Energy

Creates the District Energy and Thermal Energy Storage Parity Act. Provides that the Illinois Commerce Commission, in consultation with Environmental Protection Agency, shall establish an optional certification process for Qualified District Energy Infrastructure. Requires the Environmental Protection Agency to establish a grant program to support certain projects. Provides that, within 180 days after the effective date of the Act, the Commission shall initiate a docketed proceeding to develop standardized thermal service agreement templates, suitable for developer financing and underwriting, and minimum requirements for customer rate stabilization options. Provides that a developer shall obtain a District Energy Feasibility Assessment from a qualified preparer for certain projects. Sets forth requirements for the content of the District Energy Feasibility Assessment. Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Requires the Department to develop and make available to units of local government a municipal alignment toolkit to facilitate the development and expansion of district energy systems. Requires the Department to establish and administer a district energy expansion program to support the development expansion, modernization, and decarbonization of district energy systems in the State. Amends the Illinois Finance Authority Act. Provides that the Authority may provide loans, credit enhancements, interest rate buydowns, loan loss reserves, or other financial assistance for the development, construction, expansion, or operation of the Qualified Energy Infrastructure and Dispatchable Thermal Energy Storage. Amends the Illinois Power Agency Act. Creates the Thermal Energy Storage Credit procurement program. Sets forth requirements for the program. Amends the Illinois Procurement Code. Sets forth provisions concerning district energy evaluation in State procurements. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act. Makes changes in provisions concerning exemptions. Amends the Property Tax Code. Defines "commercial energy storage system". Amends the Public Utilities Act. Sets forth provisions concerning district energy enabling measures and heat recovery incentives. Makes other changes.

Amends the Illinois Power Agency Act. In provisions concerning colocation of photovoltaic community renewable generation projects, changes references from "community renewable generation project" to "photovoltaic community renewable generation project" and "community solar projects" to "photovoltaic community renewable generation projects". Requires a project labor agreement for the new construction of certain facilities related to community-driven community solar projects. In a provision applying prevailing wage requirements to facilities for which a renewable energy credit delivery contract is signed, removes an exception for multi-family residential buildings with aggregate geothermal system tonnage, including colocated projects, of no more than 29 tons. Amends the Energy Transition Act. Provides that the Department of Corrections and the Department of Commerce and Economic Opportunity shall jointly develop activities to support the recruitment of eligible candidates to the Illinois Climate Works Preapprenticeship Program. Provides that the activities shall include coordinating on sharing with community-based providers the contact information of persons preparing to be released into the community, including names, addresses, phone numbers, and email addresses, if the person preparing to be released consents to the person's contact information being shared. Makes other changes.

Amends the Illinois Enterprise Zone Act. Provides that Department of Commerce and Economic Opportunity may designate a business that intends to establish a new wind power facility or a utility-scale solar facility as a high impact business only if the municipality in which the facility will be located (or the county in which the facility will be located, if the facility will be located in an unincorporated area of the county) approves, in writing, the designation of the business as a high impact business. Makes conforming changes. Amends the Prevailing Wage Act to make conforming changes. Effective immediately.

Creates the Electric Transmission Colocation and Siting Priority Act. Defines terms. Requires that, in the siting of new electric transmission facilities, available corridors be used in the following order of priority: (1) existing public utility corridors; (2) State highway corridors; and (3) new corridors. Provides that a public utility or transmission developer may construct, place, or maintain a high-voltage transmission line on a public right-of-way or along a highway if (i) the public utility or transmission developer submits a colocation request for the high-voltage transmission line to the Secretary of Transportation and (ii) the Secretary reviews and approves the colocation request. Provides that the Secretary may deny a colocation request if the Secretary determines that the construction, placement, or maintenance of a high-voltage transmission line on a public right-of-way or along a highway would endanger public safety or would interfere with the proper function of the highway. Provides that a public utility or transmission developer may submit a written request to the Department of Transportation for an evaluation of certain corridors for possible locations for a high-voltage transmission line. Provides that, within 30 days after receipt of a written request, the Secretary shall assign a project coordinator to the request. Provides that a project coordinator, upon assignment to a request, shall begin the evaluation in coordination with the applicable public utility or transmission developer. Requires a public utility or transmission developer to develop a constructability report in consultation with the Department and requires the public utility or transmission developer and the Department to follow the terms and conditions of the constructability report during the planning and approval process for the siting of a high-voltage transmission line. Sets forth requirements for the content of the constructability report. Provides that, if the Department requires that a high-voltage transmission line on a public right-of-way be relocated by a specific date, the Department shall give the applicable public utility or transmission developer notice of the required relocation no less than 10 years before the date of the required relocation. Makes other changes. Effective January 1, 2027.

