Bill Text: IL SB3395 | 2019-2020 | 101st General Assembly | Introduced
Bill Title: Amends the Public Utilities Act. Makes a technical change in a Section concerning recovery of costs associated with the provision of delivery services.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2021-01-13 - Session Sine Die [SB3395 Detail]
Download: Illinois-2019-SB3395-Introduced.html
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1 | AN ACT concerning regulation.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Public Utilities Act is amended by changing | |||||||||||||||||||
5 | Section 16-108 as follows:
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6 | (220 ILCS 5/16-108)
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7 | Sec. 16-108. Recovery of costs associated with the
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8 | provision of delivery and other services. | |||||||||||||||||||
9 | (a) An electric utility shall file a delivery services
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10 | tariff with the
the Commission at least 210 days prior to the | |||||||||||||||||||
11 | date
that it is required to begin offering such services | |||||||||||||||||||
12 | pursuant
to this Act. An electric utility shall provide the | |||||||||||||||||||
13 | components
of delivery services that are subject to the | |||||||||||||||||||
14 | jurisdiction of
the Federal Energy Regulatory Commission at the | |||||||||||||||||||
15 | same prices,
terms and conditions set forth in its applicable | |||||||||||||||||||
16 | tariff as
approved or allowed into effect by that Commission. | |||||||||||||||||||
17 | The
Commission shall otherwise have the authority pursuant to | |||||||||||||||||||
18 | Article IX to review,
approve, and modify the prices, terms and | |||||||||||||||||||
19 | conditions of those
components of delivery services not subject | |||||||||||||||||||
20 | to the
jurisdiction of the Federal Energy Regulatory | |||||||||||||||||||
21 | Commission,
including the authority to determine the extent to | |||||||||||||||||||
22 | which such
delivery services should be offered on an unbundled | |||||||||||||||||||
23 | basis. In making any such
determination the Commission shall |
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1 | consider, at a minimum, the effect of
additional unbundling on | ||||||
2 | (i) the objective of just and reasonable rates, (ii)
electric | ||||||
3 | utility employees, and (iii) the development of competitive | ||||||
4 | markets
for electric energy services in Illinois. | ||||||
5 | (b) The Commission shall enter an order approving, or
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6 | approving as modified, the delivery services tariff no later
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7 | than 30 days prior to the date on which the electric utility
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8 | must commence offering such services. The Commission may
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9 | subsequently modify such tariff pursuant to this Act.
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10 | (c) The electric utility's
tariffs shall define the classes | ||||||
11 | of its customers for purposes
of delivery services charges. | ||||||
12 | Delivery services shall be priced and made
available to all | ||||||
13 | retail customers electing delivery services in each such class
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14 | on a nondiscriminatory basis regardless of whether the retail | ||||||
15 | customer chooses
the electric utility, an affiliate of the | ||||||
16 | electric utility, or another entity
as its supplier of electric | ||||||
17 | power and energy. Charges for delivery services
shall be cost | ||||||
18 | based,
and shall allow the electric utility to recover the | ||||||
19 | costs of
providing delivery services through its charges to its
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20 | delivery service customers that use the facilities and
services | ||||||
21 | associated with such costs.
Such costs shall include the
costs | ||||||
22 | of owning, operating and maintaining transmission and
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23 | distribution facilities. The Commission shall also be
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24 | authorized to consider whether, and if so to what extent, the
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25 | following costs are appropriately included in the electric
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26 | utility's delivery services rates: (i) the costs of that
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1 | portion of generation facilities used for the production and
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2 | absorption of reactive power in order that retail customers
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3 | located in the electric utility's service area can receive
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4 | electric power and energy from suppliers other than the
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5 | electric utility, and (ii) the costs associated with the use
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6 | and redispatch of generation facilities to mitigate
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7 | constraints on the transmission or distribution system in
order | ||||||
8 | that retail customers located in the electric utility's
service | ||||||
9 | area can receive electric power and energy from
suppliers other | ||||||
10 | than the electric utility. Nothing in this
subsection shall be | ||||||
11 | construed as directing the Commission to
allocate any of the | ||||||
12 | costs described in (i) or (ii) that are
found to be | ||||||
13 | appropriately included in the electric utility's
delivery | ||||||
14 | services rates to any particular customer group or
geographic | ||||||
15 | area in setting delivery services rates.
