Indiana 2023 Regular Session

Indiana House Bill HB1173 Compare Versions

OldNewDifferences
1+*EH1173.1*
2+March 24, 2023
3+ENGROSSED
4+HOUSE BILL No. 1173
5+_____
6+DIGEST OF HB 1173 (Updated March 21, 2023 12:47 pm - DI 151)
7+Citations Affected: IC 22-14; noncode.
8+Synopsis: Utility scale battery energy storage systems. Provides that
9+a person may not: (1) construct a new utility scale battery energy
10+storage system (BESS); or (2) expand the capacity of an existing BESS
11+by more than 10% of the system's existing capacity; without the prior
12+approval of the department of homeland security (department). Sets
13+forth information that must be included in an application to the
14+department for approval of the construction or expansion of a BESS.
15+Provides that a new BESS, or an expansion of an existing BESS, must
16+comply with the National Fire Protection Association's standard
17+concerning stationary energy storage systems (NFPA 855). Provides
18+that if a BESS is located less than 1/2 mile from the nearest 100 year
19+flood plain, all of the system's equipment must be located at least two
20+feet above the 100 year frequency flood elevation. Requires the
21+operator of a BESS to provide a copy of the operator's emergency
22+response plan for the BESS to the fire department responsible for
23+providing fire protection services in the area in which the BESS is
24+(Continued next page)
25+Effective: Upon passage; July 1, 2023.
26+Pressel, Soliday, Morris
27+(SENATE SPONSORS — KOCH, GARTEN, BOHACEK)
28+January 10, 2023, read first time and referred to Committee on Utilities, Energy and
29+Telecommunications.
30+February 9, 2023, amended, reported — Do Pass.
31+February 13, 2023, read second time, ordered engrossed.
32+February 14, 2023, engrossed. Read third time, passed. Yeas 95, nays 0.
33+SENATE ACTION
34+February 27, 2023, read first time and referred to Committee on Homeland Security and
35+Transportation.
36+March 23, 2023, amended, reported favorably — Do Pass.
37+EH 1173—LS 7332/DI 119 Digest Continued
38+located. Authorizes the fire prevention and building safety commission
39+(commission) to adopt rules to specify standards for the installation and
40+operation of a BESS. Provides that the commission's rules must be
41+consistent with NFPA 855. Provides that the commission's rules must
42+include standards for: (A) chemical spill prevention and control; and
43+(B) appropriate setbacks from surface water resources; for the
44+installation and expansion of a BESS. Requires the department to issue
45+to the interim study committee on energy, utilities, and
46+telecommunication, not later than July 31, 2023, a report regarding the
47+progress of the commission in adopting rules addressing the installation
48+and operation of a BESS.
49+EH 1173—LS 7332/DI 119EH 1173—LS 7332/DI 119 March 24, 2023
150 First Regular Session of the 123rd General Assembly (2023)
251 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
352 Constitution) is being amended, the text of the existing provision will appear in this style type,
453 additions will appear in this style type, and deletions will appear in this style type.
554 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
655 provision adopted), the text of the new provision will appear in this style type. Also, the
756 word NEW will appear in that style type in the introductory clause of each SECTION that adds
857 a new provision to the Indiana Code or the Indiana Constitution.
958 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1059 between statutes enacted by the 2022 Regular Session of the General Assembly.
11-HOUSE ENROLLED ACT No. 1173
12-AN ACT to amend the Indiana Code concerning utilities.
60+ENGROSSED
61+HOUSE BILL No. 1173
62+A BILL FOR AN ACT to amend the Indiana Code concerning
63+utilities.
1364 Be it enacted by the General Assembly of the State of Indiana:
14-SECTION 1. IC 22-14-8 IS ADDED TO THE INDIANA CODE AS
15-A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
16-1, 2023]:
17-Chapter 8. Utility Scale Battery Energy Storage Systems
18-Sec. 1. For purposes of NFPA 855 and this chapter, "authority
65+1 SECTION 1. IC 22-14-8 IS ADDED TO THE INDIANA CODE AS
66+2 A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY
67+3 1, 2023]:
68+4 Chapter 8. Utility Scale Battery Energy Storage Systems
69+5 Sec. 1. For purposes of NFPA 855 and this chapter, "authority
70+6 having jurisdiction" refers to the department.
