Energy (Renewable Energy)

This bill establishes a new program for community renewable energy systems, allowing multiple subscribers to share access to solar or wind energy projects through a shared subscription model. The Public Utilities Regulatory Authority must create rules by December 2026 that enable any electricity customer to subscribe to these systems while receiving lower electricity costs than standard service rates. Key provisions include a cap on renewable energy credits at 200% of a subscriber's typical annual usage and a host bank system to manage and monetize any excess energy not directly subscribed to. The program requires at least two subscribers per system and prohibits any single subscriber from owning more than 60% of the total subscriptions.

This bill updates Connecticut's property tax exemption rules for renewable energy systems, expanding eligibility for homeowners, farms, and businesses while clarifying how exemptions are calculated. It allows property tax exemptions for residential solar, wind, and geothermal systems installed on or after October 1, 2007, and extends similar benefits to commercial and industrial renewable energy projects installed between 2010 and 2013 in specific municipalities. The legislation also establishes new exemption categories for commercial solar and wind projects installed after 2014, with additional restrictions taking effect in 2025 and 2026 that limit exemptions to the equipment itself rather than the entire property value. These changes apply to Class I renewable energy sources including solar, wind, geothermal, and hydropower facilities that generate electricity for on-site use.

HB 5340 establishes a new program to expand access to residential renewable energy by requiring electric distribution companies to offer tariffs for purchasing energy from small-scale, on-premise renewable systems (under 25 kilowatts). It directly affects low-income residential customers and those in affordable housing developments (defined as households earning ≤60% of area median income or meeting specific housing affordability criteria). The bill mandates the Public Utilities Regulatory Authority to create this program by July 2027, setting rates and terms that consider grid reliability, installation costs, and benefits to both participants and non-participants. The program will allow residential customers to sell excess renewable energy back to utilities under standardized terms for up to 20 years.