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16 | (d) The Commission shall establish charges, terms and
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17 | conditions for delivery services that are just and reasonable
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18 | and shall take into account customer impacts when establishing
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19 | such charges. In establishing charges, terms and conditions
for | ||||||
20 | delivery services, the Commission shall take into account
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21 | voltage level differences. A retail customer shall have the
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22 | option to request to purchase electric service at any delivery
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23 | service voltage reasonably and technically feasible from the
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24 | electric facilities serving that customer's premises provided
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25 | that there are no significant adverse impacts upon system
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26 | reliability or system efficiency. A retail customer shall
also |
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1 | have the option to request to purchase electric service
at any | ||||||
2 | point of delivery that is reasonably and technically
feasible | ||||||
3 | provided that there are no significant adverse
impacts on | ||||||
4 | system reliability or efficiency. Such requests
shall not be | ||||||
5 | unreasonably denied.
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6 | (e) Electric utilities shall recover the costs of
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7 | installing, operating or maintaining facilities for the
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8 | particular benefit of one or more delivery services customers,
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9 | including without limitation any costs incurred in complying
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10 | with a customer's request to be served at a different voltage
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11 | level, directly from the retail customer or customers for
whose | ||||||
12 | benefit the costs were incurred, to the extent such
costs are | ||||||
13 | not recovered through the charges referred to in
subsections | ||||||
14 | (c) and (d) of this Section.
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15 | (f) An electric utility shall be entitled but not
required | ||||||
16 | to implement transition charges in conjunction with
the | ||||||
17 | offering of delivery services pursuant to Section 16-104.
If an | ||||||
18 | electric utility implements transition charges, it shall | ||||||
19 | implement such
charges for all delivery services customers and | ||||||
20 | for all customers described in
subsection (h), but shall not | ||||||
21 | implement transition charges for power and
energy that a retail | ||||||
22 | customer takes from cogeneration or self-generation
facilities | ||||||
23 | located on that retail customer's premises, if such facilities | ||||||
24 | meet
the following criteria:
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25 | (i) the cogeneration or self-generation facilities | ||||||
26 | serve a single retail
customer and are located on that |
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1 | retail customer's premises (for purposes of
this | ||||||
2 | subparagraph and subparagraph (ii), an industrial or | ||||||
3 | manufacturing retail
customer and a third party contractor | ||||||
4 | that is served by such industrial or
manufacturing customer | ||||||
5 | through such retail customer's own electrical
distribution | ||||||
6 | facilities under the circumstances described in subsection | ||||||
7 | (vi) of
the definition of "alternative retail electric | ||||||
8 | supplier" set forth in Section
16-102, shall be considered | ||||||
9 | a single retail customer);
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10 | (ii) the cogeneration or self-generation facilities | ||||||
11 | either (A) are sized
pursuant to generally accepted | ||||||
12 | engineering standards for the retail customer's
electrical | ||||||
13 | load at that premises (taking into account standby or other
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14 | reliability considerations related to that retail | ||||||
15 | customer's operations at that
site) or (B) if the facility | ||||||
16 | is a cogeneration facility located on the retail
customer's | ||||||
17 | premises, the retail customer is the thermal host for that | ||||||
18 | facility
and the facility has been designed to meet that | ||||||
19 | retail customer's thermal
energy requirements resulting in | ||||||
20 | electrical output beyond that retail
customer's electrical | ||||||
21 | demand at that premises, comply with the operating and
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22 | efficiency standards applicable to "qualifying facilities" | ||||||
23 | specified in title
18 Code of Federal Regulations Section | ||||||
24 | 292.205 as in effect on the effective
date of this | ||||||
25 | amendatory Act of 1999;
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26 | (iii) the retail customer on whose premises the |
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1 | facilities are located
either has an exclusive right to | ||||||
2 | receive, and corresponding obligation to pay
for, all of | ||||||
3 | the electrical capacity of the facility, or in the case of | ||||||
4 | a
cogeneration facility that has been designed to meet the | ||||||
5 | retail customer's
thermal energy requirements at that | ||||||
6 | premises, an identified amount of the
electrical capacity | ||||||
7 | of the facility, over a minimum 5-year period; and
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8 | (iv) if the cogeneration facility is sized for the
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9 | retail customer's thermal load at that premises but exceeds | ||||||
10 | the electrical
load, any sales of excess power or energy | ||||||
11 | are made only at wholesale, are
subject to the jurisdiction | ||||||
12 | of the Federal Energy Regulatory Commission, and
are not | ||||||
13 | for the purpose of circumventing the provisions of this | ||||||
14 | subsection (f).
