Bill > SB142

This bill aims to reduce costs and legal uncertainties associated with developing thermal energy networks and utilizing industrial waste heat by providing clear statutory authority for these activities. It allows local governments, including cities, towns, counties, and special districts, to aggregate thermal energy demand from various entities, including private ones, and enter into long-term service agreements of up to twenty-five years for thermal energy networks without being regulated as public utilities. The bill also grants local governments the authority to issue revenue bonds or other financing mechanisms to fund these networks and permits them to contract with private entities for the design, construction, operation, and management of these networks. Furthermore, it clarifies that providing thermal energy service under these provisions does not violate existing natural gas franchise agreements and allows emission reductions from these networks to be counted towards a utility's clean heat plan. The bill also includes provisions for geothermal energy development, including data collection on geothermal resources and the establishment of frameworks for small-scale and large-scale geothermal projects, with specific labor requirements for certain projects.