1 | 1 | | BILL AS INTRODUCED H.278 |
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2 | 2 | | 2025 Page 1 of 5 |
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4 | 4 | | |
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5 | 5 | | VT LEG #379347 v.1 |
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6 | 6 | | H.278 1 |
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7 | 7 | | Introduced by Representatives Masland of Thetford, Eastes of Guilford, 2 |
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8 | 8 | | Mrowicki of Putney, and Olson of Starksboro 3 |
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9 | 9 | | Referred to Committee on 4 |
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10 | 10 | | Date: 5 |
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11 | 11 | | Subject: Public service; energy; energy storage; community resilience 6 |
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12 | 12 | | Statement of purpose of bill as introduced: This bill proposes to direct the 7 |
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13 | 13 | | State’s electric distribution utilities and Vermont Electric Power Company 8 |
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14 | 14 | | (VELCO) to submit to the Department of Public Service a report, including an 9 |
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15 | 15 | | electric system map, identifying where energy storage facilities and flexible 10 |
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16 | 16 | | load management initiatives, and how much of each solution, would deliver the 11 |
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17 | 17 | | greatest reliability, affordability, community resilience, and sustainability 12 |
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18 | 18 | | benefits, which would then be used by the Clean Energy Development Board 13 |
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19 | 19 | | to award grants to those locations. 14 |
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20 | 20 | | An act relating to a plan on energy storage development 15 |
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21 | 21 | | It is hereby enacted by the General Assembly of the State of Vermont: 16 |
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22 | 22 | | Sec. 1. 30 V.S.A. § 8017 is added to read: 17 |
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23 | 23 | | § 8017. ENERGY RESILIENCY PLAN AND MAP 18 |
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24 | 24 | | (a) On or before December 31, 2026, in order to develop a plan to help 19 |
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25 | 25 | | develop energy storage assets and flexible load solutions and address repeated 20 BILL AS INTRODUCED H.278 |
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26 | 26 | | 2025 Page 2 of 5 |
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28 | 28 | | |
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29 | 29 | | VT LEG #379347 v.1 |
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30 | 30 | | issues with the electric grid, Vermont’s distribution and transmission utilities 1 |
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31 | 31 | | shall develop and submit a report, including a map, establishing where storage 2 |
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32 | 32 | | assets and flexible load management initiatives, and how much of each 3 |
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33 | 33 | | solution, have the greatest potential to mitigate, resolve, or forestall 4 |
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34 | 34 | | distribution grid and transmission grid reliability, affordability, community 5 |
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35 | 35 | | resiliency, and sustainability issues. This report shall utilize all relevant utility, 6 |
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36 | 36 | | State, and regional system reliability data and projected load growth and 7 |
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37 | 37 | | community health indicator data to identify where public and private fund 8 |
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38 | 38 | | investments will deliver the greatest value. This report and map shall be used 9 |
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39 | 39 | | as a guide for where best to site energy storage facilities and direct flexible 10 |
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40 | 40 | | load initiatives and will estimate the type and amount of each energy solution. 11 |
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41 | 41 | | (b) The report shall also: 12 |
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42 | 42 | | (1) provide a reasonable cost-benefit analysis that presents a general 13 |
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43 | 43 | | quantification of the value of the return on the dollars invested in energy 14 |
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44 | 44 | | storage assets and flexible load management initiatives, including benefits of 15 |
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45 | 45 | | responsible investments and associated returns, financial and nonfinancial, to 16 |
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46 | 46 | | ratepayers from the provision of services, including energy price arbitrage, 17 |
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47 | 47 | | capacity, ancillary services, and transmission and distribution asset deferral or 18 |
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48 | 48 | | substitution; 19 |
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49 | 49 | | (2) direct long-term investment returns to ratepayers that deploy energy 20 |
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50 | 50 | | storage systems and leverage flexible load management capabilities; 21 BILL AS INTRODUCED H.278 |
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51 | 51 | | 2025 Page 3 of 5 |
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53 | 53 | | |
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54 | 54 | | VT LEG #379347 v.1 |
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55 | 55 | | (3) improve the ability to integrate renewable resources at the local, 1 |
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56 | 56 | | State, and regional level; 2 |
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57 | 57 | | (4) improve reliability and power quality; 3 |
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58 | 58 | | (5) estimate the effect on retail electric rates over the life of a given 4 |
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59 | 59 | | energy storage system compared to the effect on retail electric rates using a 5 |