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15 | If a generation facility located at a retail customer's | ||||||
16 | premises does not meet
the above criteria, an electric utility | ||||||
17 | implementing
transition charges shall implement a transition | ||||||
18 | charge until December 31, 2006
for any power and energy taken | ||||||
19 | by such retail customer from such facility as if
such power and | ||||||
20 | energy had been delivered by the electric utility. Provided,
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21 | however, that an industrial retail customer that is taking | ||||||
22 | power from a
generation facility that does not meet the above | ||||||
23 | criteria but that is located
on such customer's premises will | ||||||
24 | not be subject to a transition charge for the
power and energy | ||||||
25 | taken by such retail customer from such generation facility if
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26 | the facility does not serve any other retail customer and |
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1 | either was installed
on behalf of the customer and for its own | ||||||
2 | use prior to January 1, 1997, or is
both predominantly fueled | ||||||
3 | by byproducts of such customer's manufacturing
process at such | ||||||
4 | premises and sells or offers an average of 300 megawatts or
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5 | more of electricity produced from such generation facility into | ||||||
6 | the wholesale
market.
Such charges
shall be calculated as | ||||||
7 | provided in Section
16-102, and shall be collected
on each | ||||||
8 | kilowatt-hour delivered under a
delivery services tariff to a | ||||||
9 | retail customer from the date
the customer first takes delivery | ||||||
10 | services until December 31,
2006 except as provided in | ||||||
11 | subsection (h) of this Section.
Provided, however, that an | ||||||
12 | electric utility, other than an electric utility
providing | ||||||
13 | service to at least 1,000,000 customers in this State on | ||||||
14 | January 1,
1999,
shall be entitled to petition for
entry of an | ||||||
15 | order by the Commission authorizing the electric utility to
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16 | implement transition charges for an additional period ending no | ||||||
17 | later than
December 31, 2008. The electric utility shall file | ||||||
18 | its petition with
supporting evidence no earlier than 16 | ||||||
19 | months, and no later than 12 months,
prior to December 31, | ||||||
20 | 2006. The Commission shall hold a hearing on the
electric | ||||||
21 | utility's petition and shall enter its order no later than 8 | ||||||
22 | months
after the petition is filed. The Commission shall | ||||||
23 | determine whether and to
what extent the electric utility shall | ||||||
24 | be authorized to implement transition
charges for an additional | ||||||
25 | period. The Commission may authorize the electric
utility to | ||||||
26 | implement transition charges for some or all of the additional
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1 | period, and shall determine the mitigation factors to be used | ||||||
2 | in implementing
such transition charges; provided, that the | ||||||
3 | Commission shall not authorize
mitigation factors less than | ||||||
4 | 110% of those in effect during the 12 months ended
December 31, | ||||||
5 | 2006. In making its determination, the Commission shall | ||||||
6 | consider
the following factors: the necessity to implement | ||||||
7 | transition charges for an
additional period in order to | ||||||
8 | maintain the financial integrity of the electric
utility; the | ||||||
9 | prudence of the electric utility's actions in reducing its | ||||||
10 | costs
since the effective date of this amendatory Act of 1997; | ||||||
11 | the ability of the
electric utility to provide safe, adequate | ||||||
12 | and reliable service to retail
customers in its service area; | ||||||
13 | and the impact on competition of allowing the
electric utility | ||||||
14 | to implement transition charges for the additional period.
