General Assembly Wraps Up Fall Veto Session

On November 14, the Illinois General Assembly wrapped up its Fall Veto Session after dealing with a myriad of issues in the six-day session.  However, major energy policy issues were not among those taken up.

As is often the case in short Veto Sessions, major legislation surfaced.  Included among the issues discussed were a wide variety of topics ranging from local pension reform to legislation designed to tweak the state’s new recreational cannabis law.

The only significant energy-related legislation to move in either chamber of the legislature was Senate Bill 671 (Sen. Scott Bennett, D-Champaign), which was a so-called “trailer” bill to address issues that had arisen during implementation of the underlying Senate Bill 9 that was passed during the Spring and signed into law by Governor Pritzker.

SB 671 as amended was approved by the Senate on a vote of 39-12 with 1 voting Present.  The bill will now move to the House of Representatives for further consideration during the 2020 Spring Session which begins in January.  In the meantime, proponents and opponents continue to discuss possible further changes to the bill.

Among other topics debated during the late October and early November Session were:  changes to the recently passed gaming law that authorized a significant expansion of casinos and other gaming in the state; a cap on out-of-pocket expenses by patients with insulin prescriptions; limitations on electronic smoking devices (vaping); and attempts to strengthen the state’s ethics laws in light of recent federal investigations.

The General Assembly will return to action in January but the schedule for the period leading up to the mid-March Primary Election is expected to be relatively light.

Citizens’ Guide To The Illinois Commerce Commission Now Available On Website

Illinois Commerce Commission (ICC) Chairman Carrie Zalewski recently announced the release of a Citizens’ Guide on the ICC website to help the public gain a greater understanding of the work that the ICC performs, and how members of the public may request information or assistance from the state agency.

“I am pleased the Citizens’ Guide to the Illinois Commerce Commission is ready and available on the website. The ICC is a complicated state agency with many different facets. The guide will improve transparency by making it easier to navigate the agency, and better inform the public about how we can assist them,” said Zalewski.

The ICC is a quasi-judicial body made up of 5 Commissioners. The Commission is responsible for regulating large public utilities (electric, gas, water, sewer, telecommunications) and administering consumer protection programs with regards to intrastate commercial motor carriers of general freight, household goods movers, relocation towers, safety towers, personal property warehouses, repossession agencies and personnel, and general safety of railroad tracks, facilities and equipment in the state.

“Whether you are interested in filing a consumer complaint against a utility or alternative retail energy supplier, looking for tips to follow before hiring a household goods mover, or information on rail safety, you will find it all in the guide,” said Zalewski. “I encourage all Illinoisans to take a few minutes to visit our website and download a copy.”

The 32-page Citizens’ Guide to the Illinois Commerce Commission can be found on the consumer page of the ICC website at https://www.icc.illinois.gov/consumer/.

Environmental Groups, Illinois Power Resources Generating, LLC Propose Settlement Agreement to Retire Edwards Coal Plant and Fund Community Projects

Illinois Power Resources Generating, LLC (IPRG), an affiliate of Luminant, the Sierra Club, Natural Resources Defense Council (NRDC), and Respiratory Health Association (RHA) are seeking approval of a proposed settlement of a Clean Air Act lawsuit brought by environmental organizations in 2013. The proposed settlement is subject to review and comment by the Department of Justice and USEPA, and review, approval and entry by the U.S. District Court for the Central District of Illinois.  If approved and entered by the Court, the proposed settlement would provide for retirement of the Edwards plant by the end of 2022 (subject to regulatory approval) and millions of dollars in funding for projects that benefit Peoria-area communities.

In response, Sierra Club, NRDC, and RHA released the following joint statement:

"The proposed settlement announced is an important milestone in improving air quality for families in Peoria and Central Illinois and allows an important period of time to support transition needs of the community and workers.  We hope the Court will approve the settlement, and we look forward to working with the people of Peoria and surrounding communities to develop and implement the beneficial projects the settlement provides for.”

In response, IPRG released the following statement:

“The proposed settlement resolves a long-running lawsuit while providing three years of certainty for the more than 70 employees working at the Edwards plant and, importantly, a transition period for the community to plan for the plant closure. IPRG and Edwards look forward to continuing to provide reliable power for Illinois for the next three years while supporting the communities where our employees live and work.”  IEF

Nicor Gas Meter Modernization Reaches 1 Million Installation Milestone

In July, Nicor Gas celebrated the installation of the one millionth two-way communication device as part of the Meter Modernization program. Nicor Gas’ Meter Modernization program is one of several investments the company is making to improve customer communication and experience, and the reliability of meter reading and billing, ensuring every customer's energy needs are met safely and reliably now and well into the future.