71+7 Sec. 2. As used in this chapter, "NFPA 855" refers to:
72+8 (1) the 2023 edition of NFPA 855, Standard for the
73+9 Installation of Stationary Energy Storage Systems, as adopted
74+10 by the National Fire Protection Association; or
75+11 (2) if the commission adopts a rule under IC 4-22-2 to amend:
76+12 (A) the 2023 edition; or
77+13 (B) any subsequent edition;
78+14 of NFPA 855, the version of NFPA 855 as amended by the
79+15 commission.
80+16 Sec. 3. (a) As used in this chapter, "utility scale battery energy
81+17 storage system" means an energy storage system (as defined in
82+EH 1173—LS 7332/DI 119 2
83+1 NFPA 855) that is capable of storing and releasing more than one
84+2 (1) megawatt of electrical energy for a minimum of one (1) hour
85+3 using an AC inverter and DC storage.
86+4 (b) The term does not include the following:
87+5 (1) Foundations or property used to directly or indirectly
88+6 connect the AC inverter or DC storage of such a system to
89+7 electrical energy production equipment or to a customer's
90+8 meter.
91+9 (2) An energy storage system that is used for the purpose of
92+10 providing electricity to meet or offset all or part of a host
93+11 operation's energy needs.
94+12 (3) A battery recycling facility.
95+13 (4) The manufacturing or storage of batteries by an
96+14 automobile manufacturer.
97+15 Sec. 4. (a) After June 30, 2023, a person may not:
98+16 (1) install a new utility scale battery energy storage system; or
99+17 (2) expand the capacity of an existing utility scale battery
100+18 energy storage system by more than ten percent (10%) of the
101+19 system's original capacity;
102+20 without applying for and obtaining the prior approval of the
103+21 department.
104+22 (b) An application for approval under subsection (a) must be in
105+23 the form and manner specified by the department and must include
106+24 the following information:
107+25 (1) The proposed location, including the county, of the utility
108+26 scale battery energy storage system.
109+27 (2) Plans and specifications for the utility scale battery energy
110+28 storage system.
111+29 (3) A description of the manner in which the utility scale
112+30 battery energy storage system will comply with the
113+31 requirements set forth in sections 6 through 8 of this chapter,
114+32 as applicable.
115+33 (4) The applicant's proposed emergency response plan for
116+34 responding to a:
117+35 (A) fire at; or
118+36 (B) discharge or threatened discharge of environmental
119+37 contaminants by;
120+38 the utility scale battery energy storage system.
121+39 (5) The applicant's plan for offering emergency response
122+40 training under section 9 of this chapter.
123+41 The operator of a utility scale battery energy storage system for
124+42 which installation is complete on or before July 1, 2023, shall
125+EH 1173—LS 7332/DI 119 3
126+1 submit to the department before January 1, 2024, a notice
127+2 providing the information set forth in this subsection with respect
128+3 to the utility scale battery energy storage system.
129+4 (c) An application fee of two hundred fifty dollars ($250) per
130+5 application must be included with each application submitted
131+6 under this section.
132+7 (d) Not later than thirty (30) days after the department receives
133+8 an application for approval under subsection (a) and the
134+9 accompanying application fee under subsection (c), the department
135+10 shall provide notice to the applicant of the department's approval
136+11 or disapproval of the application. The department shall approve an
137+12 application that complies with this chapter.
138+13 (e) The department may adopt procedures under which the
139+14 department:
140+15 (1) evaluates an application for approval under subsection (a);
141+16 and
142+17 (2) makes a determination as to whether to approve the
143+18 installation or expansion proposed by the application.
144+19 (f) The department is the sole authority with respect to the
145+20 regulation and approval of the installation or expansion of a utility
146+21 scale battery energy storage system. Subject to subsection (g), a
147+22 local unit may not:
148+23 (1) require the owner or operator of a utility scale battery
149+24 energy storage system to obtain a separate approval, permit,
150+25 or license for the installation, expansion, or operation of the
151+26 utility scale battery energy storage system;
152+27 (2) impose any fee on the owner or operator of a utility scale
153+28 battery energy storage system; or
154+29 (3) regulate the ownership or operation of a utility scale
155+30 battery energy storage system.
156+31 (g) Subsection (f) does not:
157+32 (1) affect the ability of a local unit to exercise zoning, land use,
158+33 planning, or permitting authority otherwise allowed under
159+34 law, including IC 36-7, with respect to the installation or
160+35 expansion of a utility scale battery energy storage system;
161+36 (2) exempt an applicant for the installation or expansion of a
162+37 utility scale battery energy storage system from complying
163+38 with applicable laws and ordinances concerning land use; or
164+39 (3) affect the authority of the Indiana utility regulatory
165+40 commission granted under IC 8.