Amends the Procurement Code. Requires bidders that respond to solicitations issued on or after January 1, 2027 for master contracts for the purchase of vehicles to submit an Illinois Jobs Plan that meets certain requirements. Amends the Electric Vehicle Rebate Act. Provides that, beginning July 1, 2027, changes electric vehicle rebates and requires Illinois residency and changes the luxury and low efficiency vehicle fee. Amends the Toll Highway Act. Requires the Toll Highway Authority to build at least 4 150 kW fast charging ports by 2027, expand to 8 ports by 2029 and 16 ports by 2031. Amends the Vehicle Code. Requires the Illinois Commerce Commission to establish biennial reporting for large fleets beginning in 2027. Amends the Electric Vehicle Charging Act. Provides that units of local government may grant exceptions if utility upgrades would materially increase construction costs, but EV capable spaces cannot fall below certain levels. Provides that Tenants and condominium owners may install Level 1, Low Power Level 2, or Level 2 charging systems at their own expense, subject to reasonable restrictions. Amends the State Mandates Act. Provides that State mandates created by the amendatory Act requires no reimbursement to units of local governments. Amends the Retailer Occupation Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act to make other changes. Effective immediately.

Amends the Counties Code. Provides that the amendments made by Public Act 102-1123 to provisions concerning commercial wind energy facilities and commercial solar energy facilities do not apply to a commercial wind energy development, a commercial solar energy development, or an energy storage development on property in that located South of Interstate 70 and Edwards County, Franklin County, Hamilton County, Jackson County, Jefferson County, Madison County, Monroe County, Perry County, Randolph County, St. Clair County, Union County, Wabash County, Washington County, Wayne County, or White County.

Amends the Environmental Protection Act. Establishes the Renewable Fuels Infrastructure Program, administered by the Department of Agriculture. Allows grants to be awarded from the Renewable Fuels Infrastructure Fund, which is created as a special fund in the State treasury, for the installation of equipment for the storage and dispensing of fuels with higher blends of ethanol or biodiesel feedstock, according to the application and eligibility requirements established by rule by the Department of Agriculture. Requires the Comptroller and Treasurer to transfer, from June 1, 2026, to June 30, 2027, $3,000,000 each calendar quarter from the Underground Storage Tank Fund to the Renewable Fuels Infrastructure Fund. Provides for eligibility for grant funding and eligible expenditures from the fund. Makes conforming changes to the State Finance Act. Effective immediately.

Amends the Public Utilities Act. Provides that, prior to approving or directing any decarbonization pathway, pilot program, infrastructure investment, or regulatory mandate related to the natural gas distribution system, the Commission shall conduct a comprehensive, independent cost-benefit analysis that evaluates: (i) life-cycle greenhouse gas emissions reductions; (ii) cumulative energy system costs, including any stranded asset risks estimated at no less than $80,000,000,000 by 2050 under high-electrification scenarios; (iii) ratepayer bill impacts for all customer classes, with a focus on low-income and non-migrating customers; (iv) system reliability and safety under State standards; (v) equity impacts, including cost shifts to vulnerable populations; (vi) workforce and job impacts; and (vii) the extent to which competitive market mechanisms, such as private investment, third-party financing, and supplier competition, can achieve equivalent or superior outcomes at lower costs. Provides that the Commission shall not approve a decarbonization pathway, pilot program, infrastructure investment, or regulatory mandate unless the pathway, program, investment, or mandate demonstrates net benefits under the cost-benefit analysis without prioritizing an approach where regulated solutions increase costs without proportional benefits. Provides that the Commission shall use transparent, market-based data from sources such as PJM Interconnection, LLC (PJM), Midcontinent Independent System Operator, Inc. (MISO), and Chicago Citygate and coordinate with applicable biennial long-term gas infrastructure plans.

Creates the Clean Transportation Standard Act. Establishes a clean transportation standard to reduce life cycle carbon intensity of fuels for the ground transportation sector by specified amounts. Provides for related rulemaking and calculations. Provides that the clean transportation standard shall take the form of a credit marketplace monitored by the Environmental Protection Agency. Provides for verification and data privacy requirements for the Agency. Provides for penalties for failing to offset deficits in certain situations, and for penalties for submitting false information. Exempts airline, rail, ocean-going, and military fuel. Provides that the Agency must develop a periodic fuel supply forecast. Establishes findings. Defines terms. Contains other provisions. Effective January 1, 2027.

Amends the Counties Code, the Township Code, and the Illinois Municipal Code. Provides that a commercial solar energy facility, commercial wind energy facility, or energy storage facility may not be constructed in a county, a township, or within 1.5 miles of a municipality unless the facility has the approval of (1) the county board of the county or, if the facility is located in Cook County, the Cook County Board of Commissioners; (2) if the facility would be located within a township, the township board of trustees; and (3) if the facility would be located within a municipality, the corporate authorities of the municipality. Effective immediately.