EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb1111* HOUSE BILL 1111 C5, M5, Q1 5lr3018 By: Delegate Fraser–Hidalgo Introduced and read first time: February 5, 2025 Assigned to: Economic Matters A BILL ENTITLED AN ACT concerning 1 Public Utilities – Solar Energy Generating Systems – Floating Systems and 2 Systems Located on Brownfields 3 FOR the purpose of providing that certain floating solar energy generating systems are 4 eligible for the Small Solar Energy Generating System Incentive Program ; 5 exempting certain floating solar energy generating systems and solar energy 6 generating systems located on brownfields from a certain property tax; and generally 7 relating to solar energy generating systems. 8 BY repealing and reenacting, without amendments, 9 Article – Public Utilities 10 Section 7–709.1(a) 11 Annotated Code of Maryland 12 (2020 Replacement Volume and 2024 Supplement) 13 BY repealing and reenacting, with amendments, 14 Article – Public Utilities 15 Section 7–709.1(d) and (e) 16 Annotated Code of Maryland 17 (2020 Replacement Volume and 2024 Supplement) 18 BY repealing and reenacting, with amendments, 19 Article – Tax – Property 20 Section 7–249 21 Annotated Code of Maryland 22 (2019 Replacement Volume and 2024 Supplement) 23 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 24 That the Laws of Maryland read as follows: 25 Article – Public Utilities 26 2 HOUSE BILL 1111 7–709.1. 1 (a) (1) In this section the following words have the meanings indicated. 2 (2) “Brownfield” has the meaning stated in § 7–207 of this title. 3 (3) “Certified SREC” means a solar renewable energy credit generated by 4 a certified system. 5 (4) “Certified system” means a solar energy generating system certified by 6 the Commission under the Program to generate certified SRECs with the compliance value 7 specified in subsection (c) of this section. 8 (5) “Program” means the Small Solar Energy Generating System Incentive 9 Program. 10 (d) To be eligible for certification under the Program, a solar energy generating 11 system shall: 12 (1) be located in the State; 13 (2) be eligible for inclusion in meeting the renewable energy portfolio 14 standard; 15 (3) have a generating capacity of 5 megawatts or less, as measured by the 16 alternating current rating of the system’s inverter; 17 (4) be placed in service between July 1, 2024, and January 1, 2028, 18 inclusive; and 19 (5) be one of the following types of systems: 20 (i) a system with a generating capacity of 20 kilowatts or less, as 21 measured by the alternating current rating of the system’s inverter; 22 (ii) a system with a generating capacity of 2 megawatts or less, as 23 measured by the alternating current rating of the system’s inverter, if the system is used 24 for aggregate net metering; or 25 (iii) a system with a generating capacity of between 20 kilowatts and 26 5 megawatts, as measured by the alternating current rating of the system’s inverter, if the 27 system is: 28 1. located on a rooftop, a parking canopy, or a brownfield; OR 29 2. A FLOATING SYSTEM. 30 HOUSE BILL 1111 3 (e) Except as provided in subsection (f) of this section, the Commission, at the 1 time of certifying a solar energy generating system as a Tier 1 renewable source, shall 2 certify the system as eligible to generate certified SRECs in accordance with subsection (c) 3 of this section if the applicant submits with its application for certification as a Tier 1 4 renewable source: 5 (1) a form requesting to be certified to receive certified SRECs with the 6 value specified in subsection (c) of this section; 7 (2) a copy of the interconnection agreement between the applicant and the 8 applicant’s electric company indicating that the size of the system is eligible; 9 (3) if seeking certification as a system located on or over a roof, parking lot, 10 [or] parking structure, OR NONNAVIGABLE BODY OF WA TER, a copy of the final approval 11 of the local building permit; 12 (4) if seeking certification as a system located on a brownfield, 13 documentation demonstrating that the system is located on a brownfield; 14 (5) if seeking certification based on aggregated net metering, a copy of the 15 aggregated net energy metering rider submitted with the interconnection agreement; and 16 (6) any other information required by the Commission. 17 Article – Tax – Property 18 7–249. 19 (a) This section applies only to nonresidential solar energy generating systems 20 that are approved by the Public Service Commission under § 7–207 or § 7–207.1 of the 21 Public Utilities Article on or after July 1, 2024. 22 (b) Nonresidential solar energy generating systems that are constructed on the 23 rooftops of buildings [or on], parking facility canopies, OR BROWNFIELDS , OR THAT ARE 24 FLOATING SYSTEMS , are not subject to valuation or to property tax. 25 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 26 1, 2025. 27