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15 | (g) The electric utility shall file tariffs that
establish | ||||||
16 | the transition charges to be paid by each class of
customers to | ||||||
17 | the electric utility in conjunction with the
provision of | ||||||
18 | delivery services. The electric utility's tariffs
shall define | ||||||
19 | the classes of its customers for purposes of
calculating | ||||||
20 | transition charges. The electric utility's tariffs
shall | ||||||
21 | provide for the calculation of transition charges on a
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22 | customer-specific basis for any retail customer whose average
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23 | monthly maximum electrical demand on the electric utility's
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24 | system during the 6 months with the customer's highest monthly
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25 | maximum electrical demands equals or exceeds 3.0 megawatts for
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26 | electric utilities having more than 1,000,000 customers, and
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1 | for other electric utilities for any customer that has an
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2 | average monthly maximum electrical demand on the electric
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3 | utility's system of one megawatt or more, and (A) for which
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4 | there exists data on the customer's usage during the 3 years
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5 | preceding the date that the customer became eligible to take
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6 | delivery services, or (B) for which there does not exist data
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7 | on the customer's usage during the 3 years preceding the date
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8 | that the customer became eligible to take delivery services,
if | ||||||
9 | in the electric utility's reasonable judgment there exists
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10 | comparable usage information or a sufficient basis to develop
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11 | such information, and further provided that the electric
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12 | utility can require customers for which an individual
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13 | calculation is made to sign contracts that set forth the
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14 | transition charges to be paid by the customer to the electric
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15 | utility pursuant to the tariff.
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16 | (h) An electric utility shall also be entitled to file
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17 | tariffs that allow it to collect transition charges from
retail | ||||||
18 | customers in the electric utility's service area that
do not | ||||||
19 | take delivery services but that take electric power or
energy | ||||||
20 | from an alternative retail electric supplier or from an
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21 | electric utility other than the electric utility in whose
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22 | service area the customer is located. Such charges shall be
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23 | calculated, in accordance with the definition of transition
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24 | charges in Section 16-102, for the period of time that the
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25 | customer would be obligated to pay transition charges if it
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26 | were taking delivery services, except that no deduction for
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1 | delivery services revenues shall be made in such calculation,
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2 | and usage data from the customer's class shall be used where
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3 | historical usage data is not available for the individual
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4 | customer. The customer shall be obligated to pay such charges
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5 | on a lump sum basis on or before the date on which the
customer | ||||||
6 | commences to take service from the alternative retail
electric | ||||||
7 | supplier or other electric utility, provided, that
the electric | ||||||
8 | utility in whose service area the customer is
located shall | ||||||
9 | offer the customer the option of signing a
contract pursuant to | ||||||
10 | which the customer pays such charges
ratably over the period in | ||||||
11 | which the charges would otherwise
have applied.
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12 | (i) An electric utility shall be entitled to add to the
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13 | bills of delivery services customers charges pursuant to
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14 | Sections 9-221, 9-222 (except as provided in Section 9-222.1), | ||||||
15 | and Section
16-114 of this Act, Section 5-5 of the Electricity | ||||||
16 | Infrastructure Maintenance
Fee Law, Section 6-5 of the | ||||||
17 | Renewable Energy, Energy Efficiency, and Coal
Resources | ||||||
18 | Development Law of 1997, and Section 13 of the Energy | ||||||
19 | Assistance Act.
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20 | (j) If a retail customer that obtains electric power and
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21 | energy from cogeneration or self-generation facilities
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22 | installed for its own use on or before January 1, 1997,
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23 | subsequently takes service from an alternative retail electric
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24 | supplier or an electric utility other than the electric
utility | ||||||
25 | in whose service area the customer is located for any
portion | ||||||
26 | of the customer's electric power and energy
requirements |
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1 | formerly obtained from those facilities (including that amount
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2 | purchased from the utility in lieu of such generation and not | ||||||
3 | as standby power
purchases, under a cogeneration displacement | ||||||
4 | tariff in effect as of the
effective date of this amendatory | ||||||
5 | Act of 1997), the
transition charges otherwise applicable | ||||||
6 | pursuant to subsections (f), (g), or
(h) of this Section shall | ||||||
7 | not be applicable
in any year to that portion of the customer's | ||||||
8 | electric power
and energy requirements formerly obtained from | ||||||
9 | those
facilities, provided, that for purposes of this | ||||||
10 | subsection
(j), such portion shall not exceed the average | ||||||
11 | number of
kilowatt-hours per year obtained from the | ||||||
12 | cogeneration or
self-generation facilities during the 3 years | ||||||
13 | prior to the
date on which the customer became eligible for | ||||||
14 | delivery
services, except as provided in subsection (f) of | ||||||
15 | Section
16-110.