166+41 Sec. 5. (a) A person may not operate a utility scale battery
167+42 energy storage system installed after June 30, 2023, unless the
168+EH 1173—LS 7332/DI 119 4
169+1 person has first applied for and obtained the approval of the
170+2 department to do so.
171+3 (b) An application under this section must contain:
172+4 (1) a commissioning plan; and
173+5 (2) a commissioning test;
174+6 that complies with NFPA 855.
175+7 Sec. 6. A utility scale battery energy storage system must
176+8 comply with NFPA 855.
177+9 Sec. 7. (a) This section applies only to a new utility scale battery
178+10 energy storage system, or to the expansion of an existing utility
179+11 scale battery energy storage system, for which an application is
180+12 submitted under section 4(a) of this chapter after June 30, 2023,
181+13 and before July 1, 2024.
182+14 (b) The total capacity of the batteries contained within a single
183+15 enclosure in a utility scale battery energy storage system may not
184+16 exceed ten (10) megawatt hours.
185+17 Sec. 8. If a utility scale battery energy storage system is located
186+18 less than one-half (1/2) mile from the nearest one hundred (100)
187+19 year flood plain, as determined by the most recently issued Federal
188+20 Emergency Management Agency (FEMA) Flood Insurance Rate
189+21 Maps, all of the system's equipment must be located at least two (2)
190+22 feet above the one hundred (100) year frequency flood elevation.
191+23 Sec. 9. (a) The operator of a utility scale battery energy storage
192+24 system shall:
193+25 (1) provide a copy of the emergency response plan described
194+26 in section 4(b)(4) of this chapter, as finally adopted, to the fire
195+27 department that is responsible for providing fire protection
196+28 services in the area in which the utility scale battery energy
197+29 storage system is located; and
198+30 (2) offer on an annual basis a training session described in
199+31 subsection (b) to the members of the fire department
200+32 described in subdivision (1). For a utility scale battery energy
201+33 storage system for which installation is complete on or before
202+34 July 1, 2023, the first training under this subdivision must be
203+35 offered before January 1, 2024.
204+36 (b) Subject to subsection (d), the training offered under
205+37 subsection (a)(2) must provide participating members of the fire
206+38 department with information regarding the installation and
207+39 operation of the utility scale battery energy storage system
208+40 reasonably necessary to allow the fire department to safely and
209+41 effectively respond to a:
210+42 (1) fire at; or
211+EH 1173—LS 7332/DI 119 5
212+1 (2) discharge or threatened discharge of environmental
213+2 contaminants by;
214+3 the utility scale battery energy storage system.
215+4 (c) Subject to subsection (d), the operator of a utility scale
216+5 battery energy storage system shall cooperate with the department,
217+6 or another appropriate agency designated by the department, to
218+7 provide such information concerning the utility scale battery
219+8 energy storage system as is reasonably necessary for the
220+9 administration of the training program offered under subsection
221+10 (a)(2).
222+11 (d) This section does not require the operator of a utility scale
223+12 battery energy storage system to divulge a trade secret (as defined
224+13 in IC 24-2-3-2).
225+14 Sec. 10. (a) The commission may adopt rules under IC 4-22-2 to
226+15 implement this chapter and to specify standards for the installation
227+16 and operation of utility scale battery energy storage systems
228+17 consistent with:
229+18 (1) this chapter; and
230+19 (2) NFPA 855.
231+20 (b) Rules adopted by the commission under subsection (a) must
232+21 include standards for:
233+22 (1) chemical spill prevention and control; and
234+23 (2) appropriate setbacks from surface water resources;
235+24 for the installation and expansion of utility scale battery energy
236+25 storage systems, as necessary to protect soil and surface water
237+26 resources from chemicals contained in or produced by utility scale
238+27 battery energy storage systems. In establishing the standards
239+28 described in this subsection, the commission shall consult with the
240+29 department of environmental management or the department of
241+30 natural resources, as appropriate.
242+31 (c) In adopting rules under this section, the commission may
243+32 adopt emergency rules in the manner provided by IC 4-22-2-37.1.
