MD
Maryland Senate Bill SB937

Maryland 2025 Regular Session

Maryland Senate Bill SB937 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 Underlining indicates amendments to bill.
66 Strike out indicates matter stricken from the bill by amendment or deleted from the law by
77 amendment.
8- Italics indicate opposite chamber/conference committee amendments.
98 *sb0937*
109
1110 SENATE BILL 937
12-C5, M5 (5lr2356)
13-ENROLLED BILL
14-— Education, Energy, and the Environment/Economic Matters —
15-Introduced by The President and Senator Feldman and Senators Feldman, Attar,
16-Brooks, Simonaire, and M. Washington
17-
18-Read and Examined by Proofreaders:
19-
20-_______________________________________________
21-Proofreader.
22-_______________________________________________
23-Proofreader.
24-
25-Sealed with the Great Seal and presented to the Governor, for his approval this
26-
27-_______ day of _______________ at ________________________ o’clock, ________M.
28-
29-______________________________________________
30-President.
11+C5, M5 5lr2356
12+ CF HB 1035
13+By: The President and Senator Feldman Senators Feldman, Attar, Brooks,
14+Simonaire, and M. Washington
15+Introduced and read first time: January 28, 2025
16+Assigned to: Education, Energy, and the Environment
17+Committee Report: Favorable with amendments
18+Senate action: Adopted
19+Read second time: March 13, 2025
3120
3221 CHAPTER ______
3322
3423 AN ACT concerning 1
3524
3625 Public Utilities – Electricity Generation Planning – Procurement, Permitting, 2
3726 and Co–Location 3
3827 Electricity and Gas – Emissions Reductions, Rate Regulation, Cost Recovery, 4
3928 Infrastructure, Planning, Renewable Energy Portfolio Standard, and Energy 5
4029 Assistance Programs 6
4130 (Next Generation Energy Act) 7
4231
4332 FOR the purpose of authorizing the Department of Housing and Community Development 8
4433 to issue loans, in addition to grants, for certain purposes relating to reducing direct 9
4534 greenhouse gas emissions from certain multifamily residential buildings; requiring 10
4635 the Maryland Energy Administration, in coordination with the Public Service 11
4736 Commission and the Department of Natural Resources, to pursue certain 12
4837 agreements with neighboring states and federal agencies related to the development 13
49-of new nuclear energy generating stations; requiring each investor–owned electric 14 2 SENATE BILL 937
50-
51-
52-company in the State to submit to the Commission by certain dates plans for the 1
53-construction or procurement of distribution–connected front–of–the–meter energy 2
54-storage devices and to construct or procure the devices in accordance with the plan; 3
55-expanding the sources of savings that the Department of Housing and Community 4
56-Development may procure and provide when calculating the achievement of certain 5
57-greenhouse gas emissions reduction targets; requiring certain public service 6
58-companies to demonstrate to the Commission the reasonableness of the use of certain 7
59-labor in a base rate proceeding; altering the required contents of a certain plan that 8
60-a gas company may file with the Commission for proposed eligible infrastructure 9
61-replacement projects; requiring that the plan meet certain requirements for a gas 10
62-company to recover certain costs; altering the required findings of the Commission 11
63-in considering whether to approve a certain infrastructure replacement plan; 12
64-authorizing the Commission to authorize a gas company to use a mechanism to 13
65-promptly recover certain costs for certain eligible infrastructure replacement 14
66-projects; requiring each electric company to submit to the Commission for approval 15
67-a specific rate schedule for certain large load customers; requiring the Commission, 16
68-in making a certain determination on a specific rate schedule, to consider certain 17
69-factors; authorizing the Commission to approve the use of certain multiyear rate 18
70-plans under certain circumstances; altering the alternative forms of regulation that 19
71-may be used by the Commission to regulate the regulated services of certain public 20
72-service companies; authorizing an investor–owned gas company to recover certain 21
73-costs associated with a gas infrastructure investment if the investor–owned gas 22
74-company makes certain demonstrations at a rate setting proceeding; prohibiting 23
75-certain public service companies from recovering through rates certain costs; 24
76-specifying that certain contracts entered into by certain public service companies 25
77-include a contract that has been executed, amended, or altered after a certain date; 26
78-requiring each investor–owned electric company in the State to submit to the 27
79-Commission by certain dates plans for the cons truction or procurement of 28
80-distribution–connected front–of–the–meter energy storage devices and to construct 29
81-or procure the devices in accordance with the plan; prohibiting an electricity supplier 30
82-or other owner of a certain generating station from entering into a certain contract 31
83-with a commercial or industrial customer under certain circumstances; authorizing 32
84-the Commission to apply to a certain large load customer and a certain generating 33
85-station certain costs and fees under certain circumstances; establishing a 34
86-procurement process for the Commission to evaluate and approve proposals and 35
87-applications for dispatchable energy generation projects and nuclear energy 36
88-generation projects establishing certain processes and requirements for the 37
89-solicitation and procurement of certain dispatchable energy generation, large 38
90-capacity energy resources, nuclear energy generation, and front–of–the–meter 39
91-transmission energy storage devices; requiring the Governor’s Office of Small, 40
92-Minority, and Women Business Affairs, in consultation with the Office of the 41
93-Attorney General, to provide certain assistance to potential applicants and minority 42
94-investors and, in consultation with the Office of the Attorney General and a certain 43
95-applicant, establish a certain plan; requiring the Commission to approve orders to 44
96-facilitate the financing of nuclear energy generation projects under certain 45
97-circumstances; requiring each electric company to procure a certain volume of 46
98-nuclear energy from a certain escrow account; requiring a certain nuclear energy 47 SENATE BILL 937 3
99-
100-
101-generation project to sell certain energy, capacity, and ancillary services into certain 1
102-markets and distribute the proceeds in a certain manner requiring each electric 2
103-company to procure a certain quantity of zero–emission credits from a certain escrow 3
104-account; authorizing certain units of State government to issue certain competitive 4
105-sealed bids for projects that are higher than the amount authorized for small 5
106-procurements; requiring the Chief Procurement Officer to approve certain 6
107-procurement contracts under certain circumstances; altering the authorized uses of 7
108-certain compliance fee revenue paid into the Maryland Strategic Energy Investment 8
109-Fund; allowing a subtraction under the Maryland income tax for certain legislative 9
110-energy hardship credits relief refunds; altering the definition of “Tier 1 renewable 10
111-source” for purposes of excluding energy derived from waste and refuse from being 11
112-eligible for inclusion in the renewable energy portfolio standard; establishing an 12
113-expedited certificate of public convenience and necessity review process for certain 13
114-generating stations and energy storage devices; requiring that certain funds in the 14
115-Maryland Strategic Energy Investment Fund be used in a certain manner in a 15
116-certain fiscal year; requiring the Department of Human Services to report to the 16
117-Governor and the General Assembly on certain changes necessary to implement a 17
118-certain recommendation; and generally relating to energy generation and 18
119-procurement in Maryland electricity and gas. 19
120-
121-BY repealing 20
122- Article – Public Utilities 21
123-Section 7–701(h–1) and (i) 22
124- Annotated Code of Maryland 23
125- (2020 Replacement Volume and 2024 Supplement) 24
126-
127-BY renumbering 25
128- Article – Public Utilities 26
129-Section 7–701(i–1) 27
130-to be Section 7–701(i) 28
131- Annotated Code of Maryland 29
132- (2020 Replacement Volume and 2024 Supplement) 30
133-
134-BY repealing and reenacting, with amendments, 31
135- Article – Corporations and Associations 32
136- Section 5–637(b) 33
137- Annotated Code of Maryland 34
138- (2014 Replacement Volume and 2024 Supplement) 35
139-
140-BY repealing and reenacting, with amendments, 36
141- Article – Housing and Community Development 37
142- Section 4–211(d) 38
143- Annotated Code of Maryland 39
144- (2019 Replacement Volume and 2024 Supplement) 40
145-
146-BY repealing and reenacting, without amendments, 41
147- Article – Public Utilities 42 4 SENATE BILL 937
148-
149-
150-Section 1–101(a), 7–224(a) and (b), and 7–701(a) 1
151- Annotated Code of Maryland 2
152- (2020 Replacement Volume and 2024 Supplement) 3
153-
154-BY repealing and reenacting, with amendments, 4
155- Article – Public Utilities 5
156- Section 1–101(i), (l), and (ee), 4–210, 5–305, 7–207(b)(1)(i), 7–216(a), 7–224(c), 6
157- 7–505(c), 7–701(s), and 7–704(a) 7
158- Annotated Code of Maryland 8
159- (2020 Replacement Volume and 2024 Supplement) 9
160-
161-BY adding to 10
162- Article – Public Utilities 11
163-Section 1–101(w–1) and (w–2), 4–206.1, 4–212, 4–213, 4–214, 4–504, 7–207(b)(1)(iv) 12
164-and, (v), and (vi), 7–207.4, 7–211, 7–216.2, and 7–506.1; and 7–1201 through 13
165-7–1218 7–1229 to be under the new subtitle “Subtitle 12. Energy Solicitation 14
166-and Procurement” 15
167- Annotated Code of Maryland 16
168- (2020 Replacement Volume and 2024 Supplement) 17
169-
170-BY repealing and reenacting, with amendments, 18
171- Article – Public Utilities 19
172-Section 7–207(b)(1)(i) 20
173- Annotated Code of Maryland 21
174- (2020 Replacement Volume and 2024 Supplement) 22
175-
176-BY repealing and reenacting, with amendments, 23
177- Article – State Finance and Procurement 24
178- Section 13–102(a) 25
179- Annotated Code of Maryland 26
180- (2021 Replacement Volume and 2024 Supplement) 27
181-
182-BY adding to 28
183- Article – State Finance and Procurement 29
184- Section 13–117 30
185- Annotated Code of Maryland 31
186- (2021 Replacement Volume and 2024 Supplement) 32
187-
188-BY repealing and reenacting, without amendments, 33
189- Article – State Government 34
190- Section 9–20B–05(a) 35
38+of new nuclear energy generating stations; expanding the sources of savings that the 14
39+Department of Housing and Community Development may procure and provide 15
40+when calculating the achievement of certain greenhouse gas emissions reduction 16
41+targets; requiring certain public service companies to demonstrate to the 17
42+Commission the reasonableness of the use of certain labor in a base rate proceeding; 18
43+altering the required contents of a certain plan that a gas company may file with the 19
44+Commission for proposed eligible infrastructure replacement projects; requiring that 20
45+the plan meet certain requirements for a gas company to recover certain costs; 21
46+altering the required findings of the Commission in considering whether to approve 22
47+a certain infrastructure replacement plan; authorizing the Commission to authorize 23
48+a gas company to use a mechanism to promptly recover certain costs for certain 24 2 SENATE BILL 937
49+
50+
51+eligible infrastructure replacement projects; requiring each electric company to 1
52+submit to the Commission for approval a specific rate schedule for certain large load 2
53+customers; requiring the Commission, in making a certain determination on a 3
54+specific rate schedule, to consider certain factors; authorizing the Commission to 4
55+approve the use of certain multiyear rate plans under certain circumstances; altering 5
56+the alternative forms of regulation that may be used by the Commission to regulate 6
57+the regulated services of certain public service companies; authorizing an 7
58+investor–owned gas company to recover certain costs associated with a gas 8
59+infrastructure investment if the investor–owned gas company makes certain 9
60+demonstrations at a rate setting proceeding; prohibiting certain public service 10
61+companies from recovering through rates certain costs; specifying that certain 11
62+contracts entered into by certain public service companies include a contract that 12
63+has been executed, amended, or altered after a certain date; requiring each 13
64+investor–owned electric company in the State to submit to the Commission by certain 14
65+dates plans for the construction or procurement of distribution–connected 15
66+front–of–the–meter energy storage devices and to construct or procure the devices in 16
67+accordance with the plan; prohibiting an electricity supplier or other owner of a 17
68+certain generating station from entering into a certain contract with a commercial 18
69+or industrial customer under certain circumstances; authorizing the Commission to 19
70+apply to a certain large load customer and a certain generating station certain costs 20
71+and fees under certain circumstances; establishing a procurement process for the 21
72+Commission to evaluate and approve proposals and applications for dispatchable 22
73+energy generation projects and nuclear energy generation projects establishing 23
74+certain processes and requirements for the solicitation and procurement of certain 24
75+dispatchable energy generation, large capacity energy resources, nuclear energy 25
76+generation, and front–of–the–meter transmission energy storage devices; requiring 26
77+the Governor’s Office of Small, Minority, and Women Business Affairs, in 27
78+consultation with the Office of the Attorney General, to provide certain assistance to 28
79+potential applicants and minority investors and, in consultation with the Office of 29
80+the Attorney General and a certain applicant, establish a certain plan; requiring the 30
81+Commission to approve orders to facilitate the financing of nuclear energy generation 31
82+projects under certain circumstances; requiring each electric company to procure a 32
83+certain volume of nuclear energy from a certain escrow account; requiring a certain 33
84+nuclear energy generation project to sell certain energy, capacity, and ancillary 34
85+services into certain markets and distribute the proceeds in a certain manner 35
86+requiring each electric company to procure a certain quantity of zero–emission 36
87+credits from a certain escrow account; authorizing certain units of State government 37
88+to issue certain competitive sealed bids for projects that are higher than the amount 38
89+authorized for small procurements; requiring the Chief Procurement Officer to 39
90+approve certain procurement contracts under certain circumstances; altering the 40
91+authorized uses of certain compliance fee revenue paid into the Maryland Strategic 41
92+Energy Investment Fund; allowing a subtraction under the Maryland income tax for 42
93+certain legislative energy hardship credits; altering the definition of “Tier 1 43
94+renewable source” for purposes of excluding energy derived from waste and refuse 44
95+from being eligible for inclusion in the renewable energy portfolio standard; 45
96+establishing an expedited certificate of public convenience and necessity review 46
97+process for certain generating stations and energy storage devices; requiring that 47 SENATE BILL 937 3
98+
99+
100+certain funds in the Maryland Strategic Energy Investment Fund be used in a 1
101+certain manner in a certain fiscal year; requiring the Department of Human Services 2
102+to report to the Governor and the General Assembly on certain changes necessary to 3
103+implement a certain recommendation; and generally relating to energy generation 4
104+and procurement in Maryland electricity and gas. 5
105+
106+BY repealing 6
107+ Article – Public Utilities 7
108+Section 7–701(h–1) and (i) 8
109+ Annotated Code of Maryland 9
110+ (2020 Replacement Volume and 2024 Supplement) 10
111+
112+BY renumbering 11
113+ Article – Public Utilities 12
114+Section 7–701(i–1) 13
115+to be Section 7–701(i) 14
116+ Annotated Code of Maryland 15
117+ (2020 Replacement Volume and 2024 Supplement) 16
118+
119+BY repealing and reenacting, with amendments, 17
120+ Article – Corporations and Associations 18
121+ Section 5–637(b) 19
122+ Annotated Code of Maryland 20
123+ (2014 Replacement Volume and 2024 Supplement) 21
124+
125+BY repealing and reenacting, with amendments, 22
126+ Article – Housing and Community Development 23
127+ Section 4–211(d) 24
128+ Annotated Code of Maryland 25
129+ (2019 Replacement Volume and 2024 Supplement) 26
130+
131+BY repealing and reenacting, without amendments, 27
132+ Article – Public Utilities 28
133+Section 1–101(a), 7–224(a) and (b), and 7–701(a) 29
134+ Annotated Code of Maryland 30
135+ (2020 Replacement Volume and 2024 Supplement) 31
136+
137+BY repealing and reenacting, with amendments, 32
138+ Article – Public Utilities 33
139+ Section 1–101(i), (l), and (ee), 4–210, 5–305, 7–207(b)(1)(i), 7–216(a), 7–224(c), 34
140+ 7–505(c), 7–701(s), and 7–704(a) 35
191141 Annotated Code of Maryland 36
192- (2021 Replacement Volume and 2024 Supplement) 37
193-
194-BY repealing and reenacting, with amendments, 38
195- Article – State Government 39
196- Section 9–20B–05(e) and (i) 40 SENATE BILL 937 5
197-
198-
199- Annotated Code of Maryland 1
200- (2021 Replacement Volume and 2024 Supplement) 2
201-
202-BY repealing and reenacting, without amendments, 3
203- Article – Tax – General 4
204- Section 10–207(a) 5
205- Annotated Code of Maryland 6
206- (2022 Replacement Volume and 2024 Supplement) 7
207-
208-BY adding to 8
209- Article – Tax – General 9
210- Section 10–207(qq) 10
211- Annotated Code of Maryland 11
212- (2022 Replacement Volume and 2024 Supplement) 12
213-
214- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 13
215-That Section(s) 7–701(h–1) and (i) of Article – Public Utilities of the Annotated Code of 14
216-Maryland be repealed. 15
217-
218- SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 7 –701(i–1) of 16
219-Article – Public Utilities of the Annotated Code of Maryland be renumbered to be Section(s) 17
220-7–701(i). 18
221-
222- SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 19
223-as follows: 20
224-
225-Article – Corporations and Associations 21
226-
227-5–637. 22
228-
229- (b) A member–regulated cooperative is subject to the following provisions of the 23
230-Public Utilities Article: 24
231-
232- (1) § 4–212; 25
233-
234- (2) § 5–103; 26
235-
236- [(2)] (3) § 5–201; 27
237-
238- [(3)] (4) § 5–202; 28
239-
240- [(4)] (5) § 5–303; 29
241-
242- [(5)] (6) § 5–304; 30
243-
244- [(6)] (7) § 5–306; 31 6 SENATE BILL 937
245-
246-
247-
248- [(7)] (8) § 7–103; 1
249-
250- [(8)] (9) § 7–104; 2
251-
252- [(9)] (10) § 7–203; 3
253-
254- [(10)] (11) § 7–207; 4
255-
256- [(11)] (12) Title 7, Subtitle 2, Part II; 5
257-
258- [(12)] (13) § 7–302; 6
259-
260- [(13)] (14) Title 7, Subtitle 5, Part I and Part II; 7
261-
262- [(14)] (15) Title 7, Subtitle 7; and 8
263-
264- [(15)] (16) § 13–101. 9
265-
266-Article – Housing and Community Development 10
267-
268-4–211. 11
269-
270- (d) (1) (i) In this subsection the following words have the meanings 12
271-indicated. 13
272-
273- (ii) “Covered building” has the meaning stated in § 2–1601 of the 14
274-Environment Article. 15
275-
276- (iii) “Energy conservation project” means a project that qualifies 16
277-under § 4–218 of this subtitle. 17
278-
279- (2) For the purpose of reducing direct greenhouse gas emissions from 18
280-multifamily residential buildings in accordance with the standards adopted under § 2–1602 19
281-of the Environment Article, the Administration shall develop and implement a program to 20
282-provide grants AND LOANS for energy conservation projects and projects to install 21
283-renewable energy generating systems in covered buildings that house primarily low– to 22
284-moderate–income households. 23
285-
286- (3) Grants AND LOANS provided under this subsection may not be used for 24
287-a project to install new equipment that uses fossil fuels or improve the efficiency of existing 25
288-equipment that uses fossil fuels. 26
289-
290- (4) In each of fiscal years 2024 through 2026, the Governor shall include in 27
291-the annual budget bill an appropriation of $5,000,000 to the Department for the purpose of 28
292-providing grants AND LOANS under this subsection. 29 SENATE BILL 937 7
293-
294-
295-
296- (5) On or before December 1, 2023, and each December 1 thereafter, the 1
297-Administration shall report to the Governor and, in accordance with § 2–1257 of the State 2
298-Government Article, the General Assembly on the projects funded under this subsection. 3
299-
300-Article – Public Utilities 4
301-
302-1–101. 5
303-
304- (a) In this division the following words have the meanings indicated. 6
305-
306- (i) (1) “Electric company” means a person who physically transmi ts or 7
307-distributes electricity in the State to a retail electric customer. 8
308-
309- (2) “Electric company” does not include: 9
310-
311- (i) the following persons who supply electricity and electricity 10
312-supply services solely to occupants of a building for use by the occupants: 11
313-
314- 1. an owner/operator who holds ownership in and manages 12
315-the internal distribution system serving the building; or 13
316-
317- 2. a lessee/operator who holds a leasehold interest in and 14
318-manages the internal distribution system serving the building; 15
319-
320- (ii) any person who generates on–site generated electricity; [or] 16
321-
322- (iii) a person who transmits or distributes electricity within a site 17
323-owned by the person or the person’s affiliate that is incidental to a primarily 18
324-landlord–tenant relationship; OR 19
325-
326- (IV) A PERSON WHO PROVIDE S ELECTRICITY TO A LARGE LOAD 20
327-COMMERCIAL OR INDUST RIAL CUSTOMER IN ACCORDAN CE WITH § 7–506.1 OF THIS 21
328-ARTICLE. 22
329-
330- (l) (1) “Electricity supplier” means a person: 23
331-
332- (i) who sells: 24
333-
334- 1. electricity; 25
335-
336- 2. electricity supply services; 26
337-
338- 3. competitive billing services; or 27
339-
340- 4. competitive metering services; or 28 8 SENATE BILL 937
341-
342-
343-
344- (ii) who purchases, brokers, arranges, or markets electricity or 1
345-electricity supply services for sale to a retail electric customer. 2
346-
347- (2) “Electricity supplier” includes an electric company, an aggregator, a 3
348-broker, [and] a marketer of electricity, AND A PERSON WHO PRO VIDES ELECTRICITY TO 4
349-A LARGE LOAD COMMERCIAL OR INDUST RIAL CUSTOMER IN ACCORDAN CE WITH § 5
350-7–506.1 OF THIS ARTICLE . 6
351-
352- (3) “Electricity supplier” does not include: 7
353-
354- (i) the following persons who supply electricity and electricity 8
355-supply services solely to occupants of a building for use by the occupants: 9
356-
357- 1. an owner/operator who holds ownership in and manages 10
358-the internal distribution system serving the building; or 11
359-
360- 2. a lessee/operator who holds a leasehold interest in and 12
361-manages the internal distribution system serving the building; 13
362-
363- (ii) a person who generates on–site generated electricity; or 14
364-
365- (iii) a person that owns or operates equipment used for charging 15
366-electric vehicles, including a person that owns or operates: 16
367-
368- 1. an electric vehicle charging station; 17
369-
370- 2. electric vehicle supply equipment; or 18
371-
372- 3. an electric vehicle charging station service company or 19
373-provider. 20
374-
375- (W–1) “PJM INTERCONNECTION ” OR, “PJM INTERCONNECTION , LLC” 21
376-MEANS, OR “PJM” MEANS PJM INTERCONNECTION , LLC OR ANY SUCCESSOR 22
377-ORGANIZATION THAT SERVICES THE PJM REGION. 23
378-
379- (W–2) “PJM REGION” MEANS THE CONTROL AR EA ADMINISTERED BY PJM 24
380-INTERCONNECTIO N, AS THE AREA MAY CHAN GE FROM TIME TO TIME . 25
381-
382- (ee) (1) “Retail electric customer” means a purchaser of electricity for end use 26
383-in the State. 27
384-
385- (2) “Retail electric customer” includes: 28
386-
387- (i) a person that owns or operates equipment used for charging 29
388-electric vehicles, including: 30 SENATE BILL 937 9
389-
390-
391-
392- 1. an electric vehicle charging station; 1
393-
394- 2. electric vehicle supply equipment; or 2
395-
396- 3. an electric vehicle charging station service company or 3
397-provider; [and] 4
398-
399- (ii) a person that charges an electric vehicle at an electric vehicle 5
400-charging station that the person owns or operates; AND 6
401-
402- (III) A LARGE LOAD COMMERCIAL OR INDUST RIAL CUSTOMER 7
403-THAT PURCHASES ELECT RICITY IN ACCORDANCE WITH § 7–506.1 OF THIS ARTICLE . 8
404-
405- (3) “Retail electric customer” does not include: 9
406-
407- (i) an occupant of a building in which the owner/operator or 10
408-lessee/operator manages the internal distribution system serving the building and supplies 11
409-electricity and electricity supply services solely to occupants of the building for use by the 12
410-occupants; 13
411-
412- (ii) a person who generates on–site generated electricity, to the 14
413-extent the on–site generated electricity is consumed by that person or its tenants; or 15
414-
415- (iii) except as provided in paragraph (2)(ii) of this subsection, a 16
416-person that charges an electric vehicle at an electric vehicle charging station. 17
417-
418-4–206.1. 18
419-
420- (A) THIS SECTION APPLIES ONLY TO A PUBLIC SER VICE COMPANY THAT IS 19
421-AN INVESTOR–OWNED GAS COMPANY OR INVESTOR–OWNED ELECTRIC COMPA NY. 20
422-
423- (B) IN A BASE RATE PROCEE DING TO SET JUST AND REASONABLE RATES 21
424-UNDER THIS TITLE , EACH PUBLIC SERVICE COMPANY SHALL DEMONS TRATE TO THE 22
425-COMMISSION THE REASON ABLENESS OF THE USE OF INTERNAL LABOR IN 23
426-COMPARISON TO CONTRA CTUAL LABOR . 24
427-
428- (C) TO DEMONSTRATE REASON ABLENESS OF THE USE OF LABOR AS 25
429-REQUIRED UNDE R SUBSECTION (B) OF THIS SECTION, A PUBLIC SERVICE COM PANY 26
430-SHALL PROVIDE TO THE COMMISSION, AT A MINIMUM: 27
431-
432- (1) EVIDENCE THAT THE PU BLIC SERVICE COMPANY LACKS THE 28
433-CAPACITY TO SELF –PERFORM THE CONTRACT ED WORK USING INTERN AL LABOR; 29
142+ (2020 Replacement Volume and 2024 Supplement) 37
143+
144+BY adding to 38
145+ Article – Public Utilities 39 4 SENATE BILL 937
146+
147+
148+Section 1–101(w–1) and (w–2), 4–206.1, 4–212, 4–213, 4–214, 4–504, 7–207(b)(1)(iv) 1
149+and, (v), and (vi), 7–207.4, 7–211, 7–216.2, and 7–506.1; and 7–1201 through 2
150+7–1218 7–1229 to be under the new subtitle “Subtitle 12. Energy Solicitation 3
151+and Procurement” 4
152+ Annotated Code of Maryland 5
153+ (2020 Replacement Volume and 2024 Supplement) 6
154+
155+BY repealing and reenacting, with amendments, 7
156+ Article – Public Utilities 8
157+Section 7–207(b)(1)(i) 9
158+ Annotated Code of Maryland 10
159+ (2020 Replacement Volume and 2024 Supplement) 11
160+
161+BY repealing and reenacting, with amendments, 12
162+ Article – State Finance and Procurement 13
163+ Section 13–102(a) 14
164+ Annotated Code of Maryland 15
165+ (2021 Replacement Volume and 2024 Supplement) 16
166+
167+BY adding to 17
168+ Article – State Finance and Procurement 18
169+ Section 13–117 19
170+ Annotated Code of Maryland 20
171+ (2021 Replacement Volume and 2024 Supplement) 21
172+
173+BY repealing and reenacting, without amendments, 22
174+ Article – State Government 23
175+ Section 9–20B–05(a) 24
176+ Annotated Code of Maryland 25
177+ (2021 Replacement Volume and 2024 Supplement) 26
178+
179+BY repealing and reenacting, with amendments, 27
180+ Article – State Government 28
181+ Section 9–20B–05(e) and (i) 29
182+ Annotated Code of Maryland 30
183+ (2021 Replacement Volume and 2024 Supplement) 31
184+
185+BY repealing and reenacting, without amendments, 32
186+ Article – Tax – General 33
187+ Section 10–207(a) 34
188+ Annotated Code of Maryland 35
189+ (2022 Replacement Volume and 2024 Supplement) 36
190+
191+BY adding to 37
192+ Article – Tax – General 38
193+ Section 10–207(qq) 39
194+ Annotated Code of Maryland 40 SENATE BILL 937 5
195+
196+
197+ (2022 Replacement Volume and 2024 Supplement) 1
198+
199+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 2
200+That Section(s) 7–701(h–1) and (i) of Article – Public Utilities of the Annotated Code of 3
201+Maryland be repealed. 4
202+
203+ SECTION 2. AND BE IT FURTHER ENACTED, That Section(s) 7 –701(i–1) of 5
204+Article – Public Utilities of the Annotated Code of Maryland be renumbered to be Section(s) 6
205+7–701(i). 7
206+
207+ SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 8
208+as follows: 9
209+
210+Article – Corporations and Associations 10
211+
212+5–637. 11
213+
214+ (b) A member–regulated cooperative is subject to the following provisions of the 12
215+Public Utilities Article: 13
216+
217+ (1) § 4–212; 14
218+
219+ (2) § 5–103; 15
220+
221+ [(2)] (3) § 5–201; 16
222+
223+ [(3)] (4) § 5–202; 17
224+
225+ [(4)] (5) § 5–303; 18
226+
227+ [(5)] (6) § 5–304; 19
228+
229+ [(6)] (7) § 5–306; 20
230+
231+ [(7)] (8) § 7–103; 21
232+
233+ [(8)] (9) § 7–104; 22
234+
235+ [(9)] (10) § 7–203; 23
236+
237+ [(10)] (11) § 7–207; 24
238+
239+ [(11)] (12) Title 7, Subtitle 2, Part II; 25
240+
241+ [(12)] (13) § 7–302; 26
242+ 6 SENATE BILL 937
243+
244+
245+ [(13)] (14) Title 7, Subtitle 5, Part I and Part II; 1
246+
247+ [(14)] (15) Title 7, Subtitle 7; and 2
248+
249+ [(15)] (16) § 13–101. 3
250+
251+Article – Housing and Community Development 4
252+
253+4–211. 5
254+
255+ (d) (1) (i) In this subsection the following words have the meanings 6
256+indicated. 7
257+
258+ (ii) “Covered building” has the meaning stated in § 2–1601 of the 8
259+Environment Article. 9
260+
261+ (iii) “Energy conservation project” means a project that qualifies 10
262+under § 4–218 of this subtitle. 11
263+
264+ (2) For the purpose of reducing direct greenhouse gas emissions from 12
265+multifamily residential buildings in accordance with the standards adopted under § 2–1602 13
266+of the Environment Article, the Administration shall develop and implement a program to 14
267+provide grants AND LOANS for energy conservation projects and projects to install 15
268+renewable energy generating systems in covered buildings that house primarily low– to 16
269+moderate–income households. 17
270+
271+ (3) Grants AND LOANS provided under this subsection may not be used for 18
272+a project to install new equipment that uses fossil fuels or improve the efficiency of existing 19
273+equipment that uses fossil fuels. 20
274+
275+ (4) In each of fiscal years 2024 through 2026, the Governor shall include in 21
276+the annual budget bill an appropriation of $5,000,000 to the Department for the purpose of 22
277+providing grants AND LOANS under this subsection. 23
278+
279+ (5) On or before December 1, 2023, and each December 1 thereafter, the 24
280+Administration shall report to the Governor and, in accordance with § 2–1257 of the State 25
281+Government Article, the General Assembly on the projects funded under this subsection. 26
282+
283+Article – Public Utilities 27
284+
285+1–101. 28
286+
287+ (a) In this division the following words have the meanings indicated. 29
288+
289+ (i) (1) “Electric company” means a person who physically transmits or 30
290+distributes electricity in the State to a retail electric customer. 31 SENATE BILL 937 7
291+
292+
293+
294+ (2) “Electric company” does not include: 1
295+
296+ (i) the following persons who supply electricity and electricity 2
297+supply services solely to occupants of a building for use by the occupants: 3
298+
299+ 1. an owner/operator who holds ownership in and manages 4
300+the internal distribution system serving the building; or 5
301+
302+ 2. a lessee/operator who holds a leasehold interest in and 6
303+manages the internal distribution system serving the building; 7
304+
305+ (ii) any person who generates on–site generated electricity; [or] 8
306+
307+ (iii) a person who transmits or distributes electricity within a site 9
308+owned by the person or the person’s affiliate that is incidental to a primarily 10
309+landlord–tenant relationship; OR 11
310+
311+ (IV) A PERSON WHO PROVIDE S ELECTRICITY TO A L ARGE LOAD 12
312+CUSTOMER IN ACCORDAN CE WITH § 7–506.1 OF THIS ARTICLE . 13
313+
314+ (l) (1) “Electricity supplier” means a person: 14
315+
316+ (i) who sells: 15
317+
318+ 1. electricity; 16
319+
320+ 2. electricity supply services; 17
321+
322+ 3. competitive billing services; or 18
323+
324+ 4. competitive metering services; or 19
325+
326+ (ii) who purchases, brokers, arranges, or markets electricity or 20
327+electricity supply services for sale to a retail electric customer. 21
328+
329+ (2) “Electricity supplier” includes an electric company, an aggregator, a 22
330+broker, [and] a marketer of electricity, AND A PERSON WHO PRO VIDES ELECTRICITY TO 23
331+A LARGE LOAD C USTOMER IN ACCORDANC E WITH § 7–506.1 OF THIS ARTICLE . 24
332+
333+ (3) “Electricity supplier” does not include: 25
334+
335+ (i) the following persons who supply electricity and electricity 26
336+supply services solely to occupants of a building for use by the occupants: 27
337+ 8 SENATE BILL 937
338+
339+
340+ 1. an owner/operator who holds ownership in and manages 1
341+the internal distribution system serving the building; or 2
342+
343+ 2. a lessee/operator who holds a leasehold interest in and 3
344+manages the internal distribution system serving the building; 4
345+
346+ (ii) a person who generates on–site generated electricity; or 5
347+
348+ (iii) a person that owns or operates equipment used for charging 6
349+electric vehicles, including a person that owns or operates: 7
350+
351+ 1. an electric vehicle charging station; 8
352+
353+ 2. electric vehicle supply equipment; or 9
354+
355+ 3. an electric vehicle charging station service company or 10
356+provider. 11
357+
358+ (W–1) “PJM INTERCONNECTION ” OR, “PJM INTERCONNECTION , LLC” 12
359+MEANS, OR “PJM” MEANS PJM INTERCONNECTION , LLC OR ANY SUCCESSOR 13