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16 | (k) The electric utility shall be entitled to recover | ||||||
17 | through tariffed charges all of the costs associated with the | ||||||
18 | purchase of zero emission credits from zero emission facilities | ||||||
19 | to meet the requirements of subsection (d-5) of Section 1-75 of | ||||||
20 | the Illinois Power Agency Act. Such costs shall include the | ||||||
21 | costs of procuring the zero emission credits, as well as the | ||||||
22 | reasonable costs that the utility incurs as part of the | ||||||
23 | procurement processes and to implement and comply with plans | ||||||
24 | and processes approved by the Commission under such subsection | ||||||
25 | (d-5). The costs shall be allocated across all retail customers | ||||||
26 | through a single, uniform cents per kilowatt-hour charge |
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1 | applicable to all retail customers, which shall appear as a | ||||||
2 | separate line item on each customer's bill. Beginning June 1, | ||||||
3 | 2017, the electric utility shall be entitled to recover through | ||||||
4 | tariffed charges all of the costs associated with the purchase | ||||||
5 | of renewable energy resources to meet the renewable energy | ||||||
6 | resource standards of subsection (c) of Section 1-75 of the | ||||||
7 | Illinois Power Agency Act, under procurement plans as approved | ||||||
8 | in accordance with that Section and Section 16-111.5 of this | ||||||
9 | Act. Such costs shall include the costs of procuring the | ||||||
10 | renewable energy resources, as well as the reasonable costs | ||||||
11 | that the utility incurs as part of the procurement processes | ||||||
12 | and to implement and comply with plans and processes approved | ||||||
13 | by the Commission under such Sections. The costs associated | ||||||
14 | with the purchase of renewable energy resources shall be | ||||||
15 | allocated across all retail customers in proportion to the | ||||||
16 | amount of renewable energy resources the utility procures for | ||||||
17 | such customers through a single, uniform cents per | ||||||
18 | kilowatt-hour charge applicable to such retail customers, | ||||||
19 | which shall appear as a separate line item on each such | ||||||
20 | customer's bill. | ||||||
21 | Notwithstanding whether the Commission has approved the | ||||||
22 | initial long-term renewable resources procurement plan as of | ||||||
23 | June 1, 2017, an electric utility shall place new tariffed | ||||||
24 | charges into effect beginning with the June 2017 monthly | ||||||
25 | billing period, to the extent practicable, to begin recovering | ||||||
26 | the costs of procuring renewable energy resources, as those |
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1 | charges are calculated under the limitations described in | ||||||
2 | subparagraph (E) of paragraph (1) of subsection (c) of Section | ||||||
3 | 1-75 of the Illinois Power Agency Act. Notwithstanding the date | ||||||
4 | on which the utility places such new tariffed charges into | ||||||
5 | effect, the utility shall be permitted to collect the charges | ||||||
6 | under such tariff as if the tariff had been in effect beginning | ||||||
7 | with the first day of the June 2017 monthly billing period. For | ||||||
8 | the delivery years commencing June 1, 2017, June 1, 2018, and | ||||||
9 | June 1, 2019, the electric utility shall deposit into a | ||||||
10 | separate interest bearing account of a financial institution | ||||||
11 | the monies collected under the tariffed charges. Any interest | ||||||
12 | earned shall be credited back to retail customers under the | ||||||
13 | reconciliation proceeding provided for in this subsection (k), | ||||||
14 | provided that the electric utility shall first be reimbursed | ||||||
15 | from the interest for the administrative costs that it incurs | ||||||
16 | to administer and manage the account. Any taxes due on the | ||||||
17 | funds in the account, or interest earned on it, will be paid | ||||||
18 | from the account or, if insufficient monies are available in | ||||||
19 | the account, from the monies collected under the tariffed | ||||||
20 | charges to recover the costs of procuring renewable energy | ||||||
21 | resources. Monies deposited in the account shall be subject to | ||||||
22 | the review, reconciliation, and true-up process described in | ||||||
