Maryland 2025 Regular Session

Maryland Senate Bill SB1022 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *sb1022*
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77 SENATE BILL 1022
88 C5, M5 5lr3608
99 CF HB 1233
1010 By: Senator C. Jackson
1111 Introduced and read first time: February 5, 2025
1212 Assigned to: Rules
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Community Solar Energy Generating Systems – Subscription Eligibility 2
1919
2020 FOR the purpose of authorizing a certain LMI subscriber to hold a subscription to a 3
2121 community solar energy generating system located in a different electric service 4
2222 territory than the one in which the LMI subscriber resides; providing that a certain 5
2323 LMI subscriber shall receive the same bill credit value as an LMI subscriber that 6
2424 resides in a certain electric service territory; requiring the Public Service 7
2525 Commission to establish a process for the exchange of community solar bill credits 8
2626 between community solar energy generating systems that are located in different 9
2727 electric service territories; and generally relating to community solar energy 10
2828 generating systems. 11
2929
3030 BY repealing and reenacting, without amendments, 12
3131 Article – Public Utilities 13
3232 Section 7–306.2(a)(1), (8), (9), (12), and (14), (b), (c), (d)(1) and (2), and (j)(2) 14
3333 Annotated Code of Maryland 15
3434 (2020 Replacement Volume and 2024 Supplement) 16
3535
3636 BY repealing and reenacting, with amendments, 17
3737 Article – Public Utilities 18
3838 Section 7–306.2(a)(4) and (7) and (d)(3) 19
3939 Annotated Code of Maryland 20
4040 (2020 Replacement Volume and 2024 Supplement) 21
4141
4242 BY adding to 22
4343 Article – Public Utilities 23
4444 Section 7–306.2(o) 24
4545 Annotated Code of Maryland 25
4646 (2020 Replacement Volume and 2024 Supplement) 26
4747 2 SENATE BILL 1022
4848
4949
5050 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 1
5151 That the Laws of Maryland read as follows: 2
5252
5353 Article – Public Utilities 3
5454
5555 7–306.2. 4
5656
5757 (a) (1) In this section the following words have the meanings indicated. 5
5858
5959 (4) “Community solar energy generating system” means a solar energy 6
6060 system that: 7
6161
6262 (i) is connected to the electric distribution grid serving the State; 8
6363
6464 (ii) [is located in the same electric service territory as its subscribers; 9
6565
6666 (iii)] is attached to the electric meter of a subscriber or is a separate 10
6767 facility with its own electric meter; 11
6868
6969 [(iv)] (III) credits its generated electricity, or the value of its 12
7070 generated electricity, to the bills of the subscribers to that system through virtual net 13
7171 energy metering; 14
7272
7373 [(v)] (IV) has at least two subscribers but no limit to the maximum 15
7474 number of subscribers; 16
7575
7676 [(vi)] (V) does not have subscriptions larger than 200 kilowatts 17
7777 constituting more than 60% of its kilowatt–hour output; 18
7878
7979 [(vii)] (VI) has a generating capacity that does not exceed 5 19
8080 megawatts as measured by the alternating current rating of the system’s inverter; 20
8181
8282 [(viii)] (VII) may be owned by any person; and 21
8383
8484 [(ix)] (VIII) with respect to community solar energy generating 22
8585 systems constructed under the Program, serves at least 40% of its kilowatt–hour output to 23
8686 LMI subscribers unless the solar energy system is wholly owned by the subscribers to the 24
8787 solar energy system. 25
8888
8989 (7) “LMI subscriber” means a subscriber that: 26
9090
9191 (i) is low–income; 27
9292
9393 (ii) is moderate–income; or 28
9494
9595 (iii) resides in a census tract that is an: 29 SENATE BILL 1022 3
9696
9797
9898
9999 1. overburdened community; [and] OR 1
100100
101101 2. underserved community. 2
102102
103103 (8) “Low–income” means: 3
104104
105105 (i) having an annual household income that is at or below 200% of 4
106106 the federal poverty level; or 5
107107
108108 (ii) being certified as eligible for any federal, State, or local 6
109109 assistance program that limits participation to households whose income is at or below 7
110110 200% of the federal poverty level. 8
111111
112112 (9) “Moderate–income” means having an annual household income that is 9
113113 at or below 80% of the median income for Maryland. 10
114114
115115 (12) “Program” means the Community Solar Energy Generating Systems 11
116116 Program. 12
117117
118118 (14) “Subscriber” means a retail customer of an electric company that: 13
119119
120120 (i) holds a subscription to a community solar energy generating 14
121121 system; and 15
122122
