EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *hb0213* HOUSE BILL 213 C5, M5 5lr1020 (PRE–FILED) By: Delegate Mangione Requested: October 1, 2024 Introduced and read first time: January 8, 2025 Assigned to: Economic Matters A BILL ENTITLED AN ACT concerning 1 Public Utilities – Natural Gas Energy Generation – Authorization and 2 Limitation 3 FOR the purpose of authorizing the construction, permitting, and operation of energy 4 generating systems that produce energy from natural gas until the State meets 5 certain energy goals; establishing certain requirements for energy generating 6 systems that produce energy from natural gas; requiring the Department of the 7 Environment to approve or deny an application for the construction of a new energy 8 generating system that produces energy from natural gas; prohibiting the 9 construction, permitting, or operation of an energy generating system that produces 10 energy from natural gas after a certain goal is met; requiring certain energy 11 generating systems to be decommissioned or transition to a system that produces 12 energy solely from renewable energy resources within a certain time frame; and 13 generally relating to the State’s renewable energy goals and energy generating 14 systems that produce natural gas. 15 BY adding to 16 Article – Public Utilities 17 Section 7–218 18 Annotated Code of Maryland 19 (2020 Replacement Volume and 2024 Supplement) 20 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 21 That the Laws of Maryland read as follows: 22 Article – Public Utilities 23 7–218. 24 2 HOUSE BILL 213 (A) THE GENERAL ASSEMBLY FINDS THAT : 1 (1) THE STATE IS COMMITTED TO ACHIEVING THE GOAL OF MEETING 2 100% OF ITS ENERGY NEEDS THROUGH RENEWABLE ENERGY RESOURCES AND 3 SOURCES WITH NET–ZERO EMISSIONS; 4 (2) THE CURRENT ENERGY G ENERATION INFRASTRUC TURE MAY 5 FACE CHALLENGES IN THE SHORT TERM IN MEETING THE STATE’S GROWING 6 ENERGY NEEDS SOLELY FROM RENEWABLE ENERGY RESOURCES; 7 (3) TO ENSURE ENERGY REL IABILITY AND SECURITY , IT IS 8 NECESSARY TO TE MPORARILY ALLOW THE CONSTRUCTION OF ENERGY 9 GENERATIN G SYSTEMS THAT PRODUCE ENERGY FROM NATURAL GAS WHILE 10 ENERGY CAPACITY FROM RENEWABLE ENERGY RES OURCES CONTINUES TO GROW; 11 AND 12 (4) NATURAL GAS PROVIDES A MORE RELIABLE AND LOWER–CARBON 13 ALTERNATIVE COMPARED TO COAL AND OIL, OFFERING A TRANSITIO NAL SOLUTION 14 AS THE STATE WORKS TO ACHIEV E ITS LONG–TERM CLIMATE AND ENE RGY GOALS. 15 (B) NOTWITHSTANDING ANY O THER PROVISION OF LA W, AND SUBJECT TO 16 SUBSECTION S (C), (D), (E), AND (F) OF THIS SECTION , ENERGY GENERATING 17 SYSTEMS THAT PRODUCE ENERGY FROM NATURAL GAS MAY BE C ONSTRUCTED , 18 PERMITTED, AND OPERATED UNTIL THE STATE REACHES THE GOAL OF MEETING 19 100% OF ITS ENERGY NEEDS FROM RENEWABLE ENERG Y RESOURCES , INCLUDING 20 NUCLEAR ENERGY . 21 (C) A PERSON CONSTRUCTING AN ENERGY GENERATING SY STEM UNDER 22 THIS SECTION SHALL COMPLY WITH THE PROV ISIONS OF THIS SUBTITLE RELATING 23 TO REQUIREMENT S TO OBTAIN: 24 (1) A CERTIFICATE OF PUB LIC CONVENIENCE AND NECESSITY; OR 25 (2) COMMISSION APPROVAL FOR THE CONSTRUCTION OF THE 26 GENERATING SYSTEM . 