23 | this subsection (k) that is applicable to the funds collected | ||||||
24 | and costs incurred for the procurement of renewable energy | ||||||
25 | resources. | ||||||
26 | The electric utility shall be entitled to recover all of |
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| |||||||
1 | the costs identified in this subsection (k) through automatic | ||||||
2 | adjustment clause tariffs applicable to all of the utility's | ||||||
3 | retail customers that allow the electric utility to adjust its | ||||||
4 | tariffed charges consistent with this subsection (k). The | ||||||
5 | determination as to whether any excess funds were collected | ||||||
6 | during a given delivery year for the purchase of renewable | ||||||
7 | energy resources, and the crediting of any excess funds back to | ||||||
8 | retail customers, shall not be made until after the close of | ||||||
9 | the delivery year, which will ensure that the maximum amount of | ||||||
10 | funds is available to implement the approved long-term | ||||||
11 | renewable resources procurement plan during a given delivery | ||||||
12 | year. The electric utility's collections under such automatic | ||||||
13 | adjustment clause tariffs to recover the costs of renewable | ||||||
14 | energy resources and zero emission credits from zero emission | ||||||
15 | facilities shall be subject to separate annual review, | ||||||
16 | reconciliation, and true-up against actual costs by the | ||||||
17 | Commission under a procedure that shall be specified in the | ||||||
18 | electric utility's automatic adjustment clause tariffs and | ||||||
19 | that shall be approved by the Commission in connection with its | ||||||
20 | approval of such tariffs. The procedure shall provide that any | ||||||
21 | difference between the electric utility's collections under | ||||||
22 | the automatic adjustment charges for an annual period and the | ||||||
23 | electric utility's actual costs of renewable energy resources | ||||||
24 | and zero emission credits from zero emission facilities for | ||||||
25 | that same annual period shall be refunded to or collected from, | ||||||
26 | as applicable, the electric utility's retail customers in |
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| |||||||
1 | subsequent periods. | ||||||
2 | Nothing in this subsection (k) is intended to affect, | ||||||
3 | limit, or change the right of the electric utility to recover | ||||||
4 | the costs associated with the procurement of renewable energy | ||||||
5 | resources for periods commencing before, on, or after June 1, | ||||||
6 | 2017, as otherwise provided in the Illinois Power Agency Act. | ||||||
7 | Notwithstanding anything to the contrary, the Commission | ||||||
8 | shall not conduct an annual review, reconciliation, and true-up | ||||||
9 | associated with renewable energy resources' collections and | ||||||
10 | costs for the delivery years commencing June 1, 2017, June 1, | ||||||
11 | 2018, June 1, 2019, and June 1, 2020, and shall instead conduct | ||||||
12 | a single review, reconciliation, and true-up associated with | ||||||
13 | renewable energy resources' collections and costs for the | ||||||
14 | 4-year period beginning June 1, 2017 and ending May 31, 2021, | ||||||
15 | provided that the review, reconciliation, and true-up shall not | ||||||
16 | be initiated until after August 31, 2021. During the 4-year | ||||||
17 | period, the utility shall be permitted to collect and retain | ||||||
18 | funds under this subsection (k) and to purchase renewable | ||||||
19 | energy resources under an approved long-term renewable | ||||||
20 | resources procurement plan using those funds regardless of the | ||||||
21 | delivery year in which the funds were collected during the | ||||||
22 | 4-year period. | ||||||
23 | If the amount of funds collected during the delivery year | ||||||
24 | commencing June 1, 2017, exceeds the costs incurred during that | ||||||
25 | delivery year, then up to half of this excess amount, as | ||||||
26 | calculated on June 1, 2018, may be used to fund the programs |
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1 | under subsection (b) of Section 1-56 of the Illinois Power | ||||||
2 | Agency Act in the same proportion the programs are funded under | ||||||
3 | that subsection (b). However, any amount identified under this | ||||||
4 | subsection (k) to fund programs under subsection (b) of Section | ||||||