123123 (ii) has identified one or more individual meters or accounts to which 16
124124 the subscription shall be attributed. 17
125125
126126 (b) The General Assembly finds that: 18
127127
128128 (1) community solar energy generating systems: 19
129129
130130 (i) provide residents and businesses, including those that lease 20
131131 property, increased access to local solar electricity while encouraging private investment in 21
132132 solar resources; 22
133133
134134 (ii) enhance continued diversification of the State’s energy resource 23
135135 mix to achieve the State’s renewable energy portfolio standard and Greenhouse Gas 24
136136 Emissions Reduction Act goals; and 25
137137
138138 (iii) provide electric companies and ratepayers the opportunity to 26
139139 realize the many benefits associated with distributed energy; and 27
140140
141141 (2) it is in the public interest that the State enable the development and 28
142142 deployment of energy generation from community solar energy generating systems in order 29
143143 to: 30
144144 4 SENATE BILL 1022
145145
146146
147147 (i) allow renters and low–income and moderate–income retail 1
148148 electric customers to own an interest in a community solar energy generating system; 2
149149
150150 (ii) facilitate market entry for all potential subscribers while giving 3
151151 priority to subscribers who are the most sensitive to market barriers; and 4
152152
153153 (iii) encourage developers to promote participation by renters and 5
154154 low–income and moderate–income retail electric customers. 6
155155
156156 (c) A community solar energy generating system, subscriber, subscriber 7
157157 organization, or subscription coordinator is not: 8
158158
159159 (1) an electric company; 9
160160
161161 (2) an electricity supplier; or 10
162162
163163 (3) a generating station if the generating capacity of the community solar 11
164164 energy generating system does not exceed 2 megawatts. 12
165165
166166 (d) (1) (i) The Commission shall establish and maintain a Community 13
167167 Solar Energy Generating Systems Program. 14
168168
169169 (ii) The structure of the Program is as provided in this subsection. 15
170170
171171 (2) All rate classes may participate in the Program. 16
172172
173173 (3) (I) Subscribers served by electric standard offer service, community 17
174174 choice aggregators, and electricity suppliers may hold subscriptions to the same community 18
175175 solar energy generating system. 19
176176
177177 (II) 1. EXCEPT AS PROVIDED IN SUBSUBPARAGRAPH 2 OF 20
178178 THIS SUBPARAGRAPH , A SUBSCRIBER MUST RE SIDE IN THE SAME ELE CTRIC 21
179179 SERVICE TERRITORY AS THE COMMUNITY SOLAR ENERGY GENERATING SY STEM TO 22
180180 WHICH THE SUBSCRIBER HOLDS A SUBSCRIPTION . 23
181181
182182 2. AN LMI SUBSCRIBER MAY HOLD A SUBSCRIPTION TO 24
183183 A COMMUNITY SOLAR EN ERGY GENERATING SYST EM LOCATED IN A DIFF ERENT 25
184184 ELECTRIC SERVICE TER RITORY THAN THE ONE IN WHICH THE LMI SUBSCRIBER 26
185185 RESIDES. 27
186186
187187 (j) (2) (i) This paragraph applies to electric companies, electric 28
188188 cooperatives, and municipal utilities that participate in the Program. 29
189189
190190 (ii) A subscriber who has a change in the service address associated 30
191191 with the subscriber’s subscription may maintain the subscription for the new address if the 31
192192 new address is within the same electric territory as the old address. 32 SENATE BILL 1022 5
193193
194194
195195
196196 (iii) An electric company or a subscriber organization may not 1
197197 terminate a subscriber’s subscription due to a change of address for the service address 2
198198 associated with the subscription if the requirements under subparagraph (ii) of this 3
199199 paragraph are met. 4
200200
201201 (iv) An electric company shall make any changes necessary to 5
202202 accommodate a subscriber’s change of address on notification by a subscriber organization. 6
203203
204204 (O) (1) AN LMI SUBSCRIBER THAT RESI DES IN A DIFFERENT E LECTRIC 7
205205 SERVICE TERRITORY THAN THE C OMMUNITY SOLAR ENERG Y GENERATING SYSTEM 8
206206 SHALL RECEIVE THE SA ME BILL CREDIT VALUE AS AN LMI SUBSCRIBER THAT 9
207207 RESIDES IN THE SAME ELECTRIC SERVICE TER RITORY AS THE COMMUN ITY SOLAR 10
208208 ENERGY GENERATING SY STEM. 11
209209
210210 (2) BY ORDER OR REGULATIO N, THE COMMISSION SHALL ESTA BLISH 12
211211 A PROCESS FOR THE EX CHANGE OF COMMUNITY SOLAR BILL CREDITS B ETWEEN 13
212212 COMMUNITY SOLAR ENER GY GENERATING SYSTEM S THAT ARE LOCATED I N 14
213213 DIFFERENT ELECTRIC S ERVICE TERRITORIES . 15
214214
215215 SECTION 2. AND BE IT FURTHER ENACTED, That this Act sha ll take effect 16
216216 October 1, 2025. 17
217217