244+33 SECTION 2. [EFFECTIVE UPON PASSAGE] (a) Not later than
245+34 November 1, 2023, the department of homeland security shall issue
246+35 to the executive director of the legislative services agency for
247+36 distribution to the members of the interim study committee on
248+37 energy, utilities, and telecommunications a report regarding the
249+38 progress of the fire prevention and building safety commission in
250+39 adopting the rules described in IC 22-14-8-10, as added by this act.
251+40 (b) This SECTION expires December 31, 2023.
252+41 SECTION 3. An emergency is declared for this act.
253+EH 1173—LS 7332/DI 119 6
254+COMMITTEE REPORT
255+Mr. Speaker: Your Committee on Utilities, Energy and
256+Telecommunications, to which was referred House Bill 1173, has had
257+the same under consideration and begs leave to report the same back
258+to the House with the recommendation that said bill be amended as
259+follows:
260+Delete AM117301 as adopted by the house utilities, energy, and
261+telecommunications committee on January 17, 2023.
262+Replace the effective date in SECTION 1 with "[EFFECTIVE
263+UPON PASSAGE]".
264+Page 1, between lines 4 and 5, begin a new paragraph and insert:
265+"Sec. 1. As used in this chapter, "NFPA 855" refers to the most
266+current edition of NFPA 855, Standard for the Installation of
267+Stationary Energy Storage Systems, as adopted by the National
268+Fire Protection Association.".
269+Page 1, line 5, delete "1." and insert "2.".
270+Page 1, line 6, delete "array of batteries capable of storing and" and
271+insert "energy storage system (as defined in NFPA 855) that:
272+(1) is capable of storing and releasing more than one (1)
273+megawatt of electrical energy for a minimum of one (1) hour
274+using an AC inverter and DC storage; and
275+(2) is interconnected to the electric grid.
276+(b) The term does not include the following:
277+(1) Foundations or property used to directly or indirectly
278+connect the AC inverter or DC storage of such a system to
279+electrical energy production equipment or to a customer's
280+meter.
281+(2) An energy storage system that is used for the purpose of
282+providing electricity to meet or offset all or part of a host
283+operation's energy needs.
284+(3) A battery recycling facility.".
285+Page 1, delete lines 7 through 17, begin a new paragraph and insert:
286+"Sec. 3. (a) A person may not:
287+(1) construct a new utility scale battery energy storage
288+system; or
289+(2) expand the capacity of an existing utility scale battery
290+energy storage system by more than ten percent (10%) of the
291+system's existing capacity;
292+without applying for and obtaining the prior approval of the
293+department.
294+(b) An application for approval under subsection (a) must be in
295+the form and manner specified by the department and must include
296+EH 1173—LS 7332/DI 119 7
297+the following information:
298+(1) The proposed location, including the county, of the new or
299+expanded utility scale battery energy storage system, as
300+applicable.
301+(2) Plans and specifications for the new or expanded utility
302+scale battery energy storage system, as applicable.
303+(3) A description of the manner in which the utility scale
304+battery energy storage system will comply with the
305+requirements set forth in sections 4 through 6 of this chapter,
306+as applicable.
307+(4) The applicant's proposed emergency response plan for
308+responding to a:
309+(A) fire at; or
310+(B) discharge or threatened discharge of environmental
311+contaminants by;
312+the utility scale battery energy storage system.
313+(5) The applicant's plan for offering emergency response
314+training under section 7 of this chapter.
315+(6) Any other information the department considers
316+necessary.
317+(c) The department may charge a reasonable application fee, not
318+to exceed two hundred fifty dollars ($250) per application, to
319+review and process applications under this section.
320+(d) Not later than thirty (30) days after the department receives
321+an application for approval under subsection (a), the department
322+shall provide notice to the applicant of the department's approval
323+or disapproval of the application.
324+(e) The department shall adopt procedures under which the
325+department:
326+(1) evaluates an application for approval under subsection (a);
327+and
328+(2) makes a determination as to whether to approve the
329+construction or expansion proposed by the application.
330+Sec. 4. A new utility scale battery energy storage system, or an
331+expansion of an existing utility scale battery energy storage system,
332+must comply with applicable safety standards in NFPA 855,
333+including:
334+(1) ASTEM E119;
335+(2) UL 263;
336+(3) UL 9540; and
337+(4) UL 9540A;
338+as incorporated by reference in NFPA 855.
339+EH 1173—LS 7332/DI 119 8
340+Sec. 5. (a) This section applies only to a new utility scale battery
341+energy storage system, or to the expansion of an existing utility
342+scale battery energy storage system, for which an application is
343+submitted under section 3(a) of this chapter after April 1, 2023,
344+and before July 1, 2024.