5 | 1-56 of the Illinois Power Agency Act shall be reduced if it | ||||||
6 | exceeds the funding shortfall. For purposes of this Section, | ||||||
7 | "funding shortfall" means the difference between $200,000,000 | ||||||
8 | and the amount appropriated by the General Assembly to the | ||||||
9 | Illinois Power Agency Renewable Energy Resources Fund during | ||||||
10 | the period that commences on the effective date of this | ||||||
11 | amendatory act of the 99th General Assembly and ends on August | ||||||
12 | 1, 2018. | ||||||
13 | If the amount of funds collected during the delivery year | ||||||
14 | commencing June 1, 2018, exceeds the costs incurred during that | ||||||
15 | delivery year, then up to half of this excess amount, as | ||||||
16 | calculated on June 1, 2019, may be used to fund the programs | ||||||
17 | under subsection (b) of Section 1-56 of the Illinois Power | ||||||
18 | Agency Act in the same proportion the programs are funded under | ||||||
19 | that subsection (b). However, any amount identified under this | ||||||
20 | subsection (k) to fund programs under subsection (b) of Section | ||||||
21 | 1-56 of the Illinois Power Agency Act shall be reduced if it | ||||||
22 | exceeds the funding shortfall. | ||||||
23 | If the amount of funds collected during the delivery year | ||||||
24 | commencing June 1, 2019, exceeds the costs incurred during that | ||||||
25 | delivery year, then up to half of this excess amount, as | ||||||
26 | calculated on June 1, 2020, may be used to fund the programs |
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1 | under subsection (b) of Section 1-56 of the Illinois Power | ||||||
2 | Agency Act in the same proportion the programs are funded under | ||||||
3 | that subsection (b). However, any amount identified under this | ||||||
4 | subsection (k) to fund programs under subsection (b) of Section | ||||||
5 | 1-56 of the Illinois Power Agency Act shall be reduced if it | ||||||
6 | exceeds the funding shortfall. | ||||||
7 | The funding available under this subsection (k), if any, | ||||||
8 | for the programs described under subsection (b) of Section 1-56 | ||||||
9 | of the Illinois Power Agency Act shall not reduce the amount of | ||||||
10 | funding for the programs described in subparagraph (O) of | ||||||
11 | paragraph (1) of subsection (c) of Section 1-75 of the Illinois | ||||||
12 | Power Agency Act. If funding is available under this subsection | ||||||
13 | (k) for programs described under subsection (b) of Section 1-56 | ||||||
14 | of the Illinois Power Agency Act, then the long-term renewable | ||||||
15 | resources plan shall provide for the Agency to procure | ||||||
16 | contracts in an amount that does not exceed the funding, and | ||||||
17 | the contracts approved by the Commission shall be executed by | ||||||
18 | the applicable utility or utilities. | ||||||
19 | (l) A utility that has terminated any contract executed | ||||||
20 | under subsection (d-5) of Section 1-75 of the Illinois Power | ||||||
21 | Agency Act shall be entitled to recover any remaining balance | ||||||
22 | associated with the purchase of zero emission credits prior to | ||||||
23 | such termination, and such utility shall also apply a credit to | ||||||
24 | its retail customer bills in the event of any over-collection. | ||||||
25 | (m)(1) An electric utility that recovers its costs of | ||||||
26 | procuring zero emission credits from zero emission |
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1 | facilities through a cents-per-kilowatthour charge under | ||||||
2 | to subsection (k) of this Section shall be subject to the | ||||||
3 | requirements of this subsection (m). Notwithstanding | ||||||
4 | anything to the contrary, such electric utility shall, | ||||||
5 | beginning on April 30, 2018, and each April 30 thereafter | ||||||
6 | until April 30, 2026, calculate whether any reduction must | ||||||
7 | be applied to such cents-per-kilowatthour charge that is | ||||||
8 | paid by retail customers of the electric utility that are | ||||||
9 | exempt from subsections (a) through (j) of Section 8-103B | ||||||
10 | of this Act under subsection (l) of Section 8-103B. Such | ||||||
11 | charge shall be reduced for such customers for the next | ||||||
12 | delivery year commencing on June 1 based on the amount | ||||||
13 | necessary, if any, to limit the annual estimated average | ||||||
14 | net increase for the prior calendar year due to the future | ||||||
