MD
Maryland House Bill HB1046

Maryland 2024 Regular Session

Maryland House Bill HB1046 Compare Versions

Only one version of the bill is available at this time.
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33 EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXIS TING LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *hb1046*
66
77 HOUSE BILL 1046
88 C5 4lr2212
99 CF SB 1025
1010 By: Delegate Clippinger
1111 Introduced and read first time: February 7, 2024
1212 Assigned to: Economic Matters
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Public Utilities – Distributed Generation Certificate of Public Convenience and 2
1919 Necessity 3
2020
2121 FOR the purpose of establishing a distributed generation certificate of public convenience 4
2222 and necessity to authorize the construction and operation of a certain distributed 5
2323 solar energy generating system; requiring the Power Plant Research Program to 6
2424 develop and submit to the Public Service Commission proposed siting and design 7
2525 requirements and licensing conditions; prohibiting a person from being required to 8
2626 obtain a distributed generation certificate of public convenience and necessity until 9
2727 certain regulations have been adopted; prohibiting a person from beginning 10
2828 construction of a distributed solar energy generating system unless a distributed 11
2929 generation certificate of public convenience and necessity is first obtained from the 12
3030 Commission; requiring the Program to make a certain determination regarding a 13
3131 proposed distributed solar energy generating system within a certain period of time; 14
3232 establishing a process by which the Commission may grant a distributed generation 15
3333 certificate of public convenience and necessity; providing the applications of certain 16
3434 provisions; and generally relating to a distributed generation certificate of public 17
3535 convenience and necessity. 18
3636
3737 BY repealing and reenacting, with amendments, 19
3838 Article – Natural Resources 20
3939 Section 3–306(a)(1) 21
4040 Annotated Code of Maryland 22
4141 (2023 Replacement Volume and 2023 Supplement) 23
4242
4343 BY repealing and reenacting, with amendments, 24
4444 Article – Public Utilities 25
4545 Section 7–207(b)(1)(i) and (ii) and 7–207.1(c)(1) 26
4646 Annotated Code of Maryland 27
4747 (2020 Replacement Volume and 2023 Supplement) 28
4848 2 HOUSE BILL 1046
4949
5050
5151 BY adding to 1
5252 Article – Public Utilities 2
5353 Section 7–207.3 3
5454 Annotated Code of Maryland 4
5555 (2020 Replacement Volume and 2023 Supplement) 5
5656
5757 Preamble 6
5858
5959 WHEREAS, The State has set aggressive minimum renewable energy requirements, 7
6060 recognizing that a shift towards sustainable energy sources is crucial for the health of our 8
6161 planet and the well–being of future generations; and 9
6262
6363 WHEREAS, The State has committed to reducing greenhouse gas emissions by 60% 10
6464 from 2006 levels, reflecting a proactive stance in the global effort to combat climate change; 11
6565 and 12
6666
6767 WHEREAS, Distributed solar generation is an essential component of meeting these 13
6868 aggressive policies, offering both economic opportunities and environmental benefits; and 14
6969
7070 WHEREAS, The General Assembly finds that an efficient permitting process for 15
7171 distributed solar energy generating stations with consistency across jurisdictions is 16
