Vermont 2025-2026 Regular Session

Vermont House Bill H0155 Compare Versions

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11 BILL AS INTRODUCED H.155
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55 VT LEG #380044 v.1
66 H.155 1
77 Introduced by Representatives Torre of Moretown, Cordes of Bristol, 2
88 Goldman of Rockingham, Hunter of Manchester, Lalley of 3
99 Shelburne, Logan of Burlington, Masland of Thetford, Morrow 4
1010 of Weston, and Pouech of Hinesburg 5
1111 Referred to Committee on 6
1212 Date: 7
1313 Subject: Public service; energy; renewable energy; solar energy; Standard 8
1414 Offer Program 9
1515 Statement of purpose of bill as introduced: This bill proposes to reauthorize 10
1616 the Standard Offer Program to award contracts for the construction of new 11
1717 renewable energy generation projects. 12
1818 An act relating to the Standard Offer Program 13
1919 It is hereby enacted by the General Assembly of the State of Vermont: 14
2020 Sec. 1. 30 V.S.A. § 8005a is amended to read: 15
2121 § 8005a. STANDARD OFFER PROGRAM 16
2222 * * * 17
2323 (b) Eligibility. To be eligible for a standard offer under this section, a plant 18
2424 must constitute a qualifying small power production facility under 16 U.S.C. 19
2525 § 796(17)(C) and 18 C.F.R. part 292, must not be a net metering system under 20 BILL AS INTRODUCED H.155
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3030 section 219a 8010 of this title, and must be a new standard offer plant. In this 1
3131 section, “new standard offer plant” means a renewable energy plant that is 2
3232 located in Vermont, that has a plant capacity of 2.2 MW or less, and that is 3
3333 commissioned on or after September 30, 2009. 4
3434 (c) Cumulative capacity. In accordance with this subsection, the 5
3535 Commission shall issue standard offers to new standard offer plants until a 6
3636 cumulative plant capacity amount of 127.5 227.5 MW is reached. 7
3737 (1) Pace. Annually commencing April 1, 2013, the Commission shall 8
3838 increase the cumulative plant capacity of the Standard Offer Program (the 9
3939 annual increase) until the 127.5-MW 227.5-MW cumulative plant capacity of 10
4040 this subsection is reached. 11
4141 (A) Annual amounts. The amount of the annual increase shall be five 12
4242 MW for the three years commencing April 1, 2013, 7.5 MW for the three years 13
4343 commencing April 1, 2016, and 10 MW commencing April 1, 2019, and then 14
4444 20 MW commencing April 1, 2026. 15
4545 (B) Blocks. Each year, a portion of the annual increase shall be 16
4646 reserved for new standard offer plants proposed by Vermont retail electricity 17
4747 providers (the provider block), and the remainder shall be reserved for new 18
4848 standard offer plants proposed by persons who are not providers (the 19
4949 independent developer block). 20 BILL AS INTRODUCED H.155
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5353 VT LEG #380044 v.1
5454 (i) The portion of the annual increase reserved for the provider 1
5555 block shall be 10 percent for the three years commencing April 1, 2013, 15 2
5656 percent for the three years commencing April 1, 2016, and 20 percent 3
5757 commencing April 1, 2019. 4
5858 (ii) If the provider block for a given year is not fully subscribed, 5
5959 any unsubscribed capacity within that block shall be added to the annual 6
6060 increase for each following year until that capacity is subscribed and shall be 7
6161 made available to new standard offer plants proposed by persons who are not 8
6262 providers. 9
6363 (iii) If the independent developer block for a given year is not fully 10
6464 subscribed, any unsubscribed capacity within that block shall be added to the 11
6565 annual increase for each following year until that capacity is subscribed and: 12
6666 (I) shall be made available to new standard offer plants 13
6767 proposed by persons who are not providers; and 14
6868 (II) may be made available to a provider following a written 15
6969 request and specific proposal submitted to and approved by the Commission. 16
7070 [Repealed.] 17
7171 (C) Adjustment; greenhouse gas reduction credits. The Commission 18
7272 shall adjust the annual increase to account for greenhouse gas reduction credits 19
7373 by multiplying the annual increase by one minus the ratio of the prior year’s 20
7474 greenhouse gas reduction credits to that year’s statewide retail electric sales. 21 BILL AS INTRODUCED H.155
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7878 VT LEG #380044 v.1
7979 (i) The amount of the prior year’s greenhouse gas reduction 1
8080 credits shall be determined in accordance with subdivision subsection 8006a(a) 2
8181 of this title. 3
8282 (ii) The adjustment in the annual increase shall be applied 4
8383 proportionally to the independent developer block and the provider block. 5
8484 (iii) Greenhouse gas reduction credits used to diminish a 6
8585 provider’s obligation under section 8004 of this title may be used to adjust the 7
8686 annual increase under this subsection (c). 8
8787 * * * 9
8888 (d) Plants outside cumulative capacity. The following categories of plants 10
8989 shall not count toward the cumulative capacity amount of subsection (c) of this 11
9090 section, and the Commission shall make standard offers available to them 12
9191 provided that they are otherwise eligible for such offers under this section: 13
9292 (1) Plants using methane derived from an agricultural operation. 14