345+(b) The total capacity of the batteries contained within a single
346+enclosure in a utility scale battery energy storage system may not
347+exceed ten (10) megawatt hours.
348+Sec. 6. If a utility scale battery energy storage system is located
349+less than one-half (1/2) mile from the nearest one hundred (100)
350+year flood plain, as determined by the most recently issued Federal
351+Emergency Management Agency (FEMA) Flood Insurance Rate
352+Maps, all of the system's equipment must be located at least two (2)
353+feet above the one hundred (100) year frequency flood elevation.
354+Sec. 7. (a) The operator of a utility scale battery energy storage
355+system shall:
356+(1) provide a copy of the emergency response plan described
357+in section 3(b)(4) of this chapter, as finally adopted, to the fire
358+department that is responsible for providing fire protection
359+services in the area in which the utility scale battery energy
360+storage system is located; and
361+(2) in the case of a utility scale battery storage system for
362+which construction is complete on April 1, 2023, offer a
363+training session described in subsection (b) to the members of
364+the fire department described in subdivision (1) before
365+January 1, 2024.
366+(b) Subject to subsection (d), the training offered under
367+subsection (a)(2) must provide participating members of the fire
368+department with information regarding the construction and
369+operation of the utility scale battery energy storage system
370+reasonably necessary to allow the fire department to safely and
371+effectively respond to a:
372+(1) fire at; or
373+(2) discharge or threatened discharge of environmental
374+contaminants by;
375+the utility scale battery energy storage system.
376+(c) Subject to subsection (d), the operator of a utility scale
377+battery energy storage system shall cooperate with the department,
378+or another appropriate agency designated by the department, to
379+provide such information concerning the utility scale battery
380+energy storage system as is reasonably necessary for the
381+administration of the training program described in section 8(c)(2)
382+EH 1173—LS 7332/DI 119 9
383+of this chapter.
384+(d) This section does not require the operator of a utility scale
385+battery energy storage system to divulge a trade secret (as defined
386+in IC 24-2-3-2).
387+Sec. 8. (a) As used in this section, "commission" refers to the fire
388+prevention and building safety commission established by
389+IC 22-12-2-1.
390+(b) Before July 1, 2024, the commission shall adopt rules under
391+IC 4-22-2 specifying standards for the construction and operation
392+of utility scale battery energy storage systems consistent with:
393+(1) this chapter; and
394+(2) NFPA 855.
395+(c) The rules adopted by the commission under subsection (b)
396+must include the following:
397+(1) Standards for:
398+(A) chemical spill prevention and control; and
399+(B) appropriate setbacks from surface water resources;
400+for the construction and expansion of utility scale battery
401+energy storage systems, as necessary to protect soil and
402+surface water resources from chemicals contained in or
403+produced by utility scale battery energy storage systems. In
404+establishing the standards described in this subdivision, the
405+commission shall consult with the department of
406+environmental management or the department of natural
407+resources, as appropriate.
408+(2) Standards and procedures for an annual training program
409+concerning the provision of fire protection services in an area
410+in which a utility scale battery energy storage system is
411+located. The training program established under this
412+subdivision must:
413+(A) be:
414+(i) completed annually by full-time firefighters (as
415+defined in IC 36-8-10.5-3); and
416+(ii) offered annually to volunteer firefighters (as defined
417+in IC 36-8-10.5-5);
418+of each fire department or volunteer fire department (as
419+defined in IC 36-8-10.5-4), as applicable, that is responsible
420+for providing fire protection services in an area in which
421+a utility scale battery energy storage system is located;
422+(B) provide program participants with information
423+regarding the construction and operation of utility scale
424+battery energy storage systems reasonably necessary to
425+EH 1173—LS 7332/DI 119 10
426+allow the fire department to safely and effectively respond
427+to a:
428+(i) fire at; or
429+(ii) discharge or threatened discharge of environmental
430+contaminants by;
431+a utility scale battery energy storage system; and
432+(C) provide for the department, or another appropriate
433+agency designated by the department, to administer and
434+oversee the program.
435+In establishing the standards and procedures described in this
436+subdivision, the commission shall consult with the board of
437+firefighting personnel standards and education. The
438+standards and procedures established under this subdivision
439+must specify the training program's duration and content,
440+which may include instruction on the use and storage of
441+lithium ion batteries.
