB104 03409 BDA 13431 b HB1544- 10 -LRB104 03409 BDA 13431 b HB1544 - 10 - LRB104 03409 BDA 13431 b HB1544 - 10 - LRB104 03409 BDA 13431 b 1 participant in a regional transmission organization 2 receives notice that the regional transmission 3 organization has determined that continued operation of 4 the unit is required, the unit may continue operating 5 until the issue identified by the regional transmission 6 organization is resolved. The owner or operator of the 7 unit must cooperate with the regional transmission 8 organization in resolving the issue and must reduce its 9 emissions to zero, consistent with the requirements under 10 subsection (g), (h), (i), (j), (k), or (k-5), as 11 applicable, as soon as practicable when the issue 12 identified by the regional transmission organization is 13 resolved; and 14 (3) any large GHG-emitting unit that is not a 15 participant in a regional transmission organization shall 16 be allowed to continue emitting CO2e and copollutants 17 after the zero-emission date specified in subsection (g), 18 (h), (i), (j), (k), or (k-5), as applicable, in the 19 capacity of an emergency backup unit if approved by the 20 Illinois Commerce Commission. 21 (m) No variance, adjusted standard, or other regulatory 22 relief otherwise available in this Act may be granted to the 23 emissions reduction and elimination obligations in this 24 Section. 25 (n) By June 30 of each year, beginning in 2025, the Agency 26 shall prepare and publish on its website a report setting HB1544 - 10 - LRB104 03409 BDA 13431 b HB1544- 11 -LRB104 03409 BDA 13431 b HB1544 - 11 - LRB104 03409 BDA 13431 b HB1544 - 11 - LRB104 03409 BDA 13431 b 1 forth the actual greenhouse gas emissions from individual 2 units and the aggregate statewide emissions from all units for 3 the prior year. 4 (o) Every 5 years beginning in 2025, the Environmental 5 Protection Agency, Illinois Power Agency, and Illinois 6 Commerce Commission shall jointly prepare, and release 7 publicly, a report to the General Assembly that examines the 8 State's current progress toward its renewable energy resource 9 development goals, the status of CO2e and copollutant 10 emissions reductions, the current status and progress toward 11 developing and implementing green hydrogen technologies, the 12 current and projected status of electric resource adequacy and 13 reliability throughout the State for the period beginning 5 14 years ahead, and proposed solutions for any findings. The 15 Environmental Protection Agency, Illinois Power Agency, and 16 Illinois Commerce Commission shall consult PJM 17 Interconnection, LLC and Midcontinent Independent System 18 Operator, Inc., or their respective successor organizations 19 regarding forecasted resource adequacy and reliability needs, 20 anticipated new generation interconnection, new transmission 21 development or upgrades, and any announced large GHG-emitting 22 unit closure dates and include this information in the report. 23 The report shall be released publicly by no later than 24 December 15 of the year it is prepared. If the Environmental 25 Protection Agency, Illinois Power Agency, and Illinois 26 Commerce Commission jointly conclude in the report that the HB1544 - 11 - LRB104 03409 BDA 13431 b HB1544- 12 -LRB104 03409 BDA 13431 b HB1544 - 12 - LRB104 03409 BDA 13431 b HB1544 - 12 - LRB104 03409 BDA 13431 b 1 data from the regional grid operators, the pace of renewable 2 energy development, the pace of development of energy storage 3 and demand response utilization, transmission capacity, and 4 the CO2e and copollutant emissions reductions required by 5 subsection (i) or (k-5) reasonably demonstrate that a resource 6 adequacy shortfall will occur, including whether there will be 7 sufficient in-state capacity to meet the zonal requirements of 8 MISO Zone 4 or the PJM ComEd Zone, per the requirements of the 9 regional transmission organizations, or that the regional 10 transmission operators determine that a reliability violation 11 will occur during the time frame the study is evaluating, then 12 the Illinois Power Agency, in conjunction with the 13 Environmental Protection Agency shall develop a plan to reduce 14 or delay