7272 necessary to meet the State’s renewable energy and greenhouse gas reduction 17
7373 commitments and can be structured to preserve farmland and forests; now, therefore, 18
7474
7575 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 19
7676 That the Laws of Maryland read as follows: 20
7777
7878 Article – Natural Resources 21
7979
8080 3–306. 22
8181
8282 (a) (1) Notwithstanding anything to the contrary in this article or the Public 23
8383 Utilities Article, on application to the Public Service Commission for a certificate of public 24
8484 convenience and necessity associated with power plant construction IN ACCORDANCE 25
8585 WITH § 7–207 OF THE PUBLIC UTILITIES ARTICLE, the Commission shall notify 26
8686 immediately the Department [of Natural Resources] and the Department of the 27
8787 Environment of the application. 28
8888
8989 Article – Public Utilities 29
9090
9191 7–207. 30
9292
9393 (b) (1) (i) [Unless] EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF 31
9494 THIS PARAGRAPH , UNLESS a certificate of public convenience and necessity for the 32
9595 construction is first obtained from the Commission, a person may not begin construction in 33
9696 the State of: 34
9797 HOUSE BILL 1046 3
9898
9999
100100 1. a generating station; or 1
101101
102102 2. a qualified generator lead line. 2
103103
104104 (ii) [If a person obtains Commission approval for construction under 3
105105 § 7–207.1 of this subtitle, the Commission shall exempt a person from the requirement to 4
106106 obtain a certificate of public convenience and necessity under this section.] A PERSON IS 5
107107 NOT REQUIRED TO OBTA IN A CERTIFICATE OF PUBLIC CONVENIENCE A ND 6
108108 NECESSITY UNDER THIS SECTION IF THE PERSO N OBTAINS: 7
109109
110110 1. COMMISSION APPROVAL FOR CONSTRU CTION UNDER 8
111111 § 7–207.1 OF THIS SUBTITLE; OR 9
112112
113113 2. A DISTRIBUTED GENERATION CERTIFICATE OF 10
114114 PUBLIC CONVENIENCE AND NECESSITY UNDER § 7–207.3 OF THIS SUBTITLE. 11
115115
116116 7–207.1. 12
117117
118118 (c) (1) The Commission shall require a person that is exempted from the 13
119119 requirement to obtain a certificate of public convenience and necessity UNDER § 14
120120 7–207(B)(1)(II)1 OF THIS SUBTITLE to obtain approval from the Commission under this 15
121121 section before the person may construct a generating station described in subsection (b) of 16
122122 this section. 17
123123
124124 7–207.3. 18
125125
126126 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 19
127127 INDICATED. 20
128128
129129 (2) “DISTRIBUTED GENERATION CERTIFICA TE OF PUBLIC 21
130130 CONVENIENCE AND NECE SSITY” OR “DGCPCN” MEANS A CERTIFICATE ISSUED BY 22
131131 THE COMMISSION UNDER THIS SECTION T HAT AUTHORIZES THE CONSTRUCTION 23
132132 AND OPERATION OF A D ISTRIBUTED SOLAR ENERGY GENERATING SYSTEM. 24
133133
134134 (3) “DISTRIBUTED SOLAR ENERGY GENERATING SYSTEM” MEANS A 25
135135 COMMUNITY SOLAR ENER GY GENERATING SYSTEM , AS DEFINED IN § 7–306.2 OF 26
136136 THIS TITLE, THAT: 27
137137
138138 (I) HAS A CAPACITY TO PRODUCE MORE THAN 2 MEGAWATTS 28
139139 BUT NOT MORE THAN 5 MEGAWATTS OF ALTERNATING CURRENT; AND 29
140140
141141 (II) IS NOT LOCATED WITHI N A MUNICIPAL CORPORATION . 30
142142
143143 (4) “POWER PLANT RESEARCH PROGRAM” MEANS THE PROGRAM 31 4 HOUSE BILL 1046
144144
145145
146146 WITHIN THE DEPARTMENT OF NATURAL RESOURCES UNDER TITLE 3, SUBTITLE 3 1
147147 OF THE NATURAL RESOURCES ARTICLE. 2
148148