442+(d) In adopting rules under this section, the commission may
443+adopt emergency rules in the manner provided by IC 4-22-2-37.1.
444+(e) The rules adopted by the commission under this section must
445+take effect not later than July 1, 2024.".
446+Delete page 2.
447+Page 3, delete lines 1 through 32.
448+Page 3, line 38, delete "department's progress in developing
449+standards" and insert "progress of the fire prevention and building
450+safety commission in adopting the rules".
451+Page 3, line 39, delete "IC 10-19-13-9," and insert "IC 10-19-13-8,".
452+and when so amended that said bill do pass.
453+(Reference is to HB 1173 as introduced and as amended by
454+AM117301.)
455+SOLIDAY
456+Committee Vote: yeas 13, nays 0.
457+EH 1173—LS 7332/DI 119 11
458+COMMITTEE REPORT
459+Madam President: The Senate Committee on Homeland Security
460+and Transportation, to which was referred House Bill No. 1173, has
461+had the same under consideration and begs leave to report the same
462+back to the Senate with the recommendation that said bill be
463+AMENDED as follows:
464+Replace the effective date in SECTION 1 with "[EFFECTIVE JULY
465+1, 2023]".
466+Page 1, line 1, delete "IC 10-19-13" and insert "IC 22-14-8".
467+Page 1, line 4, delete "13." and insert "8.".
468+Page 1, delete lines 5 through 15, begin a new paragraph and insert:
469+"Sec. 1. For purposes of NFPA 855 and this chapter, "authority
19470 having jurisdiction" refers to the department.
20471 Sec. 2. As used in this chapter, "NFPA 855" refers to:
21472 (1) the 2023 edition of NFPA 855, Standard for the
22473 Installation of Stationary Energy Storage Systems, as adopted
23474 by the National Fire Protection Association; or
24475 (2) if the commission adopts a rule under IC 4-22-2 to amend:
25476 (A) the 2023 edition; or
26477 (B) any subsequent edition;
27478 of NFPA 855, the version of NFPA 855 as amended by the
28479 commission.
29480 Sec. 3. (a) As used in this chapter, "utility scale battery energy
30481 storage system" means an energy storage system (as defined in
31482 NFPA 855) that is capable of storing and releasing more than one
32483 (1) megawatt of electrical energy for a minimum of one (1) hour
33-using an AC inverter and DC storage.
34-(b) The term does not include the following:
35-(1) Foundations or property used to directly or indirectly
36-HEA 1173 — CC 1 2
37-connect the AC inverter or DC storage of such a system to
38-electrical energy production equipment or to a customer's
39-meter.
40-(2) An energy storage system that is used for the purpose of
41-providing electricity to meet or offset all or part of a host
42-operation's energy needs.
43-(3) A battery recycling facility.
44-(4) The manufacturing or storage of batteries by an
45-automobile manufacturer.
46-Sec. 4. (a) After June 30, 2023, a person may not:
47-(1) install a new utility scale battery energy storage system; or
48-(2) expand the capacity of an existing utility scale battery
49-energy storage system by more than ten percent (10%) of the
50-system's original capacity;
51-without applying for and obtaining the prior approval of the
52-department.
53-(b) An application for approval under subsection (a) must be in
54-the form and manner specified by the department and must include
55-the following information:
56-(1) The proposed location, including the county, of the utility
484+using an AC inverter and DC storage.".
485+Page 2, between lines 7 and 8, begin a new line block indented and
486+insert:
487+"(4) The manufacturing or storage of batteries by an
488+automobile manufacturer.".
489+Page 2, line 8, delete "Sec. 3. (a) A" and insert "Sec. 4. (a) After
490+June 30, 2023, a".
491+Page 2, line 9, delete "construct" and insert "install".
492+Page 2, line 13, delete "existing" and insert "original".
493+Page 2, delete lines 19 through 42, begin a new line block indented
494+and insert:
495+"(1) The proposed location, including the county, of the utility
57496 scale battery energy storage system.
58497 (2) Plans and specifications for the utility scale battery energy
59498 storage system.
60499 (3) A description of the manner in which the utility scale
500+EH 1173—LS 7332/DI 119 12
61501 battery energy storage system will comply with the
62502 requirements set forth in sections 6 through 8 of this chapter,
63503 as applicable.
64504 (4) The applicant's proposed emergency response plan for
65505 responding to a:
66506 (A) fire at; or
67507 (B) discharge or threatened discharge of environmental
68508 contaminants by;
69509 the utility scale battery energy storage system.