9393 (2) New standard offer plants that the Commission determines will have 15
9494 sufficient benefits to the operation and management of the electric grid or a 16
9595 provider’s portion thereof because of their design, characteristics, location, or 17
9696 any other discernible benefit. To enhance the ability of new standard offer 18
9797 plants to mitigate transmission and distribution constraints, the Commission 19
9898 shall require Vermont retail electricity providers and companies that own or 20
9999 operate electric transmission facilities within the State to make sufficient 21 BILL AS INTRODUCED H.155
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103103 VT LEG #380044 v.1
104104 information concerning these constraints available to developers who propose 1
105105 new standard offer plants. 2
106106 (A) By March 1, 2013, the Commission shall develop a screening 3
107107 framework or guidelines that will provide developers with adequate 4
108108 information regarding constrained areas in which generation having particular 5
109109 characteristics is reasonably likely to provide sufficient benefit to allow the 6
110110 generation to qualify for eligibility under this subdivision (2). 7
111111 (B) Once the Commission develops the screening framework or 8
112112 guidelines under subdivision (2)(A) of this subsection (d), the Commission 9
113113 shall require Vermont transmission and retail electricity providers to make the 10
114114 necessary information publicly available in a timely manner, with updates at 11
115115 least annually. 12
116116 (C) Nothing in this subdivision (2) shall require the disclosure of 13
117117 information in contravention of federal law. 14
118118 (e) Term. The term of a standard offer required by this section shall be 10 15
119119 to 20 years, except that the term of a standard offer for a plant using solar 16
120120 power shall be 10 to 25 years. 17
121121 (f) Price. The categories of renewable energy for which the Commission 18
122122 shall set standard offer prices shall include at least each of the categories 19
123123 established pursuant to subdivision (c)(2) of this section. The Commission by 20
124124 order shall determine and set the price paid to a plant owner for each kWh 21 BILL AS INTRODUCED H.155
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129129 generated under a standard offer required by this section, with a goal of 1
130130 ensuring timely development at the lowest feasible cost. The Commission 2
131131 shall not be required to make this determination as a contested case under 3
132132 3 V.S.A. chapter 25. 4
133133 * * * 5
134134 (3) Price determinations. The Commission shall take all actions 6
135135 necessary to determine the pricing mechanism and implement the pricing 7
136136 requirements of this subsection (f) no later than on or before March 1, 2013 for 8
137137 effect on April 1, 2013. Annually thereafter, the Commission shall review the 9
138138 determinations previously made under this subsection to decide whether they 10
139139 should be modified in any respect in order to achieve the goal and 11
140140 requirements of this subsection. Any such modification shall be effective on a 12
141141 prospective basis commencing one month after it has been made. Once a 13
142142 pricing determination made or modified under this subsection goes into effect, 14
143143 subsequently executed standard offer contracts shall comply with the most 15
144144 recently effective determination. 16
145145 * * * 17
146146 (g) Qualifying existing agricultural plants. Notwithstanding any other 18
147147 provision of this section, on and after June 8, 2010, a standard offer shall be 19
148148 available for a qualifying existing plant as defined in Sec. 3 of No. 159 of the 20
149149 Acts of the 2009 Adj. Sess. (2010) (Act 159) 2010 Acts and Resolves No. 159, 21 BILL AS INTRODUCED H.155
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154154 Sec. 3. The provisions of subdivision 8005(b)(2) of this title, as they existed 1
155155 on June 4, 2010, the effective date of Act 159 2010 Acts and Resolves 2
156156 No. 159, shall govern a standard offer under this subsection. Standard offers 3
157157 for these plants shall not be subject to subsection (c) of this section (cumulative 4
158158 capacity; new standard offer plants). 5
159159 * * * 6
160160 (s) Solar only allocations. 7
161161 (1) Notwithstanding other provisions of this section to the contrary, 8
162162 beginning on April 1, 2026, the Commission shall allocate the new standard 9
163163 offer awards to new solar, wind, and hydroelectric power plants only. Of the 10
164164 annual capacity awards under this subsection (s), two MW shall be allocated to 11
165165 community solar projects. 12
166166 (2) As used in this section, “community solar project” means a solar 13
167167 plant owned by its members or an entity controlled by its members. 14
168168 (3) The Commission shall establish a price cap on projects equal to the 15
169169 price of the highest-cost, similarly sized solar project from the Standard Offer 16
170170 Program from the preceding 12 months. 17
171171 (4) If the annual allocation for community solar is not fully subscribed, 18
172172 the Commission shall allocate the unsubscribed capacity to new standard offer 19
173173 plants other than community solar. 20 BILL AS INTRODUCED H.155
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177177 VT LEG #380044 v.1
178178 Sec. 2. EFFECTIVE DATE 1
179179 This act shall take effect on passage. 2