House Bill No. 5232 is a comprehensive piece of legislation aimed at advancing the implementation and regulation of solar projects and shared clean energy facilities in the state. The bill requires the Commissioner of Energy and Environmental Protection to conduct a study on the feasibility of a uniform capacity tax for solar photovoltaic systems and report the findings by January 1, 2025. It also mandates the chairperson of the Public Utilities Regulatory Authority to study renewable energy tariff programs and submit recommendations by January 15, 2026. The bill introduces a definition for "solar canopy" and requires municipalities to simplify the approval process for such applications. Amendments include allowing the bank to finance energy improvements and related studies, with municipalities levying benefit assessments on benefiting properties. The bill also includes insertions and deletions regarding the bank's financing role, particularly for expansions or upgrades to existing renewable energy systems, and requires the Commissioner to submit information on potential solar project siting within a year of the bill's passage.

The legislation sets out procurement and tariff setting for renewable energy projects by electric distribution companies, requiring separate solicitations for different types of renewable energy resources and establishing tariffs with twenty-year terms. The Department of Energy and Environmental Protection must develop program requirements and tariff proposals for shared clean energy facilities, with a focus on including low- and moderate-income customers. The bill defines "shared clean energy facility" and sets eligibility criteria, including a nameplate capacity rating of five megawatts or less and at least two subscribers. It also outlines conditions for the sizing of generation projects and establishes a cap on the selected purchase price for energy and renewable energy certificates. Additionally, the bill amends the allocation of megawatts to various customer categories for procurement and tariff programs, removing previous aggregate total MW limits and setting new annual limits starting January 1, 2025. It allows PURA to adjust annual purchase amounts and parameters, and specifies procedures for the retirement of renewable energy certificates, with costs recovered through a nonbypassable rate component. The bill exempts certain customers from the requirement that generation projects be located on the customer's premises and repeals Section 16-245aa of the general statutes, effective October 1, 2024.

Statutes affected:
Raised Bill: 16-245aa
ET Joint Favorable: 16-245aa
File No. 360: 16-245aa
File No. 620: 16-245aa
Public Act No. 24-31: 16-245aa