Meter Modernization involves installing small, two-way communication devices on existing natural gas meters throughout Nicor Gas’ service territory. These two-way communication devices feature state-of-the art technology that will automate the meter reading process and securely send it to Nicor Gas.

This automation will enhance the customer experience by helping to eliminate estimated meter reads and providing more timely and accurate data about their energy usage, enabling energy- and cost-savings decisions. The ability to read meters without the need for a field visit will also simplify the process of moving properties and reduce the expense and environmental impact of service vehicles on the road.

“We’re committed to delivering clean, safe, reliable, affordable natural gas for our customers, our neighbors and our communities,” said Pat Whiteside, vice president of business support at Nicor Gas. “Continued deployment of the advanced metering infrastructure technologies across the Nicor Gas system is a key step toward building a state-of-the-art natural gas delivery system for northern Illinois.”

The Meter Modernization program began in 2018 and installation of the two-way communication devices to all 2.2 million customers served by Nicor Gas is expected by 2020.

Pipeline Safety Legislation Should Be Focused On Truly Advancing Safety

American Gas Association (AGA) Vice President of Operations and Engineering Services Christina Sames recently testified before the U.S. House Committee on Energy and Commerce’s Subcommittee on Energy, telling the subcommittee that there is little in their discussion draft that accomplishes the goal of enhancing the safety of America’s natural gas pipelines.

“The industry is supportive of flexible, risk-based, and practicable improvements to pipeline safety that reflect lessons learned from past pipeline incidents,” Sames said in her testimony. “Safety is at the very core of what AGA and its members do, and we go well beyond regulation to improve pipeline safety.”

Delivery of natural gas by pipeline is consistently found to be among the safest forms of transportation in studies by the Bureau of Transportation Statistics.

The discussion draft eliminates the use of Direct Assessment, a predictive tool that determines where pipeline corrosion has occurred and indicates where corrosion could occur. The draft would also require operators to send an overwhelming amount of information to emergency responders despite repeated requests from fire marshals, fire chiefs and emergency responders for condensed information that is simple to understand.

The proposed legislation also removes the requirement that a regulation be “reasonable” or “cost-beneficial,” yet Sames stated that “the cost-benefit analysis was mandated to ensure that regulations do not put an undue burden on customers without a measurable improvement to the safe delivery of natural gas.  That’s logical and should continue to be the criteria for developing regulations.” AGA supports the cost-benefit analysis process set forth by the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration’s Gas Pipeline Advisory Committee.

AGA asked the subcommittee to consider three high-level principles:

  1. Preserve Industry Engagement in Pipeline Safety Rulemaking by upholding the Pipeline and Hazardous Materials Safety Administration’s regulatory process.
  2. Support Flexibility in Rulemaking by recognizing that gas distribution systems differ and avoid one-size-fits all mandates.
  3. Don’t Obstruct State Pipeline Replacement Programs via new mandates that delay pipe replacements or require replacement faster than work can be accomplished safely, reliably, and without compromising quality.
  4. Focus on Provisions that Improve Pipeline Safety by avoiding extraneous legal, regulatory, and administrative provisions that hamper the regulatory process.

Bills of Interest-June 2019

The following bills of interest to the energy industry have been filed in the first Spring Session of the Illinois General Assembly:

Senate Bill 9 (Sen. Scott Bennett, D-Champaign/Rep. Carol Ammons,. D-Urbana) – would create the Coal Ash Pollution Prevention Act, which would establish new rules and regulations regarding coal combustion residual materials from coal-fired power plants.  Passed the Senate by vote of 39-9-7 and the House by vote of 77-35-1.

Senate Bill 135 (Sen. David Koehler, D-Peoria) – would create the Competitive Clean Energy Act which would eliminate all carbon emissions from the state’s power supply by 2050 as well as minimize consumer and community impacts from closure of fossil-fuel electric generation facilities.  Assigned to Senate Energy & Public Utilities Committee.  Re-referred to Senate Assignments Committee.  Companion bill to House Bill 125 (Rep. Rita Mayfield, D-Waukegan).

Senate Bill 651 (Sen. Kimberly Lightford, D-Chicago/Rep. Jehan Gordon-Booth, D-Peoria)  Adds additional requirements concerning obligations of alternative retail electric suppliers and alternative retail gas suppliers, especially in terms of marketing activities.  Passed the senate by vote of 59-0 and the House by vote of 116-0-0.

Senate Bill 1570 (Sen. Sue Rezin, R-Peru) – would make several changes to the state’s J.U.L.I.E. law dealing with marking underground utility infrastructure.  Approved as amended by Senate Energy & Public Utilities Committee.  On 3rd Reading in the Senate.