CO2e and copollutant emissions reductions 15 requirements only to the extent and for the duration necessary 16 to meet the resource adequacy and reliability needs of the 17 State, including allowing any plants whose emission reduction 18 deadline has been identified in the plan as creating a 19 reliability concern to continue operating, including operating 20 with reduced emissions or as emergency backup where 21 appropriate. The plan shall also consider the use of renewable 22 energy, energy storage, demand response, transmission 23 development, or other strategies to resolve the identified 24 resource adequacy shortfall or reliability violation. 25 (1) In developing the plan, the Environmental 26 Protection Agency and the Illinois Power Agency shall hold HB1544 - 12 - LRB104 03409 BDA 13431 b HB1544- 13 -LRB104 03409 BDA 13431 b HB1544 - 13 - LRB104 03409 BDA 13431 b HB1544 - 13 - LRB104 03409 BDA 13431 b 1 at least one workshop open to, and accessible at a time and 2 place convenient to, the public and shall consider any 3 comments made by stakeholders or the public. Upon 4 development of the plan, copies of the plan shall be 5 posted and made publicly available on the Environmental 6 Protection Agency's, the Illinois Power Agency's, and the 7 Illinois Commerce Commission's websites. All interested 8 parties shall have 60 days following the date of posting 9 to provide comment to the Environmental Protection Agency 10 and the Illinois Power Agency on the plan. All comments 11 submitted to the Environmental Protection Agency and the 12 Illinois Power Agency shall be encouraged to be specific, 13 supported by data or other detailed analyses, and, if 14 objecting to all or a portion of the plan, accompanied by 15 specific alternative wording or proposals. All comments 16 shall be posted on the Environmental Protection Agency's, 17 the Illinois Power Agency's, and the Illinois Commerce 18 Commission's websites. Within 30 days following the end of 19 the 60-day review period, the Environmental Protection 20 Agency and the Illinois Power Agency shall revise the plan 21 as necessary based on the comments received and file its 22 revised plan with the Illinois Commerce Commission for 23 approval. 24 (2) Within 60 days after the filing of the revised 25 plan at the Illinois Commerce Commission, any person 26 objecting to the plan shall file an objection with the HB1544 - 13 - LRB104 03409 BDA 13431 b HB1544- 14 -LRB104 03409 BDA 13431 b HB1544 - 14 - LRB104 03409 BDA 13431 b HB1544 - 14 - LRB104 03409 BDA 13431 b 1 Illinois Commerce Commission. Within 30 days after the 2 expiration of the comment period, the Illinois Commerce 3 Commission shall determine whether an evidentiary hearing 4 is necessary. The Illinois Commerce Commission shall also 5 host 3 public hearings within 90 days after the plan is 6 filed. Following the evidentiary and public hearings, the 7 Illinois Commerce Commission shall enter its order 8 approving or approving with modifications the reliability 9 mitigation plan within 180 days. 10 (3) The Illinois Commerce Commission shall only 11 approve the plan if the Illinois Commerce Commission 12 determines that it will resolve the resource adequacy or 13 reliability deficiency identified in the reliability 14 mitigation plan at the least amount of CO2e and copollutant 15 emissions, taking into consideration the emissions impacts 16 on environmental justice communities, and that it will 17 ensure adequate, reliable, affordable, efficient, and 18 environmentally sustainable electric service at the lowest 19 total cost over time, taking into account the impact of 20 increases in emissions. 21 (4) If the resource adequacy or reliability deficiency 22 identified in the reliability mitigation plan is resolved 23 or reduced, the Environmental Protection Agency and the 24 Illinois Power Agency may file an amended plan adjusting 25 the reduction or delay in CO2e and copollutant emission 26 reduction requirements identified in the plan. HB1544 - 14 - LRB104 03409 BDA 13431 b HB1544- 15 -LRB104 03409 BDA 13431 b HB1544 - 15 - LRB104 03409 BDA 13431 b HB1544 - 15 - LRB104 03409 BDA 13431 b HB1544 - 15 - LRB104 03409 BDA 13431 b