27 (D) (1) (I) IN ADDITION TO ANY AP PROVAL NECESSARY TO COMPLY 28 WITH SUBSECTION (C) OF THIS SECTION, A PERSON SHALL OBTAI N APPROVAL FROM 29 THE DEPARTMENT OF THE ENVIRONMENT BEFORE CONSTRUCTING AN ENERGY 30 GENERATIN G SYSTEM THAT PRODUCES ENERGY FROM NATURAL GAS . 31 (II) WHEN A PERSON APPLIES FOR APPROVAL UNDER 32 SUBPARAGRAPH (I) OF THIS PARAGRAPH , THE PERSON SHALL PRO VIDE TO THE 33 HOUSE BILL 213 3 DEPARTMENT OF THE ENVIRONMENT A TRANSIT ION PLAN OUTLINING H OW THE 1 SYSTEM WILL BE DECOM MISSIONED OR TRANSITIONED TO PROD UCE ENERGY 2 SOLELY FROM RENEWABL E ENERGY RESOURCES W HEN THE STATE REACHES THE 3 GOAL OF MEETING 100% OF ITS ENERGY NEEDS FROM RENEWABLE ENERG Y 4 RESOURCES. 5 (2) (I) THE DEPARTMENT OF THE ENVIRONMENT SHALL REV IEW 6 AND APPROVE OR DENY AN APPLICATION FOR THE CON STRUCTION OF A NEW 7 ENERGY GENERATING SY STEM THAT PRODUCES E NERGY FROM NATURAL G AS. 8 (II) IN APPROVING OR DENYI NG AN APPLICATION SUBMITTED 9 UNDER THIS SUBSECTIO N, THE DEPARTMENT OF THE ENVIRONMENT SHALL 10 CONSIDER: 11 1. THE ENVIRONMENTAL IM PACT OF THE SYSTEM; AND 12 2. WHETHER THE SYSTEM IS NECESSARY TO MEET THE 13 STATE’S ENERGY NEEDS . 14 (E) AN ENERGY GENERATING SYSTEM THAT PRODUCES ENERGY FROM 15 NATURAL GAS SHALL US E THE BEST AVAILABLE EMISSIONS CONTROL 16 TECHNOLOGIES TO MIN IMIZE GREENHOUSE GAS EMISSIONS. 17 (F) (1) AN ENERGY GENERATING SY STEM THAT PRODUCES ENERGY 18 FROM NATURAL GAS MAY NOT BE CONSTRUCTED , PERMITTED, OR OPERATED AFTER 19 THE STATE REACHES THE GOAL OF MEETING 100% OF ITS ENERGY NEEDS FROM 20 RENEWABLE ENERGY RES OURCES. 21 (2) WITHIN 10 YEARS AFTER THE STATE REACHES THE GOAL OF 22 MEETING 100% OF ITS ENERGY NEEDS FROM RENEWABLE ENERG Y RESOURCES , 23 EACH ENERGY GENERATI NG SYSTEM THAT PRODUCES ENERGY FROM NATURAL GAS 24 SHALL BE: 25 (I) DECOMMISSIONED ; OR 26 (II) TRANSITION ED TO A SYSTEM THAT PRODUCES ENERGY 27 SOLELY FROM RENEWABLE ENERGY RES OURCES. 28 (G) ON OR BEFORE DECEMBER 31 EACH YEAR, THE COMMISSION, IN 29 CONSULTATION WITH TH E DEPARTMENT OF THE ENVIRONMENT , SHALL SUBMIT AN 30 ANNUAL REPORT TO THE GENERAL ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF 31 THE STATE GOVERNMENT ARTICLE: 32 4 HOUSE BILL 213 (1) ON THE PROGRESS MADE TOWARD MEETING THE STATE’S 1 RENEWABLE ENERGY GOA LS; 2 (2) ON THE ROLE OF ENERG Y GENERATED FROM NAT URAL GAS IN THE 3 STATE’S ENERGY PORTFOLIO ; AND 4 (3) THAT INCLUDES UPDATED PROJECTIONS ON WHEN THE STATE 5 WILL REACH ITS GOAL OF MEETING 100% OF ITS ENERGY NEEDS THROUGH 6 RENEWABLE ENERGY RESOURCES. 7 SECTION 2. AND BE IT FURTHER ENACTED, That it is the intent of the General 8 Assembly that, to the extent that the provisions of this Act are inconsistent with any other 9 provision of law, the provisions of this Act will prevail. 10 SECTION 3. AND BE IT FURTHER ENACTED, That, if any provision of this Act or 11 the application of any provision of this Act to any person or circumstance is held invalid for 12 any reason in a court of competent jurisdiction, the invalidity does not affect other 13 provisions or any other application of this Act that can be given effect without the invalid 14 provision or application, and for this purpose the provisions of this Act are declared 15 severable. 16 SECTION 4. AND BE IT FURTHER ENACTED, That this Act shall take effect June 17 1, 2025. 18