149149 (B) (1) ON OR BEFORE JANUARY 1, 2025, THE POWER PLANT RESEARCH 3
150150 PROGRAM, AFTER GIVING NOTICE AND OPPORT UNITY FOR PUBLIC COM MENT, 4
151151 SHALL DEVELOP AND SU BMIT TO THE COMMISSION PROPOSED S TANDARD SITING 5
152152 AND DESIGN REQUIREME NTS AND PROPOSED STA NDARD LICENSING COND ITIONS 6
153153 FOR THE ISSUANCE OF A DGCPCN. 7
154154
155155 (2) IN DEVELOPING THE PRO POSED STANDARD SI TING AND DESIGN 8
156156 REQUIREMENTS AND THE PROPOSED STANDARD LI CENSING CONDITIONS , THE 9
157157 POWER PLANT RESEARCH PROGRAM SHALL CONSIDE R: 10
158158
159159 (I) ACHIEVEMENT OF THE STATE’S CLIMATE AND RENEWA BLE 11
160160 ENERGY COMMITMENTS ; 12
161161
162162 (II) REASONABLE SETBACKS AND LANDSCAPE SCREEN ING 13
163163 REQUIREMENTS ; 14
164164
165165 (III) ENVIRONMENTAL PRESER VATION, INCLUDING FOREST 15
166166 CONSERVATION EXCEPT WHERE NECESSARY TO : 16
167167
168168 1. REDUCE SOLAR PANEL S HADING; 17
169169
170170 2. FACILITATE INTERCONN ECTION INFRASTRUCTUR E; 18
171171 AND 19
172172
173173 3. ENSURE ADEQUATE SITE ACCESS; 20
174174
175175 (IV) STORMWATER MANAGEMENT , EROSION AND SEDIMENT 21
176176 CONTROL, AND SITE STABILIZATI ON; 22
177177
178178 (V) MINIMIZATION AND MIT IGATION OF EFFECTS ON HISTORIC 23
179179 SITES; 24
180180
181181 (VI) PUBLIC SAFETY; 25
182182
183183 (VII) INDUSTRY BEST PRACTI CES; AND 26
184184
185185 (VIII) LICENSING CONDITIONS PREVIOUSLY ADOPTED B Y THE 27
186186 COMMISSION FOR SOLAR E NERGY GENERATING SYS TEMS. 28
187187
188188 (C) (1) ON OR BEFORE JULY 1, 2025, THE COMMISSION SHALL ADOP T 29 HOUSE BILL 1046 5
189189
190190
191191 REGULATIONS TO : 1
192192
193193 (I) IMPLEMENT STANDARD S ITING AND DESIGN 2
194194 REQUIREMENTS AND STA NDARD LICENSING COND ITIONS FOR A DGCPCN; 3
195195
196196 (II) SPECIFY THE FO RM OF THE APPLICATIO N FOR A 4
197197 DISTRIBUTED SOLAR ENERGY GENERATING SY STEM TO RECEIVE A DGCPCN; AND 5
198198
199199 (III) SPECIFY THE COMMISSION’S PROCEDURE FOR PROC ESSING 6
200200 AN APPLICATION FOR A DGCPCN, WHICH MAY INCLUDE AN EXPEDITED HEARING 7
201201 BEFORE A PUBLIC UTIL ITY LAW JUDGE. 8
202202
203203 (2) THE COMMISSION SHALL CONS IDER THE PROPOSED ST ANDARD 9
204204 SITING AND DESIGN RE QUIREMENTS AND THE P ROPOSED STANDARD LIC ENSING 10
205205 CONDITIONS DEVELOPED BY THE POWER PLANT RESEARCH PROGRAM IN 11
206206 ADOPTING THE REGULAT IONS UNDER THIS SUBS ECTION. 12
207207
208208 (D) NOTWITHSTANDING SUBSE CTION (E) OF THIS SECTION, A PERSON MAY 13
209209 NOT BE REQUIRED TO O BTAIN A DGCPCN UNDER THIS SECTION UNTIL THE 14
210210 COMMISSION ADOPTS THE REGULATIONS REQUIRED UNDER SUBSECTION (C) OF 15
211211 THIS SECTION. 16
212212
213213 (E) (1) UNLESS A DGCPCN IS FIRST OBTAINED FR OM THE COMMISSION 17
214214 IN ACCORDANCE WITH THIS SECTION, A PERSON MAY NOT BEG IN CONSTRUCTION IN 18
215215 THE STATE OF A DISTRIBUTE D SOLAR ENERGY GENERATING SYSTEM . 19
216216
217217 (2) WHEN A PERSON SUBMITS AN APPLICATION FOR A DGCPCN TO 20
218218 THE COMMISSION, THE PERSON SHALL SUBMIT A COPY OF THE APPLICAT ION TO: 21
219219
220220 (I) THE POWER PLANT RESEARCH PROGRAM; AND 22
221221
222222 (II) THE GOVERNING BODY O F THE COUNTY WHERE T HE 23
223223 DISTRIBUTED SOLAR ENERGY GENERATING SYSTEM IS PROPOSED TO BE LOCAT ED. 24
224224
225225 (F) (1) THE COMMISSION SHALL PROV IDE AN OPPORTUNITY F OR PUBLIC 25
226226 COMMENT AND HOLD A P UBLIC HEARING ON AN APPLICATION FOR A DGCPCN IN 26
227227 EACH COUNTY IN WHICH ANY PORTION OF THE CONSTRUCTION OF THE 27