360+ORGANIZATION THAT SERVICES THE PJM REGION. 14
361+
362+ (W–2) “PJM REGION” MEANS THE CONTROL AR EA ADMINISTERED BY PJM 15
363+INTERCONNECTION , AS THE AREA MAY CHAN GE FROM TIME TO TIME . 16
364+
365+ (ee) (1) “Retail electric customer” means a purchaser of electricity for end use 17
366+in the State. 18
367+
368+ (2) “Retail electric customer” includes: 19
369+
370+ (i) a person that owns or operates equipment used for charging 20
371+electric vehicles, including: 21
372+
373+ 1. an electric vehicle charging station; 22
374+
375+ 2. electric vehicle supply equipment; or 23
376+
377+ 3. an electric vehicle charging station service company or 24
378+provider; [and] 25
379+
380+ (ii) a person that charges an electric vehicle at an electric vehicle 26
381+charging station that the person owns or operates; AND 27
382+
383+ (III) A LARGE LOAD CUSTOME R THAT PURCHASES ELECTRICITY 28
384+IN ACCORDANCE WITH § 7–506.1 OF THIS ARTICLE . 29
385+ SENATE BILL 937 9
386+
387+
388+ (3) “Retail electric customer” does not include: 1
389+
390+ (i) an occupant of a building in which the owner/operator or 2
391+lessee/operator manages the internal distribution system serving the building and supplies 3
392+electricity and electricity supply services solely to occupants of the building for use by the 4
393+occupants; 5
394+
395+ (ii) a person who generates on–site generated electricity, to the 6
396+extent the on–site generated electricity is consumed by that person or its tenants; or 7
397+
398+ (iii) except as provided in paragraph (2)(ii) of this subsection, a 8
399+person that charges an electric vehicle at an electric vehicle charging station. 9
400+
401+4–206.1. 10
402+
403+ (A) THIS SECTION APPLIES ONLY TO A PUBLIC SER VICE COMPANY THAT IS 11
404+AN INVESTOR–OWNED GAS COMPANY OR INVESTOR–OWNED ELECTRIC COMPA NY. 12
405+
406+ (B) IN A BASE RATE PROCEE DING TO SET JUST AND REASONABLE RATES 13
407+UNDER THIS TITLE , EACH PUBLIC SERVICE COMPANY SHALL DEMONS TRATE TO THE 14
408+COMMISSION THE REASON ABLENESS OF THE USE OF INTERNAL LABOR IN 15
409+COMPARISON TO CONTRA CTUAL LABOR . 16
410+
411+ (C) TO DEMONSTRATE REASON ABLENESS OF THE USE OF LABOR AS 17
412+REQUIRED UNDER SUBSE CTION (B) OF THIS SECTION, A PUBLIC SERVICE COM PANY 18
413+SHALL PROVIDE TO THE COMMISSION, AT A MINIMUM: 19
414+
415+ (1) EVIDENCE THAT THE PU BLIC SERVICE COMPA NY LACKS THE 20
416+CAPACITY TO SELF –PERFORM THE CONTRACT ED WORK USING INTERN AL LABOR; 21
417+
418+ (2) A JUSTIFICATION FOR THE USE OF CONTRACTU AL LABOR WHEN 22
419+USED INSTEAD OF INTE RNAL LABOR, INCLUDING A COST –BASED RATIONALE THAT : 23
420+
421+ (I) COMPARES THE COSTS O F INTERNAL LABOR WITH THE 24
422+COSTS OF CONTRACTUAL LABOR; AND 25
423+
424+ (II) DEMONSTRATES THE REA SONABLENESS OF THE D ECISION 26
425+TO USE CONTRACTUAL L ABOR; AND 27
426+
427+ (3) ANY OTHER INFORMATIO N THAT THE COMMISSION REQUIRES . 28
428+
429+4–210. 29
430+
431+ (a) (1) In this section the following words have the meanings indicated. 30
434432 10 SENATE BILL 937
435433
436434
437- (2) A JUSTIFICATION F OR THE USE OF CONTRA CTUAL LABOR WHEN 1
438-USED INSTEAD OF INTE RNAL LABOR, INCLUDING A COST –BASED RATIONALE THAT : 2
439-
440- (I) COMPARES THE COSTS O F INTERNAL LABOR WIT H THE 3
441-COSTS OF CONTRACTUAL LABOR; AND 4
442-
443- (II) DEMONSTRATES THE REA SONABLENESS OF THE D ECISION 5
444-TO USE CONTRACTUAL LABO R; AND 6
445-
446- (3) ANY OTHER INFORMATIO N THAT THE COMMISSION REQUIRES . 7
447-
448- (C) TO DEMONSTRATE REASON ABLENESS OF THE USE OF LABOR AS 8
449-REQUIRED UNDER SUBSE CTION (B) OF THIS SECTION, A PUBLIC SERVICE COM PANY 9
450-SHALL PROVIDE TO THE COMMISSION, AT A MINIMUM: 10
451-
452- (1) A COMPARISON OF THE COSTS OF INTERNAL LA BOR AND 11
453-CONTRACTUAL LABOR ; 12
454-
455- (2) A DEMONSTRATION OF T HE REASONABLENESS OF THE DECISION 13
456-TO USE CONTRACTUAL L ABOR; 14
457-
458- (3) A JUSTIFICATION FOR THE USE OF CONTRACTU AL LABOR WHEN 15
459-USED INSTEAD OF INTE RNAL LABOR, INCLUDING A COST –BASED RATIONALE ; AND 16
460-
461- (4) ANY OTHER INFORMATIO N THAT THE COMMISSION REQUIRES . 17
462-
463-4–210. 18
464-
465- (a) (1) In this section the following words have the meanings indicated. 19
466-
467- (2) “Customer” means a retail natural gas customer. 20
468-
469- (3) “Eligible infrastructure replacement” means a replacement or an 21
470-improvement in an existing infrastructure of a gas company that: 22
471-
472- (i) is made on or after June 1, 2013; 23
473-
474- (ii) is designed to improve public safety or infrastructure reliability; 24
475-
476- (iii) does not increase the revenue of a gas company by connecting an 25
477-improvement directly to new customers; 26
478-
479- (iv) reduces or has the potential to reduce greenhouse gas emissions 27
480-through a reduction in natural gas system leaks; and 28
435+ (2) “Customer” means a retail natural gas customer. 1
436+
437+ (3) “Eligible infrastructure replacement” means a replacement or an 2
438+improvement in an existing infrastructure of a gas company that: 3
439+
440+ (i) is made on or after June 1, 2013; 4
441+
442+ (ii) is designed to improve public safety or infrastructure reliability; 5
443+
444+ (iii) does not increase the revenue of a gas company by connecting an 6
445+improvement directly to new customers; 7
446+
447+ (iv) reduces or has the potential to reduce greenhouse gas emissions 8
448+through a reduction in natural gas system leaks; and 9
449+
450+ (v) is not included in the current rate base of the gas company as 10
451+determined in the gas company’s most recent base rate proceeding. 11
452+
453+ (4) “Plan” means a plan that a gas company files under subsection [(d)] (E) 12
454+of this section. 13
455+
456+ (5) “Project” means an eligible infrastructure replacement project proposed 14
457+by a gas company in a plan filed under this section. 15
458+
459+ (b) It is the intent of the General Assembly that the purpose of this section is to 16
460+[accelerate] ALLOW FOR THE APPROP RIATE ACCELERATION O F gas infrastructure 17
461+improvements in the State [by establishing a mechanism for gas companies to promptly 18
462+recover reasonable and prudent costs of investments in eligible infrastructure replacement 19
463+projects separate from base rate proceedings] WHEN: 20
464+
465+ (1) NECESSARY TO ENSURE SAFETY AND IMPROVE R ELIABILITY; AND 21
466+
467+ (2) CONSISTENT WITH STATE POLICY. 22
468+
469+ (C) NOTHING IN THIS SECTI ON MAY BE CONSTRUED TO ALTER A GAS 23
470+COMPANY’S OBLIGATION UNDER T HIS DIVISION TO MAKE IMPROVEMENTS TO A GA S 24
471+SYSTEM THAT ARE NECE SSARY TO ENSURE THE SAFETY OF THE GAS SY STEM. 25
472+
473+ [(c)] (D) This section does not apply to a gas cooperative. 26
474+
475+ [(d)] (E) (1) A gas company may file with the Commission: 27
476+
477+ (i) a plan to invest in eligible infrastructure replacement projects; 28
478+and 29
481479 SENATE BILL 937 11
482480
483481
484- (v) is not included in the current rate base of the gas company as 1
485-determined in the gas company’s most recent base rate proceeding. 2
486-
487- (4) “Plan” means a plan that a gas company files under subsection [(d)] (E) 3
488-of this section. 4
489-
490- (5) “Project” means an eligible infrastructure replacement project proposed 5
491-by a gas company in a plan filed under this section. 6
492-
493- (b) It is the intent of the General Assembly that the purpose of this section is to 7
494-[accelerate] ALLOW FOR THE APPROP RIATE ACCELERATION O F gas infrastructure 8
495-improvements in the State [by establishing a mechanism for gas companies to promptly 9
496-recover reasonable and prudent costs of investments in eligible infrastructure replacement 10
497-projects separate from base rate proceedings] WHEN: 11
498-
499- (1) NECESSARY TO ENSURE SAFETY AND IMPR OVE RELIABILITY; AND 12
500-
501- (2) CONSISTENT WITH STATE POLICY. 13
502-
503- (C) NOTHING IN THIS SECTI ON MAY BE CONSTRUED TO ALTER A GAS 14
504-COMPANY’S OBLIGATION UNDER T HIS DIVISION TO MAKE IMPROVEMENTS TO A GA S 15
505-SYSTEM THAT ARE NECE SSARY TO ENSURE THE SAFETY OF THE GAS SY STEM. 16
506-
507- [(c)] (D) This section does not apply to a gas cooperative. 17
508-
509- [(d)] (E) (1) A gas company may file with the Commission: 18
510-
511- (i) a plan to invest in eligible infrastructure replacement projects; 19
512-and 20
513-
514- (ii) in accordance with paragraph [(4)] (5) of this subsection, a 21
515-cost–recovery schedule associated with the plan that includes a fixed annual surcharge on 22
516-customer bills to recover reasonable and prudent costs of proposed eligible infrastructure 23
517-replacement projects. 24
518-
519- (2) A plan under this subsection shall include: 25
520-
521- (i) A DESCRIPTION OF EAC H ELIGIBLE INFRASTRU CTURE 26
522-REPLACEMENT PROJECT , INCLUDING THE PROJEC T’S EXPECTED USEFUL LI FE; 27
523-
524- (II) a time line for the completion of each eligible project; 28
525-
526- [(ii)] (III) the estimated cost of each project; 29
527-
528- [(iii)] (IV) a description of customer benefits under the plan; [and] 30 12 SENATE BILL 937
529-
530-
531-
532- (V) A DEMONSTRATION THAT THE GAS COMPANY HAS SELECTED 1
533-AND GIVEN PRIORITY T O PROJECTS BASED ON RISK TO THE PUBLIC A ND 2
534-COST–EFFECTIVENESS ; 3
535-
536- (VI) AN ANALYSIS THAT COM PARES THE CO STS OF PROPOSED 4
537-REPLACEMENT PROJECTS WITH ALTERNATIVES TO REPLACEMENT , INCLUDING 5
538-LEAK DETECTION AND R EPAIR; 6
539-
540- (VII) A PLAN FOR NOTIFYING CUSTOMERS AFFECTED B Y 7
541-PROPOSED PROJECTS AT LEAST 6 MONTHS IN ADVANCE OF CONSTRUCTION ; AND 8
542-
543- [(iv)] (VIII) any other information the Commission considers 9
544-necessary to evaluate the plan. 10
545-
546- (3) A CUSTOMER NOTIFICATIO N PLAN REQUIRED UNDE R PARAGRAPH 11
547-(2) OF THIS SUBSECTION S HALL PROVIDE FOR : 12
548-
549- (I) AN INITIAL NOTIFICAT ION OF CONSTRUCTION IN A MANNER 13
550-DETERMINED BY THE COMMISSION; 14
551-
552- (II) AT LEAST TWO SUBSEQU ENT NOTIFICATIONS OF 15
553-CONSTRUCTION IN A MA NNER DETERMINED BY T HE COMMISSION; AND 16
554-
555- (III) THE COMMUNICATING OF A COMPLETE AND ACCUR ATE 17
556-DESCRIPTION OF PROJE CT ACTIVITIES; AND 18
557-
558- (IV) ANY OTHER INFORMATIO N THE COMMISSION CONSIDERS 19
482+ (ii) in accordance with paragraph [(4)] (5) of this subsection, a 1
483+cost–recovery schedule associated with the plan that includes a fixed annual surcharge on 2
484+customer bills to recover reasonable and prudent costs of proposed eligible infrastructure 3
485+replacement projects. 4
486+
487+ (2) A plan under this subsection shall include: 5
488+
489+ (i) A DESCRIPTION OF EAC H ELIGIBLE INFRASTRU CTURE 6
490+REPLACEMENT PROJECT , INCLUDING THE PROJEC T’S EXPECTED USEFUL LI FE; 7
491+
492+ (II) a time line for the completion of each eligible project; 8
493+
494+ [(ii)] (III) the estimated cost of each project; 9
495+
496+ [(iii)] (IV) a description of customer benefits under the plan; [and] 10
497+
498+ (V) A DEMONSTRATION THAT THE GAS COMPANY HAS SELECTED 11
499+AND GIVEN PRIORITY T O PROJECTS BASED ON RISK TO THE PUBLIC A ND 12
500+COST–EFFECTIVENESS ; 13
501+
502+ (VI) AN ANALYSIS THAT COM PARES THE COSTS OF P ROPOSED 14
503+REPLACEMENT PROJECTS WITH ALTERNATIVES TO REPLACEMENT , INCLUDING 15
504+LEAK DETECTION AND R EPAIR; 16
505+
506+ (VII) A PLAN FOR NOTIFYING CUSTOMERS AFFECTED B Y 17
507+PROPOSED PROJECTS AT LEAST 6 MONTHS IN ADVANCE OF CONSTRUCTION ; AND 18
508+
509+ [(iv)] (VIII) any other information the Commission considers 19
559510 necessary to evaluate the plan. 20
560511
561- (III) THE COMMUNICATING OF : 21
562-
563- 1. A COMPLETE AND ACCUR ATE DESCRIPTION OF 22
564-PROJECT ACTIVITIES ; AND 23
565-
566- 2. ANY OTHER INFORMATIO N THE COMMISSION 24
567-CONSIDERS NECESSARY TO EVALUATE THE PLAN . 25
568-
569- [(3)] (4) (i) When calculating the estimated cost of a project under 26
570-paragraph (2) of this subsection, a gas company shall include: 27
571-
572- 1. the pretax rate of return on the gas company’s investment 28
573-in the project; 29
512+ (3) A CUSTOMER NOTIFICATIO N PLAN REQUIRED UNDE R PARAGRAPH 21
513+(2) OF THIS SUBSECTION S HALL PROVIDE FOR : 22
514+
515+ (I) AN INITIAL NOTIFICAT ION OF CONSTRUCTION IN A MANNER 23
516+DETERMINED BY THE COMMISSION; 24
517+
518+ (II) AT LEAST TWO SUBSEQU ENT NOTIFICATIONS OF 25
519+CONSTRUCTION IN A MA NNER DETERMINED BY THE COMMISSION; 26
520+
521+ (III) THE COMMUNICATING OF A COMPLETE AND ACCUR ATE 27
522+DESCRIPTION OF PROJE CT ACTIVITIES; AND 28
523+
524+ (IV) ANY OTHER INFORMATIO N THE COMMISSION CONSIDERS 29
525+NECESSARY TO EVALUAT E THE PLAN. 30
526+ 12 SENATE BILL 937
527+
528+
529+ [(3)] (4) (i) When calculating the estimated cost of a project under 1
530+paragraph (2) of this subsection, a gas company shall include: 2
531+
532+ 1. the pretax rate of return on the gas company’s investment 3
533+in the project; 4
534+
535+ 2. depreciation associated with the project, based on new 5
536+assets less retired plant; and 6
537+
538+ 3. property taxes associated with the project, based on new 7
539+assets less retired plant. 8
540+
541+ (ii) The estimated project costs described in subparagraph (i) of this 9
542+paragraph are collectible at the same time the eligible infrastructure replacement is made. 10
543+
544+ (iii) The pretax rate of return under subparagraph (i)1 of this 11
545+paragraph shall: 12
546+
547+ 1. be calculated using the gas company’s capital structure 13
548+and weighted average cost of capital as the Commission approved in the gas company’s 14
549+most recent base rate proceeding; and 15
550+
551+ 2. include an adjustment for bad debt expenses as the 16
552+Commission approved in the gas company’s most recent base rate proceeding. 17
553+
554+ [(4)] (5) For a plan filed under this section: 18
555+
556+ (i) the cost–recovery schedule shall include a fixed annual 19
557+surcharge that: 20
558+
559+ 1. may not exceed $2 each month on each residential 21
560+customer account; and 22
561+
562+ 2. for each nonresidential customer account, may not be less 23
563+than the fixed annual surcharge applicable to a residential customer account, but shall be 24
564+capped under item (ii) of this paragraph; and 25
565+
566+ (ii) to create a surcharge cap for all customer classes, costs shall be 26
567+allocated to nonresidential and residential customers consistent with the proportions of 27
568+total distribution revenues that those classes bear in accordance with the most recent base 28
569+rate proceeding for the gas company. 29
570+
571+ (6) FOR A GAS COMPANY TO RECOVER COSTS ASSOCI ATED WITH 30
572+ELIGIBLE INFRASTRUCT URE REPLACEMENT PROJ ECTS, A PLAN SHALL 31
573+DEMONSTRATE : 32
574574 SENATE BILL 937 13
575575
576576
577- 2. depreciation associated with the project, based on new 1
578-assets less retired plant; and 2
579-
580- 3. property taxes associated with the project, based on new 3
581-assets less retired plant. 4
582-
583- (ii) The estimated project costs described in subparagraph (i) of this 5
584-paragraph are collectible at the same time the eligible infrastructure replacement is made. 6
585-
586- (iii) The pretax rate of return under subparagraph (i)1 of this 7
587-paragraph shall: 8
588-
589- 1. be calculated using the gas company’s capital structure 9
590-and weighted average cost of capital as the Commission approved in the gas company’s 10
591-most recent base rate proceeding; and 11
592-
593- 2. include an adjustment for bad debt expenses as the 12
594-Commission approved in the gas company’s most recent base rate proceeding. 13
595-
596- [(4)] (5) For a plan filed under this section: 14
597-
598- (i) the cost–recovery schedule shall include a fixed annual 15
599-surcharge that: 16
600-
601- 1. may not exceed $2 each month on each residential 17
602-customer account; and 18
603-
604- 2. for each nonresidential customer account, may not be less 19
605-than the fixed annual surcharge applicable to a residential customer account, but shall be 20
606-capped under item (ii) of this paragraph; and 21
607-
608- (ii) to create a surcharge cap for all customer classes, costs shall be 22
609-allocated to nonresidential and residential customers consistent with the proportions of 23
610-total distribution revenues that those classes bear in accordance with the most recent base 24
611-rate proceeding for the gas company. 25
612-
613- (6) FOR A GAS COMPANY TO RECOVER COSTS ASSOCI ATED WITH 26
614-ELIGIBLE INFRASTRUCT URE REPLACEMENT PROJ ECTS, A PLAN SHALL 27
615-DEMONSTRATE : 28
616-
617- (I) CUSTOMER BENEFITS ; AND 29
618-
619- (II) THAT THE GAS COMPANY HAS: 30
620-
621- 1. ANALYZED AVAILABLE C OST–EFFECTIVE OPTIONS TO 31
622-DEFER, REDUCE, OR REMOVE THE NEED T O REPLACE, CONSTRUCT, OR UPGRADE 32 14 SENATE BILL 937
623-
624-
625-COMPONENTS OF THE GA S COMPANY ’S DISTRIBUTION INFRA STRUCTURE, 1
626-INCLUDING LEAK DETECTION AND R EPAIR; AND 2
627-
628- 2. MET ANY OTHER REQUIR EMENTS ESTABLISHED B Y 3
629-THE COMMISSION WHEN SETTI NG RATES UNDER THIS TITLE. 4
630-
631- (7) A PLAN UNDER THIS SUBS ECTION SHALL BE FILE D SEPARATELY 5
632-FROM A BASE RATE PRO CEEDING. 6
633-
634- [(5)] (8) In a base rate proceeding after approval of a plan, the 7
635-Commission shall, in establishing a gas company’s revenue requirements, take into account 8
636-any benefits the gas company realized as a result of a surcharge approved under the plan. 9
637-
638- [(6)] (9) Any adjustment for return on equity based on an approved plan 10
639-only shall be considered and determined in a subsequently filed base rate case. 11
640-
641- [(e)] (F) (1) Within 180 days after a gas company files a plan, the 12
642-Commission: 13
643-
644- (i) may hold a public hearing on the plan; and 14
645-
646- (ii) shall take a final action to approve or deny the plan. 15
647-
648- (2) Within 150 days after a gas company files an amendment to an 16
649-approved plan, the Commission shall take final action to approve or deny the amendment. 17
650-
651- (3) The Commission may approve a plan if it finds that the investments 18
652-and estimated costs of eligible infrastructure replacement projects are: 19
653-
654- (i) reasonable and prudent; [and] 20
655-
656- (ii) designed to improve public safety or infrastructure reliability 21
657-over the short term and long term; AND 22
658-
659- (III) REQUIRED TO IMPROVE THE SAFETY OF THE GA S SYSTEM 23
660-AFTER CONSIDERATION OF ALTERNATIVES TO R EPLACEMENT . 24
661-
662- (4) (i) The Commission shall approve the cost–recovery schedule 25
663-associated with the plan at the same time that it approves the plan. 26
664-
665- (ii) Costs recovered under the schedule approved in subparagraph (i) 27
666-of this paragraph may relate only to the projects within the plan approved by the 28
667-Commission. 29
577+ (I) CUSTOMER BENEFITS; AND 1
578+
579+ (II) THAT THE GAS COMPANY HAS: 2
580+
581+ 1. ANALYZED AVAILABLE C OST–EFFECTIVE OPTIONS TO 3
582+DEFER, REDUCE, OR REMOVE THE NEED T O REPLACE, CONSTRUCT, OR UPGRADE 4
583+COMPONENTS OF THE GA S COMPANY ’S DISTRIBUTION INFRA STRUCTURE, 5
584+INCLUDING LEAK DETECTION AND REPAIR; AND 6
585+
586+ 2. MET ANY OTHER REQUIR EMENTS ESTABLISHED B Y 7
587+THE COMMISSION WHEN SETTI NG RATES UNDER THIS TITLE. 8
588+
589+ (7) A PLAN UNDER THIS SUBS ECTION SHALL BE FILE D SEPARATELY 9
590+FROM A BASE RATE PRO CEEDING. 10
591+
592+ [(5)] (8) In a base rate proceeding after approval of a plan, the 11
593+Commission shall, in establishing a gas company’s revenue requirements, take into account 12
594+any benefits the gas company realized as a result of a surcharge approved under the plan. 13
595+
596+ [(6)] (9) Any adjustment for return on equity based on an approved plan 14
597+only shall be considered and determined in a subsequently filed base rate case. 15
598+
599+ [(e)] (F) (1) Within 180 days after a gas company files a plan, the 16
600+Commission: 17
601+
602+ (i) may hold a public hearing on the plan; and 18
603+
604+ (ii) shall take a final action to approve or deny the plan. 19
605+
606+ (2) Within 150 days after a gas company files an amendment to an 20
607+approved plan, the Commission shall take final action to approve or deny the amendment. 21
608+
609+ (3) The Commission may approve a plan if it finds that the investments 22
610+and estimated costs of eligible infrastructure replacement projects are: 23
611+
612+ (i) reasonable and prudent; [and] 24
613+
614+ (ii) designed to improve public safety or infrastructure reliability 25
615+over the short term and long term; AND 26
616+
617+ (III) REQUIRED TO IMPROVE THE S AFETY OF THE GAS SYS TEM 27
618+AFTER CONSIDERATION OF ALTERNATIVES TO R EPLACEMENT . 28
619+
620+ (4) (i) The Commission shall approve the cost–recovery schedule 29
621+associated with the plan at the same time that it approves the plan. 30
622+ 14 SENATE BILL 937
623+
624+
625+ (ii) Costs recovered under the schedule approved in subparagraph (i) 1
626+of this paragraph may relate only to the projects within the plan approved by the 2
627+Commission. 3
628+
629+ (5) The Commission may not consider a revenue requirement or 4
630+rate–making issue that is not related to the plan when reviewing a plan for approval or 5
631+denial unless the plan is filed in conjunction with a base rate case. 6
632+
633+ [(f)] (G) (1) Subject to paragraph (2) of this subsection, if the Commission 7
634+does not take final action on a plan within the time period required under subsection [(e)] 8
635+(F) of this section, the gas company may implement the plan. 9
636+
637+ (2) If a gas company implements a plan that the Commission has not 10
638+approved, the gas company shall refund to customers any amount of the surcharge that the 11
639+Commission later determines is not reasonable or prudent, including interest. 12
640+
641+ (H) THE COMMISSION MAY AUTHOR IZE A GAS COMPANY TO USE A 13
642+MECHANISM TO PROMPTL Y RECOVER REASONABLE AND PRUDENT COSTS OF 14
643+INVESTMENTS FOR ELIG IBLE INFRASTRUCTURE REPLACEMENT PROJECTS THAT: 15
644+
645+ (1) ARE PART OF A PLAN A PPROVED UNDER THIS S ECTION OR 16
646+IMPLEMENTED UNDER SU BSECTION (G) OF THIS SECTION; AND 17
647+
648+ (2) ACCELERATE GAS INFRA STRUCTURE IMPROVEMEN TS IN THE 18
649+STATE. 19
650+
651+ [(g)] (I) (1) (i) A surcharge under this section shall be in effect for 5 years 20
652+from the date of initial implementation of an approved plan. 21
653+
654+ (ii) 1. Before the end of the 5–year period, the gas company shall 22
655+file a base rate case application. 23
656+
657+ 2. In a base rate proceeding filed under subsubparagraph 1 24
658+of this subparagraph, if a plan approved by the Commission remains in effect: 25
659+
660+ A. eligible infrastructure project costs included in base rates 26
661+in accordance with a final Commission order on the base rate case shall be removed from a 27
662+surcharge; and 28
663+
664+ B. the surcharge mechanism shall continue for eligible future 29
665+infrastructure project costs that are not included in the base rate case. 30
666+
667+ (2) (i) If the actual cost of a plan is less than the amount collected under 31
668+a surcharge, the gas company shall refund to customers the difference on customer bills, 32
669+including interest. 33
668670 SENATE BILL 937 15
669671
670672
671- (5) The Commission may not consider a revenue requirement or 1
672-rate–making issue that is not related to the plan when reviewing a plan for approval or 2
673-denial unless the plan is filed in conjunction with a base rate case. 3
674-
675- [(f)] (G) (1) Subject to paragraph (2) of this subsection, if the Commission 4
676-does not take final action on a plan within the time period required under subsection [(e)] 5
677-(F) of this section, the gas company may implement the plan. 6
678-
679- (2) If a gas company implements a plan that the Commission has not 7
680-approved, the gas company shall refund to customers any amount of the surcharge that the 8
681-Commission later determines is not reasonable or prudent, including interest. 9
682-
683- (H) THE COMMISSION MAY AUTHOR IZE A GAS COMPANY TO USE A 10
684-MECHANISM TO PROMPTL Y RECOVER REASONABLE AND PRUDENT COSTS OF 11
685-INVESTMENTS FOR ELIG IBLE INFRASTRUCTURE REPLACEMENT PROJECTS THAT : 12
686-
687- (1) ARE PART OF A PLAN A PPROVED UNDER THIS S ECTION OR 13
688-IMPLEMENTED UNDER SU BSECTION (G) OF THIS SECTION; AND 14
689-
690- (2) ACCELERATE GAS INFRA STRUCTURE IMPROVEMEN TS IN THE 15
691-STATE. 16
692-
693- [(g)] (I) (1) (i) A surcharge under this section shall be in effect for 5 years 17
694-from the date of initial implementation of an approved plan. 18
695-
696- (ii) 1. Before the end of the 5–year period, the gas company shall 19
697-file a base rate case application. 20
698-
699- 2. In a base rate proceeding filed under subsubparagraph 1 21
700-of this subparagraph, if a plan approved by the Commission remains in effect: 22
701-
702- A. eligible infrastructure project costs included in base rates 23
703-in accordance with a final Commission order on the base rate case shall be removed from a 24
704-surcharge; and 25
705-
706- B. the surcharge mechanism shall continue for eligible future 26
707-infrastructure project costs that are not included in the base rate case. 27
708-
709- (2) (i) If the actual cost of a plan is less than the amount collected under 28
710-a surcharge, the gas company shall refund to customers the difference on customer bills, 29
711-including interest. 30
712-
713- (ii) If the actual cost of a plan is more than the amount collected 31
714-under the surcharge and the Commission determines that the higher costs were reasonably 32
715-and prudently incurred, the Commission shall authorize the gas company to increase the 33 16 SENATE BILL 937
716-
717-
718-surcharge to recover the difference, subject to the rate limit under subsection [(d)(4)] (E)(5) 1
719-of this section. 2
720-
721- [(h)] (J) Each year a gas company shall file with the Commission a reconciliation 3
722-to adjust the amount of a surcharge to account for any difference between the actual cost 4
723-of a plan and the actual amount recovered under the surcharge. 5
724-
725- [(i)] (K) If, after approving a surcharge in a plan, the Commission establishes 6
726-new base rates for the gas company that include costs on which the surcharge is based, the 7
727-gas company shall file a revised rate schedule with the Commission that subtracts those 8
728-costs from the surcharge. 9
729-
730- [(j)] (L) (1) The Commission may review a previously approved plan. 10
731-
732- (2) If the Commission determines that an investment of a project or cost of 11
733-a project no longer meets the requirements of subsection [(e)(3)] (F)(3) of this section, the 12
734-Commission may: 13
735-
736- (i) reduce future base rates or surcharges; or 14
737-
738- (ii) alter or rescind approval of that part of the plan. 15
739-
740-4–212. 16
741-
742- (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 17
743-INDICATED. 18
744-
745- (2) “CONTRACT CAPACITY ” MEANS THE AMOUNT OF MONTHLY PEAK 19
746-LOAD REQUIREMENTS : 20
747-
748- (I) THAT IS MUTUALLY AGR EED TO BY AN ELECTRI C COMPANY 21
749-AND A LARGE LOAD CUS TOMER FOR EACH MONTH REMAINING IN A CONTR ACT TERM 22
750-AFTER THE LOAD RAMP PERIOD HAS ENDED ; AND 23
751-
752- (II) FOR WHICH: 24
753-
754- 1. THE ELECTRIC COMPANY AGREES TO PROVIDE AL L OF 25
755-THE COMPONENTS OF RE TAIL ELECTRIC SERVIC E SUBJECT TO THE TER MS AND 26
756-CONDITIONS IN ITS TA RIFFS; AND 27
757-
758- 2. THE LARGE LOAD CUSTO MER AGREES TO PURCHA SE 28
759-SERVICE AT THAT LOAD LEVEL FOR THE STATED TERM OF THE CONTRACT AND 29
760-UNDER THE SAME TERMS AND CONDITIONS AS TH OSE STATED IN THE CO NTRACT. 30
673+ (ii) If the actual cost of a plan is more than the amount collected 1
674+under the surcharge and the Commission determines that the higher costs were reasonably 2
675+and prudently incurred, the Commission shall authorize the gas company to increase the 3
676+surcharge to recover the difference, subject to the rate limit under subsection [(d)(4)] (E)(5) 4
677+of this section. 5
678+
679+ [(h)] (J) Each year a gas company shall file with the Commission a reconciliation 6
680+to adjust the amount of a surcharge to account for any difference between the actual cost 7
681+of a plan and the actual amount recovered under the surcharge. 8
682+
683+ [(i)] (K) If, after approving a surcharge in a plan, the Commission establishes 9
684+new base rates for the gas company that include costs on which the surcharge is based, the 10
685+gas company shall file a revised rate schedule with the Commission that subtracts those 11
686+costs from the surcharge. 12
687+
688+ [(j)] (L) (1) The Commission may review a previously approved plan. 13
689+
690+ (2) If the Commission determines that an investment of a project or cost of 14
691+a project no longer meets the requirements of subsection [(e)(3)] (F)(3) of this section, the 15
692+Commission may: 16
693+
694+ (i) reduce future base rates or surcharges; or 17
695+
696+ (ii) alter or rescind approval of that part of the plan. 18
697+
698+4–212. 19
699+
700+ (A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS 20
701+INDICATED. 21
702+
703+ (2) “CONTRACT CAPACITY ” MEANS THE AMOUNT OF MONTHLY PEAK 22
704+LOAD REQUIREMENTS : 23
705+
706+ (I) THAT IS MUTUALLY AGR EED TO BY AN ELECTRI C COMPANY 24
707+AND A LARGE LOAD CUS TOMER FOR EACH MONTH REMAINING IN A CONTR ACT TERM 25
708+AFTER THE LOAD RAMP PERIOD HAS ENDED ; AND 26
709+
710+ (II) FOR WHICH: 27
711+
712+ 1. THE ELECTRIC COMPANY AGREES TO PROVIDE AL L OF 28
713+THE COMPONENTS OF RE TAIL ELECTRIC SERVIC E SUBJECT TO THE TER MS AND 29
714+CONDITIONS IN ITS TA RIFFS; AND 30
715+ 16 SENATE BILL 937
716+
717+
718+ 2. THE LARGE LOAD CUSTO MER AGREES TO PURCHASE 1
719+SERVICE AT THAT LOAD LEVEL FOR THE STATED TERM OF THE CONTRACT AND 2
720+UNDER THE SAME TERMS AND CONDITIONS AS TH OSE STATED IN THE CO NTRACT. 3
721+
722+ (3) “LARGE LOAD CUSTOMER ” MEANS A COMMERCIAL O R 4
723+INDUSTRIAL CUSTOMER FOR RETAIL ELECTRIC SERVICE THAT: 5
724+
725+ (I) HAS OR IS PROJECTED TO HAVE AN AGGREGATE MONTHLY 6
726+DEMAND OF AT LEAST 100 MEGAWATTS ; AND 7
727+
728+ (II) HAS OR IS PROJECTED TO HAVE A LOAD FACTO R OF OVER 8
729+80%. 9
730+
731+ (4) “LOAD RAMP PERIOD ” MEANS THE PERIOD OF TIME FROM 10
732+COMMENCEMENT OF SERV ICE UNTIL A LARGE LO AD CUSTOMER’S BILLING 11
733+CALCULATION IS BASED ON THE FULL CONTRACT CAPACITY. 12
734+
735+ (B) IT IS THE INTENT OF T HE GENERAL ASSEMBLY THAT RESIDEN TIAL 13
736+RETAIL ELECTRIC CUST OMERS IN THE STATE SHOULD NOT BEAR THE FINANCIAL 14
737+RISKS ASSOCIATED WIT H LARGE LOAD CUSTOME RS INTERCONNEC TING TO THE 15
738+ELECTRIC SYSTEM SERV ING THE STATE. 16
739+
740+ (C) (1) ON OR BEFORE SEPTEMBER 1, 2026, EACH ELECTRIC COMPAN Y 17
741+SHALL SUBMIT TO THE COMMISSION FOR APPROV AL A SPECIFIC RATE S CHEDULE 18
742+FOR LARGE LOAD CUSTO MERS THAT ACCOMPLISH ES THE INTENT OF SUB SECTION 19
743+(B) OF THIS SECTION. 20
744+
745+ (2) (I) SERVICE UNDER A SPECI FIC RATE SCHEDULE SH ALL BE 21
746+AVAILABLE TO LARGE L OAD CUSTOMERS THAT W ILL USE, WITHIN THE INITIAL 22
747+CONTRACT TERM : 23
748+
749+ 1. A MONTHLY MAXIMUM DE MAND OF MORE THAN 100 24
750+MEGAWATTS AT A SINGL E LOCATION; OR 25
751+
752+ 2. AN AGGRE GATED CONTRACT CAPAC ITY IN THE 26
753+ELECTRIC COMPANY ’S SERVICE TERRITORY OF MORE THAN 100 MEGAWATTS . 27
754+
755+ (II) EXCEPT AS PROVIDED IN SUBPARAGRAPH (III) OF THIS 28
756+PARAGRAPH , LARGE LOAD CUSTOMERS THAT QUALIFY FOR A S PECIFIC RATE 29
757+SCHEDULE AFTER THE E FFECTIVE DATE OF THAT SCHEDULE : 30
758+
759+ 1. SHALL TAKE SERVICE U NDER THE SPECIFIC RA TE 31
760+SCHEDULE; AND 32
761761 SENATE BILL 937 17
762762
763763
764- (3) “LARGE LOAD CUSTOMER ” MEANS A COMMERCIAL OR 1
765-INDUSTRIAL CUSTOMER FOR RETAIL ELECTRIC SERVICE THAT: 2
766-
767- (I) HAS OR IS PROJECTED TO HAVE AN AGGREGATE MONTHLY 3
768-DEMAND OF AT LEAST 100 MEGAWATTS ; AND 4
769-
770- (II) HAS OR IS PROJECTED TO HAVE A LOAD FACTO R OF OVER 5
771-80%. 6
772-
773- (4) “LOAD RAMP PERIOD ” MEANS THE PERIOD OF TIME FROM 7
774-COMMENCEMENT OF SERV ICE UNTIL A LARGE LO AD CUSTOMER ’S BILLING 8
775-CALCULATION IS BASED ON THE FULL CONTRACT CAPACITY. 9
776-
777- (B) IT IS THE INTENT OF T HE GENERAL ASSEMBLY THAT RESIDEN TIAL 10
778-RETAIL ELECTRIC CUST OMERS IN THE STATE SHOULD N OT BEAR THE FINANCIA L 11
779-RISKS ASSOCIATED WIT H LARGE LOAD CUSTOME RS INTERCONNECTING T O THE 12
780-ELECTRIC SYSTEM SERV ING THE STATE. 13
781-
782- (C) (1) (I) ON OR BEFORE SEPTEMBER 1, 2026, EACH ELECTRIC 14
783-COMPANY INVESTOR–OWNED ELECTRIC COMPA NY AND EACH ELECTRIC 15
784-COOPERATIVE SHALL SUBMIT TO THE COMMISSION FOR APPROV AL A SPECIFIC 16
785-RATE SCHEDULE FOR LA RGE LOAD CUSTOMERS T HAT ACCOMPLISHES THE INTENT 17
786-OF SUBSECTION (B) OF THIS SECTION. 18
787-
788- (II) EACH MUNICIPAL ELECTR IC UTILITY THAT RECE IVES AN 19
789-APPLICATION FOR RETA IL ELECTRIC SERVICE FROM A LARGE LOAD CUSTO MER 20
790-SHALL SUBMIT TO THE COMMISSION FOR APPROV AL A SPECIFIC RATE S CHEDULE 21
791-FOR LARGE LOAD CUSTO MERS. 22
792-
793- (2) (I) SERVICE UNDER A SPECI FIC RATE SCHEDULE SH ALL BE 23
794-AVAILABLE TO LARGE L OAD CUSTOMERS THAT W ILL USE, WITHIN THE INITIAL 24
795-CONTRACT TERM: 25
796-
797- 1. A MONTHLY MAXIMUM DE MAND OF MORE THAN 100 26
798-MEGAWATTS AT A SINGL E LOCATION; OR 27
799-
800- 2. AN AGGREGATED CONTRA CT CAPACITY IN THE 28
801-ELECTRIC COMPANY ’S SERVICE TERRITORY OF MORE THAN 100 MEGAWATTS . 29
802-
803- (II) EXCEPT AS PROVIDED IN SUBPARAGRAPH (III) OF THIS 30
804-PARAGRAPH , LARGE LOAD CUSTOMERS THAT QUALIFY FOR A S PECIFIC RATE 31
805-SCHEDULE AFTER THE E FFECTIVE DATE OF THA T SCHEDULE: 32
764+ 2. MAY NOT BE ALLOWED T O TAKE SERVICE UNDER ANY 1
765+OTHER EXISTING SCHED ULE. 2
766+
767+ (III) A SPECIFIC RATE SCHEDU LE DOES NOT APPLY TO THE 3
768+FACILITY OF AN EXIST ING LARGE LOAD CUSTO MER THAT HAS SIGNED A SERVICE 4
769+AGREEMENT BEFORE THE EFFECTIVE DATE OF TH E SCHEDULE IF: 5
770+
771+ 1. THE LARGE LOAD CUSTO MER’S EXISTING LOAD DOES 6
772+NOT EXPAND BY MORE T HAN 25 MEGAWATTS AT THAT FA CILITY UNDER THE 7
773+EXISTING SERVICE AGR EEMENT; OR 8
774+
775+ 2. THE LARGE LOAD CUSTOMER DOES NOT SI GN A NEW 9
776+SERVICE AGREEMENT TO EXPAND THE FACILITY ’S LOAD BY MORE THAN 25 10
777+MEGAWATTS ABOVE THE CONTRACT CAPACITY OF THE EXISTING SERVICE 11
778+AGREEMENT . 12
779+
780+ (D) IN MAKING A DETERMINA TION ON WHETHER TO A PPROVE A SPECIFIC 13
781+RATE SCHEDULE SUBMIT TED UNDER SUBSECTION (C) OF THIS SECTION , THE 14
782+COMMISSION SHALL CONS IDER WHETHER THE RAT E SCHEDULE: 15
783+
784+ (1) SUBJECT TO SUBSECTIO N (E) OF THIS SECTION , REQUIRES A 16
