Gov. Pritzker signs bill to expand solar, lower energy bills in Illinois

Illinois Gov JB Pritzker

Illinois Gov. JB Pritzker has signed a new law aimed at lowering utility bills and securing the state’s long-term energy future. The Clean and Reliable Grid Affordability Act (CRGA), SB 25, includes measures to expand energy storage capacity and to create a “Solar Bill of Rights” in Illinois.

Building upon the Future Energy Jobs Act (FEJA) and the Climate and Equitable Jobs Act (CEJA), CRGA tackles rising electricity costs driven by private grid operators, expands cost-saving energy resources, and continues to grow Illinois’ renewable energy economy across the state.

“In Illinois, we are pursuing every available option to produce affordable, efficient, clean, and abundant energy. We are leaving no stone unturned in the work to produce more electricity, lower prices for our people, and secure our long-term energy future,” Pritzker said. “The Clean and Reliable Grid Affordability Act sets a national standard in the effort to lower energy costs and marks a historic step forward in our clean energy vision. Once again, Illinois is stepping up where the federal government is failing.”

This pivotal legislation comes as Illinoisans and working families nationwide saw significant increases in electricity bills. With private grid operators hiking rates and the Trump Administration rejecting low-cost, renewable energy options, Illinois is taking decisive action to make energy more affordable and help residents keep the lights on.

“Gov. Pritzker’s signing of the Clean and Reliable Grid Affordability Act comes at a critical time for Illinois, with both electricity prices and energy demand rising at historic rates in Illinois and across the country,” said Abigail Ross Hopper, president and CEO of the Solar Energy Industries Association (SEIA), in response to the bill signing:. “This landmark law is a model for how states can secure their energy future and lower costs for families and small businesses. A 21st-century economy requires a 21st-century grid, and solar, storage, and Virtual Power Plants are made for this moment. The solar and storage industry thanks Governor Pritzker and Illinois legislators for their leadership.”

Lowering energy costs

CRGA will lower costs by driving the development of new energy resources, enacting new regulatory powers to support consumers, and creating and enhancing consumer cost-saving programs. The Illinois Power Agency (IPA) found that CRGA’s critical measures are expected to save Illinois energy customers $13.4 billion over the next two decades.

“While Trump is lining billionaires’ pockets, families are struggling to make ends meet. Under this law, we’ll end price gouging by private grid owners and begin to bring down costs here in Illinois, starting with people’s utility bill,” said Lt. Gov. Juliana Stratton. “Energy prices will come down without sacrificing our other priorities. Illinois will continue to be a leader in renewable energy and grid reliability.”

Illinois’ renewable energy transition has already delivered measurable results. Since the passage CEJA, Illinois has supported more than 6 GW of renewable energy, with an additional 6 GW currently under development. Illinois currently ranks second in the Midwest for solar generation. The state also ranks fifth in the nation for wind power generation — which has nearly tripled over the last decade — while also ranking among top nuclear energy producers in the United States. exporting approximately one-fifth of its electricity to other states.

By addressing energy capacity needs and requiring utilities to help consumers achieve lower monthly bills, CRGA will make key strides in reducing Illinoisans’ energy bills and increasing the available electricity supply.

  • Establish a state procurement of 3 GW of grid-scale battery storage by 2030: Battery storage represents an essential technology that will meet Illinois’ growing energy capacity needs and lower utility bills.
  • Lift the moratorium on new, large nuclear reactors: This measure will promote new, carbon-free energy resources.
  • Create and expand programs to increase capacity and lower energy bills: CRGA will require utilities to create “Virtual Power Plant” programs that pay participating households and businesses to harness smart thermostats, solar panels, small batteries, and electric vehicles — putting money back in consumers’ pockets while strengthening our energy grid. The legislation will also expand energy efficiency programs to help households and businesses lower their energy use, and in turn, their energy bills.
  • Promote energy equity: CRGA programs will require utility companies that are administering the State energy efficiency programs to meet a minimum level of spending for low-income households while removing the formula rates they receive for administering those programs. Additionally, utilities will be required to offer time-of-use pricing to allow residential customers to pay less for power used outside of peak times, delivering immediate monthly savings for customers who opt in.
  • Create an Integrated Resource Planning (IRP) process: This process will find cost-effective ways to keep energy bills low and make necessary adjustments to State programs. The Illinois General Assembly will also have a period of time to reject any Illinois Commerce Commission (ICC) decisions to raise rates.

Analysis shows that this energy storage mandate could save Illinois residents $3 billion over the next 20 years, according to a statement from the Clean Energy States Alliance (CESA).

“States across the country are increasingly using energy storage to support the transition to clean, reliable and affordable energy,” said Todd Olinsky-Paul, a senior project director at the CESA. “Energy storage can reduce reliance on costly and polluting fossil fuel ‘peaker’ plants, integrate clean renewable power onto the grid, increase energy resilience, lower air emissions and support ratepayer affordability.”

Strengthening Illinois’ renewable energy economy

In addition to promoting efficient energy use and establishing new energy sources, CRGA will help grow the renewable energy economy in Illinois, creating new jobs, promoting employment equity, and jumpstarting new energy projects across the state.

  • Search for new renewable energy opportunities: Direct the IPA to propose long-term renewable energy contract procurements for ICC approval.
  • Protect renewable energy growth from inflation: Prevent inflation from disrupting procurements by tying the Renewable Portfolio Standard budget cap to inflation.
  • Encourage community-driven renewable energy projects: Increase the maximum size for community solar projects to 10 MW.
  • Extend renewable energy siting reforms to storage projects: Allow the ICC to accelerate renewable energy projects before federal tax credits expire.
  • Establish a Solar Bill of Rights: Ensure Illinoisans served by municipal and cooperative utilities can install rooftop solar panels.
  • Create and sustain equitable job opportunities:
    • Require grid-scale storage projects to meet labor and equity standards that ensure historically disadvantaged communities can benefit from new jobs created by these projects.
    • Fund technical assistance to help small and disadvantaged businesses comply with Project Labor Agreement requirements.
    • Require utilities to give the ICC 45 days’ notice before making substantial changes in their labor force, improving job stability.

Solar industry celebrates new law

Solar Powers Illinois, a partnership between the Illinois Solar Energy and Storage Association (ISEA), Solar Energy Industries Association (SEIA), and Coalition for Community Solar Access (CCSA), released the following statement regarding the CRGA Act:

“Today, Illinois became the first state to pass comprehensive legislation to address the electricity affordability crisis as Gov. JB Pritzker signed the Clean and Reliable Grid Affordability (CRGA) Act. CRGA is a critical step toward lowering Illinois’ rapidly rising energy bills over time while continuing to grow the state’s economy and clean energy workforce pipelines.

“By investing in solar, energy storage, and Virtual Power Plants, CRGA will save consumers $13 billion on electricity bills over the next 20 years, create tens of thousands of good-paying jobs across the state, invest in the Illinois economy, and help achieve Illinois’ goal of having a 100% clean grid.

“CRGA will also strengthen opportunities for the nearly 6,000 Illinoisans who work in the solar industry, and create new jobs in construction, manufacturing, sales, and other positions for people entering the field. 

“This legislation cements Illinois’ national leadership in ensuring residents and businesses have access to an affordable, reliable, and clean power grid, building upon the legacy of previous landmark energy legislation including 2017’s Future Energy Jobs Act (FEJA) and 2021’s Climate and Equitable Jobs Act (CEJA).”

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