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IL HB3609

IL HB3609
THERMAL ENERGY NETWORKS


summary

Introduced
02/07/2025
In Committee
04/11/2025
Crossed Over
Passed
Dead

Introduced Session

Potential new amendment
104th General Assembly

Bill Summary

Provides that the amendatory Act may be referred to as the Thermal Energy Network and Jobs Acts. Sets forth a statement of legislative findings and intent. Amends the Public Utilities Act. Defines "thermal energy" and "thermal energy network". Requires the Illinois Commerce Commission to initiate a proceeding within 6 months after the effective date of the amendatory Act to support the development of pilot thermal energy networks. Provides that within 10 months after the effective date of the amendatory Act, every gas public utility, electric public utility, or combination public utility serving over 100,000 customers shall file with the Commission a petition seeking Commission-approval of at least one and no more than 3 proposed pilot thermal energy network projects. Requires every gas public utility, electric public utility, or combination public utility constructing or operating a Commission-approved pilot thermal energy network project to report to the Commission, on a quarterly basis and until completion of the pilot thermal energy network project, the status of each pilot thermal energy network project. Requires every gas public utility, electric public utility, or combination public utility constructing or operating a Commission-approved pilot thermal energy network project to demonstrate that it has entered into a labor peace agreement with a bona fide labor organization that is actively engaged in representing its employees. Requires the Commission to adopt specified rules within 4 years after the completion of the construction of all thermal energy network projects. Provides that a gas public utility, electric public utility, or combination public utility required to develop a pilot thermal energy network project shall be permitted to recover all reasonable and prudently incurred costs associated with the development, construction, and operation of one or more pilot thermal energy network projects through general rates or through rates set in a Multi-Year Rate Plan. Effective immediately.

AI Summary

This bill establishes a framework for developing thermal energy networks in Illinois, with the primary goal of reducing greenhouse gas emissions from buildings while creating jobs and promoting affordable, accessible energy solutions. The legislation requires large public utilities (serving over 100,000 customers) to file petitions for 1-3 pilot thermal energy network projects within 10 months of the bill's effective date. These networks are defined as pipe loops between multiple buildings that can transfer heat and support heating, cooling, and hot water services without combustion. The Illinois Commerce Commission must initiate a proceeding to support these pilot projects, considering factors like ownership structures, market approaches, and public interest. Importantly, the bill mandates that utilities entering these projects must: (1) ensure labor peace agreements with unions, (2) pay prevailing wages, (3) prioritize projects in economically disadvantaged communities, and (4) create at least one project with industrial heat applications. The utilities will be allowed to recover project costs through general rates, and the Commission is required to develop comprehensive rules within four years, including guidelines for market access, worker transition, and third-party participation. The underlying intent is to create an innovative approach to decarbonizing buildings, support local jobs, and develop a new, environmentally friendly energy infrastructure.

Committee Categories

Agriculture and Natural Resources

Sponsors (7)

Last Action

Rule 19(a) / Re-referred to Rules Committee (on 04/11/2025)

bill text


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