Senate Bill 2132 (Sen. Cristina Castro, D-Elgin) – would make numerous energy policy changes.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Re-referred to Senate Assignments Committee.

House Bill 840 (Rep. Joyce Mason, D-Gurnee/Sen. Melinda Bush, D-Grayslake) – would require the Illinois Commerce Commission to issue biennial reports to the General Assembly concerning the decommissioning of nuclear power plants in the state.  Passed the House by vote of 73-40 and the Senate by vote of 55-0.

House Bill 2713 (Rep. Luis Arroyo, D-Chicago) – would establish a Illinois Coal to Solar and Energy Storage program to ease the transition of some of the state’s coal-fired power plants to a clean energy future.  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.  Companion bill to SB 2078 (Sen. Michael Hastings, D-Frankfort).

House Bill 2861 (Rep. Lawrence Walsh, Jr., D-Joliet) – would make changes relating to nuclear power plants and capacity markets.  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.  Companion bill to SB 660 (Sen. Antonio Munoz, D-Chicago).

House Bill 3152 (Rep. Jay Hoffman, D-Belleville) – would make changes to update the state’s Electric Service Customer Choice law, including changes related to energy infrastructure modernization (Smart Grid).  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.  Companion bill to SB 2080 (Sen. Michael Hastings, D-Frankfort.

House Bill 3624 (Rep. Ann Williams, D-Chicago) – companion bill to SB 2132.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Approved as amended by House Energy & Environment Committee.  Re-referred to House Rules Committee.

Bills of Interest-May 2019

The following bills of interest to the energy industry have been filed in the first Spring Session of the Illinois General Assembly:

Senate Bill 9 (Sen. Scott Bennett, D-Champaign) – would create the Coal Ash Pollution Prevention Act, which would establish new rules and regulations regarding coal combustion residual materials from coal-fired power plants.  Approved by Senate by vote of 39-9-7.

Senate Bill 135 (Sen. David Koehler, D-Peoria) – would create the Competitive Clean Energy Act which would eliminate all carbon emissions from the state’s power supply by 2050 as well as minimize consumer and community impacts from closure of fossil-fuel electric generation facilities.  Assigned to Senate Energy & Public Utilities Committee.  Re-referred to Senate Assignments Committee.  Companion bill to House Bill 125 (Rep. Rita Mayfield, D-Waukegan).

Senate Bill 1570 (Sen. Sue Rezin, R-Peru) – would make several changes to the state’s J.U.L.I.E. law dealing with marking underground utility infrastructure.  Approved as amended by Senate Energy & Public Utilities Committee.  On 3rd Reading in the Senate.

Senate Bill 2132 (Sen. Cristina Castro, D-Elgin) – would make numerous energy policy changes.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Re-referred to Senate Assignments Committee.

House Bill 840 (Rep. Joyce Mason, D-Gurnee) – would require the Illinois Commerce Commission to issue biennial reports to the General Assembly concerning the decommissioning of nuclear power plants in the state.  Approved as amended by House Energy & Environment Committee.  On 2nd Reading in the House.

House Bill 2713 Rep. Luis Arroyo, D-Chicago) – would establish a Illinois Coal to Solar and Energy Storage program to ease the transition of some of the state’s coal-fired power plants to a clean energy future.  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.

House Bill 2861 (Rep. Lawrence Walsh, Jr., D-Joliet) – would make changes relating to nuclear power plants and capacity markets.  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.

House Bill 3152 (Rep. Jay Hoffman, D-Belleville) – would make changes to update the state’s Electric Service Customer Choice law, including changes related to energy infrastructure modernization (Smart Grid).  Approved as amended by House Public Utilities Committee.  Re-referred to House Rules Committee.

House Bill 3624 (Rep. Ann Williams, D-Chicago) – companion bill to SB 2132.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Approved as amended by House Energy & Environment Committee.  Re-referred to House Rules Committee.

Bills of Interest-April 2019

The following bills of interest to the energy industry have been filed in the first Spring Session of the Illinois General Assembly:

Senate Bill 1570 (Sen. Sue Rezin, R-Peru) – would make several changes to the state’s J.U.L.I.E. law dealing with marking underground utility infrastructure.  Approved as amended by Senate Energy & Public Utilities Committee.  On 3rd Reading in the Senate.

Senate Bill 2132 (Sen. Cristina Castro, D-Elgin) – would make numerous energy policy changes.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Re-referred to Senate Assignments Committee.

House Bill 840 (Rep. Joyce Mason, D-Gurnee) – would require the Illinois Commerce Commission to issue biennial reports to the General Assembly concerning the decommissioning of nuclear power plants in the state.  Approved as amended by House Energy & Environment Committee.  On 2nd Reading in the House.

