Bill > HB339

This bill mandates that retail electric suppliers in Kentucky must progressively increase the amount of electricity they generate or purchase from renewable energy sources, with specific minimum percentages for solar energy, and also requires them to implement energy-efficiency measures and programs to achieve increasing energy savings over time. The bill defines various terms related to renewable energy, such as "anaerobic digestion" (breaking down biodegradable material without oxygen to produce electricity), "combined heat and power" (CHP) systems that generate both electricity and heat, and "low-impact biomass" (sustainable organic materials like agricultural waste). It outlines phased-in renewable energy portfolio requirements (REP) starting in 2018 and increasing through 2026, and similar phased-in energy efficiency savings targets. Retail electric suppliers must submit implementation and annual reports to the Public Service Commission (PSC) detailing their progress, and the PSC will also report to the Legislative Research Commission on the status of renewable energy and energy efficiency in the state. The bill allows for alternative compliance plans if renewable energy or efficiency targets are not met, which can involve offsetting shortfalls with greater energy usage reductions. It also establishes that retail electric suppliers can recover the costs associated with these plans, including lost revenues and incentives, and the PSC is tasked with developing tariff guidelines for purchasing renewable electricity from eligible facilities, ensuring fair compensation based on various cost factors.