70510 (5) The applicant's plan for offering emergency response
71511 training under section 9 of this chapter.
72512 The operator of a utility scale battery energy storage system for
73-which installation is complete before July 1, 2023, shall submit to
74-the department before January 1, 2024, a notice providing the
75-information set forth in this subsection with respect to the utility
76-scale battery energy storage system.
513+which installation is complete on or before July 1, 2023, shall
514+submit to the department before January 1, 2024, a notice
515+providing the information set forth in this subsection with respect
516+to the utility scale battery energy storage system.
77517 (c) An application fee of two hundred fifty dollars ($250) per
78518 application must be included with each application submitted
79-HEA 1173 — CC 1 3
80519 under this section.
81520 (d) Not later than thirty (30) days after the department receives
82521 an application for approval under subsection (a) and the
83522 accompanying application fee under subsection (c), the department
84523 shall provide notice to the applicant of the department's approval
85524 or disapproval of the application. The department shall approve an
86525 application that complies with this chapter.
87526 (e) The department may adopt procedures under which the
88527 department:
89528 (1) evaluates an application for approval under subsection (a);
90529 and
91530 (2) makes a determination as to whether to approve the
92531 installation or expansion proposed by the application.
93532 (f) The department is the sole authority with respect to the
94533 regulation and approval of the installation or expansion of a utility
95534 scale battery energy storage system. Subject to subsection (g), a
96535 local unit may not:
97536 (1) require the owner or operator of a utility scale battery
98537 energy storage system to obtain a separate approval, permit,
99538 or license for the installation, expansion, or operation of the
100539 utility scale battery energy storage system;
101540 (2) impose any fee on the owner or operator of a utility scale
102541 battery energy storage system; or
103542 (3) regulate the ownership or operation of a utility scale
543+EH 1173—LS 7332/DI 119 13
104544 battery energy storage system.
105545 (g) Subsection (f) does not:
106546 (1) affect the ability of a local unit to exercise zoning, land use,
107547 planning, or permitting authority otherwise allowed under
108548 law, including IC 36-7, with respect to the installation or
109549 expansion of a utility scale battery energy storage system;
110550 (2) exempt an applicant for the installation or expansion of a
111551 utility scale battery energy storage system from complying
112552 with applicable laws and ordinances concerning land use; or
113553 (3) affect the authority of the Indiana utility regulatory
114554 commission granted under IC 8.
115555 Sec. 5. (a) A person may not operate a utility scale battery
116556 energy storage system installed after June 30, 2023, unless the
117557 person has first applied for and obtained the approval of the
118558 department to do so.
119559 (b) An application under this section must contain:
120560 (1) a commissioning plan; and
121561 (2) a commissioning test;
122-HEA 1173 — CC 1 4
123562 that complies with NFPA 855.
124-Sec. 6. (a) A utility scale battery energy storage system
125-installation of which is subject to department approval under
126-section 4(a)(1) of this chapter must comply with NFPA 855.
127-(b) An installation added to an existing utility scale battery
128-energy storage system in an expansion for which department
129-approval is required under section 4(a)(2) of this chapter must
130-comply with NFPA 855.
131-Sec. 7. The total capacity of the batteries contained within a
132-single enclosure in:
133-(1) a utility scale battery energy storage system installation of
134-which is subject to department approval under section 4(a)(1)
135-of this chapter; or
136-(2) an installation added to an existing utility scale battery
137-energy storage system in an expansion for which department
138-approval is required under section 4(a)(2) of this chapter;
139-may not exceed ten (10) megawatt hours unless authorized under
140-rules adopted by the commission under this chapter.
141-Sec. 8. (a) This section applies only to a utility scale battery
142-energy storage system installation of which is subject to
143-department approval under section 4(a)(1) of this chapter.
144-(b) If a utility scale battery energy storage system is located less
145-than one-half (1/2) mile from the nearest one hundred (100) year
146-flood plain, as determined by the most recently issued Federal
147-Emergency Management Agency (FEMA) Flood Insurance Rate
148-Maps, all of the system's equipment must be located at least two (2)
149-feet above the one hundred (100) year frequency flood elevation.
150-Sec. 9. (a) The operator of a utility scale battery energy storage
563+Sec. 6. A utility scale battery energy storage system must
564+comply with NFPA 855.".
565+Page 3, delete lines 1 through 17.
566+Page 3, line 18, delete "5." and insert "7.".
