Bill > SB0196

This bill requires the Indiana Utility Regulatory Commission (IURC) to establish rules for "community energy facilities" – which are defined as local electricity generation sites, like solar farms, that are interconnected to the grid and have at least three customers subscribing to their power, with most of the capacity allocated to small subscriptions and no single subscriber owning more than 20% – by July 1, 2027. Within 180 days of these rules being adopted, electricity suppliers must allow these community energy facilities to connect to their systems and begin crediting subscribing customers for the electricity they receive from these facilities, with these credits continuing for the life of the facility. The IURC must also create an "interconnection working group" made up of electricity suppliers and other stakeholders to recommend policies for transparent and efficient interconnection. Importantly, investor-owned utilities are prohibited from owning community energy facilities or offering them incentives. The bill also sets specific rules for the size of community energy facilities based on their location, such as a 20-megawatt limit for facilities on developed land and a 5-megawatt limit for those on undeveloped land, and mandates that the rules ensure low-to-moderate income households can benefit from these facilities.

Transportation and Infrastructure

https://iga.in.gov/legislative/2026/bills/senate/196/details