785+LARGE LOAD CUSTOMER TO COVER THE JUST AN D REASONABLE COSTS A SSOCIATED 17
786+WITH ANY ELECTRIC TR ANSMISSION OR DISTRIBUTION SYST EM BUILDOUT 18
787+REQUIRED TO: 19
788+
789+ (I) INTERCONNECT THE LAR GE LOAD CUSTOMER TO THE 20
790+ELECTRIC SYSTEM SERV ING THE STATE; OR 21
791+
792+ (II) SERVE THE LARGE LOAD CUSTOMER; 22
793+
794+ (2) PROTECTS ELECTRIC SY STEM RELIABILITY , INCLUDING 23
795+PROTECTING ELECTRIC SYSTEM RELIABILITY THROUGH THE USE OF: 24
796+
797+ (I) LOAD RAMP PERIODS ; 25
798+
799+ (II) MINIMUM BILLING DEMA ND FOR ELECTRIC DIST RIBUTION 26
800+AND TRANSMISSION SER VICE THAT IS A HIGH PERCENTAGE OF A LARG E LOAD 27
801+CUSTOMER’S CONTRACT CAPACITY ; 28
802+
803+ (III) LONG–TERM CONTRACTUAL COM MITMENTS AND EXIT FEES; 29
804+
805+ (IV) GUARANTEE OR COLLATE RAL REQUIREMENTS ; AND 30
806806 18 SENATE BILL 937
807807
808808
809- 1. SHALL TAKE SERVICE U NDER THE SPECIFIC RA TE 1
810-SCHEDULE; AND 2
811-
812- 2. MAY NOT BE ALLOWED T O TAKE SERVICE UNDER ANY 3
813-OTHER EXISTING SCHEDULE. 4
814-
815- (III) A SPECIFIC RATE SCHEDU LE DOES NOT APPLY TO THE 5
816-FACILITY OF AN EXIST ING LARGE LOAD CUSTO MER THAT HAS SIGNED A SERVICE 6
817-AGREEMENT BEFORE THE EFFECTIVE DATE OF TH E SCHEDULE IF: 7
818-
819- 1. THE LARGE LOAD CUSTO MER’S EXISTING LOAD DOES 8
820-NOT EXPAND BY MORE THAN 25 MEGAWATTS AT THAT FA CILITY UNDER THE 9
821-EXISTING SERVICE AGR EEMENT; OR 10
822-
823- 2. THE LARGE LOAD CUSTO MER DOES NOT SIGN A NEW 11
824-SERVICE AGREEMENT TO EXPAND THE FACILITY ’S LOAD BY MORE THAN 25 12
825-MEGAWATTS ABOVE THE CONTRACT CAPACITY OF THE EXISTING S ERVICE 13
826-AGREEMENT . 14
827-
828- (D) IN MAKING A DETERMINA TION ON WHETHER TO A PPROVE A SPECIFIC 15
829-RATE SCHEDULE SUBMIT TED UNDER SUBSECTION (C) OF THIS SECTION , THE 16
830-COMMISSION SHALL CONS IDER WHETHER THE RAT E SCHEDULE: 17
831-
832- (1) SUBJECT TO SUBSECTIO N (E) OF THIS SECTION , REQUIRES A 18
833-LARGE LOAD CUSTOMER TO COVER THE JUST AN D REASONABLE COSTS A SSOCIATED 19
834-WITH ANY ELECTRIC TR ANSMISSION OR DISTRI BUTION SYSTEM BUILDO UT 20
835-REQUIRED TO: 21
836-
837- (I) INTERCONNECT THE LAR GE LOAD CUSTOMER TO THE 22
838-ELECTRIC SYSTEM SERV ING THE STATE; OR 23
839-
840- (II) SERVE THE LARGE LOAD CUS TOMER; 24
841-
842- (2) PROTECTS ELECTRIC SYSTEM RELI ABILITY, INCLUDING 25
843-PROTECTING ELECTRIC SYSTEM RELIABILITY RESIDENTIAL RETAIL E LECTRIC 26
844-CUSTOMERS FROM THE F INANCIAL RISKS ASSOC IATED WITH LARGE LOA D 27
845-CUSTOMERS THROUGH THE USE OF : 28
846-
847- (I) LOAD RAMP PERIODS ; 29
848-
849- (II) MINIMUM BILLING DEMA ND FOR ELECTRIC DIST RIBUTION 30
850-AND TRANSMISSION SER VICE THAT IS A HIGH PERCENTAGE OF A LARG E LOAD 31
851-CUSTOMER’S CONTRACT CAPACITY ; 32
809+ (V) PENALTIES AND REIMBU RSEMENT REQUIREMENTS FOR 1
810+THE LARGE LOAD CUSTO MER IF THE LARGE LOA D CUSTOMER DELAYS OR CANCELS 2
811+A PROJECT AFTER THE ELECTRIC COMPANY HAS BEGUN BUILDOUT TO 3
812+ACCOMM ODATE THE LARGE LOAD CUSTOMER; AND 4
813+
814+ (3) SUFFICIENTLY ENSURES THAT THE ALLOCATION OF COSTS TO 5
815+LARGE LOAD CUSTOMERS UNDER THE SCHEDULE D OES NOT RESULT IN CU STOMERS 6
816+THAT ARE NOT LARGE L OAD CUSTOMERS UNREAS ONABLY SUBSIDIZING T HE COSTS 7
817+OF LARGE LOAD CUSTOM ERS UNDER THE SCHEDULE . 8
818+
819+ (E) THE COSTS ASSOCIATED WITH ANY ELECTRIC TR ANSMISSION OR 9
820+DISTRIBUTION SYSTEM BUILDOUT REQUIRED UN DER SUBSECTION (D)(1) OF THIS 10
821+SECTION MAY BE PAID OVER MULTIPLE YEARS OF A LARGE LOAD CUST OMER’S 11
822+CONTRACT FOR SERVICE , NOT TO EXCEED 5 YEARS. 12
823+
824+ (F) BEFORE SIGNING A CONT RACT FOR SERVICE UND ER A SPECIFIC RATE 13
825+SCHEDULE SUBMITTED U NDER SUBSECTION (C) OF THIS SECTION , A LARGE LOAD 14
826+CUSTOMER UNDER THE S CHEDULE IS REQUIRED TO: 15
827+
828+ (1) SUBMIT A REQUEST FOR A LOAD STUDY TO DETE RMINE THE 16
829+NECESSARY CONTRACT CAPACITY FO R THE LARGE LOAD CUS TOMER AND PAY ANY 17
830+APPLICABLE FEES ASSO CIATED WITH THE STUD Y; 18
831+
832+ (2) DESIGNATE A SPECIFIC SITE WHERE THE LARGE LOAD 19
833+CUSTOMER’S PROJECT WILL BE CO NSTRUCTED AND SERVED BY THE ELECTRIC 20
834+COMPANY; 21
835+
836+ (3) OWN OR HAVE THE EX CLUSIVE RIGHT TO USE THE LAND 22
837+DESIGNATED IN ITEM (2) OF THIS SUBSECTION F OR THE PROJECT ; AND 23
838+
839+ (4) MEET ANY OTHER REQUI REMENTS SPECIFIED UN DER THE RATE 24
840+SCHEDULE. 25
841+
842+ (G) (1) ON OR BEFORE JUNE 1, 2026, THE COMMISSION SHALL ADOP T 26
843+REGULATIONS TO CARRY OUT THIS SECTION. 27
844+
845+ (2) THE REGULATIONS SHALL : 28
846+
847+ (I) ESTABLISH MINIMUM NO TICE REQUIREMENTS AN D 29
848+DEADLINES RELATED TO LOAD STUDY REQUESTS AND CONTRACT TERMINA TIONS 30
849+AND ADJUSTMENTS ; 31
852850 SENATE BILL 937 19
853851
854852
855- (III) LONG–TERM CONTRACTUAL COM MITMENTS AND EXIT FE ES; 1
856-
857- (IV) GUARANTEE OR COLLAT ERAL REQUIREMENTS ; AND 2
858-
859- (V) PENALTIES AND REIMBU RSEMENT REQUIREMENTS FOR 3
860-THE LARGE LOAD CUSTO MER IF THE LARGE LOA D CUSTOMER DELAYS OR CANCELS 4
861-A PROJECT AFTER THE ELECTRIC COMPANY HAS BEGUN BUILDOUT TO 5
862-ACCOMMODATE THE LARG E LOAD CUSTOMER ; AND 6
863-
864- (3) SUFFICIENTLY ENSURES THA T THE ALLOCATION OF COSTS TO 7
865-LARGE LOAD CUSTOMERS UNDER THE SCHEDULE D OES NOT RESULT IN CU STOMERS 8
866-THAT ARE NOT LARGE L OAD CUSTOMERS UNREAS ONABLY SUBSIDIZING T HE COSTS 9
867-OF LARGE LOAD CUSTOM ERS UNDER THE SCHEDU LE. 10
868-
869- (E) THE COSTS ASSOCIATED WITH ANY ELECTRIC TR ANSMISSION OR 11
870-DISTRIBUTION SYSTEM BUILDOUT REQUIRED UN DER SUBSECTION (D)(1) OF THIS 12
871-SECTION MAY BE PAID OVER MULTIPLE YEARS OF A LARGE LOAD CUST OMER’S 13
872-CONTRACT FOR SERVICE , NOT TO EXCEED 5 YEARS. 14
873-
874- (F) (E) BEFORE SIGNING A CONTRACT FO R SERVICE UNDER A SP ECIFIC 15
875-RATE SCHEDULE SUBMIT TED UNDER SUBSECTION (C) OF THIS SECTION , A LARGE 16
876-LOAD CUSTOMER UNDER THE SCHEDULE IS REQU IRED TO: 17
877-
878- (1) SUBMIT A REQUEST FOR A LOAD STUDY TO DETE RMINE THE 18
879-NECESSARY CONTRACT C APACITY FOR THE LARGE LOAD CUSTO MER AND PAY ANY 19
880-APPLICABLE FEES ASSO CIATED WITH THE STUD Y; 20
881-
882- (2) DESIGNATE A SPECIFIC SITE WHERE THE LARGE LOAD 21
883-CUSTOMER’S PROJECT WILL BE CO NSTRUCTED AND SERVED BY THE ELECTRIC 22
884-COMPANY; 23
885-
886- (3) OWN OR HAVE THE EXCL USIVE RIGHT TO USE T HE LAND 24
887-DESIGNATED IN ITEM (2) OF THIS SUBSECTION F OR THE PROJECT ; AND 25
888-
889- (4) MEET ANY OTHER REQUI REMENTS SPECIFIED UN DER THE RATE 26
890-SCHEDULE. 27
891-
892- (G) (F) (1) ON OR BEFORE JUNE 1, 2026, THE COMMISSION SHALL 28
893-ADOPT REGULATIONS TO CARRY OUT THIS SECTI ON. 29
894-
895- (2) THE REGULATIONS SHALL : 30
896- 20 SENATE BILL 937
897-
898-
899- (I) ESTABLISH MINIMUM NO TICE REQUIREMENTS AN D 1
900-DEADLINES RELATED TO LOAD STUDY REQUESTS AND CONTRACT TERMINA TIONS 2
901-AND ADJUSTMENTS ; 3
902-
903- (II) IF CONSIDERED NECESS ARY BY THE COMMISSION, SPECIFY 4
904-COMMON FORMS OF ACCE PTABLE COLLATERAL T O SATISFY THE REQUIR EMENTS OF 5
905-THIS SECTION; AND 6
906-
907- (III) ESTABLISH DEADLINES RELATED TO COMPLETIO N OF LOAD 7
908-STUDIES AND PAYMENT OF FEES. 8
909-
910-4–213. 9
911-
912- (A) THIS SECTION APPLIES ONLY TO A PUBLIC SER VICE COMPANY THAT IS 10
913-AN ELECTRIC COMPANY , GAS COMPANY , OR COMBIN ATION GAS AND ELECTR IC 11
914-COMPANY. 12
915-
916- (B) (1) A PUBLIC SERVICE COMPA NY MAY FILE A MULTIY EAR RATE PLAN 13
917-FOR DISTRIBUTION RAT ES. 14
918-
919- (2) A MULTIYEAR RATE PLAN UNDER THIS SUBSECTIO N: 15
920-
921- (I) SHALL DEMONSTRATE TH AT THE PLAN IS IN TH E PUBLIC 16
922-INTEREST; AND 17
923-
924- (II) MAY NOT ALLOW FOR TH E PUBLIC SERVICE COM PANY TO 18
925-FILE FOR RECONCILIAT ION OF COST OR REVEN UE VARIANCES THAT DI FFER FROM 19
926-THE FORECASTS USED B Y THE COMMISSION TO ESTABLI SH THE JUST AND 20
927-REASONABLE RATE . 21
928-
929- (C) UNLESS OTHERWISE AUTH ORIZED BY LAW , THE COMMISSION M AY 22
930-APPROVE THE USE OF A MULTIYEAR RATE PLAN THAT MEETS THE REQUI REMENTS 23
931-OF SUBSECTION (B) OF THIS SECTION. 24
932-
933- (B) UNLESS OTHERWISE AUTH ORIZED BY LAW , THE COMMISSION MAY 25
934-APPROVE THE USE OF A MULTIYEAR RATE PLAN FOR DISTRIBUTION BAS E RATES 26
935-ONLY IF THE PLAN: 27
936-
937- (1) DEMONSTRATES THE CUS TOMER BENEFITS OF TH E INVESTMENT ; 28
938-AND 29
939-
940- (2) DOES NOT ALLOW FOR T HE PUBLIC SERVICE CO MPANY TO FILE 30
941-FOR RECONCILIATION O F COST OR REVENUE VA RIANCES OF THE APPRO VED 31 SENATE BILL 937 21
942-
943-
944-REVENUE COMPONENT US ED BY THE COMMISSION TO ESTABLI SH JUST AND 1
945-REASONABLE RATES . 2
946-
947- (C) A PUBLIC SERVICE COMPA NY THAT FILES OR HAS FILED AN APPLICATION 3
948-FOR A MULTIYEAR RATE PLAN MAY NOT SUBSEQU ENTLY FILE FOR RECON CILIATION 4
949-OF COST OR REVENUE V ARIANCES OF THE APPR OVED REVENUE COMPONE NT USED 5
950-BY THE COMMISSION TO ESTABLI SH THE MULTIYEAR RATES UNLESS THE FILING FO R 6
951-RECONCILIATION WAS M ADE ON OR BEFORE JANUARY 1, 2025. 7
952-
953-4–214. 8
954-
955- (A) IN THIS SECTION , “NONPIPELINE ALTERNAT IVE” MEANS AN 9
956-INVESTMENT OR ACTIVI TY THAT DEFERS , REDUCES, OR ELIMINATES THE NE ED TO 10
957-CONSTRUCT A NEW GAS PIPELINE. 11
958-
959- (B) NOTHING IN THIS SECTI ON MAY BE CONSTRUED TO RESTRICT AN 12
960-INVESTOR–OWNED GAS COMPANY ’S ABILITY TO MAKE IM PROVEMENTS TO ITS GA S 13
961-SYSTEM TO ENSURE THE SAFE AND RELIABLE OP ERATION OF THE SYSTE M. 14
962-
963- (C) AN INVESTOR–OWNED GAS COMPANY MA Y RECOVER REA SONABLE AND 15
964-PRUDENT COSTS ASSOCI ATED WITH A PLANNED GAS INFRASTRUCTURE 16
965-INVESTMENT FOR A PLANNED PIPELI NE REPLACEMENT IF THE INVESTOR –OWNED 17
966-GAS COMPANY DEMONSTR ATES AT A RATE SETTI NG PROCEEDING : 18
967-
968- (1) THE CUSTOMER BENEFIT S OF THE INVESTMENT ; 19
969-
970- (2) THAT TH E INVESTOR –OWNED GAS COMPANY AN ALYZED 20
971-COST–EFFECTIVE OPTIONS THAT ACHIEVE SAFETY BENEFITS COMPARABLE TO THE 21
972-INVESTMENTS AND AVAILABLE TO DEFER, REDUCE, OR ELIMINATE THE NEE D TO 22
973-REPLACE, UPGRADE, OR CONSTRUCT NEW COM PONENTS, INCLUDING AN ANALYSI S 23
974-OF: 24
975-
976- (I) FOR NEW INVESTMENTS UNRELATED TO SAFETY , 25
977-NONPIPELINE ALTERNAT IVES; AND 26
978-
979- (II) LEAK DETECTION AND R EPAIR; AND 27
980-
981- (3) THE ESTIMATED RISK R EDUCTION ASSOCIATED WITH A 28
982-SAFETY–RELATED INVESTMENT , IF APPLICABLE. 29
983-
984-4–504. 30
985- 22 SENATE BILL 937
986-
987-
988- (A) THIS SECTION APPLIES ONLY TO A PUBLIC SERVICE COMPA NY THAT IS 1
989-AN INVESTOR–OWNED ELECTRIC COMPA NY, GAS COMPANY , OR COMBINATION GAS 2
990-AND ELECTRIC COMPANY . 3
991-
992- (B) A PUBLIC SERVICE COMPA NY MAY NOT RECOVER T HROUGH RATES ANY 4
993-COSTS ASSOCIATED WIT H: 5
994-
995- (1) MEMBERSHIP , DUES, SPONSORSHIPS , OR CONTRIBUTIONS TO AN 6
996-INDUSTRY TRADE ASSOC IATION, GROUP, OR RELATED ENTITY EX EMPT FROM 7
997-TAXATION UNDER § 501(C)(6) OF THE INTERNAL REVENUE CODE; OR 8
998-
999- (2) THE ACQUISITION , USE, OR ALLOCATION OF COS TS ASSOCIATED 9
1000-WITH A PRIVATE PLANE THAT IS OWNED OR LEA SED BY THE PUBLIC SERVICE 10
1001-COMPANY OR ITS HOLDI NG COMPANY . 11
1002-
1003-5–305. 12
1004-
1005- (a) This section applies to a project by an investor–owned gas company, electric 13
1006-company, or combination gas and electric company involving the construction, 14
1007-reconstruction, installation, demolition, restoration, or alteration of any underground gas 15
1008-or electric infrastructure of the company, and any related traffic control activities. 16
1009-
1010- (b) An investor–owned gas company, electric company, or combination gas and 17
1011-electric company shall require a contractor or subcontractor on a project described in 18
1012-subsection (a) of this section to pay its employees not less than the prevailing wage rate 19
1013-determined solely by the Commissioner of Labor and Industry in a process substantially 20
1014-similar to the process established under Title 17, Subtitle 2 of the State Finance and 21
1015-Procurement Article. 22
1016-
1017- (c) In accordance with Title 3, Subtitle 5 of the Labor and Employment Article, 23
1018-the Maryland Department of Labor shall enforce the requirement under subsection (b) of 24
1019-this section for contractors and subcontractors to pay employees not less than the prevailing 25
1020-wage rate determined solely by the Commissioner of Labor and Industry. 26
1021-
1022- (D) A CONTRACT ENTERED INT O AFTER MARCH 1, 2024, BY AN 27
1023-INVESTOR–OWNED GAS COMPANY , ELECTRIC COMPANY, OR COMBINATION GAS A ND 28
1024-ELECTRIC COMPANY THA T IS FOR THE CONSTRU CTION, RECONSTRUCTION , 29
1025-INSTALLATION, DEMOLITION, RESTORATION , OR ALTERATION OF ANY 30
1026-UNDERGROUND GAS OR E LECTRIC INFRASTRUCTU RE, AND ANY RELATED TRAF FIC 31
1027-CONTROL ACTIVITIES , INCLUDES A CON TRACT THAT HAS BEEN EXECUTED, 32
1028-AMENDED, OR ALTERED AFTER MARCH 1, 2024. 33
1029-
1030-7–211. 34
1031- SENATE BILL 937 23
1032-
1033-
1034- (A) THE GENERAL ASSEMBLY FINDS AND DE CLARES THAT IT IS TH E POLICY 1
1035-OF THE STATE TO ENCOURAGE TH E DEVELOPMENT OF CLE AN, CARBON–FREE 2
1036-NUCLEAR POWER , INCLUDING DEVELOPMEN T THROUGH INNOVATIVE DESIGNS . 3
1037-
1038- (B) THE MARYLAND ENERGY ADMINISTRATION , IN COORDINATION WITH 4
1039-THE COMMISSION AND THE DEPARTMENT OF NATURAL RESOURCES, SHALL 5
1040-PURSUE: 6
1041-
1042- (1) COST–SHARING AGREEMENTS W ITH NEIGHBORING STAT ES IN THE 7
1043-PJM REGION TO MITIGATE T HE RISKS OF DEV ELOPING NEW NUCLEAR ENERGY 8
1044-GENERATING STATIONS ; AND 9
1045-
1046- (2) AGREEMENTS WITH FEDE RAL AGENCIES REGARDI NG THE SITING 10
1047-OF SMALL MODULAR REA CTORS: 11
1048-
1049- (I) ON FEDERAL LAND ; OR 12
1050-
1051- (II) ON OR NEAR FEDERAL F ACILITIES, INCLUDING MILITARY 13
1052-AND NATIONAL SECURIT Y INSTALLATIONS. 14
1053-
1054- (C) ON OR BEFORE DECEMBER 1, 2026, THE MARYLAND ENERGY 15
1055-ADMINISTRATION SHALL REPORT TO THE GENERAL ASSEMBLY, IN ACCORDANCE 16
1056-WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON: 17
1057-
1058- (1) THE STATUS OF THE EF FORTS MADE UNDER SUB SECTION (B) OF 18
1059-THIS SECTION, INCLUDING AN ASSESSM ENT OF ANY OPPORTUNI TIES TO 19
1060-PARTICIPATE WITH OTH ER STATES, FEDERAL AGENCIES , AND PUBLIC OR PRIVAT E 20
1061-PARTNERS IN A MULTIS TATE PROCUREMENT OF NEW NUCLEAR ENERGY 21
1062-TECHNOLOGY ; AND 22
1063-
1064- (2) AN EVALUATION AND ST ATUS OF THE NUCLEAR ENERGY 23
1065-PROCUREMENT PROCESS ESTABLISHED UNDER SUBTITLE 12, PART II PART III OF 24
1066-THIS TITLE. 25
1067-
1068-7–216. 26
1069-
1070- (a) (1) In this section the following words have the meanings indicated. 27
1071-
1072- (2) (i) “Energy storage device” means a resource capable of absorbing 28
1073-electrical energy, storing it for a period of time, and delivering the energy for use at a later 29
1074-time as needed, regardless of where the resource is located on the electric [distribution] 30
1075-system. 31
1076-
1077- (ii) “Energy storage device” includes all types of electric storage 32
1078-technologies, regardless of their size, storage medium, or operational purpose, including: 33 24 SENATE BILL 937
1079-
1080-
1081-
1082- 1. thermal storage; 1
1083-
1084- 2. electrochemical storage; 2
1085-
1086- 3. [virtual power plants ] THERMO–MECHANICAL 3
1087-STORAGE; and 4
1088-
1089- 4. hydrogen–based storage. 5
1090-
1091- (3) “Investor–owned electric company” means an electric company that is 6
1092-not a municipal electric utility or an electric cooperative. 7
1093-
1094-7–216.2. 8
1095-
1096- (A) IN THIS SECTION , “ENERGY STORAGE DEVIC E” HAS THE MEANING 9
1097-STATED IN § 7–216 OF THIS SUBTITLE. 10
1098-
1099- (B) (1) THE GENERAL ASSEMBLY FINDS AND DE CLARES THAT THE 11
1100-STATE HAS A GOAL OF R EACHING AT LEAST 150 MEGAWATTS OF 12
1101-DISTRIBUTION–CONNECTED FRONT –OF–THE–METER ENERGY STORAGE DEVICES. 13
1102-
1103- (2) ON OR BEFORE JULY 1, 2025, AND ON OR BEFORE JULY 1, 2026, 14
1104-THE COMMISSION SHALL NOTI FY EACH INVESTOR –OWNED ELECTRIC COMPA NY OF 15
1105-ITS PROPORTION OF TH E GOAL ESTABLISHED U NDER THIS SUBSECTION , BASED ON: 16
1106-
1107- (I) THE ELECTRIC COMPANY ’S SERVICE LOAD; OR 17
1108-
1109- (II) OTHER CRITERIA ESTABLISHED BY THE COMMISSION. 18
1110-
1111- (C) (1) ON OR BEFORE NOVEMBER 1, 2025, THE COMMISSION SHALL 19
1112-REQUIRE EACH INVESTO R–OWNED ELECTRIC COMPA NY TO SUBMIT A PLAN TO 20
1113-ACHIEVE UP TO ONE –THIRD OF THE PROPORT ION OF DISTRIBUTION –CONNECTED 21
1114-FRONT–OF–THE–METER ENERGY STO RAGE DEVICES NECESSA RY TO REACH THE 22
1115-ELECTRIC COMPANY ’S APPORTIONMENT OF T HE GOAL STATED IN SU BSECTION (B) 23
1116-OF THIS SECTION. 24
1117-
1118- (2) ON OR BEFORE NOVEMBER 1, 2026, THE COMMISSION SHALL 25
1119-REQUIRE EACH INVESTO R–OWNED ELECTRIC COMPA NY TO SUBMIT A PLAN FOR THE 26
1120-BALANCE OF THE PROPORTIO N OF DISTRIBUTION –CONNECTED 27
1121-FRONT–OF–THE–METER ENERGY STORAGE DEVICES NECESSARY TO REACH THE 28
1122-ELECTRIC COMPANY ’S APPORTIONMENT OF T HE GOAL STATED IN SU BSECTION (B) 29
1123-OF THIS SECTION. 30
853+ (II) IF CONSIDERED NECESS ARY BY THE COMMISSION, SPECIFY 1
854+COMMON FORMS OF ACCE PTABLE COLLATERAL TO S ATISFY THE REQUIREME NTS OF 2
855+THIS SECTION; AND 3
856+
857+ (III) ESTABLISH DEADLINES RELATED TO COMPLETIO N OF LOAD 4
858+STUDIES AND PAYMENT OF FEES. 5
859+
860+4–213. 6
861+
862+ (A) THIS SECTION APPLIES ONLY TO A PUBLIC SER VICE COMPANY THAT IS 7
863+AN ELECTRIC COMPANY , GAS COMPANY, OR COMBINATION GAS A ND ELECTRIC 8
864+COMPANY. 9
865+
866+ (B) (1) A PUBLIC SERVICE COMPA NY MAY FILE A MULTIY EAR RATE PLAN 10
867+FOR DISTRIBUTION RAT ES. 11
868+
869+ (2) A MULTIYEAR RATE PLAN UNDER THIS SUBSECTIO N: 12
870+
871+ (I) SHALL DEMONSTRATE TH AT THE PLAN IS IN TH E PUBLIC 13
872+INTEREST; AND 14
873+
874+ (II) MAY NOT ALLOW FOR TH E PUBLIC SERVICE COM PANY TO 15
875+FILE FOR RECONCILIAT ION OF COST OR REVEN UE VARIANCES THAT DI FFER FROM 16
876+THE FORECASTS USED B Y THE COMMISSION TO ESTABLI SH THE JUST AND 17
877+REASONABLE RATE . 18
878+
879+ (C) UNLESS OTHERWISE AUTH ORIZED BY LAW, THE COMMISSION MAY 19
880+APPROVE THE USE OF A MULTIYEAR RATE PLAN THAT MEETS THE REQUI REMENTS 20
881+OF SUBSECTION (B) OF THIS SECTION. 21
882+
883+4–214. 22
884+
885+ (A) IN THIS SECTION , “NONPIPELINE ALTERNAT IVE” MEANS AN 23
886+INVESTMENT OR ACTIVI TY THAT DEFERS , REDUCES, OR ELIMINATES T HE NEED TO 24
887+CONSTRUCT A NEW GAS PIPELINE. 25
888+
889+ (B) NOTHING IN THIS SECTI ON MAY BE CONSTRUED TO RESTRICT AN 26
890+INVESTOR–OWNED GAS COMPANY ’S ABILITY TO MAKE IM PROVEMENTS TO ITS GA S 27
891+SYSTEM TO ENSURE THE SAFE AND RELIABLE OP ERATION OF THE SYSTE M. 28
892+
893+ (C) AN INVESTOR–OWNED GAS COMPANY MAY RECOVER REASONABLE A ND 29
894+PRUDENT COSTS ASSOCI ATED WITH A GAS INFR ASTRUCTURE INVESTMEN T FOR A 30
895+PLANNED PIPELINE REP LACEMENT IF THE INVE STOR–OWNED GAS COMPANY 31
896+DEMONSTRATES AT A RA TE SETTING PROCEEDIN G: 32 20 SENATE BILL 937
897+
898+
899+
900+ (1) THE CUSTOMER BENEFIT S OF THE INVESTMENT; 1
901+
902+ (2) THAT THE INVESTOR –OWNED GAS COMPANY AN ALYZED 2
903+COST–EFFECTIVE OPTIONS TH AT ACHIEVE SAFETY BE NEFITS COMPARABLE TO THE 3
904+INVESTMENTS AND DEFE R, REDUCE, OR ELIMINATE THE NEE D TO REPLACE , 4
905+UPGRADE, OR CONSTRUCT NEW COM PONENTS, INCLUDING AN ANALYSI S OF: 5
906+
907+ (I) FOR NEW INVESTMENTS UNRELATED TO SAFETY , 6
908+NONPIPELINE ALTERNAT IVES; AND 7
909+
910+ (II) LEAK DETECTION AND R EPAIR; AND 8
911+
912+ (3) THE ESTIMATED RISK R EDUCTION ASSOCIATED WITH A 9
913+SAFETY–RELATED INVESTMENT , IF APPLICABLE. 10
914+
915+4–504. 11
916+
917+ (A) THIS SECTION APPLIES ONLY TO A PUBLIC SER VICE COMPANY THAT IS 12
918+AN INVESTOR–OWNED ELECTRIC COMPA NY, GAS COMPANY , OR COMBINATION GAS 13
919+AND ELECTRIC COMPANY . 14
920+
921+ (B) A PUBLIC SERVICE COMPA NY MAY NOT RECOVER T HROUGH RATES ANY 15
922+COSTS ASSOCIATED WIT H: 16
923+
924+ (1) MEMBERSHIP , DUES, SPONSORSHIPS , OR CONTRIBUTIONS TO AN 17
925+INDUSTRY TRADE ASSOC IATION, GROUP, OR RELATED ENTITY EX EMPT FROM 18
926+TAXATION UNDER § 501(C)(6) OF THE INTERNAL REVENUE CODE; OR 19
927+
928+ (2) THE ACQUISITION , USE, OR ALLOCATION OF COS TS ASSOCIATED 20
929+WITH A PRIVATE PLANE THAT IS OW NED OR LEASED BY THE PUBLIC SERVICE 21
930+COMPANY OR ITS HOLDI NG COMPANY . 22
931+
932+5–305. 23
933+
934+ (a) This section applies to a project by an investor–owned gas company, electric 24
935+company, or combination gas and electric company involving the construction, 25
936+reconstruction, installation, demolition, restoration, or alteration of any underground gas 26
937+or electric infrastructure of the company, and any related traffic control activities. 27
938+
939+ (b) An investor–owned gas company, electric company, or combination gas and 28
940+electric company shall require a contractor or subcontractor on a project described in 29
941+subsection (a) of this section to pay its employees not less than the prevailing wage rate 30
942+determined solely by the Commissioner of Labor and Industry in a process substantially 31 SENATE BILL 937 21
943+
944+
945+similar to the process established under Title 17, Subtitle 2 of the State Finance and 1
946+Procurement Article. 2
947+
948+ (c) In accordance with Title 3, Subtitle 5 of the Labor and Employment Article, 3
949+the Maryland Department of Labor shall enforce the requirement under subsection (b) of 4
950+this section for contractors and subcontractors to pay employees not less than the prevailing 5
951+wage rate determined solely by the Commissioner of Labor and Industry. 6
952+
953+ (D) A CONTRACT ENTERED INT O AFTER MARCH 1, 2024, BY AN 7
954+INVESTOR–OWNED GAS CO MPANY, ELECTRIC COMPANY , OR COMBINATION GAS A ND 8
955+ELECTRIC COMPANY THA T IS FOR THE CONSTRU CTION, RECONSTRUCTION , 9
956+INSTALLATION, DEMOLITION, RESTORATION , OR ALTERATION OF ANY 10
957+UNDERGROUND GAS OR E LECTRIC INFRASTRUCTU RE, AND ANY RELATED TRAF FIC 11
958+CONTROL ACTIVITIE S, INCLUDES A CONTRACT THAT HAS BEEN EXECUT ED, 12
959+AMENDED, OR ALTERED AFTER MARCH 1, 2024. 13
960+
961+7–211. 14
962+
963+ (A) THE GENERAL ASSEMBLY FINDS AND DE CLARES THAT IT IS TH E POLICY 15
964+OF THE STATE TO ENCOURAGE TH E DEVELOPMENT OF CLE AN, CARBON–FREE 16
965+NUCLEAR POWER , INCLUDING DE VELOPMENT THROUGH IN NOVATIVE DESIGNS . 17
966+
967+ (B) THE MARYLAND ENERGY ADMINISTRATION , IN COORDINATION WITH 18
968+THE COMMISSION AND THE DEPARTMENT OF NATURAL RESOURCES, SHALL 19
969+PURSUE: 20
970+
971+ (1) COST–SHARING AGREEMENTS W ITH NEIGHBORING STAT ES IN THE 21
972+PJM REGION TO MITIGATE THE RISKS OF DEVELOP ING NEW NUCLEAR ENER GY 22
973+GENERATING STATIONS ; AND 23
974+
975+ (2) AGREEMENTS WITH FEDE RAL AGENCIES REGARDI NG THE SITING 24
976+OF SMALL MODULAR REA CTORS: 25
977+
978+ (I) ON FEDERAL LAND ; OR 26
979+
980+ (II) ON OR NEAR FEDERAL F ACILITIES, INCLUDING MILITARY 27
981+AND NATIONAL SECURITY IN STALLATIONS. 28
982+
983+ (C) ON OR BEFORE DECEMBER 1, 2026, THE MARYLAND ENERGY 29
984+ADMINISTRATION SHALL REPORT TO THE GENERAL ASSEMBLY, IN ACCORDANCE 30
985+WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, ON: 31
986+
987+ (1) THE STATUS OF THE EF FORTS MADE UNDER SUB SECTION (B) OF 32
988+THIS SECTION , INCLUDING AN ASSESSM ENT OF ANY OPPORTUNI TIES TO 33
989+PARTICIPATE WITH OTH ER STATES, FEDERAL AGENCIES , AND PUBLIC OR PRIVAT E 34 22 SENATE BILL 937
990+
991+
992+PARTNERS IN A MULTIS TATE PROCUREMENT OF NEW NUCLEAR ENERGY 1
993+TECHNOLOGY ; AND 2
994+
995+ (2) AN EVALUATION AND ST ATUS OF THE NUCLEAR ENERGY 3
996+PROCUREMENT PROCESS ESTABLISHED UNDER SUBTITLE 12, PART II PART III OF 4
997+THIS TITLE. 5
998+
999+7–216. 6
1000+
1001+ (a) (1) In this section the following words have the meanings indicated. 7
1002+
1003+ (2) (i) “Energy storage device” means a resource capable of absorbing 8
1004+electrical energy, storing it for a period of time, and delivering the energy for use at a later 9
1005+time as needed, regardless of where the resource is located on the electric [distribution] 10
1006+system. 11
1007+
1008+ (ii) “Energy storage device” includes all types of electric storage 12
1009+technologies, regardless of their size, storage medium, or operational purpose, including: 13
1010+
1011+ 1. thermal storage; 14
1012+
1013+ 2. electrochemical storage; 15
1014+
1015+ 3. [virtual power plants ] THERMO–MECHANICAL 16
1016+STORAGE; and 17
1017+
1018+ 4. hydrogen–based storage. 18
1019+
1020+ (3) “Investor–owned electric company” means an electric company that is 19
1021+not a municipal electric utility or an electric cooperative. 20
1022+
1023+7–216.2. 21
1024+
1025+ (A) IN THIS SECTION , “ENERGY STORAGE DEVIC E” HAS THE MEANING 22
1026+STATED IN § 7–216 OF THIS SUBTITLE. 23
1027+
1028+ (B) (1) THE GENERAL ASSEMBLY FINDS AND DE CLARES THAT THE 24
1029+STATE HAS A GOAL OF R EACHING AT LEAST 150 MEGAWATTS OF 25
1030+DISTRIBUTION–CONNECTED FRONT –OF–THE–METER ENERGY STORAGE DEVICES. 26
1031+
1032+ (2) ON OR BEFORE JULY 1, 2025, AND ON OR BEFORE JULY 1, 2026, 27
1033+THE COMMISSION SHALL NOTI FY EACH INVESTOR –OWNED ELECTRIC COMPA NY OF 28
1034+ITS PROPORTION OF TH E GOAL ESTABLISHED U NDER THIS SUBSECTION , BASED ON: 29
1035+
1036+ (I) THE ELECTRIC COMPANY ’S SERVICE LOAD; OR 30 SENATE BILL 937 23
1037+
1038+
1039+
1040+ (II) OTHER CRITERIA E STABLISHED BY THE COMMISSION. 1
1041+
1042+ (C) (1) ON OR BEFORE NOVEMBER 1, 2025, THE COMMISSION SHALL 2
1043+REQUIRE EACH INVESTO R–OWNED ELECTRIC COMPA NY TO SUBMIT A PLAN TO 3
1044+ACHIEVE UP TO ONE –THIRD OF THE PROPORT ION OF DISTRIBUTION –CONNECTED 4
1045+FRONT–OF–THE–METER ENERGY STOR AGE DEVICES NECESSAR Y TO REACH THE 5
1046+ELECTRIC COMPANY ’S APPORTIONMENT OF T HE GOAL STATED IN SU BSECTION (B) 6
1047+OF THIS SECTION. 7
1048+
1049+ (2) ON OR BEFORE NOVEMBER 1, 2026, THE COMMISSION SHALL 8
1050+REQUIRE EACH INVESTO R–OWNED ELECTRIC COMPA NY TO SUBMIT A PLAN FOR THE 9
1051+BALANCE OF THE PROPORTION OF DISTRIBUTION –CONNECTED 10
1052+FRONT–OF–THE–METER ENERGY STORAGE DEVICES NECESSARY TO REACH THE 11
1053+ELECTRIC COMPANY ’S APPORTIONMENT OF T HE GOAL STATED IN SU BSECTION (B) 12
1054+OF THIS SECTION. 13
1055+
1056+ (3) ON OR BEFORE MAY 1, 2026, FOR PLANS SUBMITTED IN 14
1057+ACCORDANCE WITH PARA GRAPH (1) OF THIS SUBSECTION , AND ON OR BEFORE MAY 15
1058+1, 2027, FOR PLANS SUBMITTED IN ACCORDANCE WITH P ARAGRAPH (2) OF THIS 16
1059+SUBSECTION, THE COMMISSION SHALL : 17
1060+
1061+ (I) EVALUATE EACH PLAN ; 18
1062+
1063+ (II) ACCEPT PUBLIC COMMEN TS ON EACH PLAN ; AND 19
1064+
1065+ (III) ISSUE AN ORDER FOR E ACH PLAN THAT : 20
1066+
1067+ 1. APPROVES THE PLAN ; 21
1068+
1069+ 2. APPROVES THE PLAN WI TH MODIFICATIONS THA T 22
1070+THE COMMISSION CONSIDERS NECESSARY; OR 23
1071+
1072+ 3. REJECTS THE PLAN , WITH AN EXPLANATION OF THE 24
1073+REASONS FOR THE REJE CTION. 25
1074+
1075+ (4) THE ENERGY STORAGE DEVIC ES CONSTRUCTED OR PR OCURED 26
1076+UNDER EACH PLAN SHAL L INCLUDE A COMBINAT ION OF DEVICES OWNED BY THE 27
1077+INVESTOR–OWNED ELECTRIC COMPA NY AND DEVICES OWNED BY A THIRD PARTY , 28
1078+WITH A GOAL OF 30% OF THE DEVICES BEING OWNED BY A THIRD PAR TY. 29
1079+
1080+ (5) (I) THE ENERGY STORAGE DE VICES THAT ARE CONST RUCTED 30
1081+OR PROCURED UNDER A PLAN SUBMITTED BY NOVEMBER 1, 2025, SHALL BE 31
1082+OPERATIONAL BY NOVEMBER 1, 2027. 32 24 SENATE BILL 937
1083+
1084+
1085+
1086+ (II) THE ENERGY STORAGE DE VICES THAT ARE CONST RUCTED 1
1087+OR PROCURED UNDER A PLAN SUBMITTED BY NOVEMBER 1, 2026, SHALL BE 2
1088+OPERATIONAL BY NOVEMBER 1, 2028. 3
1089+
1090+ (III) THE COMMISSION MAY EXTEND A DEADLINE UNDER THI S 4
1091+PARAGRAPH FOR GOOD C AUSE. 5
1092+
1093+ (D) THE COMMISSION SHALL REQU IRE EACH PLAN TO DEM ONSTRATE THAT 6
1094+THE CONSTRUCTION OR PROCUREMENT OF EACH ENERGY STORAGE DEVI CE: 7
1095+
1096+ (1) IS COST–EFFECTIVE IN CONSIDE RATION OF A COST –BENEFIT 8
1097+ANALYSIS, INCLUDING A DEMONSTR ATION OF ANY: 9
1098+
1099+ (I) AVOIDED OR DELAYED T RANSMISSION, DISTRIBUTION, AND 10
1100+GENERATION COSTS ; AND 11
1101+
1102+ (II) AVOIDED EMISSIONS IN THE SHORT TERM AND P ROJECTED 12
1103+EMISSIONS IN THE LONG TERM , MEASURED USING THE S OCIAL COST OF CARBON , AS 13
1104+DETERMINED BY THE U.S. ENVIRONMENTAL PROTECTION AGENCY AS OF JANUARY 14
1105+1, 2025; 15
1106+
1107+ (2) CAN BE COMPLETED WIT HIN 18 MONTHS AFTER THE PLA N IS 16
1108+APPROVED; AND 17
1109+
1110+ (3) COMPLIES WITH ANY OT HER FACTORS DETERMINED BY THE 18
1111+COMMISSION. 19
1112+
1113+ (E) (1) A DEVELOPER OF A THIRD –PARTY–OWNED ENERGY STORAGE 20
1114+DEVICE CONSTRUCTED I N ACCORDANCE WITH TH IS SECTION SHALL ENS URE THAT 21
1115+WORKERS ARE PAID NOT LESS THAN THE PREVAI LING WAGE RATE DETER MINED 22
1116+UNDER TITLE 17, SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT 23
1117+ARTICLE. 24
1118+
1119+ (2) AN ENERGY STORAGE DEV ICE CONSTRUCTED AND OWNED BY AN 25
1120+ELECTRIC COMPANY SHA LL BE CONSTRUCTED BY : 26
1121+
1122+ (I) EMPLOYEES OF THE ELE CTRIC COMPANY ; OR 27
1123+
1124+ (II) CONTRACTORS THAT SHA LL ENSURE THAT WORKE RS 28
1125+CONSTRUCTING THE ENERGY STORAGE D EVICE ARE PAID NOT L ESS THAN THE 29
1126+PREVAILING WAGE RATE DETERMINED UNDER TITLE 17, SUBTITLE 2 OF THE STATE 30
1127+FINANCE AND PROCUREMENT ARTICLE. 31
11241128 SENATE BILL 937 25
11251129
11261130
1127- (3) ON OR BEFORE MAY 1, 2026, FOR PLANS SUBMITTED IN 1
1128-ACCORDANCE WITH PARA GRAPH (1) OF THIS SUBSECTION , AND ON OR BEFORE MAY 2
1129-1, 2027, FOR PLANS SUBMITTED IN ACCORDANCE WITH P ARAGRAPH (2) OF THIS 3
1130-SUBSECTION, THE COMMISSION SHALL : 4
1131-
1132- (I) EVALUATE EACH PLAN ; 5
1133-
1134- (II) ACCEPT PUBLIC COMMEN TS ON EACH PLAN ; AND 6
1135-
1136- (III) ISSUE AN ORDER FOR E ACH PLAN THAT : 7
1137-
1138- 1. APPROVES THE PLAN ; 8
1139-
1140- 2. APPROVES THE PLAN WI TH MODIFICATIONS THA T 9
1141-THE COMMISSION CONSIDERS NECESSARY; OR 10
1142-
1143- 3. REJECTS THE PLAN , WITH AN EXPLANATION OF THE 11
1144-REASONS FOR THE REJE CTION. 12
1145-
1146- (4) THE ENERGY STORAGE DEVIC ES CONSTRUCTED OR PR OCURED 13
1147-UNDER EACH PLAN SHAL L INCLUDE A COMBINAT ION OF DEVICES OWNED BY THE 14
1148-INVESTOR–OWNED ELECTRIC COMPA NY AND DEVICES OWNED BY A THIRD PARTY , 15
1149-WITH A GOAL OF 30% OF THE DEVICES BEING OWNED BY A THIRD PAR TY. 16
1150-
1151- (5) (I) THE ENERGY STORAGE DE VICES THAT ARE CONST RUCTED 17
1152-OR PROCURED UNDER A PLAN SUBMITTED BY NOVEMBER 1, 2025, SHALL BE 18
1153-OPERATIONAL BY NOVEMBER 1, 2027. 19
1154-
1155- (II) THE ENERGY STORAGE DE VICES THAT ARE CONST RUCTED 20
1156-OR PROCURED UNDER A PLAN SUBMITTED BY NOVEMBER 1, 2026, SHALL BE 21
1157-OPERATIONAL BY NOVEMBER 1, 2028. 22
1158-
1159- (III) THE COMMISSION MAY EXTEND A DEADLINE UNDER THI S 23
1160-PARAGRAPH FOR GOOD C AUSE. 24
1161-
1162- (D) THE COMMISSION SHALL REQU IRE EACH PLAN TO DEM ONSTRATE THAT 25
1163-THE CONSTRUCTION OR PROCUREMENT OF EACH ENERGY STORAGE DEVIC E: 26
1164-
1165- (1) IS COST–EFFECTIVE IN CONSIDE RATION OF A COST –BENEFIT 27
1166-ANALYSIS, INCLUDING A DEMONSTR ATION OF ANY: 28
1167-
1168- (I) AVOIDED OR DELAYED T RANSMISSION, DISTRIBUTION, AND 29
1169-GENERATION COSTS ; AND 30
1131+ (3) (I) AN INVESTOR –OWNED ELECTRIC COMPA NY SHALL 1
1132+OPERATE AND MAINTAIN ENERGY STORAGE DEVIC ES INSTALLED BY THE ELEC TRIC 2
1133+COMPANY IN ACCORDANC E WITH THIS SECTION . 3
1134+
1135+ (II) IN PERFORMING THE MAI NTENANCE AND OPERATI ONS 4
1136+REQUIRED UNDER SUBPA RAGRAPH (I) OF THIS PARAGRAPH , AN INVESTOR–OWNED 5
1137+ELECTRIC COMPANY SHA LL MEET WITH THE EMP LOYEE BARGAINING UNI T’S LABOR 6
1138+REPRESENTATIVE AND C ONFER IN GOOD FAITH REGARDING THE VIABIL ITY OF: 7
1139+
1140+ 1. ALLOCATING MAINTENAN CE AND OPERATIONS WO RK 8
1141+TO CURRENT BARGAININ G UNIT EMPLOYEES ; 9
1142+
1143+ 2. TRAINING CURRENT BAR GAINING UNIT EMPLOYE ES 10
1144+TO PERFORM MAINTENAN CE AND OPERATIONS WO RK; 11
1145+
1146+ 3. HIRING QUALIFIED IND IVIDUALS TO PERFORM 12
1147+MAINTENANCE AND OPER ATION WORK; 13
1148+
1149+ 4. TRAINING NEWLY HIRED INDIVIDUALS TO PERFO RM 14
1150+MAINTENANCE AND OPER ATIONS WORK; AND 15
1151+
1152+ 5. MAINTAINING AND OPER ATING STORAGE DEVICE S IN 16
1153+ACCORDANCE WITH PARA GRAPH (4) OF THIS SUBSECTION. 17
1154+
1155+ (4) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , AN 18
1156+INVESTOR–OWNED ELECTRIC COMPA NY MAY CONTRACT ANY WORK UNDER THIS 19
1157+SECTION NOT CONDUCTE D BY THE COMPANY ’S EMPLOYEE BARGAININ G UNIT TO A 20
1158+QUALIFIED CONTRACTOR . 21
1159+
1160+ (II) AN INVESTOR –OWNED ELECTRIC COMPANY SHALL 22
1161+REQUIRE A CONTRACTOR OR SUBCONTRACTOR ON A PROJECT UNDER THIS SECTION 23
1162+TO: 24
1163+
1164+ 1. PAY THE AREA PREVAIL ING WAGE RATE DETERM INED 25
1165+BY THE COMMISSIONER OF LABOR AND INDUSTRY, INCLUDING WAGES AND FRINGE 26
1166+BENEFITS; AND 27
1167+
1168+ 2. OFFER HEALTH CARE AND RETI REMENT BENEFITS TO 28
1169+THE EMPLOYEES WORKIN G ON THE PROJECT . 29
1170+
1171+ (F) (1) EACH ENERGY STORAGE P ROJECT CONSTRUCTED I N 30
1172+ACCORDANCE WITH THIS SECTION SHALL INCLUD E A PROPOSED DECOMMI SSIONING 31
1173+PLAN. 32
11701174 26 SENATE BILL 937
11711175
11721176
1173- (II) AVOIDED EMISSIONS IN THE SHORT TERM AND P ROJECTED 1
1174-EMISSIONS IN THE LONG TERM , MEASURED USING THE S OCIAL COST OF CARBON , AS 2
1175-DETERMINED BY THE U.S. ENVIRONMENTAL PROTECTION AGENCY AS OF JANUARY 3
1176-1, 2025; 4
1177-
1178- (2) CAN BE COMPLETED WIT HIN 18 MONTHS AFTER THE PLA N IS 5
1179-APPROVED; AND 6
1180-
1181- (3) COMPLIES WITH ANY OT HER FACTORS DETERMINED BY THE 7
1182-COMMISSION. 8
1183-
1184- (E) (1) A DEVELOPER OF A THIRD –PARTY–OWNED ENERGY STORAGE 9
1185-DEVICE CONSTRUCTED I N ACCORDANCE WITH TH IS SECTION SHALL ENS URE THAT 10
1186-WORKERS ARE PAID NOT LESS THAN THE PREVAI LING WAGE RATE DETER MINED 11
1187-UNDER TITLE 17, SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT 12
1188-ARTICLE. 13
1189-
1190- (2) AN ENERGY STORAGE DEV ICE CONSTRUCTED AND OWNED BY AN 14
1191-ELECTRIC COMPANY SHA LL BE CONSTRUCTED BY : 15
1192-
1193- (I) EMPLOYEES OF THE ELE CTRIC COMPANY ; OR 16
1194-
1195- (II) CONTRACTORS THAT SHA LL ENSURE THAT WORKE RS 17
1196-CONSTRUCTING THE ENERGY STORAGE D EVICE ARE PAID NOT L ESS THAN THE 18
1197-PREVAILING WAGE RATE DETERMINED UNDER TITLE 17, SUBTITLE 2 OF THE STATE 19
1198-FINANCE AND PROCUREMENT ARTICLE. 20
1199-
1200- (3) (I) AN INVESTOR –OWNED ELECTRIC COMPA NY SHALL 21
1201-OPERATE AND MAINTAIN ENERGY STORAGE DEVIC ES INSTALLED BY THE ELECT RIC 22
1202-COMPANY IN ACCORDANC E WITH THIS SECTION . 23
1203-
1204- (II) IN PERFORMING THE MAI NTENANCE AND OPERATI ONS 24
1205-REQUIRED UNDER SUBPA RAGRAPH (I) OF THIS PARAGRAPH , AN INVESTOR–OWNED 25
1206-ELECTRIC COMPANY SHA LL MEET WITH THE EMP LOYEE BARGAINING UNI T’S LABOR 26
1207-REPRESENTATIVE AND C ONFER IN GOOD FAITH REGARDING THE VIABIL ITY OF: 27
1208-
1209- 1. ALLOCATING MAINTENAN CE AND OPERATIONS WO RK 28
1210-TO CURRENT BARGAININ G UNIT EMPLOYEES ; 29
1211-
1212- 2. TRAINING CURRENT BAR GAINING UNIT EMPLOYE ES 30
