Bill > HB3540

This bill modifies Oregon's regulations for electric utilities regarding renewable portfolio standards (RPS) and clean energy targets by establishing a unified cost limit for compliance. Specifically, the bill amends existing laws to provide that an electric utility is not required to comply with renewable portfolio standards if the cost of compliance exceeds a specific threshold, which is set at four percent of the utility's annual revenue requirement. The bill introduces a mechanism for the Public Utility Commission to calculate this revenue requirement, taking into account various operational costs while excluding certain expenses like energy efficiency programs. Additionally, the bill allows for alternative compliance payments and creates a framework for investigating and accounting for investments made by electric companies to meet renewable energy standards. If the cumulative rate impact of these investments exceeds six percent of the annual revenue requirement, the utility can be granted an exemption from further compliance with the renewable portfolio standard. The changes apply to compliance years beginning on or after the effective date of the act, providing electric utilities with more flexibility in meeting renewable energy targets while protecting them from excessive financial burden.

Agriculture and Natural Resources

https://olis.oregonlegislature.gov/liz/2025R1/Measures/Overview/HB3540