EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb1397*
HOUSE BILL 1397
C5 5lr3146
CF SB 952
By: Delegates Tomlinson, Bouchat, Ciliberti, Mangione, Miller, Pippy, Rose, and
Stonko
Introduced and read first time: February 7, 2025
Assigned to: Economic Matters
A BILL ENTITLED
AN ACT concerning 1
Certificate of Public Convenience and Necessity – Overhead Transmission Lines 2
– Grid Enhancing Technologies 3
FOR the purpose of adding grid enhancing technologies to the list of requirements the 4
Public Service Commission must consider before taking final action on an application 5
for a certificate of public convenience and necessity for the construction of an 6
overhead transmission line; and generally relating to certificates of public 7
convenience and necessity for the construction of overhead transmission lines. 8
BY repealing and reenacting, with amendments, 9
Article – Public Utilities 10
Section 7–207(a) and (f) 11
Annotated Code of Maryland 12
(2020 Replacement Volume and 2024 Supplement) 13
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14
That the Laws of Maryland read as follows: 15
Article – Public Utilities 16
7–207. 17
(a) (1) In this section the following words have the meanings indicated. 18
(2) “Brownfields site” means: 19
(i) a former industrial or commercial site identified by federal or 20
State laws or regulation as contaminated or polluted; 21
2 HOUSE BILL 1397
(ii) a closed landfill regulated by the Department of the 1
Environment; or 2
(iii) mined land. 3
(3) (i) “Construction” means: 4
1. any physical change at a site, including fabrication, 5
erection, installation, or demolition; or 6
2. the entry into a binding agreement or contractual 7
obligation to purchase equipment exclusively for use in construction in the State or to 8
undertake a program of actual construction in the State which cannot be canceled or 9
modified without substantial loss to the owner or operator of the proposed generating 10
station. 11
(ii) “Construction” does not include a change that is needed for the 12
temporary use of a site or route for nonutility purposes or for use in securing geological 13
data, including any boring that is necessary to ascertain foundation conditions. 14
(4) “Generating station” does not include: 15
(i) a generating unit or facility that: 16
1. is used for the production of electricity; 17
2. has the capacity to produce not more than 2 megawatts of 18
alternating current; and 19
3. is installed with equipment that prevents the flow of 20
electricity to the electric grid during time periods when the electric grid is out of service; 21
(ii) a combination of two or more generating units or facilities that: 22
1. are used for the production of electricity from a solar 23
photovoltaic system or an eligible customer–generator that is subject to the provisions of § 24
7–306 of this title; 25
2. are located on the same property or adjacent properties; 26
3. have the capacity to produce, when calculated 27
cumulatively for all generating units or facilities on the property or adjacent property, more 28
than 2 megawatts but not more than 14 megawatts of alternating current; and 29
4. for each individual generating unit or facility: 30
HOUSE BILL 1397 3
A. has the capacity to produce not more than 2 megawatts of 1
alternating current; 2
B. is separately metered by the electric company; and 3
C. does not export electricity for sale on the wholesale market 4
under an agreement with PJM Interconnection, LLC; 5
(iii) a generating unit or facility that: 6
1. is used for the production of electricity for the purpose of: 7
A. onsite emergency backup at a facility when service from 8
the electric company is interrupted due to electric distribution or transmission system 9
failure or when there is equipment failure at a site where critical infrastructure is located; 10
and 11
B. test and maintenance operations necessary to ensure 12
functionality of the generating unit or facility in the event of a service interruption from 13
the electric company due to electric distribution or transmission system failure or when 14
there is equipment failure at a site where critical infrastructure is located; 15
2. is installed with equipment that prevents the flow of 16
electricity to the electric grid; 17
3. is subject to a permit to construct issued by the 18
Department of the Environment; and 19
4. is installed at a facility that is part of critical 20
infrastructure if the facility complies with all applicable regulations regarding noise level 21
and testing hours; or 22
(iv) a combination of two or more generating units or facilities that 23
satisfy item (iii) of this paragraph. 24
(5) (I) “GRID ENHANCING TECHNO LOGIES” MEANS 25
INFRASTRUCTURE , HARDWARE , OR SOFTWARE THAT INC REASES THE CAPACITY , 26
EFFICIENCY, RELIABILITY, OR RESILIENCE OF A N EW OR EXISTING TRANS MISSION 27
LINE. 28
(II) “GRID ENHANCING TECHNO LOGIES” INCLUDES: 29
1. HIGH–PERFORMANCE CONDUCTO RS; AND 30
2. STORAGE USED AS TRAN SMISSION. 31
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(6) (i) “Mined land” means the surface or subsurface of an area in which 1
surface mining operations will be, are being, or have been conducted. 2
(ii) “Mined land” includes: 3
1. private ways and roads used for mining appurtenant to 4
any surface mining area; 5
2. land excavations; 6
3. workings; and 7
4. overburden. 8
[(6)] (7) “Qualified generator lead line” means an overhead transmission 9
line that is designed to carry a voltage in excess of 69,000 volts and would allow an 10
out–of–state Tier 1 or Tier 2 renewable source to interconnect with a portion of the electric 11
system in Maryland that is owned by an electric company. 12
(f) For the construction of an overhead transmission line, in addition to the 13
considerations listed in subsection (e) of this section, the Commission shall: 14
(1) take final action on an application for a certificate of public convenience 15
and necessity only after due consideration of: 16
(i) the need to meet existing and future demand for electric service; 17
[and] 18
(ii) for construction related to a new overhead transmission line, the 19
alternative routes that the applicant considered, including the estimated capital and 20
operating costs of each alternative route and a statement of the reason why the alternative 21
route was rejected; AND 22
(III) THE USE OF GRID ENHA NCING TECHNOLOGIES A S AN 23
ALTERNATIVE TO CONST RUCTION OF THE TRANS MISSION LINE; 24
(2) require as an ongoing condition of the certificate of public convenience 25
and necessity that an applicant comply with: 26
(i) all relevant agreements with PJM Interconnection, L.L.C., or its 27
successors, related to the ongoing operation and maintenance of the overhead transmission 28
line; and 29
(ii) all obligations imposed by the North America Electric Reliability 30
Council and the Federal Energy Regulatory Commission related to the ongoing operation 31
and maintenance of the overhead transmission line; and 32 HOUSE BILL 1397 5
(3) require the applicant to identify whether the overhead transmission 1
line is proposed to be constructed on: 2
(i) an existing brownfields site; 3
(ii) property that is subject to an existing easement; or 4
(iii) a site where a tower structure or components of a tower structure 5
used to support an overhead transmission line exist. 6
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 7
October 1, 2025. 8