1213-TO PERFORM MAINTENAN CE AND OPERATIONS WO RK; 31
1214-
1215- 3. HIRING QUALIFIED IND IVIDUALS TO PERFORM 32
1216-MAINTENANCE AND OPER ATION WORK; 33 SENATE BILL 937 27
1217-
1218-
1219-
1220- 4. TRAINING NEWLY HIRED INDIVIDUALS TO PERFO RM 1
1221-MAINTENANCE AND OPER ATIONS WORK; AND 2
1222-
1223- 5. MAINTAINING AND OPER ATING STORAGE DEVICE S IN 3
1224-ACCORDANCE WITH PARA GRAPH (4) OF THIS SUBSECTION. 4
1225-
1226- (4) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , AN 5
1227-INVESTOR–OWNED ELECTRIC COMPA NY MAY CONTRACT ANY WORK UNDER THIS 6
1228-SECTION NOT CONDUCTE D BY THE COMPANY ’S EMPLOYEE BARGAININ G UNIT TO A 7
1229-QUALIFIED CONTRACTOR . 8
1230-
1231- (II) AN INVESTOR –OWNED ELECTRIC COMPANY SHALL 9
1232-REQUIRE A CONTRACTOR OR SUBCONTRACTOR ON A PROJECT UNDER THIS SECTION 10
1233-TO: 11
1234-
1235- 1. PAY THE AREA PREVAIL ING WAGE RATE DETERM INED 12
1236-BY THE COMMISSIONER OF LABOR AND INDUSTRY, INCLUDING WAGES AND FRINGE 13
1237-BENEFITS; AND 14
1238-
1239- 2. OFFER HEALT H CARE AND RETIREMEN T BENEFITS TO 15
1240-THE EMPLOYEES WORKIN G ON THE PROJECT . 16
1241-
1242- (F) (1) EACH ENERGY STORAGE P ROJECT CONSTRUCTED I N 17
1243-ACCORDANCE WITH THIS SECTION SHALL INCLUD E A PROPOSED DECOMMI SSIONING 18
1244-PLAN. 19
1245-
1246- (2) THE PROPOSED DECOMMIS SIONING PLAN SHALL I NCLUDE A PLAN 20
1247-TO MAXIMIZE THE RECY CLING OR REUSE OF AL L QUALIFYING COMPONE NTS OF 21
1248-EACH ENERGY STORAGE DEVICE. 22
1249-
1250- (3) THE OWNER OR OPERATOR OF AN ENERGY STORAGE DEVICE MAY 23
1251-SUBMIT A REVISED REC YCLING AND REUSE PLA N THAT INCORPORATES EMERGING 24
1252-RECYCLING AND REUSE OPPORTUNITIES UP TO 1 YEAR BEFORE EXECUTIN G THE 25
1253-DECOMMISSIONING PLAN . 26
1254-
1255-7–224. 27
1256-
1257- (a) (1) Beginning January 1, 2025, and on or before January 1 every 3 years, 28
1258-starting in 2027, the Department shall procure or provide to low–income individuals energy 29
1259-efficiency and conservation programs and services, demand response programs and 30
1260-services, and beneficial electrification programs and services that achieve the greenhouse 31
1261-gas emissions reduction targets established for the Department under paragraph (2) of this 32
1262-subsection. 33
1177+ (2) THE PROPOSED DECOMMIS SIONING PLAN SHALL INCLUDE A PLAN 1
1178+TO MAXIMIZE THE RECY CLING OR REUSE OF AL L QUALIFYING COMPONE NTS OF 2
1179+EACH ENERGY STORAGE DEVICE. 3
1180+
1181+ (3) THE OWNER OR OPERATOR OF AN ENERGY STORAGE DEVICE MAY 4
1182+SUBMIT A REVISED REC YCLING AND REUSE PLA N THAT INCORPORATES EMERGING 5
1183+RECYCLING AND RE USE OPPORTUNITIES UP TO 1 YEAR BEFORE EXECUTIN G THE 6
1184+DECOMMISSIONING PLAN . 7
1185+
1186+7–224. 8
1187+
1188+ (a) (1) Beginning January 1, 2025, and on or before January 1 every 3 years, 9
1189+starting in 2027, the Department shall procure or provide to low–income individuals energy 10
1190+efficiency and conservation programs and services, demand response programs and 11
1191+services, and beneficial electrification programs and services that achieve the greenhouse 12
1192+gas emissions reduction targets established for the Department under paragraph (2) of this 13
1193+subsection. 14
1194+
1195+ (2) For the period 2025–2033, the programs and services required under 15
1196+paragraph (1) of this subsection shall be on a trajectory to achieve greenhouse gas 16
1197+reductions after 2027 of at least 0.9% of the baseline determined under subsection (b) of 17
1198+this section. 18
1199+
1200+ (3) (i) When establishing greenhouse gas emissions reduction targets 19
1201+under this subsection, the Commission shall measure the greenhouse gas emissions from 20
1202+electricity using current data and projections from the Department of the Environment. 21
1203+
1204+ (ii) The greenhouse gas emissions reduction targets established 22
1205+under this subsection shall be measured in metric tons. 23
1206+
1207+ (4) The greenhouse gas reductions achieved to meet the targets established 24
1208+under paragraph (2) of this subsection shall count toward the achievement of the 25
1209+greenhouse gas reduction target established under § 7–223(b) of this subtitle. 26
1210+
1211+ (5) The target greenhouse gas savings shall be achieved based on the 27
1212+3–year average of the Department’s plan submitted in accordance with subsection (d) of 28
1213+this section. 29
1214+
1215+ (6) For 2025 and 2026: 30
1216+
1217+ (i) the Commission shall, after making appropriate findings, 31
1218+determine whether the Department’s existing 2024–2026 plan must be modified to comply 32
1219+with: 33
1220+
1221+ 1. the targets established in this subsection; and 34
1222+ SENATE BILL 937 27
1223+
1224+
1225+ 2. § 7–225(d) of this subtitle; and 1
1226+
1227+ (ii) the Department: 2
1228+
1229+ 1. shall provide information as required by the Commission 3
1230+to assist in making the determination in item (i) of this paragraph; and 4
1231+
1232+ 2. is only required to file new plans in accordance with 5
1233+subsection (d) of this section and § 7–225 of this subtitle if directed by the Commission. 6
1234+
1235+ (b) As a baseline for determining greenhouse gas emissions reduction targets 7
1236+under this section, the Commission shall use the greenhouse gas emissions resulting from 8
1237+the direct consumption of gas and electricity by low–income residential households in 2016, 9
1238+as determined by the Department of the Environment. 10
1239+
1240+ (c) [(1) The] WHEN CALCULATING THE ACHIEVEMENT OF GREEN HOUSE 11
1241+GAS EMISSIONS REDUCT ION TARGETS UNDER TH IS SECTION, THE Department may 12
1242+procure or provide savings that are achieved through [funding sources that meet the 13
1243+standards of program funding through utility rates or the U.S. Department of Energy] ALL 14
1244+FUNDING SOURCES , TO THE EXTENT THAT T HE SAVINGS FROM THOS E FUNDING 15
1245+SOURCES ARE ACHIEVED : 16
1246+
1247+ (1) IN A MANNER CONSISTE NT WITH REQUIREMENTS OF THE U.S. 17
1248+DEPARTMENT OF ENERGY; OR 18
1249+
1250+ (2) IN A MANNER OTHERWIS E CONSISTENT WITH T HE ENERGY 19
1251+SAVINGS REQUIREMENTS APPLICABLE TO THOSE FUNDING SOURCES . 20
1252+
1253+ [(2) The Department may use the savings achieved through all funding 21
1254+sources toward calculating the targeted greenhouse gas reductions if the funding sources 22
1255+meet the standards of programs funded through: 23
1256+
1257+ (i) a surcharge under § 7–222 of this subtitle; or 24
1258+
1259+ (ii) the U.S. Department of Energy.] 25
1260+
1261+7–506.1. 7–505. 26
1262+
1263+ (c) (1) Notwithstanding any other provision of law, including subsection (d) of 27
1264+this section, AND SUBJECT TO § 4–213 OF THIS ARTICLE, the Commission may regulate 28
1265+the regulated services of an electric company through alternative forms of regulation. 29
1266+
1267+ (2) The Commission may adopt an alternative form of regulation under this 30
1268+section if the Commission finds, after notice and hearing, that the alternative form of 31
1269+regulation: 32
12631270 28 SENATE BILL 937
12641271
12651272
1266- (2) For the period 2025–2033, the programs and services required under 1
1267-paragraph (1) of this subsection shall be on a trajectory to achieve greenhouse gas 2
1268-reductions after 2027 of at least 0.9% of the baseline determined under subsection (b) of 3
1269-this section. 4
1270-
1271- (3) (i) When establishing greenhouse gas emissions reduction targets 5
1272-under this subsection, the Commission shall measure the greenhouse gas emissions from 6
1273-electricity using current data and projections from the Department of the Environment. 7
1274-
1275- (ii) The greenhouse gas emissions reduction targets established 8
1276-under this subsection shall be measured in metric tons. 9
1277-
1278- (4) The greenhouse gas reductions achieved to meet the targets established 10
1279-under paragraph (2) of this subsection shall count toward the achievement of the 11
1280-greenhouse gas reduction target established under § 7–223(b) of this subtitle. 12
1281-
1282- (5) The target greenhouse gas savings shall be achieved based on the 13
1283-3–year average of the Department’s plan submitted in accordance with subsection (d) of 14
1284-this section. 15
1285-
1286- (6) For 2025 and 2026: 16
1287-
1288- (i) the Commission shall, after making appropriate findings, 17
1289-determine whether the Department’s existing 2024–2026 plan must be modified to comply 18
1290-with: 19
1291-
1292- 1. the targets established in this subsection; and 20
1293-
1294- 2. § 7–225(d) of this subtitle; and 21
1295-
1296- (ii) the Department: 22
1297-
1298- 1. shall provide information as required by the Commission 23
1299-to assist in making the determination in item (i) of this paragraph; and 24
1300-
1301- 2. is only required to file new plans in accordance with 25
1302-subsection (d) of this section and § 7–225 of this subtitle if directed by the Commission. 26
1303-
1304- (b) As a baseline for determining greenhouse gas emissions reduction targets 27
1305-under this section, the Commission shall use the greenhouse gas emissions resulting from 28
1306-the direct consumption of gas and electricity by low–income residential households in 2016, 29
1307-as determined by the Department of the Environment. 30
1308-
1309- (c) [(1) The] WHEN CALCULATING THE ACHIEVEMENT OF GREEN HOUSE 31
1310-GAS EMISSIONS RED UCTION TARGETS UNDER THIS SECTION, THE Department may 32
1311-procure or provide savings that are achieved through [funding sources that meet the 33 SENATE BILL 937 29
1312-
1313-
1314-standards of program funding through utility rates or the U.S. Department of Energy] ALL 1
1315-FUNDING SOURCES , TO THE EXTEN T THAT THE SAVINGS F ROM THOSE FUNDING 2
1316-SOURCES ARE ACHIEVED : 3
1317-
1318- (1) IN A MANNER CONSISTE NT WITH REQUIREMENTS OF THE U.S. 4
1319-DEPARTMENT OF ENERGY; OR 5
1320-
1321- (2) IN A MANNER OTHERWIS E CONSISTENT WITH TH E ENERGY 6
1322-SAVINGS REQUIREMENTS APPLICABLE TO THOSE FUNDING SOURCES. 7
1323-
1324- [(2) The Department may use the savings achieved through all funding 8
1325-sources toward calculating the targeted greenhouse gas reductions if the funding sources 9
1326-meet the standards of programs funded through: 10
1327-
1328- (i) a surcharge under § 7–222 of this subtitle; or 11
1329-
1330- (ii) the U.S. Department of Energy.] 12
1331-
1332-7–506.1. 7–505. 13
1333-
1334- (c) (1) Notwithstanding any other provision of law, including subsection (d) of 14
1335-this section, AND SUBJECT TO § 4–213 OF THIS ARTICLE, the Commission may regulate 15
1336-the regulated services of an electric company through alternative forms of regulation. 16
1337-
1338- (2) The Commission may adopt an alternative form of regulation under this 17
1339-section if the Commission finds, after notice and hearing, that the alternative form of 18
1340-regulation: 19
1341-
1342- (i) protects consumers; 20
1343-
1344- (ii) ensures the quality, availability, and reliability of regulated 21
1345-electric services; and 22
1346-
1347- (iii) is in the interest of the public, including shareholders of the 23
1348-electric company. 24
1349-
1350- (3) Alternative forms of regulation may include: 25
1351-
1352- (i) price regulation, including price freezes or caps; 26
1353-
1354- (ii) revenue regulation; 27
1355-
1356- (iii) ranges of authorized return; 28
1357-
1358- (iv) rate of return; 29
1359- 30 SENATE BILL 937
1360-
1361-
1362- (v) categories of services; or 1
1363-
1364- (vi) price–indexing. 2
1365-
1366-7–506.1. 3
1367-
1368- (A) (1) IN THIS SECTION THE FOLLOWIN G WORDS HAVE THE MEA NINGS 4
1369-INDICATED. 5
1370-
1371- (2) “CONSTRUCTION ” HAS THE MEANING STAT ED IN § 7–207 OF THIS 6
1372-TITLE. 7
1373-
1374- (3) “LARGE LOAD CUSTOMER ” MEANS A COMMERCIAL O R 8
1375-INDUSTRIAL CUSTOMER WITH AN EXPECTED LOA D DEMAND OF AT LEAST 100 9
1376-MEGAWATTS . 10
1377-
1378- (B) THIS SECTION APPLIES ONLY TO: 11
1379-
1380- (I) AN ELECTRICITY SUPPL IER OR OTHER OWNER O F A 12
1381-GENERATING STATION T HAT ENTERS INTO A CO NTRACT FOR THE PROVI SION OF THE 13
1382-DIRECT SUPPLY OF ELE CTRICITY TO A COMMER CIAL OR INDUSTRIAL C USTOMER IN A 14
1383-WAY THAT BYPASSES : 15
1384-
1385- 1. INTERCONNECTION OF T HE LOAD WITH THE ELE CTRIC 16
1386-TRANSMISSION AND DIS TRIBUTION SYSTEMS ; OR 17
1387-
1388- 2. THE DISTRIBUTION SER VICES OF AN ELECTRIC 18
1389-COMPANY; AND 19
1390-
1391- (II) A COMMERCIAL OR INDU STRIAL CUSTOMER THAT ENTERS 20
1392-INTO A CONTRACT WITH AN ELECTRICITY SUPPL IER OR OTHER OWNER OF A 21
1393-GENERATING STATION F OR THE PROVISION OF THE DIRECT SUPPLY OF ELECTRICITY 22
1394-AS SPECIFIED IN ITEM (I) OF THIS PARAGRAPH . 23
1395-
1396- (2) THIS SECTION DOES NOT APPLY TO THE USE OF ELECTRICITY 24
1397-FROM AN ON –SITE GENERATING STAT ION THAT HAS BEEN AP PROVED U NDER § 25
1398-7–207.1 OF THIS TITLE. 26
1399-
1400- (C) EXCEPT AS PROVIDED BY FEDERAL LAW AND SUBS ECTION (D) 27
1401-SUBSECTIONS (D) AND (F) OF THIS SECTION AND UNTIL THE STATE CEASES TO BE A 28
1402-NET IMPORTER OF ELEC TRICITY, AN ELECTRICITY SUPPL IER OR OTHER OWNER O F 29
1403-A GENERATING STATION MAY NOT ENTER INTO A CONTRACT FOR THE PRO VISION OF 30
1404-THE DIRECT SUPPLY OF ELECTRICITY TO A COM MERCIAL OR INDUSTRIA L 31
1405-CUSTOMER IN A WAY TH AT BYPASSES: 32 SENATE BILL 937 31
1406-
1273+ (i) protects consumers; 1
1274+
1275+ (ii) ensures the quality, availability, and reliability of regulated 2
1276+electric services; and 3
1277+
1278+ (iii) is in the interest of the public, including shareholders of the 4
1279+electric company. 5
1280+
1281+ (3) Alternative forms of regulation may include: 6
1282+
1283+ (i) price regulation, including price freezes or caps; 7
1284+
1285+ (ii) revenue regulation; 8
1286+
1287+ (iii) ranges of authorized return; 9
1288+
1289+ (iv) rate of return; 10
1290+
1291+ (v) categories of services; or 11
1292+
1293+ (vi) price–indexing. 12
1294+
1295+7–506.1. 13
1296+
1297+ (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 14
1298+INDICATED. 15
1299+
1300+ (2) “CONSTRUCTION ” HAS THE MEANING STAT ED IN § 7–207 OF THIS 16
1301+TITLE. 17
1302+
1303+ (3) “LARGE LOAD CUSTOMER ” MEANS A COMMERCIAL O R 18
1304+INDUSTRIAL CUSTOMER WITH AN EX PECTED LOAD DEMAND O F AT LEAST 100 19
1305+MEGAWATTS . 20
1306+
1307+ (B) THIS SECTION DOES NOT APPLY TO THE USE OF ELECTRICITY FROM AN 21
1308+ON–SITE GENERATING STAT ION THAT HAS BEEN AP PROVED UNDER § 7–207.1 OF 22
1309+THIS TITLE. 23
1310+
1311+ (C) EXCEPT AS PROVIDED BY FEDERAL LAW AND SUBSECTION (D) 24
1312+SUBSECTIONS (D) AND (F) OF THIS SECTION AND UNTIL THE STATE CEASES TO BE A 25
1313+NET IMPORTER OF ELEC TRICITY, AN ELECTRICITY SUPPL IER OR OTHER OWNER O F 26
1314+A GENERATING STATION MAY NOT ENTER INTO A CONTRACT FOR THE PRO VISION OF 27
1315+THE DIRECT SUPPLY OF ELECTRICITY TO A COMMERCIAL OR INDUST RIAL 28
1316+CUSTOMER IN A WAY TH AT BYPASSES: 29
1317+ SENATE BILL 937 29
14071318
14081319
14091320 (1) INTERCONNECTION WITH THE ELECTRIC TRANSMI SSION AND 1
14101321 DISTRIBUTION SYSTEMS ; OR 2
14111322
14121323 (2) THE DISTRIBUTION SER VICES OF AN ELECTRIC COMPANY. 3
14131324
14141325 (D) AN ELECTRICITY SUPPLI ER OR OTHER OWNER OF A GENERATI NG 4
14151326 STATION MAY ENTER IN TO A CONTRACT FOR TH E PROVISION OF THE D IRECT SUPPLY 5
14161327 OF ELECTRICITY TO A LARGE LOAD CUSTOMER IN A WAY THAT BYPASS ES 6
14171328 INTERCONNECTION DIRECT INTERCONNECTI ON OF THE LOAD WITH THE ELECTRIC 7
14181329 TRANSMISSION AND DIS TRIBUTION SYSTEMS OR THE DISTRIBUTION SERVICES O F 8
14191330 AN ELECTRIC COMPANY IF THE GENERATING ST ATION: 9
14201331
14211332 (1) (I) INCREMENTALLY INCREASES ITS GENERA TION OUTPUT 10
14221333 FROM EXISTING LEVELS TO A LEVEL THAT MEET S 100% OF THE LARGE LOAD 11
14231334 CUSTOMER’S EXPECTED LOAD DEMA ND; OR 12
14241335
14251336 (II) CREATES NEW GENERAT ION OUTPUT AT A LEVE L THAT 13
14261337 MEETS 100% OF THE LARGE LOAD CU STOMER’S EXPECTED LOAD DEMA ND; AND 14
14271338
14281339 (2) OBTAINS, IF NECESSARY: 15
14291340
14301341 (I) A CERTIFICATE OF PUB LIC CONVENIENCE AND NECESSITY 16
14311342 FOR THE CONSTRUCTION OF THE GENERATING ST ATION IN ACCORDANCE WITH § 17
14321343 7–207 OF THIS TITLE AND AN Y OTHER ASSOCIATED S TANDARD; AND 18
14331344
14341345 (II) ANY OTHER STANDARD S ITING APPROVALS AND PERMITS 19
14351346 RELATED TO THE CONST RUCTION OF A GENERAT ING STATION. 20
14361347
14371348 (E) THE COMMISSION MAY APPLY TO A LARGE LOAD CUST OMER AND ANY 21
14381349 GENERATING STATION S UPPLYING ELECTRICITY TO THE L ARGE LOAD CUSTOMER I N 22
14391350 ACCORDANCE WITH THIS SECTION ANY DIRECT O R INDIRECT COSTS AND FEES THAT 23
14401351 ARE NORMALLY APPLIED TO THE RETAIL ELECTR IC CUSTOMERS IN THE SERVICE 24
14411352 TERRITORY IN WHICH T HE LARGE LOAD CUSTOM ER OR GENERATING STA TION IS 25
14421353 LOCATED IF THE DIRECT OR INDIRECT COSTS AND F EES ARE ATTRIBUTABLE TO THE 26
14431354 LARGE LOAD CUSTOMER AND ANY GENERATING S TATION SUPPLYING ELE CTRICITY 27
14441355 TO THE LARGE LOAD CU STOMER. 28
14451356
14461357 (F) NOTHING IN THIS SECTI ON MAY BE CONSTRUED TO PROHIBIT 29
14471358 COMMERCIAL AND INDUS TRIAL CUSTO MERS FROM FORMING A MICROGRID THAT : 30
14481359
14491360 (1) RELIES SOLELY ON NEW GENERATION OUTPUT ; AND 31
14501361
1451- (2) DOES NOT INTERCONNEC T WITH: 32 32 SENATE BILL 937
1452-
1362+ (2) DOES NOT INTERCONNEC T WITH: 32
1363+ 30 SENATE BILL 937
14531364
14541365
14551366 (I) THE ELECTRIC TRANSMI SSION OR DISTRIBUTIO N SYSTEMS; 1
14561367
14571368 (II) ANY LOAD CONNECTED T O THE ELECTRIC TRANS MISSION 2
14581369 OR DISTRIBUTION SYSTEMS; OR 3
14591370
14601371 (III) ANY OTHER GENERATING STATION. 4
14611372
1462- (B) THE COMMISSION MAY APPLY TO A COMMERCIAL OR I NDUSTRIAL 5
1463-CUSTOMER AND ANY GEN ERATING STATION SUPP LYING ELECTRICITY TO THE 6
1464-COMMERCIAL OR INDUST RIAL CUSTOMER IN THE MANNER SPECIFIED IN 7
1465-SUBSECTION (A)(1) OF THIS SECTION: 8
1466-
1467- (1) ANY DIRECT OR INDIRE CT COSTS, FEES, AND OBLIGATIONS THAT 9
1468-ARE NORMALLY APPLIED TO RETAIL ELECTRIC C USTOMERS IN THE SERV ICE 10
1469-TERRITORY IN WHICH THE COMMERCIAL OR INDUSTRIAL CUSTOM ER OR 11
1470-GENERATING STATION I S LOCATED OR INTERCO NNECTED IF THE COMMISSION 12
1471-DETERMINES THAT THE DIRECT OR INDIRECT C OSTS, FEES, AND OBLIGATIONS 13
1472-SHOULD BE ATTRIBUTAB LE TO THE COMMERCIAL OR INDUSTRIAL CUSTOM ER AND 14
1473-ANY GENERATING STATION SUP PLYING ELECTRICITY T O THE COMMERCIAL OR 15
1474-INDUSTRIAL CUSTOMER ; AND 16
1475-
1476- (2) ANY AVOIDED WHOLESAL E COSTS THAT THE COMMISSION 17
1477-DETERMINES HAVE BEEN OR MAY BE SHIFTED IN APPROPRIATELY TO OTH ER RETAIL 18
1478-ELECTRIC CUSTOMERS A S A RESULT OF THE PR OVISION OF THE DIRECT SUP PLY OF 19
1479-ELECTRICITY AS SPECI FIED IN SUBSECTION (A)(1) OF THIS SECTION, INCLUDING: 20
1480-
1481- (I) TRANSMISSION COSTS ; 21
1482-
1483- (II) ENERGY COSTS ; 22
1484-
1485- (III) CAPACITY COSTS ; AND 23
1486-
1487- (IV) ANCILLARY SERVICES C OSTS. 24
1488-
1489-SUBTITLE 12. ENERGY SOLICITATION AND PROCUREMENT . 25
1490-
1491-PART I. EMERGENCY ENERGY PROCUREMENT DEFINITIONS; GENERAL 26
1492-PROVISIONS. 27
1493-
1494-7–1201. 28
1495-
1496- (A) IN THIS PART THE FOLL OWING WORDS HAVE THE MEANINGS 29
1497-INDICATED. 30 SENATE BILL 937 33
1498-
1499-
1500-
1501- (B) “DISPATCHABLE ENERGY G ENERATION” MEANS A GENERATING 1
1502-STATION OR ENERGY ST ORAGE DEVICE WITH: 2
1503-
1504- (1) AN EFFECTIVE LOAD CA RRYING CAPABILITY OF AT LEAST 65%, AS 3
1505-DETERMINED BY PJM INTERCONNECTION ’S MOST RECENT ELCC CLASS RATINGS; 4
1373+SUBTITLE 12. ENERGY SOLICITATION AND PROCUREMENT . 5
1374+
1375+PART I. EMERGENCY ENERGY PROCUREMENT DEFINITIONS; GENERAL 6
1376+PROVISIONS. 7
1377+
1378+7–1201. 8
1379+
1380+ (A) IN THIS PART THE FOLL OWING WORDS HAVE THE MEANINGS 9
1381+INDICATED. 10
1382+
1383+ (B) “DISPATCHABLE ENERGY G ENERATION” MEANS A GENERATING 11
1384+STATION OR ENERGY ST ORAGE DEVICE WITH : 12
1385+
1386+ (1) AN EFFECTIVE LOAD CA RRYING CAPABILITY OF AT LEAST 65%, AS 13
1387+DETERMINED BY PJM INTERCONNECTION ’S MOST RECENT ELCC CLASS RATINGS; 14
1388+AND 15
1389+
1390+ (2) A LOWER GREENHOUS E GAS EMISSIONS PROF ILE THAN COAL OR 16
1391+OIL ENERGY GENERATIN G STATIONS. 17
1392+
1393+ (C) “EFFECTIVE LOAD CARRYI NG CAPABILITY ” OR “ELCC” MEANS THE 18
1394+EXPECTED CAPACITY CO NTRIBUTION OF AN ENE RGY RESOURCE DURING PJM 19
1395+INTERCONNECTION ’S OPERATING HOURS WH EN THERE IS HIGH ELE CTRICITY 20
1396+DEMAND AND LOW RESOU RCE OUTPUT. 21
1397+
1398+ (D) “EFFECTIVE NAMEPLATE C APACITY” MEANS THE AMOUNT OF ENERGY 22
1399+AN ENERGY STORAGE DE VICE CAN DELIVER CON TINUOUSLY TO THE ELE CTRIC 23
1400+SYSTEM OVER A PERIOD OF AT LEAST 4 HOURS. 24
1401+
1402+ (D) (E) “ENERGY STORAGE DEVICE ” HAS THE MEANING STAT ED IN § 25
1403+7–216 OF THIS TITLE. 26
1404+
1405+ (E) (F) “GENERATING STATION ” HAS THE MEANING STAT ED IN § 7–207 OF 27
1406+THIS TITLE. 28
1407+
1408+ (G) “LARGE CAPACITY ENERGY RESOURCE” MEANS A GENERATING S TATION 29
1409+THAT: 30 SENATE BILL 937 31
1410+
1411+
1412+
1413+ (1) ON OR BEFORE JANUARY 1, 2025: 1
1414+
1415+ (I) HAS APPLIED TO PJM FOR INTERCONNECTION APPROVAL; 2
1416+OR 3
1417+
1418+ (II) HAS BEEN APPROVED BY PJM FOR INTERCONNECTION ; 4
15061419 AND 5
15071420
1508- (2) A LOWER GREENHOUSE G AS EMISSIONS PROFILE THAN COAL OR 6
1509-OIL ENERGY GENERATIN G STATIONS. 7
1510-
1511- (C) “EFFECTIVE LOA D CARRYING CAPABILIT Y” OR “ELCC” MEANS THE 8
1512-EXPECTED CAPACITY CO NTRIBUTION OF AN ENE RGY RESOURCE DURING PJM 9
1513-INTERCONNECTION ’S OPERATING HOURS WH EN THERE IS HIGH ELE CTRICITY 10
1514-DEMAND AND LOW RESOU RCE OUTPUT. 11
1515-
1516- (D) “EFFECTIVE NAMEPLATE C APACITY” MEANS THE AMOUN T OF ENERGY 12
1517-AN ENERGY STORAGE DE VICE CAN DELIVER CON TINUOUSLY TO THE ELE CTRIC 13
1518-SYSTEM OVER A PERIOD OF AT LEAST 4 HOURS. 14
1519-
1520- (D) (E) “ENERGY STORAGE DEVICE ” HAS THE MEANING STAT ED IN § 15
1521-7–216 OF THIS TITLE. 16
1522-
1523- (E) (F) “GENERATING STATION ” HAS THE MEANING STAT ED IN § 7–207 OF 17
1524-THIS TITLE. 18
1525-
1526- (G) “LARGE CAPACITY ENERGY RESOURCE” MEANS A GENERATING S TATION 19
1527-OR ENERGY STORAGE DE VICE THAT: 20
1528-
1529- (1) ON OR BEFORE JANUARY 1, 2025: 21
1530-
1531- (I) HAS APPLIED TO PJM FOR INTERCONNECTION APPROVAL; 22
1532-OR 23
1533-
1534- (II) HAS BEEN APPROVED BY PJM FOR INTERCONNECTION ; 24
1535-AND 25
1536-
1537- (2) HAS A CAPACITY RATIN G EQUAL TO OR GREATE R THAN 20 26
1538-MEGAWATTS AFTER ACCO UNTING FOR THE EFFEC TIVE LOAD CARRYING 27
1539-CAPABILITY. 28
1540-
1541-7–1202. 29
1421+ (2) HAS A CAPACITY RATIN G EQUAL TO OR GREATE R THAN 20 6
1422+MEGAWATTS AFTER ACCO UNTING FOR THE EFFEC TIVE LOAD CARRYING 7
1423+CAPABILITY. 8
1424+
1425+7–1202. 9
1426+
1427+ (A) AN APPLICATION FOR A PROPOSED PROJECT UND ER PARTS III AND IV 10
1428+OF THIS SUBTITLE IS SUBJECT TO A COMMUNI TY BENEFIT AGREEMENT . 11
1429+
1430+ (B) A COMMUNITY BENEFIT AG REEMENT SHALL : 12
1431+
1432+ (1) PROMOTE INCREASED OP PORTUNITIES FOR LOCA L BUSINESSES 13
1433+AND SMALL, MINORITY, WOMEN–OWNED, AND VETERAN –OWNED BUSINESSES IN THE 14
1434+CLEAN ENERGY INDUSTR Y; 15
1435+
1436+ (2) ENSURE THE TIMELY , SAFE, AND EFFICIENT COMPLE TION OF THE 16
1437+PROJECT BY: 17
1438+
1439+ (I) FACILITATING A STEAD Y SUPPLY OF HIGHLY S KILLED 18
1440+CRAFT WORKERS WHO SH ALL BE PAID NOT LESS THAN THE PREVAILING WAGE RA TE 19
1441+DETERMINED BY THE COMMISSIONER OF LABOR AND INDUSTRY UNDER TITLE 17, 20
1442+SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 21
1443+
1444+ (II) GUARANTEEING THAT TH E CONSTRUCTION WORK 22
1445+PERFORMED IN CONNECT ION WITH THE PROJECT WILL BE SUBJE CT TO AN 23
1446+AGREEMENT THAT : 24
1447+
1448+ 1. ESTABLISHES THE TERM S AND CONDITIONS OF 25
1449+EMPLOYMENT AT THE CO NSTRUCTION SITE OF T HE PROJECT OR A PORT ION OF THE 26
1450+PROJECT; 27
1451+
1452+ 2. GUARANTEES AGAINST S TRIKES, LOCKOUTS, AND 28
1453+SIMILAR DISRUPTIONS ; 29
1454+ 32 SENATE BILL 937
1455+
1456+
1457+ 3. ENSURES THAT ALL WOR K ON THE PROJECT FULLY 1
1458+CONFORMS TO ALL RELE VANT STATE AND FEDERAL LAW S, RULES, AND 2
1459+REGULATIONS , INCLUDING ALL REQUIR ED TRAINING FOR EMPL OYEES; 3
1460+
1461+ 4. CREATES MUTUALLY BIN DING PROCEDURES FOR 4
1462+RESOLVING LABOR DISP UTES ARISING DURING THE TERM OF THE DISP ATCHABLE 5
1463+ENERGY GENERATION PR OJECT; 6
1464+
1465+ 5. SETS FORTH OTHER MEC HANISMS FOR 7
1466+LABOR–MANAGEMENT COOPERATI ON ON MATTERS OF MUT UAL INTEREST AND 8
1467+CONCERN, INCLUDING PRODUCTIVI TY, QUALITY OF WORK , SAFETY, AND HEALTH ; 9
1468+AND 10
1469+
1470+ 6. BINDS ALL CONTRACTOR S AND SUBCONTRACTORS TO 11
1471+THE TERMS OF THE AGR EEMENT THROUGH THE I NCLUSION OF APPROPRI ATE 12
1472+PROVISIONS IN ALL RE LEVANT SOLICITATION AND CONTRACT DOCUMEN TS; 13
1473+
1474+ (3) PROMOTE SAFE COMPLET ION OF THE PROJECT B Y ENSURING 14
1475+THAT AT LEAST 80% OF THE CRAFT WORKERS ON THE PROJECT HAVE COMPLETED 15
1476+A 10–HOUR OCCUPATIONAL SAFETY AND HEALTH ADMINISTRATION COURSE ; 16
1477+
1478+ (4) PROMOTE CAREER TRAIN ING OPPORTUNITIES IN THE 17
1479+MANUFACTURING , MAINTENANCE , AND CONSTRUCTION IND USTRIES FOR LOCAL 18
1480+RESIDENTS, VETERANS, WOMEN, MINORITIES, AND FORMERLY INCARCE RATED 19
1481+INDIVIDUALS; 20
1482+
1483+ (5) INCLUDE PROVISIONS F OR LOCAL HIRING AND THE HIRING OF 21
1484+HISTORICALLY DISADVA NTAGED GROUPS ; 22
1485+
1486+ (6) USE LOCALLY , SUSTAINABLY, AND DOMESTICALLY 23
1487+MANUFACTURED CONSTRU CTION MATERIALS AND COMPONENTS TO THE EX TENT 24
1488+PRACTICABLE ; 25
1489+
1490+ (7) REQUIRE THE USE OF S KILLED LOCAL LABOR , PARTICULARLY 26
1491+WITH REGARD TO THE C ONSTRUCTION AND MANU FACTURING COMPONENTS OF THE 27
1492+PROJECT, USING METHODS INCLUD ING OUTREACH , HIRING, AND REFERRAL 28
1493+METHODS THAT ARE AFF ILIATED WITH REGISTE RED APPRENTICESHIP P ROGRAMS 29
1494+UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT ARTICLE; AND 30
1495+
1496+ (8) AUTHORIZE THE MARYLAND DEPARTMENT OF LABOR AND THE 31
1497+COMMISSION TO CONSIDE R, REVIEW, AND ENFORCE A STORAG E DEVELOPER OR 32
1498+ENERGY DEVELOPER ’S COMPLIANCE WITH AN Y COMMUNITY BENEFIT AGREEMENT . 33
1499+
1500+7–1203. 34 SENATE BILL 937 33
1501+
1502+
1503+
1504+ THE COMMISSION MAY CONTRA CT FOR THE SERVICES OF INDEPENDENT 1
1505+CONSULTANTS AND EXPE RTS TO IMPLEMENT AND EXECUTE ANY PART OF THIS 2
1506+SUBTITLE. 3
1507+
1508+7–1204. RESERVED. 4
1509+
1510+7–1205. RESERVED. 5
1511+
1512+PART II. DISPATCHABLE ENERGY GENERATION AND LARGE CAPACITY 6
1513+RESOURCES. 7
1514+
1515+7–1206. 8
1516+
1517+ (A) (1) ON OR BEFORE OCTOBER 1, 2025, AND AT OTHER TIMES A S 9
1518+PROVIDED IN SUBSECTI ON (B) OF THIS SECTION , THE COMMISSION SHALL ISSU E 10
1519+ONE OR MORE COMPETITIVE SOLICITATIONS FOR PR OPOSALS FOR CONSTRUCTING 11
1520+OR EXPANDING DISPATC HABLE ENERGY GENERAT ION IN THE STATE THE 12
1521+CONSTRUCTION OR EXPA NSION OF: 13
1522+
1523+ (I) DISPATCHABLE ENERGY GENERATION ; AND 14
1524+
1525+ (II) LARGE CAPACITY ENERG Y RESOURCES. 15
1526+
1527+ (2) THE COMMISSION SHALL SET THE CLOSING DATE FOR THE 16
1528+SOLICITATION PERIOD TO BE NOT SOONER THA N 120 30 DAYS AFTER ISSUING THE 17
1529+REQUEST FOR PROPOSALS IS ISSUED UNDER PARAGRAPH (1) OF THIS SUBSECTION . 18
1530+
1531+ (B) THE COMMISSION MAY PROVID E FOR AN ADDITIONAL SOLICITATION 19
1532+PERIOD IF THE CAPACI TY SPECIFIED UNDER § 7–1203(B)(1) § 7–1208(D)(1) OF THIS 20
1533+SUBTITLE HAS NOT BEE N MET DURING THE INI TIAL SOLICITATION PERIOD . 21
1534+
1535+ (C) THE COMMISSION SHALL PROV IDE TO THE POWER PLANT RESEARCH 22
1536+PROGRAM A COPY OF EAC H PROPOSAL RECEIVED IN RESPONSE TO THE 23
1537+SOLICITATION. 24
1538+
1539+ (D) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 25
1540+THE COMMISSION MAY NOT AP PROVE OR DE VELOP A FINANCIAL CO MMITMENT FOR 26
1541+THE COSTS RELATED TO THE CONSTRUCTION OR OPER ATION OF A DISPATCHA BLE 27
1542+ENERGY GENERATION PR OJECT OR LARGE CAPACITY EN ERGY RESOURCE PROJEC T 28
1543+APPROVED IN ACCORDAN CE WITH THIS PART MAY NOT BE RECOVERED THROUGH 29
1544+UTILITY RATES. 30
15421545 34 SENATE BILL 937
15431546
15441547
1545- (A) AN APPLICATION FOR A PROPOSED PROJECT UND ER PARTS III AND IV 1
1546-OF THIS SUBTITLE IS SUBJECT TO A COMMUNITY BE NEFIT AGREEMENT . 2
1547-
1548- (B) A COMMUNITY BENEFIT AG REEMENT SHALL : 3
1549-
1550- (1) PROMOTE INCREASED OP PORTUNITIES FOR LOCA L BUSINESSES 4
1551-AND SMALL, MINORITY, WOMEN–OWNED, AND VETERAN –OWNED BUSINESSES IN THE 5
1552-CLEAN ENERGY INDUSTR Y; 6
1553-
1554- (2) ENSURE THE TIMEL Y, SAFE, AND EFFICIENT COMPLE TION OF THE 7
1555-PROJECT BY: 8
1556-
1557- (I) FACILITATING A STEAD Y SUPPLY OF HIGHLY S KILLED 9
1558-CRAFT WORKERS WHO SH ALL BE PAID NOT LESS THAN THE PREVAILING WAGE RATE 10
1559-DETERMINED BY THE COMMISSIONER OF LABOR AND INDUSTRY UNDER TITLE 17, 11
1560-SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 12
1561-
1562- (II) GUARANTEEING THAT TH E CONSTRUCTION WORK 13
1563-PERFORMED IN CONNECT ION WITH THE PROJECT WILL BE SUBJECT TO A N 14
1564-AGREEMENT THAT : 15
1565-
1566- 1. ESTABLISHES THE TERM S AND CONDITIONS OF 16
1567-EMPLOYMENT AT THE CO NSTRUCTION SITE OF THE PROJ ECT OR A PORTION OF THE 17
1568-PROJECT; 18
1569-
1570- 2. GUARANTEES AGAINST S TRIKES, LOCKOUTS, AND 19
1571-SIMILAR DISRUPTIONS ; 20
1572-
1573- 3. ENSURES THAT ALL WOR K ON THE PROJECT FUL LY 21
1574-CONFORMS TO ALL RELE VANT STATE AND FEDERAL LAW S, RULES, AND 22
1575-REGULATIONS , INCLUDING ALL REQUIRED TRAIN ING FOR EMPLOYEES ; 23
1576-
1577- 4. CREATES MUTUALLY BIN DING PROCEDURES FOR 24
1578-RESOLVING LABOR DISP UTES ARISING DURING THE TERM OF THE DISP ATCHABLE 25
1579-ENERGY GENERATION PR OJECT; 26
1580-
1581- 5. SETS FORTH OTHER MEC HANISMS FOR 27
1582-LABOR–MANAGEMENT COOPERATI ON ON MATTERS OF MUTUAL IN TEREST AND 28
1583-CONCERN, INCLUDING PRODUCTIVI TY, QUALITY OF WORK , SAFETY, AND HEALTH ; 29
1584-AND 30
1585-
1586- 6. BINDS ALL CONTRACTOR S AND SUBCONTRACTORS TO 31
1587-THE TERMS OF THE AGR EEMENT THROUGH THE I NCLUSION OF APPROPRI ATE 32
1588-PROVISIONS IN ALL RE LEVANT SOLICITA TION AND CONTRACT DO CUMENTS; 33 SENATE BILL 937 35
1589-
1590-
1591-
1592- (3) PROMOTE SAFE COMPLET ION OF THE PROJECT B Y ENSURING 1
1593-THAT AT LEAST 80% OF THE CRAFT WORKERS ON THE PROJECT HAVE COMPLETED 2
1594-A 10–HOUR OCCUPATIONAL SAFETY AND HEALTH ADMINISTRATION COURSE ; 3
1595-
1596- (4) PROMOTE CAREER TRAIN ING OPPOR TUNITIES IN THE 4
1597-MANUFACTURING , MAINTENANCE , AND CONSTRUCTION IND USTRIES FOR LOCAL 5
1598-RESIDENTS, VETERANS, WOMEN, MINORITIES, AND FORMERLY INCARCE RATED 6
1599-INDIVIDUALS; 7
1600-
1601- (5) INCLUDE PROVISIONS F OR LOCAL HIRING AND THE HIRING OF 8
1602-HISTORICALLY DISADVA NTAGED GROUPS ; 9
1603-
1604- (6) USE LOCALLY , SUSTAINABLY, AND DOMESTICALLY 10
1605-MANUFACTURED CONSTRU CTION MATERIALS AND COMPONENTS TO THE EX TENT 11
1606-PRACTICABLE ; 12
1607-
1608- (7) REQUIRE THE USE OF S KILLED LOCAL LABOR , PARTICULARLY 13
1609-WITH REGARD TO THE C ONSTRUCTION AND MANU FACTURING COMPONENTS OF THE 14
1610-PROJECT, USING METHODS INCLUD ING OUTREACH , HIRING, AND REFERRAL 15
1611-METHODS THAT ARE AFF ILIATED WITH REGISTE RED APPRENTICESHIP P ROGRAMS 16
1612-UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT ARTICLE; AND 17
1613-
1614- (8) AUTHORIZE THE MARYLAND DEPARTMENT OF LABOR AND T HE 18
1615-COMMISSION TO CONSIDE R, REVIEW, AND ENFORCE A STORAG E DEVELOPER OR 19
1616-ENERGY DEVELOPER ’S COMPLIANCE WITH AN Y COMMUNITY BENEFIT AGREEMENT . 20
1617-
1618-7–1203. 21
1619-
1620- THE COMMISSION MAY CONTRA CT FOR THE SERVICES OF INDEPENDENT 22
1621-CONSULTANTS AND EXPE RTS TO IMPLEMENT AND EXECUTE ANY PART OF THIS 23
1622-SUBTITLE. 24
1623-
1624-7–1204. RESERVED. 25
1625-
1626-7–1205. RESERVED. 26
1627-
1628-PART II. DISPATCHABLE ENERGY GENERATION AND LARGE CAPACITY 27
1629-RESOURCES. 28
1630-
1631-7–1206. 29
1632-
1633- (A) (1) ON OR BEFORE OCTOBER 1, 2025, AND AT OTHER TIMES A S 30
1634-PROVIDED IN SUBSECTI ON (B) OF THIS SECTION , THE COMMISSION SHALL ISSU E 31 36 SENATE BILL 937
1635-
1636-
1637-ONE OR MORE COMPETITIVE SOLICITATIONS FOR PR OPOSALS FOR CONSTRUCTING 1
1638-OR EXPANDING DISPATC HABLE ENERGY GENERAT ION IN THE STATE THE 2
1639-CONSTRUCTION OR EXPA NSION OF: 3
1640-
1641- (I) DISPATCHABLE ENERGY GENERATION ; AND 4
1642-
1643- (II) LARGE CAPACITY ENERGY RESOURCES . 5
1644-
1645- (2) THE COMMISSION SHALL SET THE CLOSING DATE FOR THE 6
1646-SOLICITATION PERIOD TO BE NOT SOONER THA N 120 30 DAYS AFTER ISSUING THE 7
1647-REQUEST FOR PROPOSAL S IS ISSUED UNDER PARAGRAPH (1) OF THIS SUBSECTION . 8
1648-
1649- (B) THE COMMISSION MAY PROVID E FOR AN ADDITIONAL SOLICITATION 9
1650-PERIOD IF THE CAPACI TY SPECIFIED UNDER § 7–1203(B)(1) § 7–1208(D)(1) OF THIS 10
1651-SUBTITLE HAS NOT BEE N MET DURING THE INI TIAL SOLICITATION PE RIOD. 11
1652-
1653- (C) THE COMMISSION SHALL PROV IDE TO THE POWER PLANT RESEARCH 12
1654-PROGRAM A COPY OF EAC H PROPOSAL RECEIVED IN RESPONSE TO THE 13
1655-SOLICITATION. 14
1656-
1657- (D) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 15
1658-THE COMMISSION MAY NOT AP PROVE OR DEVELOP A F INANCIAL COMMITMENT FOR 16
1659-THE COSTS RELATED TO THE CONSTRUCTION O R OPERATION OF A DIS PATCHABLE 17
1660-ENERGY GENERATION PR OJECT OR LARGE CAPACITY EN ERGY RESOURCE PROJEC T 18
1661-APPROVED IN ACCORDAN CE WITH THIS PART MAY NOT BE RECOVERED THROUGH 19
1662-UTILITY RATES. 20
1663-
1664- (2) A DISPATCHABLE ENERGY GENERATION PROJECT O R LARGE 21
1665-CAPACITY ENERGY RES OURCE PROJECT APPROV ED IN ACCORDANCE WIT H THIS 22
1666-PART MAY PARTICIPATE IN OTHER PROCESSES U NDER WHICH RATEPAYER FUNDS 23
1667-ARE AWARDED TO DISPA TCHABLE ENERGY GENER ATION OR LARGE CAPAC ITY 24
1668-ENERGY RESOURCES . 25
1669-
1670-7–1203. 26
1671-
1672- (A) SUBJECT TO SUBSECTION (B) OF THIS SECTION, UNLESS EXTENDED BY 27
1673-MUTUAL CONSENT OF TH E PARTIES, THE COMMISSION SHALL APPR OVE, 28
1674-CONDITIONALLY APPROV E, OR DENY A PROPOSAL S UBMITTED IN RESPONSE TO A 29
1675-SOLICITATION ISSUED UNDER § 7–1202 OF THIS SUBTITLE WIT HIN 90 DAYS AFTER 30
1676-THE CLOSE OF THE SOL ICITATION PERIO D. 31
1677-
1678-7–1207. 32
1679- SENATE BILL 937 37
1680-
1681-
1682- THE COMMISSION SHALL INCL UDE SPECIFICATIONS I N A SOLICITATION 1
1683-ISSUED UNDER § 7–1206 OF THIS SUBTITLE THA T REQUIRE EACH PROPO SAL FOR A 2
1684-DISPATCHABLE ENERGY GENERATION PROJECT A ND LARGE CAPACITY EN ERGY 3
1685-RESOURCE PROJECT TO : 4
1686-
1687- (1) IF THE PROJECT IS A NATURAL GAS ENE RGY GENERATING 5
1688-STATION, ENSURE THAT THE PROJ ECT CAN BE CONVERTED TO USE ONLY HYDROGEN 6
1689-OR A ZERO–EMISSIONS BIOFUEL AS THE ENERGY SOURCE WH EN THE COMMISSION 7
1690-DETERMINES THAT THE CONVERSION IS FEASIB LE; 8
1691-
1692- (2) INCLUDE A DETAILED D ESCRIPTION OF THE TIMELINE FOR 9