567+Page 3, line 21, delete "3(a)" and insert "4(a)".
568+Page 3, line 21, delete "April 1," and insert "June 30,".
569+Page 3, line 26, delete "6." and insert "8.".
570+Page 3, delete lines 32 through 42, begin a new paragraph and
571+insert:
572+"Sec. 9. (a) The operator of a utility scale battery energy storage
151573 system shall:
152574 (1) provide a copy of the emergency response plan described
153575 in section 4(b)(4) of this chapter, as finally adopted, to the fire
154576 department that is responsible for providing fire protection
155577 services in the area in which the utility scale battery energy
156578 storage system is located; and
157579 (2) offer on an annual basis a training session described in
158580 subsection (b) to the members of the fire department
159581 described in subdivision (1). For a utility scale battery energy
160-storage system for which installation is complete before July
161-1, 2023, the first training under this subdivision must be
162-offered before January 1, 2024.
163-(b) Subject to subsection (c), the training offered under
164-subsection (a)(2) must provide participating members of the fire
165-HEA 1173 — CC 1 5
166-department with information regarding the installation and
167-operation of the utility scale battery energy storage system
168-reasonably necessary to allow the fire department to safely and
169-effectively respond to a:
170-(1) fire at; or
171-(2) discharge or threatened discharge of environmental
172-contaminants by;
173-the utility scale battery energy storage system.
174-(c) This section does not require the operator of a utility scale
175-battery energy storage system to divulge a trade secret (as defined
176-in IC 24-2-3-2).
177-Sec. 10. (a) The commission may adopt rules under IC 4-22-2 to
178-implement this chapter and to specify standards for the installation
179-and operation of utility scale battery energy storage systems
180-consistent with:
582+storage system for which installation is complete on or before
583+July 1, 2023, the first training under this subdivision must be
584+offered before January 1, 2024.".
585+Page 4, delete line 1.
586+EH 1173—LS 7332/DI 119 14
587+Page 4, line 4, delete "construction" and insert "installation".
588+Page 4, line 17, delete "described in section 8(c)(2)" and insert
589+"offered under subsection (a)(2).".
590+Page 4, delete line 18.
591+Page 4, delete lines 22 through 42, begin a new paragraph and
592+insert:
593+"Sec. 10. (a) The commission may adopt rules under IC 4-22-2
594+to implement this chapter and to specify standards for the
595+installation and operation of utility scale battery energy storage
596+systems consistent with:
181597 (1) this chapter; and
182598 (2) NFPA 855.
183599 (b) Rules adopted by the commission under subsection (a) must
184600 include standards for:
185601 (1) chemical spill prevention and control; and
186602 (2) appropriate setbacks from surface water resources;
187603 for the installation and expansion of utility scale battery energy
188604 storage systems, as necessary to protect soil and surface water
189605 resources from chemicals contained in or produced by utility scale
190606 battery energy storage systems. In establishing the standards
191607 described in this subsection, the commission shall consult with the
192608 department of environmental management or the department of
193609 natural resources, as appropriate.
194610 (c) In adopting rules under this section, the commission may
195-adopt emergency rules in the manner provided by IC 4-22-2-37.1.
196-SECTION 2. [EFFECTIVE UPON PASSAGE] (a) Not later than
197-November 1, 2023, the department of homeland security shall issue
198-to the executive director of the legislative services agency for
199-distribution to the members of the interim study committee on
200-energy, utilities, and telecommunications a report regarding the
201-progress of the fire prevention and building safety commission in
202-adopting the rules described in IC 22-14-8-10, as added by this act.
203-(b) This SECTION expires December 31, 2023.
204-SECTION 3. An emergency is declared for this act.
205-HEA 1173 — CC 1 Speaker of the House of Representatives
206-President of the Senate
207-President Pro Tempore
208-Governor of the State of Indiana
209-Date: Time:
210-HEA 1173 — CC 1
611+adopt emergency rules in the manner provided by IC 4-22-2-37.1.".
612+Page 5, delete lines 1 through 37.
613+Page 5, line 39, delete "July 31," and insert "November 1,".
614+Page 6, line 2, delete "IC 10-19-13-8," and insert "IC 22-14-8-10,".
615+and when so amended that said bill do pass.
616+(Reference is to HB 1173 as printed February 9, 2023.)
617+CRIDER, Chairperson
618+Committee Vote: Yeas 8, Nays 0.
619+EH 1173—LS 7332/DI 119