15 | energy investment costs to no more than 1.3% of 5.98 cents | ||||||
16 | per kilowatt-hour, which is the average amount paid per | ||||||
17 | kilowatthour for electric service during the year ending | ||||||
18 | December 31, 2015 by Illinois industrial retail customers, | ||||||
19 | as reported to the Edison Electric Institute. | ||||||
20 | The calculations required by this subsection (m) shall | ||||||
21 | be made only once for each year, and no subsequent rate | ||||||
22 | impact determinations shall be made. | ||||||
23 | (2) For purposes of this Section, "future energy | ||||||
24 | investment costs" shall be calculated by subtracting the | ||||||
25 | cents-per-kilowatthour charge identified in subparagraph | ||||||
26 | (A) of this paragraph (2) from the sum of the |
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1 | cents-per-kilowatthour charges identified in subparagraph | ||||||
2 | (B) of this paragraph (2): | ||||||
3 | (A) The cents-per-kilowatthour charge identified | ||||||
4 | in the electric utility's tariff placed into effect | ||||||
5 | under Section 8-103 of the Public Utilities Act that, | ||||||
6 | on December 1, 2016, was applicable to those retail | ||||||
7 | customers that are exempt from subsections (a) through | ||||||
8 | (j) of Section 8-103B of this Act under subsection (l) | ||||||
9 | of Section 8-103B. | ||||||
10 | (B) The sum of the following | ||||||
11 | cents-per-kilowatthour charges applicable to those | ||||||
12 | retail customers that are exempt from subsections (a) | ||||||
13 | through (j) of Section 8-103B of this Act under | ||||||
14 | subsection (l) of Section 8-103B, provided that if one | ||||||
15 | or more of the following charges has been in effect and | ||||||
16 | applied to such customers for more than one calendar | ||||||
17 | year, then each charge shall be equal to the average of | ||||||
18 | the charges applied over a period that commences with | ||||||
19 | the calendar year ending December 31, 2017 and ends | ||||||
20 | with the most recently completed calendar year prior to | ||||||
21 | the calculation required by this subsection (m): | ||||||
22 | (i) the cents-per-kilowatthour charge to | ||||||
23 | recover the costs incurred by the utility under | ||||||
24 | subsection (d-5) of Section 1-75 of the Illinois | ||||||
25 | Power Agency Act, adjusted for any reductions | ||||||
26 | required under this subsection (m); and |
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1 | (ii) the cents-per-kilowatthour charge to | ||||||
2 | recover the costs incurred by the utility under | ||||||
3 | Section 16-107.6 of the Public Utilities Act. | ||||||
4 | If no charge was applied for a given calendar year | ||||||
5 | under item (i) or (ii) of this subparagraph (B), then | ||||||
6 | the value of the charge for that year shall be zero. | ||||||
7 | (3) If a reduction is required by the calculation | ||||||
8 | performed under this subsection (m), then the amount of the | ||||||
9 | reduction shall be multiplied by the number of years | ||||||
10 | reflected in the averages calculated under subparagraph | ||||||
11 | (B) of paragraph (2) of this subsection (m). Such reduction | ||||||
12 | shall be applied to the cents-per-kilowatthour charge that | ||||||
13 | is applicable to those retail customers that are exempt | ||||||
14 | from subsections (a) through (j) of Section 8-103B of this | ||||||
15 | Act under subsection (l) of Section 8-103B beginning with | ||||||
16 | the next delivery year commencing after the date of the | ||||||
17 | calculation required by this subsection (m). | ||||||
18 | (4) The electric utility shall file a notice with the | ||||||
19 | Commission on May 1 of 2018 and each May 1 thereafter until | ||||||
20 | May 1, 2026 containing the reduction, if any, which must be | ||||||
21 | applied for the delivery year which begins in the year of | ||||||
22 | the filing. The notice shall contain the calculations made | ||||||
23 | pursuant to this Section. By October 1 of each year | ||||||
24 | beginning in 2018, each electric utility shall notify the | ||||||
25 | Commission if it appears, based on an estimate of the | ||||||
26 | calculation required in this subsection (m), that a |
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1 | reduction will be required in the next year. | ||||||
2 | (Source: P.A. 99-906, eff. 6-1-17 .)
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