1693-CONSTRUCTION OF THE PROJECT, INCLUDING: 10
1694-
1695- (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 11
1696-CONTROL OF THE PROJE CT SITE; 12
1697-
1698- (II) QUEUE POSITION FOR PJM APPROVAL; 13
1699-
1700- (III) THE ABILITY TO PROCU RE MATERIALS , INCLUDING 14
1701-TURBINES AN D OTHER PIPELINE MAT ERIALS; AND 15
1702-
1703- (IV) ANY INFORMATION THAT DEMONSTRATES THE 16
1704-APPLICANT’S: 17
1705-
1706- 1. READINESS TO APPLY F OR A CERTIFICATE OF PUBLIC 18
1707-CONVENIENCE AND NECE SSITY UNDER § 7–207 OR § 7–207.4 OF THIS TITLE AS SOO N 19
1708-AS IS REASONABLY FEA SIBLE AFTER R ECEIVING APPROVAL FO R THE PROJECT , 20
1709-INCLUDING THE ANTICI PATED APPLICATION DA TE; AND 21
1710-
1711- 2. ABILITY TO DEVELOP T HE PROJECT WITHIN TH E 22
1712-TIMELINE PRESENTED ; 23
1713-
1714- (3) INCLUDE A DESCRIPTIO N OF THE LOCATION OF THE PROJECT 24
1715-SITE, INCLUDING: 25
1716-
1717- (I) THE PROXIMITY OF T HE SITE TO EXISTING TRANSMISSION 26
1718-LINES AND RIGHTS –OF–WAY; AND 27
1719-
1720- (II) WHETHER THE PROJECT WOULD BE RETROFITTIN G A 28
1721-CURRENT OR PREVIOUS GENERATING STATION S ITE; 29
1722-
1723- (4) IF APPLICABLE, INCLUDE A DESCRIPTIO N OF: 30
1724- 38 SENATE BILL 937
1725-
1726-
1727- (I) THE TYPE AND AMOUNT OF CO–LOCATED ENERG Y 1
1728-GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 2
1729-TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 3
1730-
1731- (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 4
1732-WOULD BE USED WITH T HE PROJECT; 5
1733-
1734- (III) THE USE OF CARBON CA PTURE OR SEQUESTRATI ON 6
1735-TECHNOLOGY TO MITIGA TE GREENHOUSE GAS EM ISSIONS FROM THE PRO JECT; AND 7
1736-
1737- (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 8
1738-BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENER GY 9
1739-GENERATION ; AND 10
1740-
1741- (5) STATE THE EMISSIONS INTENS ITY OF THE GENERATIO N OUTPUT 11
1742-OVER THE LIFE OF THE PROJECT. 12
1743-
1744-7–1208. 13
1745-
1746- (A) (1) WITHIN 45 DAYS AFTER THE CLOSI NG DATE FOR THE 14
1747-SOLICITATION PERIOD SET IN ACCORDANCE WI TH § 7–1206 OF THIS SUBTITLE OR 15
1748-SOONER AS DETERMINED BY THE COMMISSION, THE POWER PLANT RESEARCH 16
1749-PROGRAM SHALL RECOMME ND TO THE COMMISSION PROPOSALS TO BE 17
1750-AUTHORIZED TO UTILIZ E THE EXPEDITED CERT IFICATE OF PUBLIC CO NVENIENCE 18
1751-AND NECESSITY PROCES S UNDER § 7–207.4 OF THIS TITLE. 19
1752-
1753- (2) THE POWER PLANT RESEARCH PROGRAM SHALL BAS E ITS 20
1754-RECOMMENDATIONS ON T HE INFORMATION IN TH E PROPOSALS RECEIVED AND THE 21
1755-SPECIFICATIONS LISTE D IN §§ 7–1207 AND 7–1209 OF THIS SUBTITLE. 22
1756-
1757- (B) SUBJECT TO SUBSECTION (C) OF THIS SECTION AND AFTER 23
1758-CONSIDERING THE RECO MMENDATIONS OF THE POWER PLANT RESEARCH 24
1759-PROGRAM MADE UNDER SU BSECTION (A) OF THIS SECTION , UNLESS THE 25
1760-COMMISSION GRANTS A R EQUEST FOR AN EXTENS ION FOR GOOD CAUSE , NOT LATER 26
1761-THAN 60 DAYS AFTER THE CLOSE OF THE SOLICITATION PERIOD THE COMMISSION 27
1762-SHALL APPROVE , CONDITIONALLY APPROV E, OR DENY A PRO POSAL SUBMITTED IN 28
1763-RESPONSE TO A SOLICI TATION ISSUED UNDER § 7–1206 OF THIS SUBTITLE . 29
1764-
1765- (C) IN ADDITION TO THE CR ITERIA SPECIFIED IN § 7–1207 OF THIS 30
1766-SUBTITLE, THE COMMISSION SHALL DETE RMINE WHICH PROPOSAL S TO APPROVE 31
1767-BASED ON THE FACTORS AND REQUIREMENTS SPECIFIED IN § 7–1209 OF THIS 32
1768-SUBTITLE. 33
1548+ (2) A DISPATCHABLE ENERGY GENERATION PROJECT O R LARGE 1
1549+CAPACITY ENERGY RESO URCE PROJECT APPROVE D IN ACCORDANCE WITH THIS 2
1550+PART MAY PARTICIPATE IN OTHER PROCESSES U NDER WHICH RATEPAYER FUNDS 3
1551+ARE AWARDED TO DISPA TCHABLE ENERGY GENER ATION OR LARGE CAPAC ITY 4
1552+ENERGY RESOURCES. 5
1553+
1554+7–1203. 6
1555+
1556+ (A) SUBJECT TO SUBSECTION (B) OF THIS SECTION, UNLESS EXTENDED BY 7
1557+MUTUAL CONSENT OF TH E PARTIES, THE COMMISSION SHALL APPR OVE, 8
1558+CONDITIONALLY APPROV E, OR DENY A PROPOSAL S UBMITTED IN RESPONSE TO A 9
1559+SOLICITATION ISSUED UNDER § 7–1202 OF THIS SUBTITLE WIT HIN 90 DAYS AFTER 10
1560+THE CLOSE OF THE SOL ICITATION PERIOD . 11
1561+
1562+7–1207. 12
1563+
1564+ THE COMMISSION SHALL INCL UDE SPECIFICATIONS I N A SOLICITATION 13
1565+ISSUED UNDER § 7–1206 OF THIS SUBTITLE THA T REQUIRE EACH PROPO SAL FOR A 14
1566+DISPATCHABLE ENERGY GENERATION PROJ ECT AND LARGE CAPACI TY ENERGY 15
1567+RESOURCE PROJECT TO : 16
1568+
1569+ (1) IF THE PROJECT IS A NATURAL GAS ENERGY G ENERATING 17
1570+STATION, ENSURE THAT THE PROJ ECT CAN BE CONVERTED TO USE ONLY HYDROGEN 18
1571+OR A ZERO–EMISSIONS BIOFUEL AS THE ENERGY SOURCE WH EN THE COMMISSION 19
1572+DETERMIN ES THAT THE CONVERSI ON IS FEASIBLE; 20
1573+
1574+ (2) INCLUDE A DETAILED D ESCRIPTION OF THE TI MELINE FOR 21
1575+CONSTRUCTION OF THE PROJECT, INCLUDING: 22
1576+
1577+ (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 23
1578+CONTROL OF THE PROJE CT SITE; 24
1579+
1580+ (II) QUEUE POSITION FOR PJM APPROVAL; 25
1581+
1582+ (III) THE ABILITY TO PROCU RE MATERIALS , INCLUDING 26
1583+TURBINES AND OTHER P IPELINE MATERIALS ; AND 27
1584+
1585+ (IV) ANY INFORMATION THAT DEMONSTRATES THE 28
1586+APPLICANT’S: 29
1587+
1588+ 1. READINESS TO APPLY F OR A CERTIFICATE OF PUBLIC 30
1589+CONVENIENCE AND NECE SSITY UNDER § 7–207 OR § 7–207.4 OF THIS TITLE AS SOO N 31
1590+AS IS REASONABLY FEA SIBLE AFTER RECEIVIN G APPROVAL FOR THE P ROJECT, 32
1591+INCLUDING THE ANTICI PATED APPLICATION DA TE; AND 33 SENATE BILL 937 35
1592+
1593+
1594+
1595+ 2. ABILITY TO DEVELOP T HE PROJECT WITHIN TH E 1
1596+TIMELINE PRESENTED ; 2
1597+
1598+ (3) INCLUDE A DESCRIPTIO N OF THE LOCATION OF TH E PROJECT 3
1599+SITE, INCLUDING: 4
1600+
1601+ (I) THE PROXIMITY OF THE SITE TO EXISTING TRA NSMISSION 5
1602+LINES AND RIGHTS –OF–WAY; AND 6
1603+
1604+ (II) WHETHER THE PROJECT WOULD BE RETROFITTIN G A 7
1605+CURRENT OR PREVIOUS GENERATING STATION S ITE; 8
1606+
1607+ (4) IF APPLICABLE, INCLUDE A DESCRIPTIO N OF: 9
1608+
1609+ (I) THE TYPE AND AMOUNT OF CO–LOCATED ENERGY 10
1610+GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 11
1611+TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 12
1612+
1613+ (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 13
1614+WOULD BE US ED WITH THE PROJECT ; 14
1615+
1616+ (III) THE USE OF CARBON CA PTURE OR SEQUESTRATI ON 15
1617+TECHNOLOGY TO MITIGA TE GREENHOUSE GAS EM ISSIONS FROM THE PRO JECT; AND 16
1618+
1619+ (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 17
1620+BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENER GY 18
1621+GENERATION ; AND 19
1622+
1623+ (5) STATE THE EMISSIONS INTENSITY OF THE GEN ERATION OUTPUT 20
1624+OVER THE LIFE OF THE PROJECT. 21
1625+
1626+7–1208. 22
1627+
1628+ (A) (1) WITHIN 45 DAYS AFTER THE CLOSI NG DATE FOR THE 23
1629+SOLICITATION PERIOD SET IN ACCORDANCE WI TH § 7–1206 OF THIS SUBTITLE OR 24
1630+SOONER A S DETERMINED BY THE COMMISSION, THE POWER PLANT RESEARCH 25
1631+PROGRAM SHALL RECOMME ND TO THE COMMISSION PROPOSALS TO BE 26
1632+AUTHORIZED TO UTILIZ E THE EXPEDITED CERT IFICATE OF PUBLIC CO NVENIENCE 27
1633+AND NECESSITY PROCES S UNDER § 7–207.4 OF THIS TITLE. 28
1634+
1635+ (2) THE POWER PLANT RESEARCH PROGRAM SHALL BASE IT S 29
1636+RECOMMENDATIONS ON T HE INFORMATION IN TH E PROPOSALS RECEIVED AND THE 30
1637+SPECIFICATIONS LISTE D IN §§ 7–1207 AND 7–1209 OF THIS SUBTITLE. 31 36 SENATE BILL 937
1638+
1639+
1640+
1641+ (B) SUBJECT TO SUBSECTION (C) OF THIS SECTION AND AFTER 1
1642+CONSIDERING THE RECO MMENDATI ONS OF THE POWER PLANT RESEARCH 2
1643+PROGRAM MADE UNDER SU BSECTION (A) OF THIS SECTION , UNLESS THE 3
1644+COMMISSION GRANTS A R EQUEST FOR AN EXTENS ION FOR GOOD CAUSE , NOT LATER 4
1645+THAN 60 DAYS AFTER THE CLOSE OF THE SOLICITATION PERIOD THE COMMISSION 5
1646+SHALL APPROVE , CONDITIONALLY APPROVE , OR DENY A PROPOSAL S UBMITTED IN 6
1647+RESPONSE TO A SOLICI TATION ISSUED UNDER § 7–1206 OF THIS SUBTITLE . 7
1648+
1649+ (C) IN ADDITION TO THE CR ITERIA SPECIFIED IN § 7–1207 OF THIS 8
1650+SUBTITLE, THE COMMISSION SHALL DETE RMINE WHICH PROPOSAL S TO APPROVE 9
1651+BASED ON THE FACTORS AND RE QUIREMENTS SPECIFIED IN § 7–1209 OF THIS 10
1652+SUBTITLE. 11
1653+
1654+ (B) (D) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 12
1655+COMBINED TOTAL CAPAC ITY OF DISPATCHABLE ENERGY GENERATION PR OJECTS 13
1656+AND LARGE CAPACITY E NERGY RESOURCE PROJE CTS APPROVED UNDER THIS 14
1657+SECTION SHALL BE GRE ATER THAN THE COMBIN ED SUMMER PEAK CAPAC ITY 15
1658+PROFILE OF COAL AND OIL ENERGY GENERATIN G STATIONS IN THE STATE AS 16
1659+OUTLINED UNDER TABLE 9 OF THE COMMISSION’S TEN–YEAR PLAN (2024–2033) 17
1660+OF ELECTRIC COMPANIES IN MARYLAND. 18
1661+
1662+ (2) THE COMBINED TOTAL CA PACITY OF NATURAL GA S 19
1663+DISPATCHABLE ENERGY GENERATION PROJECTS AND LARGE CAPACITY E NERGY 20
1664+RESOURCE PROJECTS APPROVED UNDER THIS SECTION MAY NOT EXCE ED THE 21
1665+COMBINED SUMMER PEAK CAPACITY PROFILE OF COAL AND OIL ENERGY 22
1666+GENERATING STATIONS IN THE STATE AS OUTLINED UND ER TABLE 9 OF THE 23
1667+COMMISSION’S TEN–YEAR PLAN (2024–2033) OF ELECTRIC COMPANIES IN 24
1668+MARYLAND. 25
1669+
1670+ (C) ON AND BEFORE JUNE 30, 2030, A DISPATCHABLE ENERG Y 26
1671+GENERATION PROJECT A PPROVED UNDER THIS S ECTION SHALL BE SUBJ ECT TO THE 27
1672+EXPEDITED CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY PROCESS 28
1673+UNDER § 7–207.4 OF THIS TITLE. 29
1674+
1675+ (E) EVERY 5 YEARS AFTER THE DATE THAT A NATURAL GAS D ISPATCHABLE 30
1676+ENERGY GENERATION PR OJECT OR LARGE CAPAC ITY ENERGY RESOURCE PROJECT 31
1677+BECOMES OPERATIONAL UNDER A CERTI FICATE OF PUBLIC CON VENIENCE AND 32
1678+NECESSITY ISSUED UND ER § 7–207.4 OF THIS TITLE, THE OWNER OR OPERATO R OF 33
1679+THE NATURAL GAS DISP ATCHABLE ENERGY GENE RATION OR LARGE CAPA CITY 34
1680+ENERGY RESOURCE SHAL L SUBMIT TO THE COMMISSION A REPORT R EGARDING THE 35
1681+FEASIBILITY OF CONVERTING THE NATUR AL GAS DISPATCHABLE ENERGY 36
1682+GENERATION OR LARGE CAPACITY ENERGY RESO URCE TO THE USE OF O NLY 37
1683+HYDROGEN OR ZERO –EMISSIONS BIOFUEL . 38 SENATE BILL 937 37
1684+
1685+
1686+
1687+ (F) AN APPROVAL OR CONDIT IONAL APPROVAL OF A PROJECT UNDER THIS 1
1688+SECTION DOES NOT GUA RANTEE THAT THE PROJ ECT WILL BE ISSUED A 2
1689+CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207 OR § 3
1690+7–207.4 OF THIS TITLE. 4
1691+
1692+7–1204. 5
1693+
1694+ THE COMMISSION SHALL INCL UDE SPECIFICATIONS I N A SOLICITATION 6
1695+ISSUED UNDER § 7–1202 OF THIS SUBTITLE THA T REQUIRE EACH PROPO SAL FOR A 7
1696+DISPATCHABLE ENERGY GENERATION PROJECT T O: 8
1697+
1698+ (1) FOR A NATURAL GAS EN ERGY GENERATING STAT ION, ENSURE 9
1699+THAT THE PROJECT CAN BE CONVERTED TO USE ONLY HYDROGEN OR A 10
1700+ZERO–EMISSIONS BIOFUEL AS THE ENERGY SOURCE WH EN THE CONVERSION IS 11
1701+FEASIBLE, AS DETERMINED BY THE COMMISSION; 12
1702+
1703+ (2) INCLUDE A COST –BENEFIT ANALYSIS THA T SHALL INCLUDE , AT A 13
1704+MINIMUM: 14
1705+
1706+ (I) A DETAILED INPUT –OUTPUT ANALYSIS OF T HE IMPACT OF 15
1707+THE PROJECT ON INCOM E, EMPLOYMENT , WAGES, AND TAXES IN THE STATE; 16
1708+
1709+ (II) DETAILED INFORMATION CONCERNING ASSUMED 17
1710+EMPLOYMENT IMPACTS I N THE STATE, INCLUDING THE EXPECT ED DURATION OF 18
1711+EMPLOYMENT OPPORTUNI TIES, THE SALARY OF EACH P OSITION, AND OTHER 19
1712+SUPPORTING EVIDENCE OF EMPLOYMENT IMPACT S; 20
1713+
1714+ (III) AN ANALYSIS OF ANY I MPACT ON RESIDENTIAL , 21
1715+COMMERCIAL , AND INDUSTRIAL RATEPAYERS OV ER THE LIFE OF THE P ROJECT; 22
1716+
1717+ (IV) AN ANALYSIS OF ANY L ONG–TERM EFFECT ON ENERG Y AND 23
1718+CAPACITY MARKETS AS A RESULT OF THE PROJ ECT; 24
1719+
1720+ (V) AN ANALYSIS OF ANY I MPACT THE PROJECT WO ULD HAVE 25
1721+ON BUSINESSES IN THE STATE; 26
1722+
1723+ (VI) AN ANALYSIS OF THE ANTI CIPATED ENVIRONMENTA L 27
1724+BENEFITS, HEALTH BENEFITS , AND ENVIRONMENTAL IM PACTS OF THE PROJECT TO 28
1725+THE CITIZENS OF THE STATE; AND 29
1726+
1727+ (VII) AN ANALYSIS OF OTHER BENEFITS RESULTING F ROM THE 30
1728+PROJECT, INCLUDING INCREASED IN–STATE CONSTRUCTION , OPERATION AND 31
1729+MAINTENANCE NEEDS , AND EQUIPMENT PURCHA SES; 32 38 SENATE BILL 937
1730+
1731+
1732+
1733+ (3) INCLUDE A DETAILED D ESCRIPTION OF THE TI MELINE FOR 1
1734+CONSTRUCTION OF THE PROJECT, INCLUDING: 2
1735+
1736+ (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 3
1737+CONTROL OF THE PROJE CT SITE; 4
1738+
1739+ (II) QUEUE POSITION FOR PJM INTERCONNECTION APPRO VAL; 5
1740+AND 6
1741+
1742+ (III) THE ABILITY TO PROCU RE MATERIALS , INCLUDING 7
1743+TURBINES AND OTHER P IPELINE MATERIALS ; 8
1744+
1745+ (4) INCLUDE A DESCRIPTIO N OF THE LOCATION OF THE PROJECT 9
1746+SITE, INCLUDING: 10
1747+
1748+ (I) THE PROXIMITY OF THE SITE TO EXISTING TRANSMISSIO N 11
1749+LINES AND RIGHTS –OF–WAY; AND 12
1750+
1751+ (II) WHETHER THE PROJECT WOULD BE RETROFITTIN G A 13
1752+CURRENT OR PREVIOUS GENERATING STATION S ITE; AND 14
1753+
1754+ (5) IF APPLICABLE, INCLUDE A DESCRIPTIO N OF: 15
1755+
1756+ (I) THE TYPE AND AMOUNT OF CO–LOCATED ENERGY 16
1757+GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 17
1758+TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 18
1759+
1760+ (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 19
1761+WOULD BE USED WITH T HE PROJECT; 20
1762+
1763+ (III) THE USE OF CARBON CA PTURE OR SEQUESTRATI ON 21
1764+TECHNOL OGY TO MITIGATE GREE NHOUSE GAS EMISSIONS FROM THE PROJECT ; AND 22
1765+
1766+ (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 23
1767+BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENER GY 24
1768+GENERATION . 25
1769+
1770+7–1205. 26
1771+
1772+ (A) THE COMMISSION SHALL USE THE FOLLOWING CRITER IA TO EVALUATE 27
1773+AND COMPARE PROPOSAL S FOR DISPATCHABLE E NERGY GENERATION PRO JECTS 28
1774+SUBMITTED DURING A S OLICITATION PERIOD U NDER § 7–1202 OF THIS SUBTITLE: 29
17691775 SENATE BILL 937 39
17701776
17711777
1772- (B) (D) (1) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 1
1773-COMBINED TOTAL CAPAC ITY OF DISPATCHABLE ENERGY GENERATION PR OJECTS 2
1774-AND LARGE CAPACITY E NERGY RESOURCE PROJE CTS APPROVED UNDER THIS 3
1775-SECTION SHALL BE GRE ATER THAN THE COMBINE D SUMMER PEAK CAPACI TY 4
1776-PROFILE OF COAL AND OIL ENERGY GENERATIN G STATIONS IN THE STATE AS 5
1777-OUTLINED UNDER TABLE 9 OF THE COMMISSION’S TEN–YEAR PLAN (2024–2033) 6
1778-OF ELECTRIC COMPANIES IN MARYLAND. 7
1779-
1780- (2) THE COMBINED TOTAL CA PACITY OF NATU RAL GAS 8
1781-DISPATCHABLE ENERGY GENERATION PROJECTS AND LARGE CAPACITY E NERGY 9
1782-RESOURCE PROJECTS APPROVED UNDER THIS SECTION MAY NOT EXCE ED THE 10
1783-COMBINED SUMMER PEAK CAPACITY PROFILE OF COAL AND OIL ENERGY 11
1784-GENERATING STATIONS IN THE STATE AS OUTLINED UND ER TABLE 9 OF THE 12
1785-COMMISSION’S TEN–YEAR PLAN (2024–2033) OF ELECTRIC COMPANIES IN 13
1786-MARYLAND. 14
1787-
1788- (C) ON AND BEFORE JUNE 30, 2030, A DISPATCHABLE ENERG Y 15
1789-GENERATION PROJECT A PPROVED UNDER THIS S ECTION SHALL BE SUBJ ECT TO THE 16
1790-EXPEDITED CERTIFICAT E OF PUBLIC CONVENIE NCE AND NECESSITY PROCES S 17
1791-UNDER § 7–207.4 OF THIS TITLE. 18
1792-
1793- (E) EVERY 5 YEARS AFTER THE DATE THAT A NATURAL GAS D ISPATCHABLE 19
1794-ENERGY GENERATION PR OJECT OR LARGE CAPAC ITY ENERGY RESOURCE PROJECT 20
1795-BECOMES OPERATIONAL UNDER A CERTIFICATE OF PUBLIC CONVENIENC E AND 21
1796-NECESSITY ISSUED UNDER § 7–207.4 OF THIS TITLE, THE OWNER OR OPERATO R OF 22
1797-THE NATURAL GAS DISP ATCHABLE ENERGY GENE RATION OR LARGE CAPA CITY 23
1798-ENERGY RESOURCE SHAL L SUBMIT TO THE COMMISSION A REPORT R EGARDING THE 24
1799-FEASIBILITY OF CONVE RTING THE NATURAL GA S DISPATCH ABLE ENERGY 25
1800-GENERATION OR LARGE CAPACITY ENERGY RESO URCE TO THE USE OF O NLY 26
1801-HYDROGEN OR ZERO –EMISSIONS BIOFUEL . 27
1802-
1803- (F) AN APPROVAL OR CONDIT IONAL APPROVAL OF A PROJECT UNDER THIS 28
1804-SECTION DOES NOT GUA RANTEE THAT THE PROJ ECT WILL BE ISSUED A 29
1805-CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207 OR § 30
1806-7–207.4 OF THIS TITLE. 31
1807-
1808-7–1204. 32
1809-
1810- THE COMMISSION SHALL INCL UDE SPECIFICATIONS IN A SOL ICITATION 33
1811-ISSUED UNDER § 7–1202 OF THIS SUBTITLE THA T REQUIRE EACH PROPO SAL FOR A 34
1812-DISPATCHABLE ENERGY GENERATION PROJECT T O: 35
1813-
1814- (1) FOR A NATURAL GAS EN ERGY GENERATING STAT ION, ENSURE 36
1815-THAT THE PROJECT CAN BE CONVERTED TO USE ONLY HYDROG EN OR A 37 40 SENATE BILL 937
1816-
1817-
1818-ZERO–EMISSIONS BIOFUEL AS THE ENERGY SOURCE WH EN THE CONVERSION IS 1
1819-FEASIBLE, AS DETERMINED BY THE COMMISSION; 2
1820-
1821- (2) INCLUDE A COST –BENEFIT ANALYSIS THA T SHALL INCLUDE , AT A 3
1822-MINIMUM: 4
1823-
1824- (I) A DETAILED INPUT –OUTPUT ANALYSIS OF T HE IMPACT OF 5
1825-THE PROJECT ON INCOME , EMPLOYMENT , WAGES, AND TAXES IN THE STATE; 6
1826-
1827- (II) DETAILED INFORMATION CONCERNING ASSUMED 7
1828-EMPLOYMENT IMPACTS I N THE STATE, INCLUDING THE EXPECT ED DURATION OF 8
1829-EMPLOYMENT OPPORTUNI TIES, THE SALARY OF EACH P OSITION, AND OTHER 9
1830-SUPPORTING E VIDENCE OF EMPLOYMEN T IMPACTS; 10
1831-
1832- (III) AN ANALYSIS OF ANY I MPACT ON RESIDENTIAL , 11
1833-COMMERCIAL , AND INDUSTRIAL RATEP AYERS OVER THE LIFE OF THE PROJECT ; 12
1834-
1835- (IV) AN ANALYSIS OF ANY L ONG–TERM EFFECT ON ENERG Y AND 13
1836-CAPACITY MARKETS AS A RESULT OF THE PROJ ECT; 14
1837-
1838- (V) AN ANALYSIS OF ANY I MPACT THE PROJECT WO ULD HAVE 15
1839-ON BUSINESSES IN THE STATE; 16
1840-
1841- (VI) AN ANALYSIS OF THE A NTICIPATED ENVIRONME NTAL 17
1842-BENEFITS, HEALTH BENEFITS , AND ENVIRONMENTAL IM PACTS OF THE PROJECT TO 18
1843-THE CITIZENS OF THE STATE; AND 19
1844-
1845- (VII) AN ANALYSIS OF OTHER BENE FITS RESULTING FROM THE 20
1846-PROJECT, INCLUDING INCREASED IN–STATE CONSTRUCTION , OPERATION AND 21
1847-MAINTENANCE NEEDS , AND EQUIPMENT PURCHA SES; 22
1848-
1849- (3) INCLUDE A DETAILED D ESCRIPTION OF THE TI MELINE FOR 23
1850-CONSTRUCTION OF THE PROJECT, INCLUDING: 24
1851-
1852- (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 25
1853-CONTROL OF THE PROJE CT SITE; 26
1854-
1855- (II) QUEUE POSITION FOR PJM INTERCONNECTION APPRO VAL; 27
1856-AND 28
1857-
1858- (III) THE ABILITY TO PROCU RE MATERIALS , INCLUDING 29
1859-TURBINES AND OTHER P IPELINE MATERIALS ; 30
1860- SENATE BILL 937 41
1861-
1862-
1863- (4) INCLUDE A DESCRIPTION OF THE L OCATION OF THE PROJE CT 1
1864-SITE, INCLUDING: 2
1865-
1866- (I) THE PROXIMITY OF THE SITE TO EXISTING TRA NSMISSION 3
1867-LINES AND RIGHTS –OF–WAY; AND 4
1868-
1869- (II) WHETHER THE PROJECT WOULD BE RETROFITTIN G A 5
1870-CURRENT OR PREVIOUS GENERATING STATION S ITE; AND 6
1871-
1872- (5) IF APPLICABLE, INCLUDE A DESCRIPTIO N OF: 7
1873-
1874- (I) THE TYPE AND AMOUNT OF CO–LOCATED ENERGY 8
1875-GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 9
1876-TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 10
1877-
1878- (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 11
1879-WOULD BE USED WITH T HE PROJECT; 12
1880-
1881- (III) THE USE OF CARBON CA PTURE OR SEQUESTRATI ON 13
1882-TECHNOLOGY TO MITIGA TE GREENHOUSE GAS EM ISSIONS FROM THE PRO JECT; AND 14
1883-
1884- (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 15
1885-BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENERGY 16
1886-GENERATION . 17
1887-
1888-7–1205. 18
1889-
1890- (A) THE COMMISSION SHALL USE THE FOLLOWING CRITER IA TO EVALUATE 19
1891-AND COMPARE PROPOSAL S FOR DISPATCHABLE E NERGY GENERATION PRO JECTS 20
1892-SUBMITTED DURING A S OLICITATION PERIOD U NDER § 7–1202 OF THIS SUBTITLE: 21
1893-
1894- (1) THE LOWEST COST IMPACT ON RATEPAYERS ; 22
1895-
1896- (2) THE EXTENT TO WHICH THE COST–BENEFIT ANALYSIS SUB MITTED 23
1897-UNDER § 7–1204 OF THIS SUBTITLE DEM ONSTRATES POSITIVE N ET ECONOMIC , 24
1898-ENVIRONMENTAL , AND HEALTH BENEFITS TO THE STATE; 25
1899-
1900- (3) THE TIMELINE FOR CON STRUCTION OF THE PROJECT, 26
1901-INCLUDING: 27
1902-
1903- (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 28
1904-CONTROL OF THE PROJE CT SITE; 29
1905-
1906- (II) POSITION IN THE PJM INTERCONNECTION QUEUE ; AND 30 42 SENATE BILL 937
1907-
1908-
1909-
1910- (III) ABILITY TO PROCURE M ATERIALS, INCLUDING TURBINES 1
1911-AND OTHER PIPELINE M ATERIALS; 2
1912-
1913- (4) THE LOCATION OF THE PROJECT SITE , INCLUDING THE 3
1914-PROXIMITY OF THE SIT E TO EXISTING TRANSM ISSION LINES AND RIG HTS–OF–WAY; 4
1915-
1916- (5) WHETHER THE PROJECT WOULD BE RETROFITTIN G A CURRENT 5
1917-OR PAST GENERATING S TATION SITE; AND 6
1918-
1919- (6) IF APPLICABLE: 7
1920-
1921- (I) THE TYPE AND AMOUNT OF CO –LOCATED ENERGY 8
1922-GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 9
1923-TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 10
1924-
1925- (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 11
1926-WOULD BE USED WITH T HE PROJECT; 12
1927-
1928- (III) THE USE OF CARBON CAPTURE OR SEQUESTRATION 13
1929-TECHNOLOGY TO MITIGA TE GREENHOUSE GAS EM ISSIONS FROM THE PRO JECT; AND 14
1930-
1931- (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 15
1932-BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENER GY 16
1933-GENERATION . 17
1934-
1935- (B) IN EVALUATING AND C OMPARING A PROPOSAL FOR A DISPATCHABLE 18
1936-ENERGY GENERATION PR OJECT UNDER SUBSECTI ON (A) OF THIS SECTION , THE 19
1937-COMMISSION MAY CONTRA CT FOR THE SERVICES OF INDEPENDENT CONSU LTANTS 20
1938-AND EXPERTS. 21
1939-
1940-7–1206. RESERVED. 22
1941-
1942-7–1207. RESERVED. 23
1943-
1944-7–1209. 24
1945-
1946- (A) (1) EXCEPT AS PROVIDED IN PARAGRAP H (2) OF THIS SUBSECTION 25
1947-AND SUBJECT TO PARAG RAPH (3) OF THIS SUBSECTION , THE COMMISSION MAY 26
1948-APPROVE UP TO 10 PROPOSALS TO BE ELIG IBLE TO UNDERGO THE EXPEDITED 27
1949-CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY PROCESS UNDE R § 7–207.4 28
1950-OF THIS TITLE. 29
1951- SENATE BILL 937 43
1952-
1953-
1954- (2) THE COMMISSION MAY APPROV E MORE THAN 10 PROPOSALS TO 1
1955-BE ELIGIBLE TO UNDER GO THE EXPEDITED CER TIFICATE OF PUBLIC C ONVENIENCE 2
1956-AND NECESSITY PROCES S UNDER § 7–207.4 OF THIS TITLE ONLY I F THE 3
1957-COMMISSION DETERMINES THAT: 4
1958-
1959- (I) THE COMMISSION HAS SUFFICIENT RESOU RCES TO 5
1960-COMPLETE THAT NUMBER OF EXPEDITED REVIEWS OF APPLICATIONS FOR A 6
1961-CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207.4 OF THIS 7
1962-TITLE; AND 8
1963-
1964- (II) THE NUMBER OF EXPEDI TED REVIEWS OF APPLI CATIONS 9
1965-FOR A CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY UNDER § 7–207.4 OF 10
1966-THIS TITLE IS IN THE PUBLIC INTEREST . 11
1967-
1968- (3) IF NOT MORE THAN 10 PROJECTS RESPOND TO A SOLICITATION 12
1969-ISSUED UNDER § 7–1206 OF THIS SUBTITLE , THE COMMISSION SHALL APPR OVE, 13
1970-SUBJECT TO § 7–1208(D)(2) OF THIS SUBTITLE, ALL PROJECTS THAT AP PLY FOR THE 14
1971-SOLICITATION. 15
1972-
1973- (B) (1) FOR THE PURPOSE OF TH IS SUBSECTION , A TRANSMISSION 16
1974-ENERGY STORAGE DEVIC E SHALL BE CONSIDERE D A NON–EMISSIONS EMITTING 17
1975-NON–EMISSIONS–EMITTING PROJECT. 18
1976-
1977- (2) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , THE 19
1978-COMMISSION SHALL APPR OVE 4 NON–EMISSIONS EMITTING 20
1979-NON–EMISSIONS–EMITTING PROJECTS TO EVERY 1 EMISSIONS–EMITTING PROJECT . 21
1980-
1981- (3) THE COMMISSION MAY WAIVE THE REQUIREMENT UNDE R 22
1982-PARAGRAPH (2) OF THIS SUBSECTI ON IF A SUFFICIENT N UMBER OF APPLICATION S 23
1983-FOR PROJECTS THAT ME ET THE REQUIREMENT A RE NOT RECEIVED . 24
1984-
1985- (C) (1) IN DETERMINING WHICH PROPOSALS TO APPROVE , THE 25
1986-COMMISSION SHALL PRIO RITIZE DISPATCHABLE ENERGY GENERATION PR OJECTS 26
1987-OVER LARGE CAPACITY ENERGY RESO URCES. 27
1988-
1989- (2) IN ADDITION TO THE PR IORITIZATION IN PARA GRAPH (1) OF THIS 28
1990-SUBSECTION, IF THE COMMISSION RECEIVES MORE THAN 10 PROPOSALS OR 29
1991-DETERMINES THAT MORE THAN 10 PROPOSALS MAY BE APP ROVED UNDER § 7–1208 30
1992-OF THIS SUBTITLE, THE COMMISSION SHALL BASE THE APPROVALS ON : 31
1993-
1994- (I) WHICH PROJECTS WILL PROVIDE THE HIGHEST CAPACITY 32
1995-VALUE TO THE STATE; 33
1778+ (1) THE LOWEST COST IMPA CT ON RATEPAYERS ; 1
1779+
1780+ (2) THE EXTENT TO WHICH THE COST–BENEFIT ANALYSIS SUB MITTED 2
1781+UNDER § 7–1204 OF THIS SUBTITLE DEM ONSTRATES POSITIVE N ET ECONOMIC , 3
1782+ENVIRONMENTAL , AND HEALTH BENEFITS TO THE STATE; 4
1783+
1784+ (3) THE TIMELINE FOR CON STRUCTION OF THE PRO JECT, 5
1785+INCLUDING: 6
1786+
1787+ (I) IDENTIFYING THE ENTI TY THAT HAS OWNERSHI P OR SITE 7
1788+CONTROL OF THE PRO JECT SITE; 8
1789+
1790+ (II) POSITION IN THE PJM INTERCONNECTION QUEUE ; AND 9
1791+
1792+ (III) ABILITY TO PROCURE M ATERIALS, INCLUDING TURBINES 10
1793+AND OTHER PIPELINE M ATERIALS; 11
1794+
1795+ (4) THE LOCATION OF THE PROJECT SITE , INCLUDING THE 12
1796+PROXIMITY OF THE SIT E TO EXISTING TRANSM ISSION LINES AND RIGHTS –OF–WAY; 13
1797+
1798+ (5) WHETHER THE PROJECT WOULD BE RETROFITTIN G A CURRENT 14
1799+OR PAST GENERATING S TATION SITE; AND 15
1800+
1801+ (6) IF APPLICABLE: 16
1802+
1803+ (I) THE TYPE AND AMOUNT OF CO–LOCATED ENERGY 17
1804+GENERATION FROM TIER 1 RENEWABLE SOURCES , AS DEFINED IN § 7–701 OF THIS 18
1805+TITLE, THAT WOULD BE USED W ITH THE PROJECT ; 19
1806+
1807+ (II) THE AMOUNT OF CO –LOCATED ENERGY STORA GE THAT 20
1808+WOULD BE USED WITH T HE PROJECT; 21
1809+
1810+ (III) THE USE OF CARBON CA PTURE OR SEQUESTRATI ON 22
1811+TECHNOLOGY TO MITIGA TE GREENHOUSE GAS EM ISSIONS FROM THE PRO JECT; AND 23
1812+
1813+ (IV) THE AMOUNT OF HYDROG EN OR ZERO –EMISSIONS 24
1814+BIOFUELS THAT THE PR OJECT WILL MIX WITH NATURAL GAS FOR ENER GY 25
1815+GENERATION . 26
1816+
1817+ (B) IN EVALUATING AND COM PARING A PROPOSAL FO R A DISPATCHA BLE 27
1818+ENERGY GENERATION PR OJECT UNDER SUBSECTI ON (A) OF THIS SECTION , THE 28
1819+COMMISSION MAY CONTRA CT FOR THE SERVICES OF INDEPENDENT CONSU LTANTS 29
1820+AND EXPERTS. 30
1821+ 40 SENATE BILL 937
1822+
1823+
1824+7–1206. RESERVED. 1
1825+
1826+7–1207. RESERVED. 2
1827+
1828+7–1209. 3
1829+
1830+ (A) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, 4
1831+THE COMMISSION MAY APPROV E UP TO 10 PROPOSALS TO BE ELIG IBLE TO 5
1832+UNDERGO THE EXPEDITE D CERTIFICATE OF PUB LIC CONVENIENCE AND NECESSITY 6
1833+PROCESS UNDER § 7–207.4 OF THIS TITLE. 7
1834+
1835+ (2) THE COMMISSION MAY APPROV E MORE THAN 10 PROPOSALS TO 8
1836+BE ELIGIBLE TO UNDERGO THE EXPEDI TED CERTIFICATE OF P UBLIC CONVENIENCE 9
1837+AND NECESSITY PROCES S UNDER § 7–207.4 OF THIS TITLE ONLY I F THE 10
1838+COMMISSION DETERMINES THAT: 11
1839+
1840+ (I) THE COMMISSION HAS SUFFIC IENT RESOURCES TO 12
1841+COMPLETE THAT NUMBER OF EXPEDITED REVIEWS OF APPLICATIO NS FOR A 13
1842+CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207.4 OF THIS 14
1843+TITLE; AND 15
1844+
1845+ (II) THE NUMBER OF EXPEDI TED REVIEWS OF APPLI CATIONS 16
1846+FOR A CERTIFICATE OF PUBLIC CONVENIENCE A ND NECESSITY UNDER § 7–207.4 OF 17
1847+THIS TITLE IS IN THE PUBLIC INTEREST . 18
1848+
1849+ (B) (1) FOR THE PURPOSE OF TH IS SUBSECTION , A TRANSMISSION 19
1850+ENERGY STORAGE DEVIC E SHALL BE CONS IDERED A NON –EMISSIONS EMITTING 20
1851+PROJECT. 21
1852+
1853+ (2) SUBJECT TO PARAGRAPH (3) OF THIS SUBSECTION , THE 22
1854+COMMISSION SHALL APPR OVE 4 NON–EMISSIONS EMITTING P ROJECTS TO EVERY 1 23
1855+EMISSIONS–EMITTING PROJECT . 24
1856+
1857+ (3) THE COMMISSION MAY WAIVE THE REQUIREMENT UNDE R 25
1858+PARAGRAPH (2) OF THIS SUBSECTION I F A SUFFICIENT NUMBE R OF APPLICATIONS 26
1859+FOR PROJECTS THAT ME ET THE REQUIREMENT A RE NOT RECEIVED . 27
1860+
1861+ (C) (1) IN DETERMINING WHICH PROPOSALS TO APPROVE , THE 28
1862+COMMISSION SHALL PRIO RITIZE DISPATCHABLE ENERGY GENERATION PR OJECTS 29
1863+OVER LARGE CAPACITY ENERG Y RESOURCES. 30
1864+
1865+ (2) IN ADDITION TO THE PR IORITIZATION IN PARA GRAPH (1) OF THIS 31
1866+SUBSECTION, IF THE COMMISSION DETERMINES THAT MORE THAN 10 PROPOSALS 32 SENATE BILL 937 41
1867+
1868+
1869+MAY BE APPROVED UNDE R § 7–1208 OF THIS SUBTITLE , THE COMMISSION SHALL 1
1870+BASE THE APPROVALS ON: 2
1871+
1872+ (I) WHICH PROJECTS WILL PROVIDE THE HIGHEST CAPACITY 3
1873+VALUE TO THE STATE; 4
1874+
1875+ (II) WHICH PROJECTS ARE R EADY TO BEGIN CONSTR UCTION; 5
1876+
1877+ (III) THE TIMELINESS OF A PROJECT TO BEGIN OPE RATION; AND 6
1878+
1879+ (IV) WHICH PROJECTS HAVE THE LOWEST EMISSIONS 7
1880+INTENSITY. 8
1881+
1882+ (D) THE COMMISSION SHALL DETE RMINE WHEN THE PROCE EDINGS FOR A 9
1883+CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207.4 OF THIS 10
1884+TITLE WILL BEGIN FOR A PROPOSAL APPROVED UNDER THIS PART . 11
1885+
1886+ (E) THE COMMISSION MAY CONTRA CT FOR THE SERVICES OF 12
1887+INDEPENDENT CONSULTAN TS AND EXPERTS IN EV ALUATING AND COMPARI NG 13
1888+WHETHER A PROPOSAL S HALL BE APPROVED TO BE ELIGIBLE TO UNDER GO AN 14
1889+EXPEDITED CERTIFICAT E OF PUBLIC CONVENIE NCE AND NECESSITY PR OCESS 15
1890+UNDER § 7–207.4 OF THIS TITLE. 16
1891+
1892+ (F) A PROPOSAL THAT IS NOT APPROVED TO BE ELIGIB LE TO UNDERGO AN 17
1893+EXPEDITED CERTIFICAT E OF PUBLIC CONVENIE NCE AND NECESSITY PR OCESS 18
1894+UNDER § 7–207.4 OF THIS TITLE MAY AP PLY FOR A CERTIFICAT E OF PUBLIC 19
1895+CONVENIENCE AND NECE SSITY UNDER § 7–207 OF THIS TITLE. 20
1896+
1897+7–1210. RESERVED. 21
1898+
1899+7–1211. RESERVED. 22
1900+
1901+PART II. PART III. NUCLEAR ENERGY PROCUREMENT . 23
1902+
1903+7–1208. 7–1212. 24
1904+
1905+ (A) AFTER THE EFFECTIVE D ATE OF COMMISSION REGULATION S 25
1906+IMPLEMENTING THIS PA RT, A PERSON MAY SUBMIT AN APPLICATION TO TH E 26
1907+COMMISSION FOR APPROV AL OF A PROPOSED NUC LEAR ENERGY GENERATION 27
1908+PROJECT, INCLUDING AN APPLICA TION TO UPGRADE THE GENERATION 28
1909+CAPABILITIES OF AN E XISTING NUCLEAR ENER GY GENERATING STATIO N. 29
1910+
1911+ (B) (1) ON RECEIPT OF AN APPL ICATION FOR APPROVAL OF A PROPOSED 30
1912+NUCLEAR ENERGY GENER ATION PROJECT , THE COMMISSION SHALL : 31 42 SENATE BILL 937
1913+
1914+
1915+
1916+ (I) OPEN AN APPLICATION PERIOD DURING WHICH OTHER 1
1917+INTERESTED PERSONS M AY SUBMIT APPLICATIO NS FOR APPROVAL OF A PROPOSED 2
1918+NUCLEAR ENERGY GENER ATION PROJECT ; AND 3
1919+
1920+ (II) PROVIDE NOTICE THAT THE COMMISSION IS ACCEPTI NG 4
1921+APPLICATIONS FOR APP ROVAL OF PROPOS ED NUCLEAR ENERGY GE NERATION 5
1922+PROJECTS. 6
1923+
1924+ (2) THE COMMISSION SHALL SET THE CLOSING DATE FOR THE 7
1925+APPLICATION PERIOD T O BE NOT SOONER THAN 90 DAYS AFTER THE NOTIC E 8
1926+PROVIDED UNDER PARAG RAPH (1) OF THIS SUBSECTION . 9
1927+
1928+ (C) THE COMMISSION SHALL PROV IDE AT LEAST T WO ADDITIONAL 10
1929+APPLICATION PERIODS BEFORE JANUARY 1, 2031. 11
1930+
1931+ (D) THE COMMISSION MAY PROVID E ADDITIONAL APPLICA TION PERIODS 12
1932+THAT MEET THE REQUIR EMENTS OF THIS SECTI ON. 13
1933+
1934+7–1209. 7–1213. 14
1935+
1936+ (A) UNLESS EXTENDED BY MU TUAL CONSENT OF THE PARTIES SUBJECT TO 15
1937+SUBSECTION (B) OF THIS SECTION , THE COMMISSION SHALL APPR OVE, 16
1938+CONDITIONALLY APPROV E, OR DENY AN APPLICATI ON SUBMITTED UNDER § 7–1208 17
1939+§ 7–1212 OF THIS SUBTITLE WIT HIN 1 YEAR AFTER THE CLOSE OF THE APPLICATION 18
1940+PERIOD. 19
1941+
1942+ (B) THE COMMISSION MAY EXTEND THE TIME TO APPROVE , 20
1943+CONDITIONALLY APPROV E, OR DENY AN APPLICATI ON UNDER SUBSECTION (A) OF 21
1944+THIS SECTION FOR GOO D CAUSE. 22
1945+
1946+7–1210. 7–1214. 23
1947+
1948+ AN APPLICATION SUBMIT TED FOR A NUCLEAR EN ERGY GENERATION 24
1949+PROJECT UNDER § 7–1208 § 7–1212 OF THIS SUBTITLE SHA LL INCLUDE: 25
1950+
1951+ (1) A DETAILED DESCRIPTI ON AND FINANCIAL ANA LYSIS OF THE 26
1952+PROJECT; 27
1953+
1954+ (2) THE PROPOSED METHOD OF FINANCING THE PRO JECT, 28
1955+INCLUDING DOCUMENTAT ION DEMONSTRATING TH AT THE APPLICANT HAS APPLIED 29
1956+FOR ALL CURRENT ELIG IBLE STATE AND FEDERAL GRA NTS, REBATES, TAX CREDITS, 30
1957+LOAN GUARANTEES , AND OTHER PROGRAMS A VAILABLE TO OFFSET T HE COST OF 31
1958+THE PROJECT OR PROVI DE TAX ADVANTAGES ; 32 SENATE BILL 937 43
1959+
1960+
1961+
1962+ (3) A COMMITMENT THAT TH E APPLICANT WILL USE BEST EFFORTS 1
1963+TO APPLY FOR ALL ELI GIBLE STATE AND FEDERAL GRA NTS, REBATES, TAX CREDITS, 2
1964+LOAN GUARANTEES , OR OTHER SIMILAR BEN EFITS AS THOSE BENEF ITS BECOME 3
1965+AVAILABLE; 4
1966+
1967+ (4) A COST–BENEFIT ANALYSIS THA T SHALL INCLUD E, AT A MINIMUM: 5
1968+
1969+ (I) A DETAILED INPUT –OUTPUT ANALYSIS OF T HE IMPACT OF 6
1970+THE PROJECT ON INCOM E, EMPLOYMENT , WAGES, AND TAXES IN THE STATE; 7
1971+
1972+ (II) DETAILED INFORMATION CONCERNING ASSUMED 8
1973+EMPLOYMENT IMPACTS I N THE STATE, INCLUDING THE EXPECT ED DURATION OF 9
1974+EMPLOYMENT OPPORTUNI TIES, THE SALARY OF EACH P OSITION, AND OTHER 10
1975+SUPPORTING EVIDENCE OF EMPLOYMENT IMPACT S; 11
1976+
1977+ (III) AN ANALYSIS OF ANY I MPACT ON RESIDENTIAL , 12
1978+COMMERCIAL , AND INDUSTRIAL RATEP AYERS OVER THE LIFE OF THE PROJECT ; 13
1979+
1980+ (IV) AN ANALYSIS OF A NY LONG–TERM EFFECT ON ENERG Y AND 14
1981+CAPACITY MARKETS AS A RESULT OF THE PROJ ECT; 15
1982+
1983+ (V) AN ANALYSIS OF ANY I MPACT THE PROJECT WO ULD HAVE 16
1984+ON BUSINESSES IN THE STATE; 17
1985+
1986+ (VI) AN ANALYSIS OF THE A NTICIPATED ENVIRONME NTAL 18
1987+BENEFITS, HEALTH BENEFITS , AND ENVIRONMENTAL ECONOMIC IMPACTS OF THE 19
1988+PROJECT TO THE CITIZ ENS OF THE STATE; AND 20
1989+
1990+ (VII) AN ANALYSIS OF OTHER BENEFITS RESULTING F ROM THE 21
1991+PROJECT, INCLUDING INCREASED IN–STATE CONSTRUCTION , OPERATION AND 22
1992+MAINTENANCE NEEDS , AND EQUIPMENT PURCHA SES; 23
1993+
1994+ (5) A PROPOSED LONG–TERM PRICING SCHEDUL E FOR THE PROJECT 24
1995+THAT SHALL SPECIFY A PRICE FOR THE GENERA TION ATTRIBUTES , INCLUDING THE 25
1996+ENERGY, CAPACITY, ANCILLARY SERVICES , AND ENVIRONMENTAL AT TRIBUTES; 26
1997+
1998+ (6) A DECOMMISSIONING AN D WASTE STORAGE PLAN FOR THE 27
1999+PROJECT, INCLUDING PROVISIONS FO R DECOMMISSIONING OR WASTE STORAGE AS 28
2000+REQUIRED BY THE U.S. NUCLEAR REGULATORY COMMISSION; 29
2001+
2002+ (7) A COMMITMENT TO ABID E BY THE REQUIREMENT S SET FORTH IN 30
2003+§ 7–1213 § 7–1202 OF THIS SUBTITLE; 31
19962004 44 SENATE BILL 937
19972005
19982006
1999- (II) WHICH PROJECTS ARE R EADY THE TIMELINESS OF A 1
2000-PROJECT TO BEGIN CONSTRUCTIO N; 2
2001-
2002- (III) THE TIMELINESS OF A PROJECT TO BEGIN OPE RATION; AND 3
2003-
2004- (IV) WHICH PROJECTS HAVE THE LOWEST EMISSIONS 4
2005-INTENSITY. 5
2006-
2007- (D) THE COMMISSION SHALL DETE RMINE WHEN THE PROCE EDINGS FOR A 6
2008-CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER § 7–207.4 OF THIS 7
2009-TITLE WILL BEGIN FOR A PROPOSAL APPROVED UNDER THIS PART . 8
2010-
2011- (E) THE COMMISSION MAY CONTRA CT FOR THE SERVICES OF 9
2012-INDEPENDENT CONSULTA NTS AND EXPERTS IN E VALUATING AND COMPAR ING 10
2013-WHETHER A PROPOSAL S HALL BE APPROVED TO BE ELIGIBLE TO UNDER GO AN 11
