The bill amends Chapter 39-26 of the General Laws, introducing a new section, 39-26-5.1, which defines "zero-emission resources" to include nuclear energy and large-scale hydroelectric facilities. These resources are recognized for their capability to generate electricity without direct emissions of greenhouse gases or air pollutants. The legislation establishes criteria for qualifying zero-emission energy resources, including requirements for energy delivery into the New England Power Pool (NEPOOL) and compliance through NE-GIS certificates. It also modifies existing definitions and standards to incorporate "zero-emission" alongside "renewable," mandating that by 2040, 100% of retail electricity sales in Rhode Island must come from these sources.

Furthermore, the bill revises the alternative compliance payment structure, establishing an alternative compliance payment of $40 per megawatt-hour for new renewable and zero-emission resources and $11 per megawatt-hour for existing resources. It requires electric distribution companies to develop plans for providing direct rate relief to customers, with 50% of alternative compliance payment revenues allocated for this purpose starting January 1, 2027. The bill emphasizes compliance and accountability, including provisions for sanctions for non-compliance.

Additionally, the legislation updates compliance payments and procurement rules and regulations, and it includes provisions for the certification of eligible renewable and zero-emission resources. The bill also allows for the use of NE-GIS certificates from off-grid generation and customer-sited generation facilities certified as eligible zero-emission energy resources to demonstrate compliance with the zero-emission standard.