228228 DISTRIBUTED SOLAR ENERGY GENERATING SYSTEM IS PROPOSED TO BE LOCAT ED. 28
229229
230230 (2) THE COMMISSION MAY HOLD T HE PUBLIC HEARING VI RTUALLY 29
231231 RATHER THAN IN PERSO N IF THE COMMISSION PROVIDES A COMPARABLE 30
232232 OPPORTUNITY FOR PUBL IC COMMENT AND PARTI CIPATION IN THE HEAR ING. 31
233233 6 HOUSE BILL 1046
234234
235235
236236 (G) (1) WITHIN 90 DAYS AFTER THE DATE AN APPLICATION FOR A 1
237237 DGCPCN IS FILED WITH THE COMMISSION, THE POWER PLANT RESEARCH 2
238238 PROGRAM SHALL : 3
239239
240240 (I) DETERMINE WHETHER TH E DISTRIBUTED SOLAR ENERGY 4
241241 GENERATING SYSTEM SA TISFIES THE STANDARD SITING AND DESIGN 5
242242 REQUIREMENTS AND STA NDARD LICENSING COND ITIONS FOR THE DGCPCN; AND 6
243243
244244 (II) NOTIFY THE COMMISSION IN WRITING AS TO THE 7
245245 DETERMINATION MADE UNDER ITEM (I) OF THIS PARAGRAPH , INCLUDING HOW AN 8
246246 APPLICATION THAT IS DETERMINED NOT TO SA TISFY THE STANDARD S ITING AND 9
247247 DESIGN REQUIREMENTS AND STANDARD LICENSI NG CONDITIONS CAN CU RE THE 10
248248 DEFICIENCY. 11
249249
250250 (2) IN MAKING A DETERMINA TION UNDER PARAGRAPH (1) OF THIS 12
251251 SUBSECTION, THE POWER PLANT RESEARCH PROGRAM SHALL CONSIDE R PUBLIC 13
252252 COMMENTS RECEIVED BY THE COMMISSION. 14
253253
254254 (H) (1) WITHIN 45 DAYS AFTER THE POWER PLANT RESEARCH 15
255255 PROGRAM MAKES ITS DETERMINAT ION UNDER SUBSECTION (G)(1) OF THIS 16
256256 SECTION, THE COMMISSION SHALL SCHE DULE AN ADMINISTRATIVE M EETING OR AN 17
257257 EXPEDITED HEARING BE FORE A PUBLIC UTILIT Y LAW JUDGE TO CONSIDER THE 18
258258 APPLICATION FOR A DGCPCN. 19
259259
260260 (2) AT THE ADMINISTRATIVE MEETING OR EXPEDITED HEARING 20
261261 UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE COMMISSION OR PUBLIC UTILITY 21
262262 LAW JUDGE SHALL DETERMINE WHET HER THE PROPOSED DISTRIBUTED SOLAR 22
263263 ENERGY GENERATING SYSTEM SATISFIES THE STANDA RD SITING AND DESIGN 23
264264 REQUIREMENTS AND : 24
265265
266266 (I) IF THE COMMISSION OR PUBLIC UTILITY LAW JUDGE 25
267267 DETERMINES THE PROPO SED DISTRIBUTED SOLA R ENERGY GENERATING SYSTEM 26
268268 SATISFIES THE STANDA RD SITING AND DESIGN REQUIREMENTS , THE COMMISSION 27
269269 SHALL GRANT A DGCPCN TO THE APPLICANT TO CONSTRUCT THE PROPOS ED 28
270270 DISTRIBUTED SOLAR GE NERATING STATION SUB JECT TO THE STANDARD LICENSING 29
271271 CONDITIONS; OR 30
272272
273273 (II) IF THE COMMISSION OR PUBLIC UTILITY LAW JUDGE 31
274274 DETERMINES THE PROPO SED DISTRIBUTED SOLA R ENERGY GENERATING SYSTEM 32
275275 DOES NOT SATISFY THE STAN DARD SITING AND DESI GN REQUIREMENTS , THE 33
276276 COMMISSION SHALL GIVE THE APPLICANT A WRITTEN EXPLANATION OF WHY THE 34
277277 DISTRIBUTED SOLAR ENERGY GENERATING SYSTEM DOES NOT SATISFY THE 35
278278 STANDARD SITING AND DESIGN REQUIREMENTS AND HOW THE APPLICAN T CAN 36 HOUSE BILL 1046 7
279279
280280
281281 CURE THE DEFICIENCY . 1
282282
283283 SECTION 2. AND BE IT FURTHER ENACTED, That this Act may not be applied 2
284284 or interpreted to have any effect on or application to the construction or modification of any 3
285285 solar energy generating system for which a certificate of public convenience and necessity 4
286286 or other required approval was obtained before the effective date of the regulations adopted 5
287287 by the Public Service Commission under § 7–207.3(c) of the Public Utilities Article, as 6
288288 enacted by Section 1 of this Act. 7
289289
290290 SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
291291 1, 2024. 9