2014-EXPEDITED CERTIFICAT E OF PUBLIC CONVENIE NCE AND NECESSITY PR OCESS 12
2015-UNDER § 7–207.4 OF THIS TITLE. 13
2016-
2017- (F) A PROPOSAL THAT IS NOT APPROVED TO BE ELIGI BLE TO UNDERGO AN 14
2018-EXPEDITED CERTIFICAT E OF PUBLIC CONVENIE NCE AND NECESSITY PR OCESS 15
2019-UNDER § 7–207.4 OF THIS TITLE MAY AP PLY FOR A CERTIFICAT E OF PUBLIC 16
2020-CONVENIENCE AND NECE SSITY UNDER § 7–207 OF THIS TITLE. 17
2021-
2022-7–1210. RESERVED. 18
2023-
2024-7–1211. RESERVED. 19
2025-
2026-PART II. PART III. NUCLEAR ENERGY PROCUREMENT . 20
2027-
2028-7–1208. 7–1212. 21
2029-
2030- (A) (1) AFTER THE EFFECTIVE D ATE OF COMMISSION REGULATION S 22
2031-IMPLEMENTING THIS PA RT, A PERSON MAY SUBMIT AN APPLICATION TO TH E 23
2032-COMMISSION FOR APPROV AL OF A PROPOSED NUC LEAR ENERGY GENERATI ON 24
2033-PROJECT, INCLUDING AN APPLICA TION TO UPGRADE THE GENERATION 25
2034-CAPABILITIES OF AN E XISTING NUCLEAR ENER GY GENERATING STATIO N. 26
2035-
2036- (2) FOR AN APPLICATION SU BMITTED IN ACCORDANC E WITH 27
2037-PARAGRAPH (1) OF THIS SUBSECTION , THE LONG–TERM PRICING SCHEDUL E SHALL 28
2038-BE BASED ONLY ON ANY NEW GENERATION PROPO SED IN THE APPLICATI ON, 29
2039-INCLUDING NEW GENERA TION AT AN EXISTING NUCLEAR ENERGY GENER ATING 30
2040-STATION. 31
2041- SENATE BILL 937 45
2042-
2043-
2044- (B) (1) ON RECEIPT OF AN APPL ICATION FOR APPROVAL OF A PROPOSED 1
2045-NUCLEAR ENERGY GENER ATION PROJECT , THE COMMISSION SHALL : 2
2046-
2047- (I) OPEN AN APPLICATION PERIOD DURING WHICH OTHER 3
2048-INTERESTED PERSONS M AY SUBMIT APPLICATIO NS FOR APPROVAL OF A PROPOSED 4
2049-NUCLEAR ENERGY GENER ATION PROJECT ; AND 5
2050-
2051- (II) PROVIDE NOTICE THAT THE COMMISSION IS ACCEPTI NG 6
2052-APPLICATIONS FOR APP ROVAL OF PROPOSED NU CLEAR ENERGY GENERAT ION 7
2053-PROJECTS. 8
2054-
2055- (2) THE COMMISSION SHALL SET THE CLOSING DATE FOR THE 9
2056-APPLICATION PERIOD T O BE NOT SOONER THAN 90 DAYS AFTER THE NOTIC E 10
2057-PROVIDED UNDER PARAG RAPH (1) OF THIS SUBSECTION . 11
2058-
2059- (C) THE COMMISSION SHALL PROV IDE AT LEAST TWO ADD ITIONAL 12
2060-APPLICATION PERIODS BEFORE JANUARY 1, 2031. 13
2061-
2062- (D) THE COMMISSION MAY PROVID E ADDITIONAL APPLICA TION PERIODS 14
2063-THAT MEET THE REQUIR EMENTS OF THIS SECTI ON. 15
2064-
2065-7–1209. 7–1213. 16
2066-
2067- (A) UNLESS EXTENDED BY MUTU AL CONSENT OF THE PA RTIES SUBJECT TO 17
2068-SUBSECTION (B) OF THIS SECTION , THE COMMISSION SHALL APPR OVE, 18
2069-CONDITIONALLY APPROV E, OR DENY AN APPLICATI ON SUBMITTED UNDER § 7–1208 19
2070-§ 7–1212 OF THIS SUBTITLE WIT HIN 1 YEAR AFTER THE CLOSE OF THE APPLICATION 20
2071-PERIOD. 21
2072-
2073- (B) THE COMMISSION MAY EXTEND THE TIME TO APPROVE , 22
2074-CONDITIONALLY APPROV E, OR DENY AN APPLICATI ON UNDER SUBSECTION (A) OF 23
2075-THIS SECTION FOR GOO D CAUSE. 24
2076-
2077-7–1210. 7–1214. 25
2078-
2079- AN APPLICATION SUBMIT TED FOR A NUCLEAR EN ERGY GENERATION 26
2080-PROJECT UN DER § 7–1208 § 7–1212 OF THIS SUBTITLE SHA LL INCLUDE: 27
2081-
2082- (1) A DETAILED DESCRIPTI ON AND FINANCIAL ANA LYSIS OF THE 28
2083-PROJECT; 29
2084-
2085- (2) THE PROPOSED METHOD OF FINANCING THE PRO JECT, 30
2086-INCLUDING DOCUMENTAT ION DEMONSTRATING TH AT THE APPLICANT HAS APPLIED 31
2087-FOR ALL CURRENT ELIGIBLE STATE AND FEDERAL GRA NTS, REBATES, TAX CREDITS, 32 46 SENATE BILL 937
2088-
2089-
2090-LOAN GUARANTEES , AND OTHER PROGRAMS A VAILABLE TO OFFSET T HE COST OF 1
2091-THE PROJECT OR PROVI DE TAX ADVANTAGES ; 2
2092-
2093- (3) A COMMITMENT THAT TH E APPLICANT WILL USE BEST EFFORTS 3
2094-TO APPLY FOR ALL ELI GIBLE STATE AND FEDERAL GRA NTS, REBATES, TAX CREDITS, 4
2095-LOAN GUARANTEES , OR OTHER SIMILAR BEN EFITS AS THOSE BENEF ITS BECOME 5
2096-AVAILABLE; 6
2097-
2098- (4) A COST–BENEFIT ANALYSIS THA T SHALL INCLUDE , AT A MINIMUM: 7
2099-
2100- (I) A DETAILED INPUT –OUTPUT ANALYSIS OF T HE IMPACT OF 8
2101-THE PROJECT ON INCOME , EMPLOYMENT , WAGES, AND TAXES IN THE STATE; 9
2102-
2103- (II) DETAILED INFORMATION CONCERNING ASSUMED 10
2104-EMPLOYMENT IMPACTS I N THE STATE, INCLUDING THE EXPECT ED DURATION OF 11
2105-EMPLOYMENT OPPORTUNI TIES, THE SALARY OF EACH P OSITION, AND OTHER 12
2106-SUPPORTING E VIDENCE OF EMPLOYMEN T IMPACTS; 13
2107-
2108- (III) AN ANALYSIS OF ANY I MPACT ON RESIDENTIAL , 14
2109-COMMERCIAL , AND INDUSTRIAL RATEP AYERS OVER THE LIFE OF THE PROJECT ; 15
2110-
2111- (IV) AN ANALYSIS OF ANY L ONG–TERM EFFECT ON ENERG Y AND 16
2112-CAPACITY MARKETS AS A RESULT OF THE PROJ ECT; 17
2113-
2114- (V) AN ANALYSIS OF ANY I MPACT THE PROJECT WO ULD HAVE 18
2115-ON BUSINESSES IN THE STATE; 19
2116-
2117- (VI) AN ANALYSIS OF THE A NTICIPATED ENVIRONME NTAL 20
2118-BENEFITS, HEALTH BENEFITS , AND ENVIRONMENTAL ECONOMIC IMPACTS OF THE 21
2119-PROJECT TO THE CITIZ ENS OF THE STATE; AND 22
2120-
2121- (VII) AN ANALYSIS OF OTHER BENEFITS RESULTING F ROM THE 23
2122-PROJECT, INCLUDING INCREASED IN–STATE CONSTRUCTION , OPERATION AND 24
2123-MAINTENANCE NEEDS , AND EQUIPMENT PURCHA SES; 25
2124-
2125- (5) A PROPOSED LONG –TERM PRICING SCHEDUL E FOR THE PROJECT 26
2126-THAT SHALL SPECIFY A PRICE FOR THE GENERATION ATTRIB UTES, INCLUDING THE 27
2127-ENERGY, CAPACITY, ANCILLARY SERVICES , AND ENVIRONMENTAL AT TRIBUTES; 28
2128-
2129- (6) A DECOMMISSIONING AN D WASTE STORAGE PLAN FOR THE 29
2130-PROJECT, INCLUDING PROVISIONS FOR DECOMMISSIONING OR WASTE STORAGE AS 30
2131-REQUIRED BY THE U.S. NUCLEAR REGULATORY COMMISSION; 31
2132- SENATE BILL 937 47
2133-
2134-
2135- (7) A COMMITMENT TO ABID E BY THE REQUIREMENT S SET FORTH IN 1
2136-§ 7–1213 § 7–1202 OF THIS SUBTITLE; 2
2137-
2138- (8) A DESCRIPTION OF THE APPLICANT’S PLAN FOR ENGAGING SMALL 3
2139-BUSINESSES, AS DEFINED IN § 14–501 OF THE STATE FINANCE AND PROCUREMENT 4
2140-ARTICLE; 5
2141-
2142- (9) IF APPLICABLE, THE STATEMENT SPECIF IED IN § 7–1211(C)(2) § 6
2143-7–1215(B)(2) OF THIS SUBTITLE; AND 7
2144-
2145- (10) ANY OTHER INFORMATIO N THE COMMISSION REQUIRES . 8
2146-
2147-7–1211. 7–1215. 9
2148-
2149- (A) THE COMMISSION SHALL USE THE FOLLOWING CRITER IA TO EVALUATE 10
2150-AND COMPARE APPLICAT IONS FOR NUCLEAR ENE RGY GENERATION PROJE CTS 11
2151-SUBMITTED DURING AN APPLICATION PERIOD U NDER § 7–1208 § 7–1212 OF THIS 12
2152-SUBTITLE: 13
2153-
2154- (1) THE LOWEST COST IMPA CT ON RATEPAYERS OF THE PRICE SET 14
2155-UNDER A PROPOSED LONG–TERM PRICING SCHEDULE ; 15
2156-
2157- (2) POTENTIAL REDUCTIONS IN TRANSMISSION CONG ESTION PRICES 16
2158-WITHIN THE STATE; 17
2159-
2160- (3) POTENTIAL CHANGES IN CAPACITY PRICES WITH IN THE STATE; 18
2161-
2162- (4) POTENTIAL REDUCTIONS IN LOCATIONAL MARGIN AL PRICING; 19
2163-
2164- (5) POTENTIAL LONG –TERM CHANGES IN CAPA CITY PRICES WITHIN 20
2165-THE STATE FROM THE PROJEC T AS IT COMPARES TO CONVENTIONAL ENERGY 21
2166-SOURCES; 22
2167-
2168- (6) THE EXTENT TO WHICH THE COST–BENEFIT ANALYSIS SUB MITTED 23
2169-UNDER § 7–1210 § 7–1214 OF THIS SUBTITLE DEM ONSTRATES POS ITIVE NET 24
2170-ECONOMIC, ENVIRONMENTAL , AND HEALTH BENEFITS TO THE STATE; 25
2171-
2172- (7) THE EXTENT TO WHICH AN APPLICANT ’S PLAN FOR ENGAGING 26
2173-SMALL BUSINESSES MEE TS THE GOALS SPECIFI ED IN TITLE 14, SUBTITLE 5 OF THE 27
2174-STATE FINANCE AND PROCUREMENT ARTICLE; 28
2175-
2176- (8) THE EXTENT TO WHICH AN APPL ICANT’S PLAN PROVIDES FOR THE 29
2177-USE OF SKILLED LABOR , PARTICULARLY WITH RE GARD TO THE CONSTRUC TION AND 30
2178-MANUFACTURING COMPON ENTS OF THE PROJECT , THROUGH OUTREACH , HIRING, 31 48 SENATE BILL 937
2179-
2180-
2181-OR REFERRAL SYSTEMS THAT ARE AFFILIATED WITH REGISTERED APPR ENTICESHIP 1
2182-PROGRAMS UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT 2
2007+ (8) A DESCRIPTION OF THE APPLICANT’S PLAN FOR ENGAGING SMALL 1
2008+BUSINESSES, AS DEFINED IN § 14–501 OF THE STATE FINANCE AND PROCUREMENT 2
21832009 ARTICLE; 3
21842010
2185- (9) THE EXTENT TO WHICH AN APPLICANT’S PLAN PROVIDES FOR THE 4
2186-USE OF AN AGREEMENT DESIGNED TO ENSURE T HE USE OF SKILLED LA BOR AND TO 5
2187-PROMOTE THE PROMPT , EFFICIENT, AND SAFE COMPL ETION OF THE PROJECT , 6
2188-PARTICULARLY WITH RE GARD TO THE CONSTRUC TION, MANUFACTURING , AND 7
2189-MAINTENANCE OF THE P ROJECT; 8
2190-
2191- (10) THE EXTENT TO WHICH AN APPLICANT ’S PLAN PROVIDES FOR 9
2192-COMPENSATION TO ITS EMPLOYEES AND SUBCON TRACTORS CONSISTENT WITH 10
2193-WAGES OUTLINED UNDER TITLE 17, SUBTITLE 2 OF THE STATE FINANCE AND 11
2194-PROCUREMENT ARTICLE; 12
2195-
2196- (11) SITING AND PROJECT F EASIBILITY; 13
2197-
2198- (12) THE EXTENT TO WHICH THE PROJECT WOULD RE QUIRE 14
2199-TRANSMISSION OR DIST RIBUTION INFRASTRUCT URE IMPROVEMENTS IN THE 15
2200-STATE; AND 16
2201-
2202- (13) ANY OTHER CRITERIA THAT THE COMMISSION DETERMINES ARE 17
2203-APPROPRIATE . 18
2204-
2205- (B) IN EVALUATING AND COM PARING AN APPLICATIO N FOR A NUCLEAR 19
2206-ENERGY GENERATION PR OJECT UNDER SUBSECTI ON (A) OF THIS SECTION , THE 20
2207-COMMISSION MAY CONTRA CT FOR THE SERVICES OF INDEPENDENT CONSU LTANTS 21
2208-AND EXPERTS. 22
2209-
2210- (C) (1) IN THIS PARAGRAPH , “MINORITY” MEANS AN INDIVIDUAL WHO IS 23
2211-A MEMBER OF ANY OF T HE GROUPS LISTED IN § 14–301(K)(1)(I) OF THE STATE 24
2212-FINANCE AND PROCUREMENT ARTICLE. 25
2213-
2214- (2) IF AN APPLICANT IS SE EKING INVESTORS IN A PROPOSED 26
2215-NUCLEAR ENERGY GENERATION PR OJECT, THE APPLICANT SHALL TAKE THE 27
2216-FOLLOWING STEPS BEFO RE THE COMMISSION MAY APPROV E THE PROPOSED 28
2217-PROJECT: 29
2218-
2219- (I) MAKE SERIOUS , GOOD–FAITH EFFORTS TO SOL ICIT AND 30
2220-INTERVIEW A REASONAB LE NUMBER OF MINORIT Y INVESTORS; 31
2221-
2222- (II) AS PART OF THE APPLICATION , SUBMIT A STATEMENT T O 32
2223-THE COMMISSION THAT LISTS THE NAMES AND ADDRES SES OF ALL MINORITY 33 SENATE BILL 937 49
2224-
2225-
2226-INVESTORS INTERVIEWE D AND WHETHER OR NOT ANY OF THOSE INVESTO RS HAVE 1
2227-PURCHASED AN EQUITY SHARE IN THE ENTITY SUBMITTING THE APPLI CATION; 2
2228-
2229- (III) SIGN A MEMORANDUM OF UN DERSTANDING WITH THE 3
2230-COMMISSION THAT REQUI RES THE APPLICANT TO AGAIN MAKE SERIOUS , 4
2231-GOOD–FAITH EFFORTS TO SOL ICIT AND INTERVIEW A REASONABLE NUMBER OF 5
2232-MINORITY INVESTORS I N ANY FUTURE ATTEMPT S TO RAISE VENTURE C APITAL OR 6
2233-ATTRACT NEW INV ESTORS TO THE PROJEC T; 7
2234-
2235- (IV) SIGN A MEMORANDUM OF UNDERSTANDING WITH T HE 8
2236-COMMISSION THAT REQUI RES THE APPLICANT TO USE BEST EFFORTS AND 9
2237-EFFECTIVE OUTREACH T O OBTAIN , AS A GOAL , CONTRACTORS AND 10
2238-SUBCONTRACTORS FOR T HE PROJECT THAT ARE MINORITY BUSINESS 11
2239-ENTERPRISES, TO THE EXTENT PRACTI CABLE, AS SUPPORTED BY A DI SPARITY 12
2240-STUDY; AND 13
2241-
2242- (V) SIGN A MEMORANDUM OF UNDERSTANDING WITH T HE 14
2243-COMMISSION AND SKILLE D LABOR ORGANIZATION S THAT REQUIRES THE 15
2244-APPLICANT TO FOLLOW THE PORTIONS OF THE APPLICANT’S PLAN THAT REL ATE TO 16
2245-THE CRITERIA SET FOR TH IN SUBSECTION (A)(8) AND (9) OF THIS SECTION. 17
2246-
2247- (3) THE GOVERNOR’S OFFICE OF SMALL, MINORITY, AND WOMEN 18
2248-BUSINESS AFFAIRS, IN CONSULTATION WITH THE OFFICE OF THE ATTORNEY 19
2249-GENERAL, SHALL PROVIDE ASSIST ANCE TO ALL POTENTIA L APPLICANTS AND 20
2250-POTENTIAL MINORITY I NVESTORS TO SATISFY THE REQUIREMENTS UND ER 21
2251-PARAGRAPH (2)(I) AND (III) OF THIS SUBSECTION . 22
2252-
2253-7–1212. 7–1216. 23
2254-
2255- (A) THE COMMISSION MAY NOT AP PROVE AN APPLICATION FOR A NUCLEAR 24
2256-ENERGY GENERATION PR OJECT SUBMITTED UNDE R § 7–1208 § 7–1212 OF THIS 25
2257-SUBTITLE UNLESS : 26
2258-
2259- (1) THE PROJECT IS CONNE CTED TO THE ELECTRIC DISTRIBUTION 27
2260-SYSTEM SERVING THE STATE; 28
2261-
2262- (2) OVER THE DURATION OF THE PROPOSED LONG –TERM PRICING 29
2263-SCHEDULE, THE PROJECTED NET RA TE IMPACT FOR AN AVE RAGE RESIDENTIAL 30
2264-CUSTOMER, BASED ON ANNUAL CONS UMPTION OF 12,000 KILOWATT–HOURS AND 31
2265-COMBINED WITH THE PR OJECTED NET RATE IMP ACT OF OTHER NUCLEAR ENERGY 32
2266-GENERATION PROJECTS , DOES NOT EXCEED AN A MOUNT DETERMINED BY THE 33
2267-COMMISSION; 34
2268- 50 SENATE BILL 937
2269-
2270-
2271- (3) OVER THE DURATION OF THE PROPOSED LONG –TERM PRICING 1
2272-SCHEDULE, THE PROJECTED NET RA TE IMPACT FOR ALL NO NRESIDENTIAL 2
2273-CUSTOMERS , CONSIDERED AS A BLEN DED AVERAGE AND COMB INED WITH THE 3
2274-PROJECTED NET RATE I MPACT OF OTHER NUCLE AR ENERGY GENERATION 4
2275-PROJECTS, DOES NOT EXCEED A PE RCENTAGE DETERMINED BY THE COMMISSION 5
2276-OF NONRESIDENTIAL CU STOMERS’ TOTAL ANNUAL ELECTRI C BILLS; AND 6
2277-
2278- (4) THE PRICE SPECIFIED IN THE PROPOSED LONG –TERM PRICING 7
2279-SCHEDULE DOES NOT EX CEED AN AMOUNT DETER MINED BY THE COMMISSION. 8
2280-
2281- (B) WHEN CALCULATING THE PROJECTED NET AVERAG E RATE IMPACTS 9
2282-FOR NUCLEAR ENERGY G ENERATION PROJECTS U NDER THIS SECTION , THE 10
2283-COMMISSION SHALL APPL Y THE SAME NET LONG –TERM COST PER 11
2284-MEGAWATT –HOUR TO RESIDENTIAL AND NONRESIDENTIAL C USTOMERS. 12
2285-
2286- (C) THE COMMISSION SHALL KEEP CONFIDENTIAL ANY AMO UNTS 13
2287-DETERMINED UNDER SUB SECTION (A) OF THIS SECTION. 14
2288-
2289-7–1213. 15
2290-
2291- (A) AN APPLICATION FOR A NUCLEAR ENERGY GENER ATION PROJECT 16
2292-SUBMITTED UNDER § 7–1208 OF THIS SUBTITLE IS SUBJECT TO A COMMUNI TY 17
2293-BENEFIT AGREEMENT . 18
2294-
2295- (B) A COMMUNITY BENEFIT AG REEMENT SHALL : 19
2296-
2297- (1) BE APPLICABLE TO THE DEVELOPMENT OF A NUC LEAR ENERGY 20
2298-GENERATION PROJECT ; 21
2299-
2300- (2) PROMOTE INCREASED OP PORTUNITIES FOR LOCA L BUSINESSES 22
2301-AND SMALL, MINORITY, WOMEN–OWNED, AND VETERAN –OWNED BUSINESSES IN THE 23
2302-RENEWABLE ENERGY IND USTRY; 24
2303-
2304- (3) ENSURE THE TIMELY , SAFE, AND EFFICIENT C OMPLETION OF THE 25
2305-PROJECT BY: 26
2306-
2307- (I) FACILITATING A STEAD Y SUPPLY OF HIGHLY S KILLED 27
2308-CRAFT WORKERS WHO SH ALL BE PAID NOT LESS THAN THE PREVAILING WAGE RATE 28
2309-DETERMINED BY THE COMMISSIONER OF LABOR AND INDUSTRY UNDER TITLE 17, 29
2310-SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 30
2311-
2312- (II) GUARANTEEING THAT TH E CONSTRUCTION WORK 31
2313-PERFORMED IN CONNECT ION WITH THE PROJECT WILL BE SUBJECT TO A N 32
2314-AGREEMENT THAT : 33 SENATE BILL 937 51
2315-
2316-
2317-
2318- 1. IS WITH ONE OR MORE LABOR ORGANIZATIONS ; AND 1
2319-
2320- 2. ESTABLISHES, IN ACCORDANCE WITH T HIS SECTION, 2
2321-THE TERMS AND CONDIT IONS OF EMPLOYMENT A T THE CONSTRUCTION S ITE OF THE 3
2322-PROJECT OR A PORTION OF THE PROJECT ; 4
2323-
2324- (4) PROMOTE SAFE COMPLET ION OF THE PROJECT B Y ENSURING 5
2325-THAT AT LEAST 80% OF THE CRAFT WORKERS ON THE PROJECT HAVE COMPLETED 6
2326-AN OCCUPATIONAL SAFETY AND HEALTH ADMINISTRATION 10–HOUR OR 30–HOUR 7
2327-COURSE; 8
2328-
2329- (5) PROMOTE CAREER TRAIN ING OPPORTUNITIES IN THE 9
2330-MANUFACTURING , MAINTENANCE , AND CONSTRUCTION IND USTRIES FOR LOCAL 10
2331-RESIDENTS, VETERANS, WOMEN, AND MINORITIES ; 11
2332-
2333- (6) PROVIDE FOR BEST EFF ORTS AND EFFECTIVE OUTR EACH TO 12
2334-OBTAIN, AS A GOAL, THE USE OF A WORKFOR CE INCLUDING MINORIT IES, TO THE 13
2335-EXTENT PRACTICABLE ; 14
2336-
2337- (7) REFLECT A 21ST–CENTURY LABOR –MANAGEMENT APPROACH BY 15
2338-DEVELOPERS AND SUPPL IERS BASED ON COOPER ATION, HARMONY, AND 16
2339-PARTNERSHIP THAT P ROACTIVELY SEEKS TO ENSURE THAT WORKERS CAN FREELY 17
2340-CHOOSE TO BOTH ORGAN IZE AND COLLECTIVELY BARGAIN; 18
2341-
2342- (8) PROVIDE PLANS TO USE DOMESTIC IRON , STEEL, AND 19
2343-MANUFACTURED GOODS T O THE GREATEST EXTEN T PRACTICABLE BY DIS CLOSING 20
2344-CONTRACTED SUPPLIERS ; 21
2345-
2346- (9) USE LOCALLY AND DOMESTIC ALLY MANUFACTURED 22
2347-CONSTRUCTION MATERIA LS AND COMPONENTS ; 23
2348-
2349- (10) MAXIMIZE THE USE OF SKILLED LOCAL LABOR , PARTICULARLY 24
2350-WITH REGARD TO THE C ONSTRUCTION AND MANU FACTURING COMPONENTS OF THE 25
2351-PROJECT, USING METHODS INCLUD ING OUTREACH , HIRING, OR REFERRAL 26
2352-METHODS THAT ARE AFF ILIATED WITH REGISTE RED APPRENTICESHIP P ROGRAMS 27
2353-UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT ARTICLE; 28
2354-
2355- (11) GUARANTEE AGAINST ST RIKES, LOCKOUTS, AND SIMILAR 29
2356-DISRUPTIONS; 30
2357-
2358- (12) ENSURE THAT ALL WORK ON THE PROJECT FULLY CONFOR MS TO 31
2359-ALL RELEVANT STATE AND FEDERAL LAW S, RULES, AND REGULATIONS ; 32
2360- 52 SENATE BILL 937
2361-
2362-
2363- (13) CREATE MUTUALLY BIND ING PROCEDURES FOR R ESOLVING 1
2364-LABOR DISPUTES ARISI NG DURING THE TERM O F THE PROJECT; 2
2365-
2366- (14) SET FORTH OTHER MECH ANISMS FOR LABOR –MANAGEMENT 3
2367-COOPERATION ON MATTER S OF MUTUAL INTEREST AND CONCERN , INCLUDING 4
2368-PRODUCTIVITY , QUALITY OF WORK , SAFETY, AND HEALTH; AND 5
2369-
2370- (15) BIND ALL CONTRACTORS AND SUBCONTRACTORS T O THE TERMS 6
2371-OF THE AGREEMENT THR OUGH THE INCLUSION O F APPROPRIATE PROVIS IONS IN 7
2372-ALL RELEVANT SOLICITATION AN D CONTRACT DOCUMENTS . 8
2373-
2374-7–1214. 7–1217. 9
2375-
2376- (A) AN ORDER THE COMMISSION ISSUES APP ROVING AN APPLICATIO N FOR 10
2377-A NUCLEAR ENERGY GEN ERATION PROJECT SUBM ITTED UNDER § 7–1208 § 7–1212 11
2378-OF THIS SUBTITLE SHA LL: 12
2379-
2380- (1) SPECIFY THE LONG –TERM PRICING SCHEDULE; 13
2381-
2382- (2) SPECIFY THE DURATION OF THE LONG–TERM PRICING SCHEDUL E, 14
2383-NOT TO EXCEED 30 YEARS; 15
2384-
2385- (3) PROVIDE THAT : 16
2386-
2387- (I) A PAYMENT MAY NOT BE MADE UNDER A LONG –TERM 17
2388-PRICING SCHEDULE UNT IL ELECTRICITY SUPPL Y IS GENERATED BY TH E PROJECT; 18
2389-AND 19
2390-
2391- (II) RATEPAYERS AND THE STATE SHALL BE HELD H ARMLESS 20
2392-FOR ANY COST OVERRUN S ASSOCIATED WITH TH E PROJECT; AND 21
2393-
2394- (4) REQUIRE THAT ANY DEB T INSTRUMENT ISSUED IN CONNECTION 22
2395-WITH THE PROJECT INC LUDE LANGUAGE SPECIF YING THAT THE DEBT I NSTRUMENT 23
2396-DOES NOT ESTABLISH A DEBT, AN OBLIGATION , OR A LIABILITY OF TH E STATE. 24
2397-
2398- (B) AN ORDER APPROVING A NUCLEAR ENERGY GENER ATION PROJECT 25
2399-VESTS THE OWNER OF T HE PROJECT WITH THE RIGHT TO RECEIVE PAY MENTS 26
2400-ACCORDING TO THE TER MS IN THE ORDER . 27
2401-
2402- (C) ON OR BEFORE MARCH 1 EACH YEAR, THE COMMISSION SHALL REPO RT 28
2403-TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE 29
2404-GOVERNMENT ARTICLE, THE SENATE COMMITTEE ON EDUCATION, ENERGY, AND 30
2405-THE ENVIRONMENT AND THE HOUSE ECONOMIC MATTERS COMMITTEE ON : 31
2406- SENATE BILL 937 53
2407-
2408-
2409- (1) APPLICANT COMPLIANCE WITH THE MINORI TY BUSINESS 1
2410-ENTERPRISE PARTICIPA TION GOALS UNDER § 7–1211(C) § 7–1215(B) OF THIS 2
2411-SUBTITLE; AND 3
2412-
2413- (2) WITH RESPECT TO THE COMMUNITY BENEFIT AG REEMENT UNDER 4
2414-§ 7–1213 § 7–1202 OF THIS SUBTITLE: 5
2415-
2416- (I) THE AVAILABILITY AND USE OF OPPORTUNITIES FOR LOCAL 6
2417-BUSINESSES AND SMALL , MINORITY, WOMEN–OWNED, AND VETERAN –OWNED 7
2418-BUSINESSES; 8
2419-
2420- (II) THE SUCCESS OF EFFOR TS TO PROMOTE CAREER TRAINING 9
2421-OPPORTUNITIES IN THE MANUFACTURING , MAINTENANCE , AND CONSTRUCTION 10
2422-INDUSTRIES FOR LOCAL RESIDENTS, VETERANS, WOMEN, AND MINORIT IES; AND 11
2423-
2424- (III) COMPLIANCE WITH THE MINORITY WORKFORCE G OAL 12
2425-UNDER § 7–1213(B) § 7–1202 OF THIS SUBTITLE. 13
2426-
2427-7–1215. 7–1218. 14
2428-
2429- (A) (1) SUBJECT TO SUBSECTION (B) OF THIS SECTION , IF IF THE 15
2430-COMMISSION APPROVES PROPOSALS THAT DEMON STRATE AN APPLICATION THAT 16
2431-DEMONSTRATES , BASED ON THE CRITERI A SPECIFIED IN § 7–1210 § 7–1214 OF THIS 17
2432-SUBTITLE, POSITIVE NET ECONOMI C, IMPACTS AND ENVIRONMENTAL , AND HEALTH 18
2433-BENEFITS TO THE STATE, THE COMMISSION SHALL APPROVE ORDERS TO 19
2434-FACILITATE THE FINAN CING OF NUCLEAR ENER GY GENERATION PROJECTS ISSUE 20
2435-AN ORDER IN COMPLIAN CE WITH § 7–1217 OF THIS SUBTITLE. 21
2436-
2437- (2) WHEN CALCULATING THE NET BENEFITS TO THE STATE UNDER 22
2438-PARAGRAPH (1) OF THIS SUBSECTION , THE COMMISSION MAY CONTRA CT FOR THE 23
2439-SERVICES OF INDEPEND ENT CONSULTANTS AND EXPERTS. 24
2440-
2441- (B) THE COMMISSION MAY NOT APPROVE ISSUE AN ORDER TO FACILITA TE 25
2442-THE FINANCING OF A N UCLEAR ENERGY GENERA TION PROJECT UNLESS THE 26
2443-PROJECT IS SUBJECT T O A COMMUNITY BENEFI T AGREEMENT UNDER § 7–1213 § 27
2444-7–1202 OF THIS SUBTITLE. 28
2445-
2446-7–1216. 7–1219. 29
2447-
2448- (A) THE FINDINGS AND EVIDENCE REL IED ON BY THE GENERAL ASSEMBLY 30
2449-FOR THE CONTINUATION OF THE MINORITY BUSINESS ENTERPRISE PROGRAM 31
2450-UNDER TITLE 14, SUBTITLE 3 OF THE STATE FINANCE AND PROCUREMENT 32
2451-ARTICLE ARE INCORPORA TED IN THIS SECTION . 33
2452- 54 SENATE BILL 937
2453-
2454-
2455- (B) TO THE EXTENT PRACTIC ABLE AND AUTHORIZED BY THE UNITED 1
2456-STATES CONSTITUTION, AN APPLICANT APPROVE D FOR A NUCLEAR ENER GY 2
2457-GENERATION PROJECT U NDER § 7–1209 § 7–1213 OF THIS SUBTITLE SHA LL COMPLY 3
2458-WITH THE STATE’S MINORITY BUSINESS ENTERPRISE PROGRAM. 4
2459-
2460- (C) (1) WITHIN 6 MONTHS AFTER THE ISS UANCE OF AN ORDER TH AT 5
2461-APPROVES A NUCLEAR E NERGY GENERATION PRO JECT AND INCLUDES A 6
2462-LONG–TERM PRICING COMPONE NT, THE GOVERNOR’S OFFICE OF SMALL, 7
2463-MINORITY, AND WOMEN BUSINESS AFFAIRS, IN CONSULTATION WITH THE OFFICE 8
2464-OF THE ATTORNEY GENERAL AND THE APPRO VED APPLICANT , SHALL ESTABLISH A 9
2465-CLEAR PLAN FOR SETTI NG REASONABLE AND AP PROPRIATE MINORITY B USINESS 10
2466-ENTERPRISE PARTICIPA TION GOALS AND PROCE DURES FOR EACH PHASE OF THE 11
2467-NUCLEAR ENERGY GENER ATION PROJECT . 12
2468-
2469- (2) TO THE EXTENT PRACTI CABLE, THE GOALS AND PROCED URES SET 13
2470-IN ACCORDANCE WITH P ARAGRAPH (1) OF THIS SUBSECTION S HALL BE BASED ON 14
2471-THE REQUIREMENTS OF TITLE 14, SUBTITLE 3 OF THE STATE FINANCE AND 15
2472-PROCUREMENT ARTICLE AND THE REGUL ATIONS IMPLEMENTING THAT SUBTITLE . 16
2473-
2474- (3) EVERY 6 MONTHS FOLLOWING THE ISSUANCE OF AN ORDER THAT 17
2475-APPROVES A NUCLEAR E NERGY GENERATION PRO JECT AND INCLUDES A 18
2476-LONG–TERM PRICING COMPONE NT, THE APPROVED APPLICA NT SHALL SUBMIT A 19
2477-REPORT ON THE PROGRE SS MADE TO ESTABLISH AND IMPLEMENT MINORI TY 20
2478-BUSINESS ENTERPRIS E GOALS AND PROCEDUR ES TO THE COMMISSION. 21
2479-
2480-7–1217. 7–1220. 22
2481-
2482- (A) IN THIS SECTION, “ZERO–EMISSION CREDIT ” MEANS THE DIFFERENCE 23
2483-BETWEEN THE PRICE TH AT A NUCLEAR ENERGY GENERATING STATION W ITH A 24
2484-LONG–TERM PRICING SCHEDUL E APPROVED IN AN ORD ER ISSUED UNDER § 7–1217 25
2485-OF THIS SUBTITLE MAY RECEIVE ON THE WHOLE SALE MARKET AND THE COST OF 26
2486-CONSTRUCTING THE NUC LEAR ENERGY GENERATI NG STATION. 27
2487-
2488- (B) THE COMMISSION SHALL ADOP T REGULATIONS THAT : 28
2489-
2490- (1) ESTABLISH THE NUCLEA R ENERGY LONG –TERM PRICING 29
2491-PURCHASE OBLIGATION SUFFICIENTLY IN ADVA NCE TO ALLOW AN ELEC TRIC 30
2492-COMPANY TO REFLECT N UCLEAR ENERGY LONG –TERM PRICING COSTS A S A 31
2493-NONBYPASSABLE SURCHA RGE PAID BY ALL DISTRIBU TION CUSTOMERS OF TH E 32
2494-ELECTRIC COMPAN Y THAT IS ADDED TO THE ELECTRIC COMPANY ’S BASE 33
2495-DISTRIBUTION RATE ON CUSTOMER BILLS ; 34
2496-
2497- (2) ESTABLISH A NONBYPAS SABLE SURCHARGE THAT ALLOWS AN 35
2498-ELECTRIC COMPANY TO RECOVER ALL COSTS AS SOCIATED WITH THE PU RCHASE OF 36 SENATE BILL 937 55
2499-
2500-
2501-NUCLEAR ENERGY FROM ALL DISTRIBUTION CUS TOMERS OF THE ELECTRIC 1
2502-COMPANY; 2
2503-
2504- (3) ESTABLISH AN ESCROW ACCOUNT THAT IS UNDE R COMMISSION 3
2505-SUPERVISION; AND 4
2506-
2507- (4) DEFINE RULES THAT FA CILITATE AND ENSURE THE SECURE AND 5
2508-TRANSPARENT TRANSFER OF REVENUES AND LONG –TERM PRICING PAYMENT S 6
2509-AMONG PARTIES ; 7
2510-
2511- (3) DEFINE THE TERMS AND PROCEDURES OF THE NU CLEAR ENERGY 8
2512-LONG–TERM PRICING SCHEDUL E OBLIGATIONS, INCLUDING: 9
2513-
2514- (I) ESTABLISHING A FORMU LA AND PROCESS TO AD JUST THE 10
2515-VALUE OF THE LONG –TERM PRICING SCHEDUL E EVERY 2 YEARS BASED ON 11
2516-PROJECTED WHOLESALE MARKET PRICES ADJUSTED BY T HE LOCATIONAL VALUE 12
2517-AND EARNING POTENTIA L IN THE PJM REGION OF THE NUCLEA R ENERGY 13
2518-GENERATING STATION ; AND 14
2519-
2520- (II) ESTABLISHING A PER M EGAWATT HOUR CAP ON ANY 15
2521-LONG–TERM PRICING SCHEDUL E SPECIFIED IN AN OR DER ISSUED UNDER § 7–1217 16
2522-OF THIS SUBTITLE; 17
2523-
2524- (4) REQUIRE THE COMMISSION TO ESTABLI SH AN ESCROW ACCOUNT ; 18
2525-AND 19
2526-
2527- (5) TO MEET THE TOTAL ST ATEWIDE LONG –TERM PRICING PURCHAS E 20
2528-OBLIGATION FOR ALL A PPLICATIONS APPROVED IN AN ORDER ISSUED U NDER § 21
2529-7–1217 OF THIS SUBTITLE , REQUIRE THE COMMISSION TO ANNUALLY ESTABL ISH 22
2530-EACH ELECTRIC COMPAN Y’S ZERO–EMISSION CREDIT PURC HASE OBLIGATION 23
2531-BASED ON THE MOST RE CENT FINAL ELECTRICI TY SALES DATA AS REP ORTED BY 24
2532-PJM INTERCONNECTION AND M EASURED AT THE CUSTO MER’S METER IN 25
2533-PROPORTION TO THE EL ECTRIC COMPANY ’S SHARE OF STATEWIDE LO AD. 26
2534-
2535- (B) (C) (1) EACH ELECTRIC COMPANY SHALL PROCURE FROM T HE 27
2536-ESCROW ACCOUNT ESTAB LISHED BY REGULATION UNDER THIS SECTION A VOLUME 28
2537-QUANTITY OF NUCLEAR ENERGY ZERO–EMISSION CREDITS EQUAL TO THE ELECTRI C 29
2538-COMPANY’S RESPECTIVE PERCENT AGE OF RETAIL ELECTRIC SA LES EACH YEAR. 30
2539-
2540- (2) (I) SUBJECT TO ANY ESCROW ACCOUNT RESERVE 31
2541-REQUIREMENT THE COMMISSION ESTABLISHE S, IF THERE IS ARE INSUFFICIENT 32
2542-NUCLEAR ENERGY ZERO–EMISSION CREDITS AVAILABLE TO SATISFY THE ELECTRIC 33
2543-COMPANIES’ NUCLEAR ENERGY OBLIGA TION ZERO–EMISSION CREDIT PURC HASE 34
2544-OBLIGATIONS, THE OVERPAYMENT SHAL L BE DISTRIBUTED TO ELECTRIC 35 56 SENATE BILL 937
2545-
2546-
2547-COMPANIES TO BE REFU NDED OR CREDITED TO EACH DISTRIBUTION CU STOMER 1
2548-BASED ON THE CUSTOME R’S CONSUMPTION OF ELE CTRICITY SUPPLY THAT IS 2
2549-SUBJECT TO THE RENEW ABLE ENERGY PORTFOLIO STAN DARD. 3
2550-
2551- (II) SUBJECT TO ANY ESCROW ACCOUNT RESERVE 4
2552-REQUIREMENT THE COMMISSION ESTABLISHE S, THE CALCULATION OF A N 5
2553-ELECTRIC COMPANY ’S NUCLEAR ENERGY PUR CHASE OBLIGATION SHA LL BE BASED 6
2554-ON FINAL ELECTRICITY SALES DATA AS REPORT ED BY PJM INTERCONNECTION AND 7
2555-MEASURED AT THE CUST OMER METER . 8
2556-
2557- (3) FOR EACH LONG –TERM PRICING SCHEDUL E FOR WHICH A 9
2558-NUCLEAR ENERGY GENER ATION PROJECT RECEIV ES PAYMENT , THE PROJECT 10
2559-SHALL: 11
2560-
2561- (I) SELL ALL ENERGY , CAPACITY, AND ANCILLARY SERVIC ES 12
2562-ASSOCIATED WITH THE CREATION OF THE LONG –TERM PRICING INTO TH E MARKETS 13
2563-OPERATED BY PJM INTERCONNECTION ; AND 14
2564-
2565- (II) DISTRIBUTE THE PROCE EDS RECEIVED FROM TH E SALES 15
2566-UNDER ITEM (I) OF THIS PARAGRAPH TO ELECTRIC COMPANIES T O BE REFUNDED 16
2567-OR CREDITED TO EACH DISTRIBUTION CUSTOME R BASED ON THE CUSTOME R’S 17
2568-CONSUMPTION OF ELECT RICITY SUPPLY THAT I S SUBJECT TO THE REN EWABLE 18
2569-ENERGY PORTFOLIO STA NDARD. 19
2570-
2571- (C) (D) A DEBT, AN OBLIGATION , OR A LIABILITY OF A NUCLEAR ENERGY 20
2572-GENERATION PROJECT O R OF AN OWNER OR OPE RATOR OF A NUCLEAR E NERGY 21
2573-GENERATION PROJECT MAY NOT BE CONSIDERED A DEBT, AN OBLIGATION , OR A 22
2574-LIABILITY OF THE STATE. 23
2575-
2576-7–1218. 7–1221. 24
2577-
2578- ON OR BEFORE JULY 1, 2027, THE COMMISSION SHALL ADOP T REGULATIONS 25
2579-TO CARRY OUT THIS PA RT. 26
2580-
2581-7–1222. RESERVED. 27
2582-
2583-7–1223. RESERVED. 28
2584-
2585-PART IV. TRANSMISSION ENERGY STORAGE DEVICES. 29
2586-
2587-7–1224. 30
2588-
2589- (A) THE COMMISSION SHALL , BY REGULATION OR ORD ER, ESTABLISH A 31
2590-COMPETITIVE PROCESS FOR THE PROCUREMENT OF PROJECTS FOR THE 32 SENATE BILL 937 57
2011+ (9) IF APPLICABLE, THE STATEMENT SPECIF IED IN § 7–1211(C)(2) § 4
2012+7–1215(B)(2) OF THIS SUBTITLE; AND 5
2013+
2014+ (10) ANY OTHER INFORMATIO N THE COMMISSION REQUIRES . 6
2015+
2016+7–1211. 7–1215. 7
2017+
2018+ (A) THE COMMISSION SHALL USE THE FOLLOWING CRITER IA TO EVALUATE 8
2019+AND COMPARE APPLICAT IONS FOR NUCLEAR ENE RGY GENERATION PROJE CTS 9
2020+SUBMITTED DURING AN APPLICATION PERIOD U NDER § 7–1208 § 7–1212 OF THIS 10
2021+SUBTITLE: 11
2022+
2023+ (1) THE LOWEST COST IMPA CT ON RATEPAYERS OF THE PRICE SET 12
2024+UNDER A PROPOSED LONG–TERM PRICING SCHEDULE ; 13
2025+
2026+ (2) POTENTIAL REDUCTIONS IN TRANSMISSION CONG ESTION PRICES 14
2027+WITHIN THE STATE; 15
2028+
2029+ (3) POTENTIAL CHANGES IN CAPACITY PRICES WITH IN THE STATE; 16
2030+
2031+ (4) POTENTIAL REDUCTIONS IN LOCATIONAL MARGINAL PRICING; 17
2032+
2033+ (5) POTENTIAL LONG –TERM CHANGES IN CAPA CITY PRICES WITHIN 18
2034+THE STATE FROM THE PROJEC T AS IT COMPARES TO CONVENTIONAL ENERGY 19
2035+SOURCES; 20
2036+
2037+ (6) THE EXTENT TO WHICH THE COST–BENEFIT ANALYSIS SUB MITTED 21
2038+UNDER § 7–1210 § 7–1214 OF THIS SUBTITLE DEMONSTR ATES POSITIVE NET 22
2039+ECONOMIC, ENVIRONMENTAL , AND HEALTH BENEFITS TO THE STATE; 23
2040+
2041+ (7) THE EXTENT TO WHICH AN APPLICANT ’S PLAN FOR ENGAGING 24
2042+SMALL BUSINESSES MEE TS THE GOALS SPECIFI ED IN TITLE 14, SUBTITLE 5 OF THE 25
2043+STATE FINANCE AND PROCUREMENT ARTICLE; 26
2044+
2045+ (8) THE EXTENT TO WHICH AN APPLICANT’S PLAN PROVIDES FOR THE 27
2046+USE OF SKILLED LABOR , PARTICULARLY WITH RE GARD TO THE CONSTRUC TION AND 28
2047+MANUFACTURING COMPON ENTS OF THE PROJECT , THROUGH OUTREACH , HIRING, 29
2048+OR REFERRAL SYSTEMS THAT ARE AFFILIATED WITH REGISTERED APPR ENTICESHIP 30
2049+PROGRAMS UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT 31
2050+ARTICLE; 32 SENATE BILL 937 45
2051+
2052+
2053+
2054+ (9) THE EXTENT TO WHICH AN APPLICANT’S PLAN PROVIDES FOR THE 1
2055+USE OF AN AGREEMENT DESIGNED TO ENSURE T HE USE OF SKILLED LA BOR AND TO 2
2056+PROMOTE THE PROMP T, EFFICIENT, AND SAFE COMPLETION OF THE PROJECT , 3
2057+PARTICULARLY WITH RE GARD TO THE CONSTRUC TION, MANUFACTURING , AND 4
2058+MAINTENANCE OF THE P ROJECT; 5
2059+
2060+ (10) THE EXTENT TO WHICH AN APPLICANT ’S PLAN PROVIDES FOR 6
2061+COMPENSATION TO ITS EMPLOYEES AND SUBCON TRACTORS CON SISTENT WITH 7
2062+WAGES OUTLINED UNDER TITLE 17, SUBTITLE 2 OF THE STATE FINANCE AND 8
2063+PROCUREMENT ARTICLE; 9
2064+
2065+ (11) SITING AND PROJECT F EASIBILITY; 10
2066+
2067+ (12) THE EXTENT TO WHICH THE PROJECT WOULD RE QUIRE 11
2068+TRANSMISSION OR DIST RIBUTION INFRASTRUCT URE IMPROVEMENTS IN THE 12
2069+STATE; AND 13
2070+
2071+ (13) ANY OTHER CRITERIA T HAT THE COMMISSION DETERMINES ARE 14
2072+APPROPRIATE . 15
2073+
2074+ (B) IN EVALUATING AND COM PARING AN APPLICATIO N FOR A NUCLEAR 16
2075+ENERGY GENERATION PR OJECT UNDER SUBSECTI ON (A) OF THIS SECTION , THE 17
2076+COMMISSION MAY CONTRA CT FOR THE SER VICES OF INDEPENDENT CONSULTANTS 18
2077+AND EXPERTS. 19
2078+
2079+ (C) (1) IN THIS PARAGRAPH , “MINORITY” MEANS AN INDIVIDUAL WHO IS 20
2080+A MEMBER OF ANY OF T HE GROUPS LISTED IN § 14–301(K)(1)(I) OF THE STATE 21
2081+FINANCE AND PROCUREMENT ARTICLE. 22
2082+
2083+ (2) IF AN APPLICANT IS SE EKING INVES TORS IN A PROPOSED 23
2084+NUCLEAR ENERGY GENER ATION PROJECT , THE APPLICANT SHALL TAKE THE 24
2085+FOLLOWING STEPS BEFO RE THE COMMISSION MAY APPROV E THE PROPOSED 25
2086+PROJECT: 26
2087+
2088+ (I) MAKE SERIOUS , GOOD–FAITH EFFORTS TO SOL ICIT AND 27
2089+INTERVIEW A REASONAB LE NUMBER OF MINORIT Y INVESTORS; 28
2090+
2091+ (II) AS PART OF THE APPLI CATION, SUBMIT A STATEMENT T O 29
2092+THE COMMISSION THAT LISTS THE NAMES AND ADDRES SES OF ALL MINORITY 30
2093+INVESTORS INTERVIEWE D AND WHETHER OR NOT ANY OF THOSE INVESTO RS HAVE 31
2094+PURCHASED AN EQUITY SHARE IN THE ENTITY SUBMITTING THE APPLICATION; 32
2095+ 46 SENATE BILL 937
2096+
2097+
2098+ (III) SIGN A MEMORANDUM OF UNDERSTANDING WITH T HE 1
2099+COMMISSION THAT REQUI RES THE APPLICANT TO AGAIN MAKE SERIOUS , 2
2100+GOOD–FAITH EFFORTS TO SOL ICIT AND INTERVIEW A REASONABLE NUMBER OF 3
2101+MINORITY INVESTORS I N ANY FUTURE ATTEMPT S TO RAISE VENTURE CAPITAL OR 4
2102+ATTRACT NEW INVESTOR S TO THE PROJECT ; 5
2103+
2104+ (IV) SIGN A MEMORANDUM OF UNDERSTANDING WITH T HE 6
2105+COMMISSION THAT REQUI RES THE APPLICANT TO USE BEST EFFORTS AND 7
2106+EFFECTIVE OUTREACH T O OBTAIN , AS A GOAL , CONTRACTORS AND 8
2107+SUBCONTRACTORS FOR T HE PROJECT T HAT ARE MINORITY BUS INESS 9
2108+ENTERPRISES , TO THE EXTENT PRACTI CABLE, AS SUPPORTED BY A DI SPARITY 10
2109+STUDY; AND 11
2110+
2111+ (V) SIGN A MEMORANDUM OF UNDERSTANDING WITH T HE 12
2112+COMMISSION AND SKILLE D LABOR ORGANIZATION S THAT REQUIRES THE 13
2113+APPLICANT TO FOLLOW THE PORTIONS OF TH E APPLICANT’S PLAN THAT RELATE T O 14
2114+THE CRITERIA SET FOR TH IN SUBSECTION (A)(8) AND (9) OF THIS SECTION. 15
2115+
2116+ (3) THE GOVERNOR’S OFFICE OF SMALL, MINORITY, AND WOMEN 16
2117+BUSINESS AFFAIRS, IN CONSULTATION WITH THE OFFICE OF THE ATTORNEY 17
2118+GENERAL, SHALL PROVIDE ASSIS TANCE TO ALL POTENTI AL APPLICANTS AND 18
2119+POTENTIAL MINORITY I NVESTORS TO SATISFY THE REQUIREMENTS UND ER 19
2120+PARAGRAPH (2)(I) AND (III) OF THIS SUBSECTION . 20
2121+
2122+7–1212. 7–1216. 21
2123+
2124+ (A) THE COMMISSION MAY NOT AP PROVE AN APPLICATION FOR A NUCLEAR 22
2125+ENERGY GENERATION PR OJECT SUBMITTED UNDER § 7–1208 § 7–1212 OF THIS 23
2126+SUBTITLE UNLESS : 24
2127+
2128+ (1) THE PROJECT IS CONNE CTED TO THE ELECTRIC DISTRIBUTION 25
2129+SYSTEM SERVING THE STATE; 26
2130+
2131+ (2) OVER THE DURATION OF THE PROPOSED LONG –TERM PRICING 27
2132+SCHEDULE, THE PROJECTED NET RA TE IMPACT FOR AN AVERAGE RESIDENTIAL 28
2133+CUSTOMER, BASED ON ANNUAL CONS UMPTION OF 12,000 KILOWATT–HOURS AND 29
2134+COMBINED WITH THE PR OJECTED NET RATE IMP ACT OF OTHER NUCLEAR ENERGY 30
2135+GENERATION PROJECTS , DOES NOT EXCEED AN A MOUNT DETERMINED BY THE 31
2136+COMMISSION; 32
2137+
2138+ (3) OVER THE DURATION OF THE PROPOSED LONG –TERM PRICING 33
2139+SCHEDULE, THE PROJECTED NET RA TE IMPACT FOR ALL NO NRESIDENTIAL 34
2140+CUSTOMERS , CONSIDERED AS A BLEN DED AVERAGE AND COMB INED WITH THE 35
2141+PROJECTED NET RATE I MPACT OF OTHER NUCLE AR ENERGY GENERATION 36 SENATE BILL 937 47
2142+
2143+
2144+PROJECTS, DOES NOT EXCEED A PE RCENTAGE DETERMINED BY THE COMMISSION 1
2145+OF NONRESIDENTIAL CU STOMERS’ TOTAL ANNUAL ELECTRI C BILLS; AND 2
2146+
2147+ (4) THE PRICE SPECIFIED IN THE PROPOSED LONG –TERM PRICING 3
2148+SCHEDULE DOES NOT EX CEED AN AMOUNT DETER MINED BY THE COMMISSION. 4
2149+
2150+ (B) WHEN CALCULATING THE PROJECTED NET AVERAGE RAT E IMPACTS 5
2151+FOR NUCLEAR ENERGY G ENERATION PROJECTS U NDER THIS SECTION , THE 6
2152+COMMISSION SHALL APPL Y THE SAME NET LONG –TERM COST PER 7
2153+MEGAWATT –HOUR TO RESIDENTIAL AND NONRESIDENTIAL C USTOMERS. 8
2154+
2155+ (C) THE COMMISSION SHALL KEEP CONFIDENTIAL ANY AMOUNTS 9
2156+DETERMINED UNDER SUB SECTION (A) OF THIS SECTION. 10
2157+
2158+7–1213. 11
2159+
2160+ (A) AN APPLICATION FOR A NUCLEAR ENERGY GENER ATION PROJECT 12
2161+SUBMITTED UNDER § 7–1208 OF THIS SUBTITLE IS SUBJECT TO A COMMUNI TY 13
2162+BENEFIT AGREEMENT . 14
2163+
2164+ (B) A COMMUNITY BENEFIT AG REEMENT SHALL : 15
2165+
2166+ (1) BE APPLICABLE TO THE DEVELOPMENT OF A NUC LEAR ENERGY 16
2167+GENERATION PROJECT ; 17
2168+
2169+ (2) PROMOTE INCREASED OP PORTUNITIES FOR LOCA L BUSINESSES 18