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60 | 60 | | nonenergy storage system alternative over the life of the nonenergy storage 6 |
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61 | 61 | | system alternative; 7 |
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62 | 62 | | (6) identify utility service territories or communities or buildings where 8 |
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63 | 63 | | adding energy storage assets would provide a major enhanced reliability 9 |
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64 | 64 | | benefit, including helping to keep a hospital, community center, warming 10 |
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65 | 65 | | shelter, emergency response facility, or other key building or buildings online 11 |
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66 | 66 | | during an outage; 12 |
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67 | 67 | | (7) identify areas with significant existing grid constraints for 13 |
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68 | 68 | | electrification and for distribution generation; 14 |
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69 | 69 | | (8) estimate reduced greenhouse gas emissions; and 15 |
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70 | 70 | | (9) estimate economic development benefits. 16 |
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71 | 71 | | (c) The Department shall collaborate, as necessary, in the development of 17 |
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72 | 72 | | the plan with electric and efficiency utilities, Vermont Electric Power 18 |
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73 | 73 | | Company (VELCO), regional planning commissions, and energy and 19 |
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74 | 74 | | environmental organizations and shall integrate the report and map findings 20 BILL AS INTRODUCED H.278 |
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75 | 75 | | 2025 Page 4 of 5 |
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77 | 77 | | |
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78 | 78 | | VT LEG #379347 v.1 |
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79 | 79 | | into existing required energy plans and present it to the Climate Council for 1 |
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80 | 80 | | inclusion in the Climate Action Plan. 2 |
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81 | 81 | | (d) The Department may require stakeholders to sign confidentiality 3 |
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82 | 82 | | agreements to address any confidential and proprietary information; however, 4 |
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83 | 83 | | the map shall be made available to relevant stakeholders involved in energy 5 |
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84 | 84 | | storage and flexible load management. 6 |
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85 | 85 | | (e) The Department shall submit the report and map to the Public Utility 7 |
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86 | 86 | | Commission and, to the degree that energy security allows, the General 8 |
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87 | 87 | | Assembly, identifying those areas with energy storage assets and flexible load 9 |
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88 | 88 | | management initiatives, including how much of each type of resource could 10 |
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89 | 89 | | deliver the greatest reliability, affordability, community resiliency, and 11 |
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90 | 90 | | sustainability value, including the associated quantitative and qualitative 12 |
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91 | 91 | | benefits with different investment and deployment scenarios. 13 |
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92 | 92 | | (f) The plan shall be updated biennially. Future revisions of the plan shall 14 |
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93 | 93 | | include review of the Municipal Energy Resilience Program assessment, 15 |
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94 | 94 | | VELCO’s Long-Range Transmission Plan, the environmental justice mapping 16 |
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95 | 95 | | tool, distribution utility integrated resource plans, efficiency utility demand 17 |
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96 | 96 | | response plans, and other relevant data. 18 |
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97 | 97 | | (g) The Clean Energy Development Board shall use the energy resiliency 19 |
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98 | 98 | | plan as a guide to award grants for the development of energy storage facilities 20 |
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99 | 99 | | in the identified locations. 21 BILL AS INTRODUCED H.278 |
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100 | 100 | | 2025 Page 5 of 5 |
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102 | 102 | | |
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103 | 103 | | VT LEG #379347 v.1 |
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104 | 104 | | Sec. 2. 30 V.S.A. § 8015 is amended to read: 1 |
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105 | 105 | | § 8015. VERMONT CLEAN ENERGY DEVELOPMENT FUND 2 |
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106 | 106 | | * * * 3 |
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107 | 107 | | (e) Management of Fund. 4 |
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108 | 108 | | * * * 5 |
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109 | 109 | | (3) There is created the Clean Energy Development Board, which shall 6 |
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110 | 110 | | consist of seven persons appointed in accordance with subdivision (4) of this 7 |
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111 | 111 | | subsection. 8 |
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112 | 112 | | * * * 9 |
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113 | 113 | | (C) The Board shall utilize the report developed under section 8017 10 |
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114 | 114 | | of this title. 11 |
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115 | 115 | | * * * 12 |
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116 | 116 | | Sec. 3. EFFECTIVE DATE 13 |
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117 | 117 | | This act shall take effect on passage. 14 |
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