Act No. 18 Page 1 of 1
2023
This act summary is provided for the convenience of the public and members of the General Assembly. It
is intended to provide a general summary of the act and may not be exhaustive. It has been prepared by the
staff of the Office of Legislative Counsel without input from members of the General Assembly. It is not
intended to aid in the interpretation of legislation or to serve as a source of legislative intent.
Act No. 18 (S. 5). An act relating to affordably meeting the mandated greenhouse gas
reductions for the thermal sector through efficiency, weatherization measures,
electrification, and decarbonization
Subjects: Climate change; renewable energy; air pollution; fuel; heating
This act establishes the Clean Heat Standard (CHS) to reduce Vermont’s greenhouse
gas emissions from the thermal sector. The CHS shall be administered by the Public
Utility Commission with assistance from the Clean Heat Standard Technical Advisory
Group. The Public Utility Commission shall report back to the General Assembly with
proposed final rules to implement the CHS by January 15, 2025.
The CHS requires entities that import heating fuel into Vermont to reduce their
amount of greenhouse gas emissions every year. The required reduction will be
determined by the PUC by determining the reduction amount needed to meet the thermal
sector portion of the required reductions under 10 V.S.A. § 578(a). Greenhouse gas
reductions will be represented by clean heat credits. Obligated parties will need to either
generate or purchase clean heat credits sufficient to cover their required amount every
year. Clean heat credits will be generated by actions approved by the PUC called clean
heat measures. Obligated parties will be required to have at least 32 percent of their
annual clean heat credits come from customers with low and moderate income.
Effective Date: May 11, 2023
VT LEG #370612 v.2

Statutes affected:
As Introduced: 10-582
As Passed By the Senate -- Official: 10-582, 32-3102
As Passed By the Senate -- Unofficial: 10-582, 32-3102
As Passed by Both House and Senate -- Official: 10-582, 32-3102
As Passed by Both House and Senate -- Unofficial: 10-582
As Enacted: 10-582