2170+AND SMALL, MINORITY, WOMEN–OWNED, AND VETERAN –OWNED BUSINESSES IN THE 19
2171+RENEWABLE ENERGY IND USTRY; 20
2172+
2173+ (3) ENSURE THE TIMELY, SAFE, AND EFFICIENT COMPLE TION OF THE 21
2174+PROJECT BY: 22
2175+
2176+ (I) FACILITATING A STEAD Y SUPPLY OF HIGHLY S KILLED 23
2177+CRAFT WORKERS WHO SH ALL BE PAID NOT LESS THAN THE PREVAILING WAGE RATE 24
2178+DETERMINED BY THE COMMISSIONER OF LABOR AND INDUSTRY UNDER TITLE 17, 25
2179+SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT ARTICLE; AND 26
2180+
2181+ (II) GUARANTEEING THAT TH E CONSTRUCTION WORK 27
2182+PERFORMED IN CONNECT ION WITH THE PROJECT WILL BE SUBJECT TO A N 28
2183+AGREEMENT THAT : 29
2184+
2185+ 1. IS WITH ONE OR MORE LABOR ORGANIZATIONS ; AND 30
2186+ 48 SENATE BILL 937
2187+
2188+
2189+ 2. ESTABLISHES, IN ACCORDANCE WITH T HIS SECTION, 1
2190+THE TERMS AND CONDIT IONS OF EMPLOYMENT A T THE CONSTRUCTION S ITE OF THE 2
2191+PROJECT OR A PORTION OF THE PROJECT ; 3
2192+
2193+ (4) PROMOTE SAFE COMPLET ION OF THE PROJECT B Y ENSURING 4
2194+THAT AT LEAST 80% OF THE CRAFT WORKERS ON THE PROJECT HAVE COMPL ETED 5
2195+AN OCCUPATIONAL SAFETY AND HEALTH ADMINISTRATION 10–HOUR OR 30–HOUR 6
2196+COURSE; 7
2197+
2198+ (5) PROMOTE CAREER TRAIN ING OPPORTUNITIES IN THE 8
2199+MANUFACTURING , MAINTENANCE , AND CONSTRUCTION IND USTRIES FOR LOCAL 9
2200+RESIDENTS, VETERANS, WOMEN, AND MINOR ITIES; 10
2201+
2202+ (6) PROVIDE FOR BEST EFF ORTS AND EFFECTIVE O UTREACH TO 11
2203+OBTAIN, AS A GOAL, THE USE OF A WORKFOR CE INCLUDING MINORIT IES, TO THE 12
2204+EXTENT PRACTICABLE ; 13
2205+
2206+ (7) REFLECT A 21ST–CENTURY LABOR –MANAGEMENT APPROACH BY 14
2207+DEVELOPERS AND SUPPL IERS BASED ON COOPERATION , HARMONY, AND 15
2208+PARTNERSHIP THAT PRO ACTIVELY SEEKS TO EN SURE THAT WORKERS CA N FREELY 16
2209+CHOOSE TO BOTH ORGAN IZE AND COLLECTIVELY BARGAIN; 17
2210+
2211+ (8) PROVIDE PLANS TO USE DOMESTIC IRON , STEEL, AND 18
2212+MANUFACTURED GOODS T O THE GREATEST EXTEN T PRACTICABLE BY DISCLOSING 19
2213+CONTRACTED SUPPLIERS ; 20
2214+
2215+ (9) USE LOCALLY AND DOME STICALLY MANUFACTURE D 21
2216+CONSTRUCTION MATERIA LS AND COMPONENTS ; 22
2217+
2218+ (10) MAXIMIZE THE USE OF SKILLED LOCAL LABOR , PARTICULARLY 23
2219+WITH REGARD TO THE C ONSTRUCTION AND MANU FACTURING COMPONENTS OF THE 24
2220+PROJECT, USING METHODS INCLUD ING OUTREACH , HIRING, OR REFERRAL 25
2221+METHODS THAT ARE AFF ILIATED WITH REGISTE RED APPRENTICESHIP P ROGRAMS 26
2222+UNDER TITLE 11, SUBTITLE 4 OF THE LABOR AND EMPLOYMENT ARTICLE; 27
2223+
2224+ (11) GUARANTEE AGAINST ST RIKES, LOCKOUTS, AND SIMILAR 28
2225+DISRUPTIONS; 29
2226+
2227+ (12) ENSURE THAT ALL WORK ON THE PROJECT FULLY CONFORMS TO 30
2228+ALL RELEVANT STATE AND FEDERAL LAW S, RULES, AND REGULATIONS ; 31
2229+
2230+ (13) CREATE MUTUALLY BIND ING PROCEDURES FOR R ESOLVING 32
2231+LABOR DISPUTES ARISI NG DURING THE TERM O F THE PROJECT; 33
2232+ SENATE BILL 937 49
2233+
2234+
2235+ (14) SET FORTH OTHER MECHANISMS FOR LABOR –MANAGEMENT 1
2236+COOPERATION ON MATTE RS OF MUTUAL INTERES T AND CONCERN , INCLUDING 2
2237+PRODUCTIVITY , QUALITY OF WORK , SAFETY, AND HEALTH; AND 3
2238+
2239+ (15) BIND ALL CONTRACTORS AND SUBCONTRACTORS T O THE TERMS 4
2240+OF THE AGREEMENT THR OUGH THE INCLUSION OF APPROPR IATE PROVISIONS IN 5
2241+ALL RELEVANT SOLICIT ATION AND CONTRACT D OCUMENTS. 6
2242+
2243+7–1214. 7–1217. 7
2244+
2245+ (A) AN ORDER THE COMMISSION ISSUES APP ROVING AN APPLICATIO N FOR 8
2246+A NUCLEAR ENERGY GEN ERATION PROJECT SUBM ITTED UNDER § 7–1208 § 7–1212 9
2247+OF THIS SUBTITLE SHALL: 10
2248+
2249+ (1) SPECIFY THE LONG –TERM PRICING SCHEDUL E; 11
2250+
2251+ (2) SPECIFY THE DURATION OF THE LONG–TERM PRICING SCHEDUL E, 12
2252+NOT TO EXCEED 30 YEARS; 13
2253+
2254+ (3) PROVIDE THAT : 14
2255+
2256+ (I) A PAYMENT MAY NOT BE MADE UNDER A LONG –TERM 15
2257+PRICING SCHEDULE UNT IL ELECTRICITY SUP PLY IS GENERATED BY THE PROJECT ; 16
2258+AND 17
2259+
2260+ (II) RATEPAYERS AND THE STATE SHALL BE HELD H ARMLESS 18
2261+FOR ANY COST OVERRUN S ASSOCIATED WITH TH E PROJECT; AND 19
2262+
2263+ (4) REQUIRE THAT ANY DEB T INSTRUMENT ISSUED IN CONNECTION 20
2264+WITH THE PROJECT INC LUDE LANGUAGE SPECIF YING THAT THE DEBT INSTRUM ENT 21
2265+DOES NOT ESTABLISH A DEBT, AN OBLIGATION , OR A LIABILITY OF TH E STATE. 22
2266+
2267+ (B) AN ORDER APPROVING A NUCLEAR ENERGY GENER ATION PROJECT 23
2268+VESTS THE OWNER OF T HE PROJECT WITH THE RIGHT TO RECEIVE PAY MENTS 24
2269+ACCORDING TO THE TER MS IN THE ORDE R. 25
2270+
2271+ (C) ON OR BEFORE MARCH 1 EACH YEAR, THE COMMISSION SHALL REPO RT 26
2272+TO THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF THE STATE 27
2273+GOVERNMENT ARTICLE, THE SENATE COMMITTEE ON EDUCATION, ENERGY, AND 28
2274+THE ENVIRONMENT AND THE HOUSE ECONOMIC MATTERS COMMITTEE O N: 29
2275+
2276+ (1) APPLICANT COMPLIANCE WITH THE MINORITY BU SINESS 30
2277+ENTERPRISE PARTICIPA TION GOALS UNDER § 7–1211(C) § 7–1215(B) OF THIS 31
2278+SUBTITLE; AND 32 50 SENATE BILL 937
2279+
2280+
2281+
2282+ (2) WITH RESPECT TO THE COMMUNITY BENEFIT AG REEMENT UNDER 1
2283+§ 7–1213 § 7–1202 OF THIS SUBTITLE: 2
2284+
2285+ (I) THE AVAILABILITY AND USE OF OPPORTUNITIES FOR LOCAL 3
2286+BUSINESSES AND SMALL , MINORITY, WOMEN–OWNED, AND VETERAN –OWNED 4
2287+BUSINESSES; 5
2288+
2289+ (II) THE SUCCESS OF EFFOR TS TO PROMOTE CAREER TRAINING 6
2290+OPPORTUNITIES IN THE MANUFACTURING , MAINTENANCE , AND CONSTRUCTION 7
2291+INDUSTRIES FOR LOCAL RESIDEN TS, VETERANS, WOMEN, AND MINORITIES ; AND 8
2292+
2293+ (III) COMPLIANCE WITH THE MINORITY WORKFORCE G OAL 9
2294+UNDER § 7–1213(B) § 7–1202 OF THIS SUBTITLE. 10
2295+
2296+7–1215. 7–1218. 11
2297+
2298+ (A) (1) SUBJECT TO SUBSECTION (B) OF THIS SECTION , IF IF THE 12
2299+COMMISSION APPRO VES PROPOSALS THAT DEMON STRATE AN APPLICATION THAT 13
2300+DEMONSTRATES , BASED ON THE CRITERI A SPECIFIED IN § 7–1210 § 7–1214 OF THIS 14
2301+SUBTITLE, POSITIVE NET ECONOMI C, IMPACTS AND ENVIRONMENTAL , AND HEALTH 15
2302+BENEFITS TO THE STATE, THE COMMISSION SHALL APPROVE ORDERS TO 16
2303+FACILITATE THE FINAN CING OF NUCLEAR ENER GY GENERATION PROJECTS ISSUE 17
2304+AN ORDER IN COMPLIAN CE WITH § 7–1217 OF THIS SUBTITLE. 18
2305+
2306+ (2) WHEN CALCULATING THE NET BENEFITS TO THE STATE UNDER 19
2307+PARAGRAPH (1) OF THIS SUBSECTION , THE COMMISSION MAY CONTRA CT FOR THE 20
2308+SERVICES OF INDEPEND ENT CONSULTANTS AND EXPERTS. 21
2309+
2310+ (B) THE COMMISSION MAY NOT APPROVE ISSUE AN ORDER TO FACILITA TE 22
2311+THE FINANCING OF A N UCLEAR ENERGY GENERA TION PROJECT UNLESS THE 23
2312+PROJECT IS SUBJECT T O A COMMUNITY BENEFI T AGREEMENT UNDER § 7–1213 § 24
2313+7–1202 OF THIS SUBTITLE. 25
2314+
2315+7–1216. 7–1219. 26
2316+
2317+ (A) THE FINDINGS AND EVID ENCE RELIED ON BY TH E GENERAL ASSEMBLY 27
2318+FOR THE CONTINUATION OF THE MINORITY BUSINESS ENTERPRISE PROGRAM 28
2319+UNDER TITLE 14, SUBTITLE 3 OF THE STATE FINANCE AND PROCUREMENT 29
2320+ARTICLE ARE INCORPORA TED IN THIS SECTION. 30
2321+
2322+ (B) TO THE EXTENT PRACTIC ABLE AND AUTHORIZED BY THE UNITED 31
2323+STATES CONSTITUTION, AN APPLICANT APPROVE D FOR A NUCLEAR ENER GY 32 SENATE BILL 937 51
2324+
2325+
2326+GENERATION PROJECT U NDER § 7–1209 § 7–1213 OF THIS SUBTITLE SHA LL COMPLY 1
2327+WITH THE STATE’S MINORITY BUSINESS ENTERPRISE PROGRAM. 2
2328+
2329+ (C) (1) WITHIN 6 MONTHS AFTER THE ISS UANCE OF AN ORDER TH AT 3
2330+APPROVES A NUCLEAR E NERGY GENERATION PRO JECT AND INCLUDES A 4
2331+LONG–TERM PRICING COMPONE NT, THE GOVERNOR’S OFFICE OF SMALL, 5
2332+MINORITY, AND WOMEN BUSINESS AFFAIRS, IN CONSULTATION WITH THE OFFICE 6
2333+OF THE ATTORNEY GENERAL AND THE APPRO VED APPLICANT , SHALL ESTABLISH A 7
2334+CLEAR PLAN FOR SETTI NG REASONABLE AND AP PROPRIATE MINORITY B USINESS 8
2335+ENTERPRISE PARTICIPA TION GOALS AND PROCE DURES FOR EACH PHASE OF THE 9
2336+NUCLEAR ENERGY GENER ATION PROJECT . 10
2337+
2338+ (2) TO THE EXTENT PRACTIC ABLE, THE GOALS AND PROCED URES SET 11
2339+IN ACCORDANCE WITH P ARAGRAPH (1) OF THIS SUBSECTION S HALL BE BASED ON 12
2340+THE REQUIREMENTS OF TITLE 14, SUBTITLE 3 OF THE STATE FINANCE AND 13
2341+PROCUREMENT ARTICLE AND THE REGUL ATIONS IMPLEMENTING THAT SUBTITLE. 14
2342+
2343+ (3) EVERY 6 MONTHS FOLLOWING THE ISSUANCE OF AN ORDER THAT 15
2344+APPROVES A NUCLEAR E NERGY GENERATION PRO JECT AND INCLUDES A 16
2345+LONG–TERM PRICING COMPONE NT, THE APPROVED APPLICA NT SHALL SUBMIT A 17
2346+REPORT ON THE PROGRE SS MADE TO ESTABLISH AND IMPLEMENT MIN ORITY 18
2347+BUSINESS ENTERPRISE GOALS AND PROCEDURES TO THE COMMISSION. 19
2348+
2349+7–1217. 7–1220. 20
2350+
2351+ (A) IN THIS SECTION, “ZERO–EMISSION CREDIT ” MEANS THE DIFFERENCE 21
2352+BETWEEN THE PRICE TH AT A NUCLEAR ENERGY GENERATING STATION W ITH A 22
2353+LONG–TERM PRICING SCHEDUL E APPROVED IN AN ORD ER ISSUED UNDER § 7–1217 23
2354+OF THIS SUBTITLE MAY RECEIVE ON THE WHOLE SALE MARKET AND THE COST OF 24
2355+CONSTRUCTING THE NUC LEAR ENERGY GENERATING STATIO N. 25
2356+
2357+ (B) THE COMMISSION SHALL ADOP T REGULATIONS THAT : 26
2358+
2359+ (1) ESTABLISH THE NUCLEA R ENERGY LONG –TERM PRICING 27
2360+PURCHASE OBLIGATION SUFFICIENTLY IN ADVA NCE TO ALLOW AN ELEC TRIC 28
2361+COMPANY TO REFLECT N UCLEAR ENERGY LONG –TERM PRICING COSTS A S A 29
2362+NONBYPASSABLE SURCHA RGE PAID BY ALL DISTRIBU TION CUSTOMERS OF TH E 30
2363+ELECTRIC COMPANY THAT IS ADDED TO THE ELECTRIC COMPANY ’S BASE 31
2364+DISTRIBUTION RATE ON CUSTOMER BILLS ; 32
2365+
2366+ (2) ESTABLISH A NONBYPAS SABLE SURCHARGE THAT ALLOWS AN 33
2367+ELECTRIC COMPANY TO RECOVER ALL COSTS ASSOCIATED WIT H THE PURCHASE OF 34
2368+NUCLEAR ENERGY FROM ALL DISTRIBUTION CUS TOMERS OF THE ELECTR IC 35
2369+COMPANY; 36 52 SENATE BILL 937
2370+
2371+
2372+
2373+ (3) ESTABLISH AN ESCROW ACCOUNT THAT IS UNDE R COMMISSION 1
2374+SUPERVISION; AND 2
2375+
2376+ (4) DEFINE RULES THAT FA CILITATE AND ENSURE THE SECURE AND 3
2377+TRANSPARENT TRANSFER OF R EVENUES AND LONG –TERM PRICING PAYMENT S 4
2378+AMONG PARTIES ; 5
2379+
2380+ (3) DEFINE THE TERMS AND PROCEDURES OF THE NU CLEAR ENERGY 6
2381+LONG–TERM PRICING SCHEDUL E OBLIGATIONS, INCLUDING: 7
2382+
2383+ (I) ESTABLISHING A FORMU LA AND PROCESS TO AD JUST THE 8
2384+VALUE OF THE LONG–TERM PRICING SCHEDUL E EVERY 2 YEARS BASED ON 9
2385+PROJECTED WHOLESALE MARKET PRICES ADJUST ED BY THE LOCATIONAL VALUE 10
2386+AND EARNING POTENTIA L IN THE PJM REGION OF THE NUCLEA R ENERGY 11
2387+GENERATING STATION ; AND 12
2388+
2389+ (II) ESTABLISHING A PER M EGAWATT HOUR CAP ON ANY 13
2390+LONG–TERM PRICING SCHEDUL E SPECIFIED IN AN OR DER ISSUED UNDER § 7–1217 14
2391+OF THIS SUBTITLE; 15
2392+
2393+ (4) REQUIRE THE COMMISSION TO ESTABLI SH AN ESCROW ACCOUNT ; 16
2394+AND 17
2395+
2396+ (5) TO MEET THE TOTAL ST ATEWIDE LONG –TERM PRICING PURCHAS E 18
2397+OBLIGATION FOR ALL A PPLICATIONS APPROV ED IN AN ORDER ISSUE D UNDER § 19
2398+7–1217 OF THIS SUBTITLE , REQUIRE THE COMMISSION TO ANNUALL Y ESTABLISH 20
2399+EACH ELECTRIC COMPAN Y’S ZERO–EMISSION CREDIT PURC HASE OBLIGATION 21
2400+BASED ON THE MOST RE CENT FINAL ELECTRICI TY SALES DATA AS REP ORTED BY 22
2401+PJM INTERCONNECTION A ND MEASURED AT THE C USTOMER’S METER IN 23
2402+PROPORTION TO THE EL ECTRIC COMPANY ’S SHARE OF STATEWIDE LOAD. 24
2403+
2404+ (B) (C) (1) EACH ELECTRIC COMPANY SHALL PROCURE FROM T HE 25
2405+ESCROW ACCOUNT ESTAB LISHED BY REGULATION UNDER THIS SECTION A VOLUME 26
2406+QUANTITY OF NUCLEAR ENERGY ZERO–EMISSION CREDITS EQUAL TO THE ELECTRI C 27
2407+COMPANY’S RESPECTIVE PERCENT AGE OF RETAIL ELECTR IC SALES EACH YEAR . 28
2408+
2409+ (2) (I) SUBJECT TO ANY ESCROW ACCOUNT RESERVE 29
2410+REQUIREMENT THE COMMISSION ESTABLISHE S, IF THERE IS ARE INSUFFICIENT 30
2411+NUCLEAR ENERGY ZERO–EMISSION CREDITS AVAILABLE TO SATISFY THE ELECTRIC 31
2412+COMPANIES’ NUCLEAR ENERGY OBLIGATION ZERO–EMISSION CREDIT PURC HASE 32
2413+OBLIGATIONS, THE OVERPAYMENT SHAL L BE DISTRIBUTED TO ELECTRIC 33
2414+COMPANIES TO BE REFU NDED OR CREDITED TO EACH DISTRIBUTION CU STOMER 34 SENATE BILL 937 53
2415+
2416+
2417+BASED ON THE CUSTOMER’S CONSUMPTION OF ELE CTRICITY SUPPLY THAT IS 1
2418+SUBJECT TO THE RENEW ABLE ENERGY PORTFOLI O STANDARD. 2
2419+
2420+ (II) SUBJECT TO ANY ESCROW ACCOUNT RESERVE 3
2421+REQUIREMENT THE COMMISSION ESTABLISHE S, THE CALCULATION OF A N 4
2422+ELECTRIC COMPANY ’S NUCLEAR ENERGY PUR CHASE OBLIGATION SHALL BE BASED 5
2423+ON FINAL ELECTRICITY SALES DATA AS REPORT ED BY PJM INTERCONNECTION AND 6
2424+MEASURED AT THE CUST OMER METER . 7
2425+
2426+ (3) FOR EACH LONG –TERM PRICING SCHEDUL E FOR WHICH A 8
2427+NUCLEAR ENERGY GENER ATION PROJECT RECEIV ES PAYMENT , THE PROJECT 9
2428+SHALL: 10
2429+
2430+ (I) SELL ALL ENERGY , CAPACITY, AND ANCILLARY SERVIC ES 11
2431+ASSOCIATED WITH THE CREATION OF THE LONG –TERM PRICING INTO TH E MARKETS 12
2432+OPERATED BY PJM INTERCONNECTION ; AND 13
2433+
2434+ (II) DISTRIBUTE THE PROCE EDS RECEIVED FROM TH E SALES 14
2435+UNDER ITEM (I) OF THIS PARAGRAPH TO ELECTRIC COMPANIE S TO BE REFUNDED 15
2436+OR CREDITED TO EACH DISTRIBUTION CUSTOME R BASED ON THE CUSTO MER’S 16
2437+CONSUMPTION OF ELECT RICITY SUPPLY THAT I S SUBJECT TO THE REN EWABLE 17
2438+ENERGY PORTFOLIO STA NDARD. 18
2439+
2440+ (C) (D) A DEBT, AN OBLIGATION , OR A LIABILITY OF A NUCLEAR ENERGY 19
2441+GENERATION PROJECT O R OF AN OWNER OR OPE RATOR OF A NUCLEAR E NERGY 20
2442+GENERATION PROJECT M AY NOT BE CONSIDERED A DEBT, AN OBLIGATION , OR A 21
2443+LIABILITY OF THE STATE. 22
2444+
2445+7–1218. 7–1221. 23
2446+
2447+ ON OR BEFORE JULY 1, 2027, THE COMMISSION SHALL ADOP T REGULATIONS 24
2448+TO CARRY OUT THIS PART . 25
2449+
2450+7–1222. RESERVED. 26
2451+
2452+7–1223. RESERVED. 27
2453+
2454+PART IV. TRANSMISSION ENERGY STORAGE DEVICES. 28
2455+
2456+7–1224. 29
2457+
2458+ (A) THE COMMISSION SHALL , BY REGULATION OR ORD ER, ESTABLISH A 30
2459+COMPETITIVE PROCESS FOR THE PROCUREMENT OF PROJECTS FOR THE 31 54 SENATE BILL 937
25912460
25922461
25932462 CONSTRUCTION AND DEPLOYMENT OF FRONT –OF–THE–METER TRANSMISSION 1
25942463 ENERGY STORAGE DEVIC ES IN THE STATE. 2
25952464
25962465 (B) (1) (I) ON OR BEFORE JANUARY 1, 2026, THE COMMISSION SHALL 3
25972466 ISSUE A PROCUREMENT SOLICITATION FOR APP LICATIONS FOR PROJEC TS FOR THE 4
25982467 CONSTRUCTION AND DEP LOYMENT OF FRONT –OF–THE–METER TRANSMISSION 5
25992468 ENERGY STORAGE DEVIC ES. 6
26002469
26012470 (II) THE PROCUREMENT SOLIC ITATION SHALL BE FOR A 7
26022471 MAXIMUM OF 800 MEGAWATTS OF CUMULAT IVE ENERGY STORAGE C APACITY, AS 8
26032472 MEASURED IN EFFECTIV E NAMEPLATE CAPACITY . 9
26042473
26052474 (2) ON OR BEFORE OCTOBER 1, 2026, THE COMMISSION SHALL ISSU E 10
26062475 A DECISION ON WHETHE R TO APPROVE ONE OR MORE PROPOSALS IN AC CORDANCE 11
2607-WITH § 7–1208(B) § 7–1226(C) OF THIS SUBTITLE. 12
2476+WITH § 7–1208(B) OF THIS SUBTITLE. 12
26082477
26092478 (3) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 13
26102479 PARAGRAPH , THE TRANSMISSION ENE RGY STORAGE DEVICES PROCURED IN 14
26112480 ACCORDA NCE WITH THIS SUBSEC TION SHALL BE OPERAT IONAL WITHIN 24 MONTHS 15
26122481 AFTER A PROJECT IS S ELECTED BY THE COMMISSION. 16
26132482
26142483 (II) THE COMMISSION MAY EXTEND THE OPERATING DEADLI NE 17
26152484 UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH FO R GOOD CAUSE SHOWN . 18
26162485
26172486 (C) (1) ON OR BEFORE JANUARY 1, 2027, THE COMMISSION SHALL ISSU E 19
26182487 A SECOND PROCUREMENT SOLICITATION FOR THE PROCUREMENT OF PROJE CTS 20
26192488 FOR THE CONSTRUCTION AND DEPLOYMENT OF FR ONT–OF–THE–METER 21
26202489 TRANSMISSION ENERGY STORAGE DEVICES . 22
26212490
26222491 (2) THE PROCUREMENT SOLIC ITATION SHALL BE FOR A MAXIMUM OF 23
26232492 800 MEGAWATTS OF CUMULAT IVE ENERGY STORAGE C APACITY, AS MEASURED IN 24
26242493 EFFECTIVE NAMEPLATE CAPACITY. 25
26252494
26262495 (3) ON OR BEFORE OCTOBER 1, 2027, THE COMMISSION SHALL ISSU E 26
26272496 A DECISION ON WHETHE R TO APPROVE ONE OR MORE PROPOSALS IN AC CORDANCE 27
2628-WITH § 7–1226(B) § 7–1226(C) OF THIS SUBTITLE. 28
2497+WITH § 7–1226(B) OF THIS SUBTITLE. 28
26292498
26302499 (4) (I) EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 29
26312500 PARAGRAPH , THE TRANSMISSION ENE RGY STORAGE DEVICES PROCURED IN 30
26322501 ACCORDANCE WITH THIS SUBSECTION SHALL BE OPERATIONAL WITHIN 24 MONTHS 31
26332502 AFTER A PROJECT IS S ELECTED BY THE COMMISSION. 32
26342503
26352504 (II) THE COMMISSION MAY EXTEND THE OPERATING DEADLI NE 33
2636-UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH FO R GOOD CAUSE SHOWN . 34 58 SENATE BILL 937
2505+UNDER SUBPARAGRAPH (I) OF THIS PARAGRAPH FO R GOOD CAUSE SHOWN . 34 SENATE BILL 937 55
26372506
26382507
26392508
26402509 7–1225. 1
26412510
26422511 (A) THE COMMISSION SHALL INCL UDE SPECIFICATIONS I N A 2
26432512 PROCUREMENT SOLICITA TION ISSUED UNDER § 7–1224 OF THIS SUBTITLE THA T 3
26442513 REQUIRE EACH PROPOSA L TO: 4
26452514
26462515 (1) INCLUDE A PROPOSED P RICING SCHEDULE FOR THE 5
26472516 TRANSMISSION ENERGY STORAGE PROJECT THAT : 6
26482517
26492518 (I) IS FOR AT LEAST 15 YEARS; AND 7
26502519
26512520 (II) REPRESENTS THE ANTIC IPATED MONTHLY WHOLE SALE 8
26522521 VALUE OF CAPACITY PE R MEGAWATT AND OTHER BENEFITS IDENTIFIED IN A 9
26532522 COST–BENEFIT ANALYSIS , BUT NOT INCLUDING AN Y ANTICIPATED WHOLES ALE 10
26542523 ENERGY AND ANCILLARY SERVICES REVENUE ; 11
26552524
26562525 (2) INCLUDE A COST –BENEFIT ANALYSIS OF THE PROJECT AND 12
26572526 PROPOSED PRICING SCH EDULE COMPARISON ON A DOLLAR–PER–MEGAWATT –HOUR 13
26582527 BASIS, INCLUDING AN ANALYSI S OF: 14
26592528
26602529 (I) THE LOCATIONAL VALUE AND TIME TO DEPLOYME NT OF 15
26612530 THE ENERGY STORAGE D EVICES; 16
26622531
26632532 (II) THE VALUE OF LONG –DURATION STORAGE , INCLUDING ITS 17
26642533 CAPACITY ACCREDITATI ON VALUE FOR RESOURC E ADEQUACY AS MEASUR ED IN 18
26652534 PJM INTERCONNEC TION’S EFFECTIVE LOAD CAR RYING CAPABILITY CLA SS 19
26662535 RATINGS; 20
26672536
26682537 (III) AVOIDED OR DELAYED T RANSMISSION, GENERATION , AND 21
26692538 DISTRIBUTION COSTS ; 22
26702539
26712540 (IV) AVOIDED EMISSIONS IN THE SHORT TERM AND P ROJECTED 23
26722541 AVOIDED EMISSIONS IN THE LONG TERM , MEASURED USING THE S OCIAL COST OF 24
26732542 CARBON, AS DETERMINED BY THE U.S. ENVIRONMENTAL PROTECTION AGENCY AS 25
26742543 OF JANUARY 1, 2025; 26
26752544
26762545 (V) THE VALUE OF THE RAP ID DEPLOYMENT OF ENE RGY 27
26772546 STORAGE DEVICES ; 28
26782547
26792548 (VI) THE VALUE OF RELIABI LITY DURING PERIODS OF ELECTRIC 29
26802549 SYSTEM STRESS , INCLUDING TH E ABILITY TO DELIVER CAPACITY DURING PERI ODS 30
2681-OF EXTREME WEATHER , FUEL SCARCITY , AND LARGE UNPLACED UNPLANNED 31
2682-RESOURCE OUTAGES ; AND 32 SENATE BILL 937 59
2550+OF EXTREME WEATHER , FUEL SCARCITY , AND LARGE UNPLACED R ESOURCE 31
2551+OUTAGES; AND 32 56 SENATE BILL 937
26832552
26842553
26852554
26862555 (VII) ANY OTHER AVOIDED CO STS; 1
26872556
26882557 (3) ENSURE THAT THE OWNE R OR OPERATOR OF THE PROJECT HAS 2
26892558 THE CAPABILITY TO EX PORT ELECTRICITY FOR SALE ON THE WHOLESAL E MARKET 3
26902559 AND BID INTO THE PJM CAPACITY MARKET UNDE R AN AGREEMENT WITH PJM 4
26912560 INTERCONNECTION ; 5
26922561
26932562 (4) ENSURE THAT THE ENER GY STORAGE DEVICES C AN DELIVER 6
26942563 THEIR EFFECTIVE NAME PLATE CAPACITY ; 7
26952564
26962565 (5) INCORPORATE A COMMUN ITY BENEFIT AGREEMEN T; 8
26972566
26982567 (6) ATTEST IN WRITING TH AT ALL CONTRACTORS A ND 9
26992568 SUBCONTRACTORS WORKI NG ON THE PROJECT HA VE BEEN IN COMPLIANC E WITH 10
27002569 FEDERAL AND STATE WAGE AND HOUR L AWS FOR THE IMMEDIAT ELY PRECEDING 3 11
27012570 YEARS OR THE DURATIO N OF THE CONTRACTOR ’S OR SUBCONTRACTOR ’S BUSINESS 12
27022571 OPERATION, WHICHEVER IS LONGER ; AND 13
27032572
27042573 (7) ENSURE A COMPETITIVE BIDDING PROCESS , INCLUDING BY 14
27052574 REDACTING PROPRIETAR Y INFORMATION PROVID ED TO THE COMMISSION. 15
27062575
27072576 (B) AN ENERGY STORAGE DEV ICE SHALL BE CONSIDE RED CAPABLE OF 16
27082577 DELIVERING ITS EFFEC TIVE NAMEPLATE CAPACITY UNDER THIS SECTION IF: 17
27092578
27102579 (1) THE ENERGY STORAGE D EVICE WILL HAVE THE CAPACITY 18
27112580 INTERCONNECTION RIGH TS WITH PJM INTERCONNECTION EQUAL TO ITS 19
27122581 EFFECTIVE NAMEPLATE CAPACITY; OR 20
27132582
27142583 (2) (I) THE ENERGY STORAGE D EVICE WILL HAVE SURP LUS 21
27152584 INTERCONNECTION SER VICE WITH PJM INTERCONNECTION ; AND 22
27162585
27172586 (II) THE ABILITY OF THE E NERGY STORAGE DEVICE TO DELIVER 23
27182587 ITS EFFECTIVE NAMEPL ATE CAPACITY WILL BE LIMITED ONLY BY THE GENERATION 24
27192588 OF ANOTHER NONENERGY STORAGE GENERATION R ESOURCE WITH WHICH T HE 25
27202589 ENERGY STORAGE DEVIC E SHARES A POINT OF INTE RCONNECTION TO THE 26
27212590 ELECTRIC TRANSMISSIO N SYSTEM. 27
27222591
27232592 (C) FRONT–OF–THE–METER TRANSMISSION E NERGY STORAGE DEVICE S 28
27242593 PAIRED WITH TIER 1 OR TIER 2 RENEWABLE SOURCES , AS DEFINED UNDER § 7–701 29
27252594 OF THIS TITLE, MAY BE INCLUDED IN A PROPOSAL IN RESPO NSE TO A PROCUREMENT 30
27262595 SOLICITATION UNDER § 7–1224 OF THIS SUBTITLE. 31
27272596
2728-7–1226. 32 60 SENATE BILL 937
2597+7–1226. 32 SENATE BILL 937 57
27292598
27302599
27312600
27322601 (A) IN SELECTING A PROPOS AL FOR A FRONT –OF–THE–METER 1
27332602 TRANSMISSION ENERGY STORAGE DEVICE PROJE CT, THE COMMISSION: 2
27342603
27352604 (1) SHALL SPECIFY: 3
27362605
27372606 (I) A 15–YEAR PRICING SCHEDUL E THAT USES A MONTHLY 4
27382607 FIXED PRICE FOR EACH MEGAWATT THAT REPRES ENTS THE ANTICIPATED 5
27392608 WHOLESALE VALUE OF C APACITY FOR THE FRON T–OF–THE–METER TRANSMISSION 6
27402609 ENERGY STORAGE DEVIC E AND THE BENEFITS I DENTIFIED IN § 7–1225(A)(2) OF 7
27412610 THIS SUBTITLE; 8
27422611
27432612 (II) THAT EACH ELECTR ICITY SUPPLIER SHALL BE 9
27442613 RESPONSIBLE FOR PURC HASING STORAGE CAPAC ITY CREDITS AT THE M ONTHLY 10
27452614 FIXED PRICE SCHEDULE PROPORTIONAL TO THE ELECTRICITY SUPPLIER ’S 11
27462615 CAPACITY OBLIGATION ; 12
27472616
27482617 (III) THAT ALL PJM CAPACITY MARKET REVE NUE EARNED BY 13
27492618 THE ENERGY STORAGE P ROJECT BE TRANSMITTED T O THE COMMISSION TO BE 14
27502619 HELD IN ESCROW FOR D ISTRIBUTION TO ELECT RIC COMPANIES TO BE REFUNDED 15
27512620 OR CREDITED TO EACH DISTRIBUTION CUSTOME R PROPORTIONAL TO TH E 16
27522621 ELECTRICITY SUPPLIER ’S MONTHLY CAPACITY P URCHASE OBLIGATION ; 17
27532622
27542623 (IV) THAT THE ENE RGY STORAGE PROJECT SHALL RETAIN ANY 18
27552624 ENERGY AND ANCILLARY SERVICES REVENUE EAR NED; 19
27562625
27572626 (V) THAT ELECTRIC COMPAN IES MUST JOINTLY SEL ECT AN 20
27582627 ESCROW ADMINISTRATOR , IN CONSULTATION WITH THE COMMISSION; AND 21
27592628
27602629 (VI) FOR ANY COST RECOVER Y BY AN ELECTRIC COM PANY, THAT 22
27612630 THE RECOVERY SHALL B E DONE THROUGH A NON BYPASSABLE SURCHARGE 23
27622631 ESTABLISHED BY THE E LECTRIC COMPANY THAT IS ADDED TO THE ELEC TRIC 24
2763-COMPANY’S BASE DISTRIBUTION RATE OR SUPPLY RATE ON CUSTOMER BILLS .; 25
2632+COMPANY’S BASE DISTRIBUTION RATE OR SUPPLY RATE ON CUSTOMER BILLS . 25
27642633
27652634 (2) SHALL SPECIFY THAT F OR CONTINUED RECEIPT OF PAYMENT 26
27662635 UNDER ITEM (1) OF THIS SUBSECTION , AN APPLICANT SHALL D EMONSTRATE , TO 27
27672636 THE SATISFACTION OF THE COMMISSION, THAT THE APPLICANT ’S ENERGY STORAGE 28
27682637 DEVICE IS AVAILABLE ; 29
27692638
27702639 (3) SHALL INCORPORATE PE NALTIES FOR NONPERFO RMANCE AND 30
27712640 UNDERPERFORMANCE IN THE CONTRACT, INCLUDING WITHHOLDIN G OF PAYMENT 31
27722641 THAT REFLECTS THE DE GREE OF UNDERPERFORM ANCE, FOR ENERGY STORAGE 32
27732642 DEVICES THAT FAIL TO MEET AVAILABILITY ME TRICS; 33
2774- SENATE BILL 937 61
2643+ 58 SENATE BILL 937
27752644
27762645
27772646 (4) MAY TERMINATE ENERGY STORAGE DEVICES FROM THE PROGRAM 1
27782647 IF DEVICE PERFORMANC E DOES NOT IMPROVE A FTER APPROPRIATE NOTIC E AND 2
27792648 OPPORTUNITY TO CURE ; 3
27802649
27812650 (5) SHALL CONSIDER OTHER NONPRICE FACTORS TO ENSURE 4
27822651 PROJECT DELIVERABILI TY WITHIN 24 MONTHS AFTER THE AWA RD DATE, SUCH AS: 5
27832652
27842653 (I) PROJECT MATURITY DAT ES; 6
27852654
27862655 (II) INTERCONNECTION QUEU E STATUS; 7
27872656
27882657 (III) SITE CONTROL; 8
27892658
27902659 (IV) DEVELOPER EXPERIENCE , INCLUDING PROCURING , 9
27912660 CONSTRUCTING , AND OPERATING FRONT –OF–THE–METER TRANSMISSION E NERGY 10
27922661 STORAGE DEVICES ; 11
27932662
27942663 (V) ANY EVIDENCE OF KEY DEVELOPMENT MILESTON ES TO 12
27952664 SUBSTANTIATE PROJECT DELIVERABILITY WITHI N 24 MONTHS AFTER THE AWARD 13
27962665 DATE; 14
27972666
27982667 (VI) SAFETY PLANS; AND 15
27992668
28002669 (VII) ANY OTHER RELEVANT N ONPRICE FACTORS AS 16
28012670 DETERMINED BY THE COMMISSION; AND 17
28022671
28032672 (6) SHALL REQUIRE , AT A MINIMUM, ALL ENERGY STORAGE D EVICES 18
28042673 THAT UTILIZE LITHIUM –ION BATTERIES TO COM PLY WITH THE MOST U P–TO–DATE 19
28052674 REVISION OF THE NATIONAL FIRE PROTECTION ASSOCIATION 855: STANDARD FOR 20
28062675 THE INSTALLATION OF STATIONARY ENERGY STORAGE SYSTEMS IN EFFECT AT THE 21
28072676 PROJECT’S FINAL PERMIT APPLI CATION DATE. 22
28082677
28092678 (B) (1) EACH ENERGY STORAGE P ROJECT SHALL INCLUDE A PROPOSED 23
28102679 DECOMMISSIONING PLAN . 24
28112680
28122681 (2) THE PROPOSED DECOMMIS SIONING PLAN SHALL I NCLUDE A PLAN 25
28132682 TO MAXIMIZE THE RECY CLING OR REUSE OF AL L QUALIFYING COMPONE NTS OF 26
28142683 EACH ENERGY STORAGE DEVICE. 27
28152684
28162685 (3) THE OWNER OR OPERATOR OF AN ENERGY STORAGE DEVICE MAY 28
28172686 SUBMIT A REVISED RECYCLING AND REUSE PLAN THAT INCORPORAT ES EMERGING 29
28182687 RECYCLING AND REUSE OPPORTUNITIES UP TO 1 YEAR BEFORE EXECUTIN G THE 30
28192688 DECOMMISSIONING PLAN . 31
2820- 62 SENATE BILL 937
2689+ SENATE BILL 937 59
28212690
28222691
28232692 (C) THE COMMISSION SHALL : 1
28242693
28252694 (1) AFTER GIVING PUBLIC NOTICE, HOLD ONE OR MORE PUB LIC 2
28262695 HEARINGS TO RECEIVE PUBLIC COMMENT AND EVALUATE THE PROPOSALS ; AND 3
28272696
28282697 (2) SUBJECT TO SUBSECTIO N (D) OF THIS SECTION , ISSUE ONE OR 4
28292698 MORE ORDERS TO SELEC T A PROPOSAL OR PROP OSALS FOR DEVELOPMEN T. 5
28302699
28312700 (D) THE COMMISSION MAY END TH E SOLICITATION PROCE SS WITHOUT 6
28322701 SELECTING A PROPOSAL IF THE COMMISSION FINDS THAT NONE OF THE PROPOSAL S 7
28332702 ADEQUATELY SUPPORT T HE GOALS ESTABLISHED UNDER THIS SUBTITLE , 8
28342703 INCLUDING THE GOAL O F SECURING AFFORDABL E, RELIABLE ELECTRICAL SERVICE 9
28352704 FOR MARYLAND RESIDENTS . 10
28362705
28372706 7–1227. 11
28382707
28392708 (A) FOR ANY PROPOSAL SELE CTED UNDER THIS P ART, THE COMMISSION 12
28402709 MAY ADOPT CONDITIONS FOR THE CONSTRUCTION AND OPERATION OF FAC ILITIES 13
28412710 INCLUDED IN THE PROP OSAL. 14
28422711
28432712 (B) AN ORDER SELECTING A PROPOSAL UNDER § 7–1226 OF THIS SUBTITLE 15
28442713 BESTOWS THE SAME RIG HTS TO THE SELECTED PROPOSAL THAT A GENE RATING 16
28452714 SYSTEM WOULD OTHERWISE BE GRANTED THROUGH A CE RTIFICATE OF PUBLIC 17
28462715 CONVENIENCE AND NECE SSITY UNDER § 7–207 OF THIS TITLE IF THE SELECTED 18
28472716 PROPOSAL IS REVIEWED UNDER AN ALTERNATIVE PROCESS AS DETERMINE D BY THE 19
28482717 COMMISSION. 20
28492718
28502719 7–1228. 21
28512720
28522721 ANY TRANSMISSION ENER GY STORAGE DEVICE BUILT IN ACCO RDANCE WITH 22
28532722 THIS SUBTITLE SHALL COUNT TOWARD THE ENE RGY STORAGE DEVICE 23
28542723 DEPLOYMENT GOALS UND ER § 7–216.2 OF THIS TITLE. 24
28552724
28562725 7–1229. 25
28572726
28582727 ON OR BEFORE DECEMBER 31, 2026, THE COMMISSION SHALL REPO RT, IN 26
28592728 ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, TO THE 27
28602729 GENERAL ASSEMBLY ON THE EFFEC TIVENESS OF THE PROC UREMENT PROCESS 28
28612730 ESTABLISHED UNDER TH IS PART. 29
28622731
28632732 Article – State Finance and Procurement 30
28642733
28652734 13–102. 31
2866- SENATE BILL 937 63
2735+ 60 SENATE BILL 937
28672736
28682737
28692738 (a) The following procurement methods are authorized at the procurement 1
28702739 officer’s discretion, where applicable: 2
28712740
28722741 (1) competitive sealed bids under § 13–103 of this subtitle; 3
28732742
28742743 (2) competitive sealed proposals under § 13–104 or § 13–105 of this 4
28752744 subtitle; 5
28762745
28772746 (3) noncompetitive negotiation under § 13–106 of this subtitle; 6
28782747
28792748 (4) sole source procurement under § 13–107 of this subtitle; 7
28802749
28812750 (5) emergency or expedited procurement under § 13–108 of this subtitle; 8
28822751
28832752 (6) small procurement under § 13–109 of this subtitle; 9
28842753
28852754 (7) an intergovernmental cooperative purchasing agreement under § 10
28862755 13–110 of this subtitle; 11
28872756
28882757 (8) auction bids under § 13–111 of this subtitle; 12
28892758
28902759 (9) architectural, engineering, and land surveying services qualification 13
28912760 based selection under § 13–112 of this subtitle; 14
28922761
28932762 (10) master contracting under § 13–113 of this subtitle; [or] 15
28942763
28952764 (11) pay–for–success contracting under § 13–112.1 of this subtitle; OR 16
28962765
28972766 (12) LEGISLATIVE FAST –TRACK PROCUREMENTS U NDER § 13–117 OF 17
28982767 THIS SUBTITLE. 18
28992768
29002769 13–117. 19
29012770
29022771 (A) IT IS THE INTENT OF T HE GENERAL ASSEMBLY TO: 20
29032772
29042773 (1) RECOGNIZE THE NEED F OR STATE AGENCIES TO BE RESPONSIVE 21
29052774 TO THE REQUESTS AND LEGISLATIVE DIRECTIV ES OF THE GENERAL ASSEMBLY; 22
29062775
29072776 (2) REDUCE THE TIME IT T AKES FOR STATE AGENCIES TO PRO CURE 23
29082777 CONSULTANTS TO ASSIS T WITH LEGISLATIVE M ANDATES THAT HAVE DE ADLINES 24
29092778 SPECIFIED IN LAW; AND 25
29102779
29112780 (3) BE TIMELY IN ADDRESS ING CLIMATE CHANGE , ENVIRONMENTAL , 26
29122781 ENERGY, AND GREENHOUSE GAS E MISSIONS RELATED ISS UES. 27
2913- 64 SENATE BILL 937
2782+ SENATE BILL 937 61
29142783
29152784
29162785 (B) THIS SECTION APPLIES ONLY TO THE PROCUREM ENT OF CONSULTANTS 1
29172786 THAT: 2
29182787
29192788 (1) ARE LEGISLATIVELY MA NDATED WITH SPECIFIC TIME FRAMES 3
29202789 ESTABLISHED I N LAW; AND 4
29212790
29222791 (2) WILL ADDRESS ISSUES RELATED ONLY TO CLIM ATE CHANGE, THE 5
29232792 ENVIRONMENT , ENERGY, AND GREENHOUSE GAS E MISSIONS. 6
29242793
29252794 (C) THE FOLLOWING UNITS A RE AUTHORIZED TO ISS UE COMPETITIVE 7
29262795 SEALED BIDS HIGHER T HAN THEIR DESIGNATED SMALL PROCUREMENT 8
29272796 DELEGATION AUTHORITIES: 9
29282797
29292798 (1) THE PUBLIC SERVICE COMMISSION; 10
29302799
29312800 (2) THE OFFICE OF PEOPLE’S COUNSEL; 11
29322801
29332802 (3) THE MARYLAND ENERGY ADMINISTRATION ; 12
29342803
29352804 (4) THE DEPARTMENT OF THE ENVIRONMENT ; AND 13
29362805
29372806 (5) THE DEPARTMENT OF NATURAL RESOURCES. 14
29382807
29392808 (D) BEFORE AWARDING A PROCUREMENT CONTRACT UNDER THIS SECTION , 15
29402809 THE PROCUREMENT OFFI CER SHALL OBTAIN THE APPROVAL OF : 16
29412810
29422811 (1) THE HEAD OF THE UNIT ; AND 17
29432812
29442813 (2) THE CHIEF PROCUREMENT OFFICER, OR THEIR DESIGNEE . 18
29452814
29462815 (E) (1) THE CHIEF PROCUREMENT OFFICER, OR THEIR DESIGNEE , 19
29472816 SHALL APPRO VE A PROCUREMENT CON TRACT SUBMITTED UNDE R THIS SECTION IF 20
29482817 IT COMPLIES WITH THE REQUIREMENTS OF THIS SECTION. 21
29492818
29502819 (2) IF THE CHIEF PROCUREMENT OFFICER, OR THEIR DESIGNEE , 22
29512820 DOES NOT APPROVE A P ROCUREMENT CONTRACT SUBMITTED UNDER THIS SECTION 23
29522821 WITHIN 5 BUSINESS DAYS AFTER RECEIVING THE CONTRACT , THE CONTRACT SHALL 24
29532822 BE CONSIDERED APPROV ED. 25
29542823
29552824 Article – State Government 26
29562825
29572826 9–20B–05. 27
29582827
29592828 (a) There is a Maryland Strategic Energy Investment Fund. 28
2960- SENATE BILL 937 65
2829+ 62 SENATE BILL 937
29612830
29622831
29632832 (e) The Fund consists of: 1
29642833
29652834 (1) all of the proceeds from the sale of allowances under § 2–1002(g) of the 2
29662835 Environment Article; 3
29672836
29682837 (2) money appropriated in the State budget to the Program; 4
29692838
29702839 (3) repayments and prepayments of principal and interest on loans made 5
29712840 from the Fund; 6
29722841
29732842 (4) interest and investment earnings on the Fund; 7
29742843
29752844 (5) compliance fees paid under § 7–705 of the Public Utilities Article; 8
29762845
29772846 (6) money received from any public or private source for the benefit of the 9
29782847 Fund; 10
29792848
29802849 (7) money transferred from the Public Service Commission under [§ 11
29812850 7–207.2(c)(3)] § 7–207.2(D)(3) of the Public Utilities Article; and 12
29822851
29832852 (8) money distributed under § 2–614.1 of the Tax – General Article. 13
29842853
29852854 (i) (1) Except as provided in [paragraph] PARAGRAPHS (2) AND (3) of this 14
29862855 subsection, compliance fees paid under § 7–705(b) of the Public Utilities Article may be 15
29872856 used only to make loans and grants to support the creation of new Tier 1 renewable energy 16
29882857 sources in the State that are owned by or directly benefit: 17
29892858
29902859 (i) low– to moderate–income communities located in a census tract 18
29912860 with an average median income at or below 80% of the average median income for the State; 19
29922861 or 20
29932862
29942863 (ii) overburdened or underserved communities, as defined in § 1–701 21
29952864 of the Environment Article. 22
29962865
29972866 (2) Compliance fees paid under § 7–705(b)(2)(i)2 of the Public Utilities 23
29982867 Article shall be accounted for separately within the Fund and may be used only to make 24
29992868 loans and grants to support the creation of new solar energy sources in the State that are 25
30002869 owned by or directly benefit: 26
30012870
30022871 (i) low– to moderate–income communities located in a census tract 27
30032872 with an average median income at or below 80% of the average median income for the State; 28
30042873
30052874 (ii) overburdened or underserved communities, as defined in § 1–701 29
30062875 of the Environment Article; or 30
3007- 66 SENATE BILL 937
3008-
3009-
3010- (iii) households with low to moderate income, as defined in § 9–2016 1
3011-of this title. 2
3012-
3013- (3) (I) SUBJECT TO SUBPARAGRA PHS (II), (III), AND (IV) OF THIS 3
3014-PARAGRAPH , COMPLIANCE FEES PAID UNDER § 7–705 OF THE PUBLIC UTILITIES 4
3015-ARTICLE MAY BE USED T O PROVIDE GRANTS TO ELECTRIC COMPANIES T O BE 5
3016-REFUNDED OR CREDITED TO EACH RESIDENTIAL DISTRIBUTION CUSTOME R BASED 6
3017-ON THE CUSTOMER ’S CONSUMPTION OF ELE CTRICITY SUPPLY THAT IS SUBJECT TO 7
3018-THE RENEWABLE ENERGY PORTFOLIO STAND ARD. 8
3019-
3020- (II) THE REFUNDING OR CRED ITING OF AMOUNTS TO 9
3021-RESIDENTIAL DISTRIBU TION CUSTOMERS SHALL BE IDENTIFIED ON THE 10
3022-CUSTOMER’S BILL AS A LINE ITE M IDENTIFIED AS A “LEGISLATIVE ENERGY 11