House Bill 2713 Rep. Luis Arroyo, D-Chicago) – would establish an Illinois Coal to Solar and Energy Storage program to ease the transition of some of the state’s coal-fired power plants to a clean energy future.  Approved  as amended by House Public Utilities Committee.  On 2nd Reading in the House.

House Bill 2839 (Rep. Jennifer Gong-Gershowitz, D-Glenview) – would make changes to legal standing requirements to challenge administrative rules and actions by some state agencies, allowing any “person” to bring such actions.  Re-referred to House Rules Committee.

House Bill 2861 (Rep. Lawrence Walsh, Jr., D-Joliet) – would make changes relating to nuclear power plants and capacity markets.  Approved as amended by House Public Utilities Committee.  On 2nd Reading in the House.

House Bill 3152 (Rep. Jay Hoffman, D-Belleville) – would make changes to update the state’s Electric Service Customer Choice law, including changes related to energy infrastructure modernization (Smart Grid).  Approved as amended by House Public Utilities Committee.  On 2nd Reading in the House.

House Bill 3624 (Rep. Ann Williams, D-Chicago) – companion bill to SB 2132.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Approved as amended by House Energy & Environment Committee.  On 2nd Reading in the House.

March 2019 Bills of Interest

The following bills of interest to the energy industry have been filed in the first Spring Session of the Illinois General Assembly:

Senate Bill 1570 (Sen. Sue Rezin, R-Peru) – would make several changes to the state’s J.U.L.I.E. law dealing with marking underground utility infrastructure.  Assigned to Senate Energy & Public Utilities Committee.

Senate Bill 2132 (Sen. Cristina Castro, D-Elgin) – would make numerous energy policy changes.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Assigned to Senate Energy & Public Utilities Committee.

House Bill 840 (Rep. Joyce Mason, D-Gurnee) – would require the Illinois Commerce Commission to issue biennial reports to the General Assembly concerning the decommissioning of nuclear power plants in the state.  Assigned to House Energy & Environment Committee.

House Bill 2839 (Rep. Jennifer Gong-Gershowitz, D-Glenview) – would make changes to legal standing requirements to challenge administrative rules and actions by some state agencies, allowing any “person” to bring such actions.  Assigned to House Judiciary Committee.

House Bill 2861 (Rep. Lawrence Walsh, Jr., D-Joliet) – potential vehicle bill for legislation relating to nuclear power plants and capacity markets.  Assigned to House Public Utilities Committee.

House Bill 3152 (Rep. Jay Hoffman, D-Belleville) – would make changes to update the state’s Electric Service Customer Choice law, including changes related to energy infrastructure modernization (Smart Grid).  Assigned to House Public Utilities Committee.

House Bill 3624 (Rep. Ann Williams, D-Chicago) – companion bill to SB 2132.  The bill is a proposal of the Clean Jobs Coalition and touches on renewable energy, energy efficiency and most major areas of the energy industry.  Assigned to House Energy & Environment Committee.

Illinois Nuclear Plants Operate at Full Power During Polar Vortex

While recent arctic winds sent temperatures plunging dangerously and electricity demand soaring, Exelon Generation's six Illinois nuclear plants operated at full power, producing enough carbon-free electricity to keep 11 million homes, businesses, schools and hospitals safe and warm.

"Our nuclear facilities are among the safest and most reliable power plants in the country, and we are dedicated to being online when customers need us most, even in the most frigid weather conditions," said Exelon's Chief Nuclear Officer Bryan Hanson. "Thank you to our more than 5,600 full-time Illinois nuclear employees for braving the freezing cold to keep our fleet operating effectively. We are fortunate in Illinois that we don't have to choose between clean energy and reliability -- our six well-run nuclear facilities deliver both."

Exelon Generation's Illinois nuclear fleet recorded a near-perfect reliability rate last winter as well, operating 97.6 percent of the time, one of many indicators that industry experts use to rate efficiency and performance. During the 2014 Polar Vortex, Exelon Generation's nuclear fleet was critical to meeting electricity demand, as coal piles froze, and natural gas supplies were re-routed for home heating.

Winter resiliency and reliability requires year-long planning, preparation and maintenance. Exelon Generation workers spend months ensuring that backup generators and spare equipment is ready for inclement weather. This fall, operators and maintenance personnel inspected freeze protection systems, tested electrical equipment, and properly aligned plant systems to prepare all Exelon Generation facilities for sub-zero temperatures, icy conditions and heavy snowfall.  These efforts are in addition to the many equipment upgrades and "winter readiness" maintenance activities performed during refueling outages.   IEF