3023-HARDSHIP CREDIT RELIEF REFUND ”. 12
3024-
3025- (III) AN ELECTRIC COMPANY A WARDED A GRANT UNDER THIS 13
3026-PARAGRAPH : 14
3027-
3028- 1. MAY NOT RETAIN ANY O F THE GRANT FUNDS TO 15
3029-COVER OVERHEAD EXPEN SES; AND 16
3030-
3031- 2. SHALL PROVIDE ALL OF THE GRANT FUNDS TO 17
3032-RESIDENTIAL DISTRIBU TION CUSTOMERS . 18
3033-
3034- (IV) THE PROCESS UNDER SUB PARAGRAPHS (I) AND (II) OF THIS 19
3035-PARAGRAPH RELATED TO THE REFUNDING OR CRE DITING OF AMOUNTS TO 20
3036-RESIDENTIAL DISTRIBU TION CUSTOMERS SHALL BE DIRECTED AND OVER SEEN BY 21
3037-THE COMMISSION. 22
3038-
3039- SECTION 4. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 23
3040-as follows: 24
3041-
3042-Article – Tax – General 25
3043-
3044-10–207. 26
3045-
3046- (a) To the extent included in federal adjusted gross income, the amounts under 27
3047-this section are subtracted from the federal adjusted gross income of a resident to determine 28
3048-Maryland adjusted gross income. 29
3049-
3050- (QQ) (1) IN THIS SUBSECTION , “LEGISLATIVE ENERGY HARDSHIP CREDIT 30
3051-RELIEF REFUND ” MEANS A CREDIT AGAIN ST A PERSON’S ELECTRIC UTILITY B ILL 31
3052-THAT IS OFFERED THRO UGH GRANTS PROVIDED TO ELECTRIC COMPANIE S IN 32
3053-ACCORDANCE WITH § 9–20B–05(I)(3) OF THE STATE GOVERNMENT ARTICLE. 33
3054- SENATE BILL 937 67
2876+
2877+ (iii) households with low to moderate income, as defined in § 9–2016 31
2878+of this title. 32 SENATE BILL 937 63
2879+
2880+
2881+
2882+ (3) (I) SUBJECT TO SUBPARAGRA PHS (II), (III), AND (IV) OF THIS 1
2883+PARAGRAPH , COMPLIANCE FEES PAID UNDER § 7–705 OF THE PUBLIC UTILITIES 2
2884+ARTICLE MAY BE USED T O PROVIDE GRANTS TO ELECTRIC COMPANIES T O BE 3
2885+REFUNDED OR CREDITED TO EACH RESIDENTIAL DISTRIBUTION CUSTOME R BASED 4
2886+ON THE CUSTOMER ’S CONSUMPTION OF ELE CTRICITY SUPPLY THAT IS SUBJECT TO 5
2887+THE RENEWABLE ENERGY PORTFOLIO STANDARD . 6
2888+
2889+ (II) THE REFUNDING OR CRED ITING OF AMOUNTS TO 7
2890+RESIDENTIAL DISTRIBU TION CUSTOMERS SHALL BE IDENTIFIED ON THE 8
2891+CUSTOMER’S BILL AS A LINE ITE M IDENTIFIED AS A “LEGISLATIVE ENERGY 9
2892+HARDSHIP CREDIT ”. 10
2893+
2894+ (III) AN ELECTRIC COMPANY A WARDED A GRANT UNDER THIS 11
2895+PARAGRAPH: 12
2896+
2897+ 1. MAY NOT RETAIN ANY O F THE GRANT FUNDS TO 13
2898+COVER OVERHEAD EXPEN SES; AND 14
2899+
2900+ 2. SHALL PROVIDE ALL OF THE GRANT FUNDS TO 15
2901+RESIDENTIAL DISTRIBU TION CUSTOMERS . 16
2902+
2903+ (IV) THE PROCESS UNDER SUB PARAGRAPHS (I) AND (II) OF THIS 17
2904+PARAGRAPH RELATED TO THE REFUNDING OR CRE DITING OF AMOUNTS TO 18
2905+RESIDENTIAL DISTRIBU TION CUSTOMERS SHALL BE DIRECTED AND OVER SEEN BY 19
2906+THE COMMISSION. 20
2907+
2908+ SECTION 4. AND BE IT FURTHER ENACTED, That the laws of Maryland read as 21
2909+follows: 22
2910+
2911+Article – Tax – General 23
2912+
2913+10–207. 24
2914+
2915+ (a) To the extent included in federal adjusted gross income, the amounts under 25
2916+this section are subtracted from the federal adjusted gross income of a resident to determine 26
2917+Maryland adjusted gross income. 27
2918+
2919+ (QQ) (1) IN THIS SUBSECTION , “LEGISLATIVE ENERGY H ARDSHIP CREDIT” 28
2920+MEANS A CREDIT AGAIN ST A PERSON’S ELECTRIC UTILITY B ILL THAT IS OFFERED 29
2921+THROUGH GRANTS PROVI DED TO ELECTRIC COMP ANIES IN ACCORDANCE WITH § 30
2922+9–20B–05(I)(3) OF THE STATE GOVERNMENT ARTICLE. 31
2923+ 64 SENATE BILL 937
30552924
30562925
30572926 (2) THE SUBTRACTION UNDER SUBSECTION (A) OF THIS SECTION 1
3058-INCLUDES THE AMOUNT OF A LEGISLATIVE ENE RGY HARDSHIP CREDIT RELIEF 2
3059-REFUND RECEIVED BY A PERSON DURING THE TAXABLE Y EAR. 3
2927+INCLUDES THE AMOUNT O F A LEGISLATIVE ENER GY HARDSHIP CREDIT R ECEIVED 2
2928+BY A PERSON DURING T HE TAXABLE YEAR . 3
30602929
30612930 SECTION 4. 5. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 4
30622931 as follows: 5
30632932
30642933 Article – Public Utilities 6
30652934
30662935 7–701. 7
30672936
30682937 (a) In this subtitle the following words have the meanings indicated. 8
30692938
30702939 (s) “Tier 1 renewable source” means one or more of the following types of energy 9
30712940 sources: 10
30722941
30732942 (1) solar energy, including energy from photovoltaic technologies and solar 11
30742943 water heating systems; 12
30752944
30762945 (2) wind; 13
30772946
30782947 (3) qualifying biomass; 14
30792948
30802949 (4) methane from the anaerobic decomposition of organic materials in a 15
30812950 landfill or wastewater treatment plant; 16
30822951
30832952 (5) geothermal, including energy generated through geothermal exchange 17
30842953 from or thermal energy avoided by, groundwater or a shallow ground source; 18
30852954
30862955 (6) ocean, including energy from waves, tides, currents, and thermal 19
30872956 differences; 20
30882957
30892958 (7) a fuel cell that produces electricity from a Tier 1 renewable source 21
30902959 under item (3) or (4) of this subsection; 22
30912960
30922961 (8) a small hydroelectric power plant of less than 30 megawatts in capacity 23
30932962 that is licensed or exempt from licensing by the Federal Energy Regulatory Commission; 24
30942963
30952964 (9) poultry litter–to–energy; 25
30962965
30972966 (10) [waste–to–energy; 26
30982967
30992968 (11) refuse–derived fuel; 27
31002969
31012970 (12)] thermal energy from a thermal biomass system; and 28
3102- 68 SENATE BILL 937
2971+ SENATE BILL 937 65
31032972
31042973
31052974 [(13)] (11) raw or treated wastewater used as a heat source or sink for a 1
31062975 heating or cooling system. 2
31072976
31082977 7–704. 3
31092978
31102979 (a) (1) Energy from a Tier 1 renewable source: 4
31112980
31122981 (i) is eligible for inclusion in meeting the renewable energy portfolio 5
31132982 standard regardless of when the generating system or facility was placed in service; and 6
31142983
31152984 (ii) may be applied to the percentage requirements of the standard 7
31162985 for either Tier 1 renewable sources or Tier 2 renewable sources. 8
31172986
31182987 (2) (i) Energy from a Tier 1 renewable source under § 7–701(s)(1), (5), 9
31192988 OR (9)[, (10), or (11)] of this subtitle is eligible for inclusion in meeting the renewable energy 10
31202989 portfolio standard only if the source is connected with the electric distribution grid serving 11
31212990 Maryland. 12
31222991
31232992 (ii) Energy from a Tier 1 renewable source under [§ 7–701(s)(13)] § 13
31242993 7–701(S)(11) of this subtitle is eligible for inclusion in meeting the renewable energy 14
31252994 portfolio standard only if the source: 15
31262995
31272996 1. is connected with the electric distribution grid serving 16
31282997 Maryland; or 17
31292998
31302999 2. processes wastewater from Maryland residents. 18
31313000
31323001 (iii) If the owner of a solar generating system in this State chooses to 19
31333002 sell solar renewable energy credits from that system, the owner must first offer the credits 20
31343003 for sale to an electricity supplier or electric company that shall apply them toward 21
31353004 compliance with the renewable energy portfolio standard under § 7–703 of this subtitle. 22
31363005
31373006 (3) Energy from a Tier 1 renewable source under § 7–701(s)(8) of this 23
31383007 subtitle is eligible for inclusion in meeting the renewable energy portfolio standard if it is 24
31393008 generated at a dam that existed as of January 1, 2004, even if a system or facility that is 25
31403009 capable of generating electricity did not exist on that date. 26
31413010
31423011 (4) Energy from a Tier 2 renewable source under § 7–701(t) of this subtitle 27
31433012 is eligible for inclusion in meeting the renewable energy portfolio standard if it is generated 28
31443013 at a system or facility that existed and was operational as of January 1, 2004, even if the 29
31453014 facility or system was not capable of generating electricity on that date. 30
31463015
31473016 SECTION 6. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 31
31483017 as follows: 32
31493018
3150-Article – Public Utilities 33 SENATE BILL 937 69
3151-
3019+Article – Public Utilities 33
3020+ 66 SENATE BILL 937
31523021
31533022
31543023 7–207. 1
31553024
31563025 (b) (1) (i) Unless a certificate of public convenience and necessity for the 2
31573026 construction is first obtained from the Commission, a person may not begin construction in 3
31583027 the State of: 4
31593028
31603029 1. a generating station; [or] 5
31613030
31623031 2. a qualified generator lead line; OR 6
31633032
31643033 3. AN ENERGY STORAGE DE VICE THAT IS P ART OF A 7
31653034 PROPOSAL ACCEPTED BY THE COMMISSION DURING A S OLICITATION PERIOD 8
31663035 UNDER § 7–1202 APPROVED BY THE COMMISSION UNDER § 7–1206 OF THIS TITLE. 9
31673036
31683037 (IV) NOTWITHSTANDING ANY O THER PROVISION OF TH IS 10
31693038 SECTION, A CERTIFICATE OF PUB LIC CONVENIENCE AND NECESSITY FOR THE 11
31703039 CONSTRUCTION OF A GE NERATING STATION THA T IS PART OF A PROPO SAL 12
31713040 ACCEPTED BY THE COMMISSION DURING A S OLICITATION PERIOD U NDER § 7–1202 13
31723041 APPROVED BY THE COMMISSION UNDER § 7–1206 OF THIS TITLE SHALL BE ISSUED 14
31733042 IN ACCORDANCE WITH § 7–207.4 OF THIS SUBTITLE. 15
31743043
31753044 (V) WHEN A PERSON APPLIES FOR A CERTIFICATE OF PUBLIC 16
31763045 CONVENIENCE AND NECE SSITY FOR THE CONSTR UCTION OF A GENERATI NG 17
31773046 STATION UNDER THIS S ECTION, THE APPLICATION SHAL L STATE WHETHER THE 18
31783047 PROPOSED GENERATING STATION OR THE PROPO SED MODIFICATION IS PART OF A 19
31793048 PROPOSAL ACCEPTED BY THE COMMISSION DURING A S OLICITATION PERIOD 20
31803049 UNDER § 7–1202 OF THIS TITLE. APPROVED BY THE COMMISSION UNDER § 7–1206 21
31813050 OF THIS TITLE. 22
31823051
31833052 (VI) 1. THE COMMISSION MAY PRIORI TIZE THE REVIEW OF 23
31843053 AN APPLICATION FOR A CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY 24
31853054 UNDER § 7–207.4 OF THIS SUBTITLE OVE R THE REVIEW OF AN A PPLICATION FOR A 25
31863055 CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER THIS S ECTION. 26
31873056
31883057 2. THE COMMISSION MAY EXTEND THE TIME FOR THE 27
31893058 REVIEW OF AN APPLICA TION FOR A CERTIFICA TE OF PUBLIC CONVENI ENCE AND 28
31903059 NECESSITY UNDER THIS SECTION IF, IN ACCORDANCE WITH S UBSUBPARAGRAPH 1 29
31913060 OF THIS SUBPARAGRAPH , THE COMMISSION HAS PRIORI TIZED THE REVIEW OF AN 30
31923061 APPLICATION FOR A CE RTIFICATE OF PUBLIC CONVENIENCE AND NECE SSITY 31
31933062 UNDER § 7–207.4 OF THIS SUBTITLE OVE R THE REVIEW OF THE APPLICATION FOR A 32
31943063 CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY UNDER THIS S ECTION. 33
31953064
3196-7–207.4. 34 70 SENATE BILL 937
3197-
3065+7–207.4. 34
3066+ SENATE BILL 937 67
31983067
31993068
32003069 (A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 1
32013070 INDICATED. 2
32023071
32033072 (2) “CONSTRUCTION ” HAS THE MEANING STAT ED IN § 7–207 OF THIS 3
32043073 SUBTITLE. 4
32053074
32063075 (3) (I) “DISPATCHABLE ENERGY GENERATING GENERATION 5
32073076 PROJECT” MEANS A GENERATING S TATION OR ENERGY STO RAGE DEVICE: 6
32083077
32093078 1. THAT IS PART OF A PROPOSAL ACCEPTED BY THE 7
32103079 COMMISSION DURING A S OLICITATION PERIOD U NDER § 7–1202 OF THIS TITLE; OR 8
32113080
32123081 2. ON OR BEFORE JANUARY 1, 2025, IS WAITING FOR 9
32133082 APPROVAL OR HAS BEEN APPROVED FOR INTERCO NNECTION BY PJM THAT IS PART 10
32143083 OF A PROPOSAL APPROV ED BY THE COMMISSION UNDER § 7–1206 OF THIS TITLE. 11
32153084
32163085 (II) “DISPATCHABLE ENERGY GENERATING GENERATION 12
32173086 PROJECT” INCLUDES ANY ASSOCIA TED INFRASTRUCTURE N ECESSARY TO 13
32183087 INTERCONNECT THE GEN ERATING STATION TO T HE ELECTRIC DISTRIBU TION 14
32193088 SYSTEM. 15
32203089
32213090 (4) “ENERGY STORAGE DEVICE ” HAS THE MEANING STATED I N § 16
32223091 7–216 OF THIS SUBTITLE . 17
32233092
32243093 (5) “GENERATING STATION ” HAS THE MEANING STAT ED IN § 7–207 OF 18
32253094 THIS SUBTITLE. 19
32263095
32273096 (6) “LARGE CAPACITY ENERGY RESOURCE” MEANS A GENERATING 20
32283097 STATION THAT: 21
32293098
32303099 (I) ON OR BEFORE JANUARY 1, 2025: 22
32313100
32323101 1. HAS APPLIED TO PJM FOR INTERCONNECTION 23
32333102 APPROVAL; OR 24
32343103
32353104 2. HAS BEEN APPROVED BY PJM FOR 25
32363105 INTERCONNECTION ; 26
32373106
32383107 (II) HAS A CAPACITY RATIN G EQUAL TO OR GREATE R THAN 20 27
32393108 MEGAWATTS AFTER ACCO UNTING FOR THE EFFEC TIVE LOAD CARRYING 28
32403109 CAPABILITY; AND 29
3110+
3111+ (III) IS PART OF A PROPOSAL APPROV ED BY THE COMMISSION 30
3112+UNDER § 7–1206 OF THIS TITLE. 31 68 SENATE BILL 937
3113+
3114+
3115+
3116+ (7) “QUALIFYING PROJECT ” MEANS A DISPATCHABLE ENERGY 1
3117+GENERATION PROJECT O R LARGE CAPACITY ENE RGY RESOURCE PROJECT THAT 2
3118+HAS BEEN APPROVED BY THE COMMISSION UNDER § 7–1208 OF THIS TITLE. 3
3119+
3120+ (B) THIS SECTION APPLIES ONLY TO AN APPLICATI ON FOR A CERTIFICATE 4
3121+OF PUBLIC CONVENIENC E AND NECESSITY FOR THE CONSTRUCTION OF A 5
3122+DISPATCHABLE ENERGY GENERATION QUALIFYING PROJECT. 6
3123+
3124+ (C) UNLESS A CERTIFICATE OF PUBLIC CONVENIENC E AND NECESSITY IS 7
3125+FIRST OBTAINED FROM THE COMMISSION IN ACCORDA NCE WITH THIS SECTIO N OR 8
3126+§ 7–207 OF THIS SUBTITLE , A PERSON MAY NOT CON STRUCT A DISPATCHABLE 9
3127+ENERGY GENERATION QUALIFYING PROJECT. 10
3128+
3129+ (D) WITHIN 90 DAYS AFTER THE SUBMI SSION OF AN APPLICAT ION FOR A 11
3130+CERTIFICATE OF PUBL IC CONVENIENCE AND N ECESSITY THAT STATES THAT THE 12
3131+APPLICATION IS FOR A DISPATCHABLE ENERGY GENERATION PROJECT , THE 13
3132+COMMISSION SHALL : 14
3133+
3134+ (1) VERIFY THAT THE GENE RATING STATION OR EN ERGY STORAGE 15
3135+DEVICE IS A DISPATCH ABLE ENERGY GENERATI ON PROJECT; AND 16
3136+
3137+ (2) NOTIFY THE APPLICANT AND RELEVANT ENTITIE S IN 17
3138+ACCORDANCE WITH § 7–207(C) OF THIS SUBTITLE THA T THE APPLICATION IS 18
3139+SUBJECT TO AN EXPEDI TED REVIEW PROCESS I N ACCORDANCE WITH TH IS SECTION. 19
3140+
3141+ (D) A CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY ISSUED 20
3142+UNDER THIS SECTION BESTOWS THE SAME RIGHTS AS A CERTIFICATE OF PUBLI C 21
3143+CONVENIENCE AND NECE SSITY ISSUED UNDER § 7–207 OF THIS SUBTITLE. 22
3144+
3145+ (E) A PERSON APPLYING FOR A CERTIFICATE OF PUB LIC CONVENIENCE 23
3146+AND NECESSITY UNDER THIS SECTION SHALL : 24
3147+
3148+ (1) AT LEAST 45 DAYS BEFORE SUBMITTING AN APPLICATION UNDER 25
3149+THIS SECTION, NOTIFY THE COMMISSION AND THE POWER PLANT RESEARCH 26
3150+PROGRAM; AND 27
3151+
3152+ (2) UNLESS OTHERWISE SPE CIFIED UNDER THIS SE CTION, COMPLETE 28
3153+ALL PRE–APPLICATION REQUIREM ENTS BEFORE SUBMITTI NG AN APPLICATION . 29
3154+
3155+ (F) ONCE FIVE APPLICATION S HAVE BEEN RECEIVED UNDER THIS SECTION 30
3156+WITHIN A 2–MONTH PERIOD , THE COMMISSION MAY DELAY PROCESSING ANY 31
3157+SUBSEQUENT APPLICATI ONS SUBMITTED UNDER THIS SECTION WITHOUT 32
3158+IMPACTING THE TIMELI NES SPECIFIED IN THI S SECTION. 33 SENATE BILL 937 69
3159+
3160+
3161+
3162+ (E) (G) (1) THE COMMISSION SHALL : 1
3163+
3164+ (I) EXPEDITE ALL PROCEED INGS FOR THE REVIEW AND 2
3165+APPROVAL OF A CERTIF ICATE OF PUBLIC CONV ENIENCE AND NECESSIT Y FOR A 3
3166+DISPATCHABLE ENERGY GENERATION PROJECT A ND PRIORITIZE THESE 4
3167+PROCEEDINGS , IF NECESSARY, OVER OTHER MATTERS ; AND QUALIFYING PROJECT; 5
3168+AND 6
3169+
3170+ (II) TAKE FINAL ACTION ON A CERTIFICATE OF PUB LIC 7
3171+CONVENIENCE AND NECE SSITY FOR A DISPATCHABLE ENERGY GENERATION 8
3172+QUALIFYING PROJECT NOT LATER TH AN 6 MONTHS 295 DAYS AFTER THE 9
3173+COMMISSION MAKES THE VERIFICATION UNDER S UBSECTION (D)(1) OF THIS 10
3174+SECTION THE POWER PLANT RESEARCH PROGRAM DETERMINES TH AT THE 11
3175+APPLICATION IS COMPL ETE IN ACCORDANCE WI TH COMAR 20.79.01.10. 12
3176+
3177+ (2) A STATE AGENCY SHALL SU BMIT ANY RECOMMENDED LICENSING 13
3178+CONDITIONS OR TESTIM ONY REGARDING THE IS SUANCE OF A CERTIFIC ATE OF 14
3179+PUBLIC CONVENIENCE A ND NECESSITY FOR A D ISPATCHABLE ENERGY G ENERATION 15
3180+PROJECT NOT LATER TH AN 90 DAYS AFTER THE DATE THE COMMISSION MAKES THE 16
3181+VERIFICATION UNDER S UBSECTION (D)(1) OF THIS SECTION THE COMMISSION MAY 17
3182+EXTEND THE TIME TO T AKE FINAL ACTION ON A CERTIFICATE OF PUB LIC 18
3183+CONVENIENCE AND NECE SSITY UNDER THIS SEC TION IF AN APPLICANT FAILS TO 19
3184+COMPLY WITH THE LAW , REGULATORY REQUIREME NTS, OR COMMISSION ORDERS 20
3185+ASSOCIATED WITH OBTA INING A CERTIFICATE OF PUBLIC CONVENIENC E AND 21
3186+NECESSITY. 22
3187+
3188+ (3) NOTWITHSTAN DING ANY OTHER LAW O R REGULATION , IN ORDER 23
3189+TO MEET THE REQUIRED TIMELINES FOR THE IS SUANCE OF A CERTIFIC ATE OF 24
3190+PUBLIC CONVENIENCE A ND NECESSITY UNDER T HIS SECTION, THE COMMISSION 25
3191+MAY REVIEW AND DETER MINE WHETHER TO APPR OVE DECOMMISSIONING PLANS 26
3192+FOR A QUALI FYING PROJECT AFTER THE CERTIFICATE OF P UBLIC CONVENIENCE 27
3193+AND NECESSITY HAS BE EN ISSUED. 28
3194+
3195+ (F) (H) (1) IF A PROPOSED SITE FO R A DISPATCHABLE ENERGY 29
3196+GENERATION QUALIFYING PROJECT WAS PREVIOUS LY OR IS CURRENTLY U SED FOR 30
3197+ELECTRICITY GENERATI ON AND HAS A HIGHE R GREENHOUSE GAS EMI SSION 31
3198+PROFILE COMPARED TO THE DISPATCHABLE ENERGY GENERATION QUALIFYING 32
3199+PROJECT: 33
3200+
3201+ (1) THE APPLICANT IS EXE MPT FROM THE , THE TIMELINES 34
3202+ASSOCIATED WITH THE PRE–APPLICATION REQUIREMENTS OF COMAR 20.79.01.04 35
3203+AND COMAR 20.79.01.05; AND 36
3204+ 70 SENATE BILL 937
3205+
3206+
3207+ (2) THE COMMISSION SHALL PRES UME THE PROPOSED SIT E IS 1
3208+APPROPRIATE AND CONS ISTENT WITH THE CERT IFICATE OF PUBLIC CO NVENIENCE 2
3209+AND NECESSITY FOR A NEW OR EXPANDED GENE RATING STATION SHALL BE 3
3210+SHORTENED TO 45 DAYS FOR APPLICATION S FOR A CERTIFICATE OF PUBLIC 4
3211+CONVENIENCE AND NECESS ITY UNDER THIS SECTI ON. 5
3212+
3213+ (2) PARAGRAPH (1) OF THIS SUBSECTION M AY NOT BE CONSTRUED 6
3214+TO LIMIT THE AUTHORI TY OF THE COMMISSION TO CONDITI ON OR REQUIRE 7
3215+COMPLIANCE WITH STAN DARDS FOR A NEW OR E XPANDED GENERATING S TATION AT 8
3216+THE PROPOSED SIT E. 9
3217+
3218+ (G) THE COMMISSION, THE DEPARTMENT OF THE ENVIRONMENT , THE 10
3219+DEPARTMENT OF NATURAL RESOURCES, AND ANY OTHER IMPACT ED STATE 11
3220+AGENCY SHALL WAIVE O R EXPEDITE ANY REGUL ATORY REQUIREMENTS O R 12
3221+DECISIONS TO COMPLY WITH THE TIME FRAMES SET FORTH IN THIS SE CTION. 13
3222+
3223+ (I) IN EVALUATING AN APPL ICATION FOR A CERTIF ICATE OF PUBLIC 14
3224+CONVENIENCE AND NECE SSITY UNDER THIS SEC TION, THE COMMISSION MAY 15
3225+CONTRACT FOR THE SER VICES OF INDEPENDENT CONSULTANTS AND EXPE RTS. 16
3226+
3227+ SECTION 7. AND BE IT FURTHER ENACTED, That on or before Ja nuary 15, 2026, 17
3228+the Public Service Commission shall report to the General Assembly, in accordance with § 18
3229+2–1257 of the State Government Article, on: 19
3230+
3231+ (1) the status of developing regulations for the establishment and purchase 20
3232+of zero–emission credits in accordance with § 7–1217 of the Public Utilities Article, as 21
3233+enacted by Section 3 of this Act; and 22
3234+
3235+ (2) whether any legislative action is necessary to implement the 23
3236+zero–emission credit provisions in § 7–1217 of the Public Utilities Article, as enacted by 24
3237+Section 3 of this Act. 25
3238+
3239+ SECTION 8. AND BE IT FURTHER ENACTED, That a presently existing obligation 26
3240+or contract right may not be impaired in any way by this Act. 27
3241+
3242+ SECTION 9. AND BE IT FURTHER ENACTED, That Section 5 of this Act shall 28
3243+apply: 29
3244+
3245+ (1) except as specified in item (2) of this section, to all renewable energy 30
3246+portfolio standard compliance years starting on or after January 1, 2025; and 31
3247+
3248+ (2) beginning July 1, 2026, and to each renewable energy portfolio standard 32
3249+compliance year thereafter, for each facility owned by a public instrumentality of the State. 33
32413250 SENATE BILL 937 71
32423251
32433252
3244- (III) IS PART OF A PROPOSAL APPR OVED BY THE COMMISSION 1
3245-UNDER § 7–1206 OF THIS TITLE. 2
3246-
3247- (7) “QUALIFYING PROJECT ” MEANS A DISPATCHABLE ENERGY 3
3248-GENERATION PROJECT O R LARGE CAPACITY ENE RGY RESOURCE PROJECT THAT 4
3249-HAS BEEN APPROVED BY THE COMMISSION UNDER § 7–1208 OF THIS TITLE. 5
3250-
3251- (B) THIS SECTION APPLIES ONLY TO AN APPLICATI ON FOR A CERTIFICATE 6
3252-OF PUBLIC CONVENIENC E AND NECESSITY FOR THE CONSTRUCTION OF A 7
3253-DISPATCHABLE ENERGY GENERATION QUALIFYING PROJECT. 8
3254-
3255- (C) UNLESS A CERTIFICATE OF PUBLIC CONVENIENC E AND NECESSITY IS 9
3256-FIRST OBTAINED FROM THE COMMISSION IN ACCORDA NCE WITH THIS SECTIO N OR 10
3257-§ 7–207 OF THIS SUBTITLE , A PERSON MAY NOT CON STRUCT A DISPATCHABLE 11
3258-ENERGY GENERATION QUALIFYING PROJECT. 12
3259-
3260- (D) WITHIN 90 DAYS AFTER THE SUBMISSION OF AN APPLICATION FO R A 13
3261-CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY THAT STATES THAT THE 14
3262-APPLICATION IS FOR A DISPATCHABLE ENERGY GENERATION PROJECT , THE 15
3263-COMMISSION SHALL : 16
3264-
3265- (1) VERIFY THAT THE GENE RATING STATION OR EN ERGY STORAG E 17
3266-DEVICE IS A DISPATCH ABLE ENERGY GENERATI ON PROJECT; AND 18
3267-
3268- (2) NOTIFY THE APPLICANT AND RELEVANT ENTITIE S IN 19
3269-ACCORDANCE WITH § 7–207(C) OF THIS SUBTITLE THA T THE APPLICATION IS 20
3270-SUBJECT TO AN EXPEDI TED REVIEW PROCESS I N ACCORDANCE WITH TH IS SECTION. 21
3271-
3272- (D) A CERTIFICATE OF PUBLI C CONVENIENCE AND NE CESSITY ISSUED 22
3273-UNDER THIS SECTION B ESTOWS THE SAME RIGH TS AS A CERTIFICATE OF PUBLIC 23
3274-CONVENIENCE AND NECE SSITY ISSUED UNDER § 7–207 OF THIS SUBTITLE. 24
3275-
3276- (E) A PERSON APPLYING FOR A CERTIFICATE OF PUB LIC CONVENIENC E 25
3277-AND NECESSITY UNDER THIS SECTION SHALL : 26
3278-
3279- (1) AT LEAST 45 DAYS BEFORE SUBMITTI NG AN APPLICATION UN DER 27
3280-THIS SECTION, NOTIFY THE COMMISSION AND THE POWER PLANT RESEARCH 28
3281-PROGRAM; AND 29
3282-
3283- (2) UNLESS OTHERWISE SPE CIFIED UNDER THIS SE CTION, COMPLETE 30
3284-ALL PRE–APPLICATION REQUIREMEN TS BEFORE SUBMITTING AN APPLICATION . 31
3285-
3286- (F) ONCE FIVE APPLICATION S HAVE BEEN RECEIVED UNDER THIS SECTION 32
3287-WITHIN A 2–MONTH PERIOD , THE COMMISSION MAY DELAY PROCESSING ANY 33 72 SENATE BILL 937
3288-
3289-
3290-SUBSEQUENT APPLICATI ONS SUBMITTED UNDER THIS SECTION WITHOUT 1
3291-IMPACTING THE TIMELINES SP ECIFIED IN THIS SECT ION. 2
3292-
3293- (F) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , 3
3294-THE TIMELINES ASSOCI ATED WITH THE NORMAL PRE–APPLICATION REQUIREM ENTS 4
3295-UNDER § 7–207 OF THIS SUBTITLE, INCLUDING THE REQUIR EMENTS UNDER COMAR 5
3296-20.79.01.04 AND COMAR 20.79.01.05, SHALL BE SHORTENED T O 45 DAYS FOR 6
3297-APPLICATIONS SUBMITT ED UNDER THIS SECTIO N. 7
3298-
3299- (2) IF THE PROPOSED LOCAT ION OF A QUALIFYING PROJECT IS IN AN 8
3300-OVERBURDENED COMMUNI TY OR UNDERSERVED CO MMUNITY, AS DEFINED IN § 9
3301-1–701 OF THE ENVIRONMENT ARTICLE, THE TIMELINE FOR THE PRE–APPLICATION 10
3302-REQUIREMENTS UNDER COMAR 20.79.01.04 AND COMAR 20.79.01.05 SHALL 11
3303-REMAIN AT 90 DAYS. 12
3304-
3305- (G) ONCE FIVE APPLICATION S HAVE BEEN RECEIVED UNDER THIS SECTION 13
3306-WITHIN A 2–MONTH PERIOD , THE COMMISSION MAY DE LAY PROCESSING ANY 14
3307-SUBSEQUENT APPLICATI ONS SUBMITTED UNDER THIS SECTION WITHOUT 15
3308-IMPACTING THE TIMELI NES SPECIFIED IN THI S SECTION. 16
3309-
3310- (E) (G) (H) (1) THE COMMISSION SHALL : 17
3311-
3312- (I) EXPEDITE ALL PROCEED INGS FOR THE REVIEW AND 18
3313-APPROVAL OF A CERTIF ICATE OF PUBLIC CONVENIENCE A ND NECESSITY FOR A 19
3314-DISPATCHABLE ENERGY GENERATION PROJECT A ND PRIORITIZE THESE 20
3315-PROCEEDINGS , IF NECESSARY, OVER OTHER MATTERS ; AND QUALIFYING PROJECT ; 21
3316-AND 22
3317-
3318- (II) TAKE FINAL ACTION ON A CERTIFICATE OF PUB LIC 23
3319-CONVENIENCE AND NECE SSITY FOR A DISPATCHABLE ENERGY GENERATION 24
3320-QUALIFYING PROJECT NOT LATER TH AN 6 MONTHS 295 DAYS AFTER THE 25
3321-COMMISSION MAKES THE VERIFICATION UNDER S UBSECTION (D)(1) OF THIS 26
3322-SECTION THE POWER PLANT RESEARCH PROGRAM DETERMINES TH AT THE 27
3323-APPLICATION IS COMPL ETE IN ACCOR DANCE WITH COMAR 20.79.01.10. 28
3324-
3325- (2) A STATE AGENCY SHALL SU BMIT ANY RECOMMENDED LICENSING 29
3326-CONDITIONS OR TESTIM ONY REGARDING THE IS SUANCE OF A CERTIFIC ATE OF 30
3327-PUBLIC CONVENIENCE A ND NECESSITY FOR A D ISPATCHABLE ENERGY G ENERATION 31
3328-PROJECT NOT LATER TH AN 90 DAYS AFTER THE DATE TH E COMMISSION MAKES THE 32
3329-VERIFICATION UNDER S UBSECTION (D)(1) OF THIS SECTION THE COMMISSION MAY 33
3330-EXTEND THE TIME TO T AKE FINAL ACTION ON A CERTIFICATE OF PUB LIC 34
3331-CONVENIENCE AND NECE SSITY UNDER THIS SEC TION IF AN APPLICANT FAILS TO 35
3332-COMPLY WITH THE LAW , REGULATORY REQUIREME NTS, OR COMMISSION ORDERS 36 SENATE BILL 937 73
3333-
3334-
3335-ASSOCIATED WITH OBTA INING A CERTIFICATE OF PUBLIC CONVENIENC E AND 1
3336-NECESSITY. 2
3337-
3338- (3) NOTWITHSTANDING ANY O THER LAW OR REGULATI ON, IN ORDER 3
3339-TO MEET THE REQUIRED TIMELINES FOR THE IS SUANCE OF A CERTI FICATE OF 4
3340-PUBLIC CONVENIENCE A ND NECESSITY UNDER T HIS SECTION, THE COMMISSION 5
3341-MAY REVIEW AND DETER MINE WHETHER TO APPR OVE DECOMMISSIONING PLANS 6
3342-FOR A QUALIFYING PRO JECT AFTER THE CERTI FICATE OF PUBLIC CON VENIENCE 7
3343-AND NECESSITY HAS BE EN ISSUED. 8
3344-
3345- (F) (H) (1) IF A PROPOSED SITE FO R A DISPATCHABLE ENE RGY 9
3346-GENERATION QUALIFYING PROJECT WAS PREVIOUS LY OR IS CURRENTLY U SED FOR 10
3347-ELECTRICITY GENERATI ON AND HAS A HIGHER GREENHOUSE GAS EMISS ION 11
3348-PROFILE COMPARED TO THE DISPATCHABLE ENE RGY GENERATION QUALIFYING 12
3349-PROJECT: 13
3350-
3351- (1) THE APPLICANT IS EXE MPT FROM THE , THE TIMELINES 14
3352-ASSOCIATED WITH THE PRE–APPLICATION REQUIREMENTS OF COMAR 20.79.01.04 15
3353-AND COMAR 20.79.01.05; AND 16
3354-
3355- (2) THE COMMISSION SHALL PRES UME THE PROPOSED SIT E IS 17
3356-APPROPRIATE AND CONS ISTENT WITH THE CERT IFICATE OF PUBLIC CONVENI ENCE 18
3357-AND NECESSITY FOR A NEW OR EXPANDED GENE RATING STATION SHALL BE 19
3358-SHORTENED TO 45 DAYS FOR APPLICATION S FOR A CERTIFICATE OF PUBLIC 20
3359-CONVENIENCE AND NECE SSITY UNDER THIS SEC TION. 21
3360-
3361- (2) PARAGRAPH (1) OF THIS SUBSECTION M AY NOT BE CONS TRUED 22
3362-TO LIMIT THE AUTHORI TY OF THE COMMISSION TO CONDITI ON OR REQUIRE 23
3363-COMPLIANCE WITH STAN DARDS FOR A NEW OR E XPANDED GENERATING S TATION AT 24
3364-THE PROPOSED SITE . 25
3365-
3366- (G) THE COMMISSION, THE DEPARTMENT OF THE ENVIRONMENT , THE 26
3367-DEPARTMENT OF NATURAL RESOURCES, AND ANY OTHER IMPACTE D STATE 27
3368-AGENCY SHALL WAIVE O R EXPEDITE ANY REGUL ATORY REQUIREMENTS O R 28
3369-DECISIONS TO COMPLY WITH THE TIME FRAMES SET FORTH IN THIS SE CTION. 29
3370-
3371- (I) IN EVALUATING AN APPL ICATION FOR A CERTIF ICATE OF PUBLIC 30
3372-CONVENIENCE AND NECE SSITY UNDER THIS SECTION, THE COMMISSION MAY 31
3373-CONTRACT FOR THE SER VICES OF INDEPENDENT CONSULTANTS AND EXPE RTS. 32
3374-
3375- SECTION 7. AND BE IT FURTHER ENACTED, That on or before January 15, 2026, 33
3376-the Public Service Commission shall report to the General Assembly, in accordance with § 34
3377-2–1257 of the State Government Article, on: 35
3378- 74 SENATE BILL 937
3379-
3380-
3381- (1) the status of developing regulations for the establishment and purchase 1
3382-of zero–emission credits in accordance with § 7–1217 § 7–1220 of the Public Utilities Article, 2
3383-as enacted by Section 3 of this Act; and 3
3384-
3385- (2) whether any legislative action is necessary to implement the 4
3386-zero–emission credit provisions in § 7–1217 § 7–1220 of the Public Utilities Article, as 5
3387-enacted by Section 3 of this Act. 6
3388-
3389- SECTION 8. AND BE IT FURTHER ENACTED, That a pres ently existing obligation 7
3390-or contract right may not be impaired in any way by this Act. 8
3391-
3392- SECTION 9. AND BE IT FURTHER ENACTED, That Section 5 of this Act shall 9
3393-apply: 10
3394-
3395- (1) except as specified in item (2) of this section, to all renewable energy 11
3396-portfolio standard compliance years starting on or after January 1, 2025; and 12
3397-
3398- (2) beginning July 1, 2026, and to each renewable energy portfolio standard 13
3399-compliance year thereafter, for each facility owned by a public instrumentality of the State. 14
3400-
3401- SECTION 5. 10. AND BE IT FURTHER ENACTED, That the General Assembly 15
3402-supports the extension or renewal of the Federal Nuclear Regulatory Commission license 16
3403-for the Calvert Cliffs Nuclear Power Plant’s nuclear reactors in the years 2034 and 2036. 17
3404-
3405- SECTION 11. AND BE IT FURTHER ENACTED, That: 18
3406-
3407- (a) (1) Notwithstanding any other provision of law, from the alternative 19
3408-compliance fees paid into the Maryland Strategic Energy Investment Fund in accordance 20
3409-with § 7–705 of the Public Utilities Article, a portion shall be used to provide grant awards 21
3410-to electric companies, including electric cooperatives and municipal electric utilities, to be 22
3411-refunded or credited to residential distribution customers for electric service in fiscal 2026 23
3412-in accordance with subsection (b) of this section. 24
3413-
3414- (2) The Governor may transfer by budget amendment the funds described 25
3415-in paragraph (1) of this subsection to the Public Service Commission to be awarded to 26
3416-electric companies, including electric cooperatives and municipal electric utilities. 27
3417-
3418- (b) The funds described in subsection (a)(1) of this section shall be distributed: 28
3419-
3420- (1) in accordance with § 9–20B–05(i)(3) of the State Government Article, 29
3421-as enacted by Section 3 of this Act; 30
3422-
3423- (2) twice during the 2026 fiscal year; and 31
3424-
3425- (3) to residential distribution customers as follows: 32
3426- SENATE BILL 937 75
3427-
3428-
3429- (i) half of the amount granted under subsection (a)(1) to be refunded 1
3430-or credited during a peak summer month; and 2
3431-
3432- (ii) half of the amount granted under subsection (a)(1) to be refunded 3
3433-or credited during a peak winter month. 4
3434-
3435- SECTION 12. AND BE IT FURTHER ENACTED, That Section 4 of this Act shall be 5
3436-applicable to all taxable years beginning after December 31, 2025 2024. 6
3437-
3438- SECTION 13. AND BE IT FURTHER ENACTED, That, on or before January 1, 7
3439-2026, the Department of Human Services shall report to the Governor and, in accordance 8
3440-with § 2–1257 of the State Government Article, the General Assembly on any legislative or 9
3441-regulatory changes necessary to implement the recommendation to combine all energy 10
3442-assistance programs operated by the State into one program as discussed in the 11
3443-Department of Legislative Services Office of Program Evaluation and Government 12
3444-Accountability’s February 2025 “Evaluation of the Office of Home Energy Programs”. 13
3445-
3446- SECTION 6. 14. AND BE IT FURTHER ENACTED, That this Act shall take effect 14
3447-July June 1, 2025. Section 4 6 of this Act shall remain effective for a period of 5 years and 15
3448-1 month and, at the end of June 30, 2030, Section 4 6 of this Act, with no further action 16
3449-required by the General Assembly, shall be abrogated and of no further force and effect. 17
3450-
3451-
3452-
3453-
3454-Approved:
3455-________________________________________________________________________________
3456- Governor.
3457-________________________________________________________________________________
3458- President of the Senate.
3459-________________________________________________________________________________
3460- Speaker of the House of Delegates.
3253+ SECTION 5. 10. AND BE IT FURTHER ENACTED, That the General Assembly 1
3254+supports the extension or renewal of the Federal Nuclear Regulatory Commission license 2
3255+for the Calvert Cliffs Nuclear Power Plant’s nuclear reactors in the years 2034 and 2036. 3
3256+
3257+ SECTION 11. AND BE IT FURTHER ENACTED, That: 4
3258+
3259+ (a) (1) Notwithstanding any other provision of law, from the alternative 5
3260+compliance fees paid into the Maryland Strategic Energy Investment Fund in accordance 6
3261+with § 7–705 of the Public Utilities Article, a portion shall be used to provide grant awards 7
3262+to electric companies, including electric cooperatives and municipal electric utilities, to be 8
3263+refunded or credited to residential distribution customers for electric service in fiscal 2026 9
3264+in accordance with subsection (b) of this section. 10
3265+
3266+ (2) The Governor may transfer by budget amendment the funds described 11
3267+in paragraph (1) of this subsection to the Public Service Commission to be awarded to 12
3268+electric companies, including electric cooperatives and municipal electric utilities. 13
3269+
3270+ (b) The funds described in subsection (a)(1) of this section shall be distributed: 14
3271+
3272+ (1) in accordance with § 9–20B–05(i)(3) of the State Government Article, 15
3273+as enacted by Section 3 of this Act; 16
3274+
3275+ (2) twice during the 2026 fiscal year; and 17
3276+
3277+ (3) to residential distribution customers as follows: 18
3278+
3279+ (i) half of the amount granted under subsection (a)(1) to be refunded 19
3280+or credited during a peak summer month; and 20
3281+
3282+ (ii) half of the amount granted under subsection (a)(1) to be refunded 21
3283+or credited during a peak winter month. 22
3284+
3285+ SECTION 12. AND BE IT FURTHER ENACTED, That Section 4 of this Act shall be 23
3286+applicable to all taxable years beginning after December 31, 2025. 24
3287+
3288+ SECTION 13. AND BE IT FURTHER ENACTED, That, on or before January 1, 25
3289+2026, the Department of Human Services shall report to the Governor and, in accordance 26
3290+with § 2–1257 of the State Government Article, the General Assembly on any legislative or 27
3291+regulatory changes necessary to implement the recommendation to combine all energy 28
3292+assistance programs operated by the State into one program as discussed in the 29
3293+Department of Legislative Services Office of Program Evaluation and Government 30
3294+Accountability’s February 2025 “Evaluation of the Office of Home Energy Programs”. 31
3295+
3296+ SECTION 6. 14. AND BE IT FURTHER ENACTED, That this Act shall take effect 32
3297+July June 1, 2025. Section 4 6 of this Act shall remain effective for a period of 5 years and 33
3298+1 month and, at the end of June 30, 2030, Section 4 6 of this Act, with no further action 34
3299+required by the General Assembly, shall be abrogated and of no further force and effect. 35