Sen. David Koehler

Filed: 4/5/2019





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2    AMENDMENT NO. ______. Amend Senate Bill 135, AS AMENDED, by
3replacing everything after the enacting clause with the
5    "Section 1. This Act may be referred to as the Competitive
6Clean Energy Act.
7    Section 3. Findings. The General Assembly finds the
9        (1) The State of Illinois seeks to be a national leader
10    in promoting electricity generation that emits zero
11    greenhouse gas emissions, consistent with targets set
12    under the Paris Climate Agreement. The State of Illinois
13    has joined 22 states and the territory of Puerto Rico in
14    the U.S. Climate Alliance and should pursue immediate
15    action on policies that will grow out the clean energy
16    sector while minimizing consumer impacts.



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1        (2) The policy of the State of Illinois should be to
2    adopt electricity sector carbon emission targets aimed at
3    eliminating all carbon emission from our energy supply by
4    2050, while encouraging job growth and private sector
5    innovation.
6        (3) The uniform American experience is that
7    competitive markets drive innovation in the electricity
8    sector and that competitive retail electric markets have
9    delivered extraordinary benefits for residential,
10    commercial, and industrial consumers, including tens of
11    billions of dollars in savings as a result of customer
12    choice. Illinois seeks to use these same market principles
13    in its quest to eliminate carbon emissions from its
14    electricity sector. Market-based emissions trading
15    programs have also been able to quickly and efficiently
16    reduce the emission of harmful air pollutants. The United
17    States Environmental Protection Agency's creation of
18    marketable sulfur dioxide and nitrogen oxide emissions
19    credits has been an enormously successful tool for
20    combating acid rain and ground-level ozone.
21        (4) The State of Illinois has determined that, going
22    forward, every increment of clean electricity has the same
23    value to fighting climate change. Therefore, it is the
24    policy of the State to embrace a technologically inclusive
25    approach to decarbonizing its electricity sector, wherever
26    possible.



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1        (5) Market solutions incentivize potential developers,
2    innovators, and entrepreneurs to invest in zero carbon
3    resources, and should be embraced. It is the policy of the
4    State of Illinois to continue to promote the development of
5    a competitive clean energy market, with procurement
6    targets, that allows all projects and ideas to compete
7    against one another on a level playing field to deliver the
8    highest value clean energy solutions at the lowest cost to
9    consumers.
10        (6) The lowest cost path to decarbonization is best
11    identified by providing opportunities for innovation and
12    broad competition among all clean energy resource types.
13    Achieving this State's clean energy goals while protecting
14    consumers and jobs will require harnessing the power of the
15    competitive marketplace to find the fastest, lowest cost,
16    and most effective decarbonization solutions. Illinois
17    energy policy should continue to empower those who choose
18    to pursue competitive energy market opportunities and
19    promote the development of the competitive market to
20    leverage market benefits and enhance consumer access,
21    while lowering electric bills.
22        (7) The Illinois clean energy market of the future
23    should be structured to compensate existing carbon-free
24    resources for their environmental attributes, as well as
25    allow project financing for, and support the development
26    of, new clean energy resources.



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1        (8) It is in the public interest to accelerate the
2    procurement of clean energy resources when prices warrant.
3    It is also in the public interest to allow individual
4    consumers, municipalities, and other entities to exceed
5    the portion of carbon-free energy supply mandated by the
6    State through voluntary participation in a clean energy
7    market.
8        (9) Although technology-specific subsidies can drive
9    clean energy investment, they come at a substantial cost to
10    consumers. Limiting competition between clean energy
11    resources improperly shifts technology, market, and
12    operational risks away from generators and onto taxpayers
13    and consumers. Issuing additional direct subsidies to
14    specific resources or technologies is an impediment to
15    identifying and benefiting from the lowest cost
16    decarbonization solutions and imposes needless costs on
17    electricity consumers in Illinois. Instead, Illinois'
18    policy is to procure the lowest cost environmental
19    attributes from the full range of available carbon-free
20    resources on a fair and competitive basis.
21        (10) While the State of Illinois acknowledges the value
22    of existing contractual obligations with clean energy
23    resources, the lack of integration between Illinois'
24    renewable portfolio standard, clean coal portfolio
25    standard, zero emissions standard, and energy efficiency
26    portfolio standards causes inefficiencies and hinders



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1    cost-effective progress towards Illinois' energy goals.
2    Those programs should be consolidated into a single Clean
3    Attributes Portfolio Standard.
4    Section 5. The Public Utilities Act is amended by changing
5Section 16-111.5 and by adding Sections 3-127, 3-128, 3-129,
63-130, and 3-131 as follows:
7    (220 ILCS 5/3-127 new)
8    Sec. 3-127. Clean coal resource. "Clean coal resource"
9means an electric generating facility that uses primarily coal
10as a feedstock and that captures and sequesters carbon dioxide
11emissions or reduces carbon dioxide emissions through enhanced
12operating efficiency, unit retirement, or fuel source
13conversion. Clean coal resources that reduce carbon dioxide
14emissions through enhanced operating efficiency, unit
15retirement, or fuel source conversion must show evidence of
16verified reductions in carbon dioxide emissions by comparing
17annual emissions against a baseline of the carbon dioxide
18emissions for the effected generating units reported. The
19baseline shall be calendar year 2015. Reductions of carbon
20dioxide emissions must be verified by a third party that is a
21professional engineer licensed by the State of Illinois.
22    (220 ILCS 5/3-128 new)
23    Sec. 3-128. Clean energy attribute credit. "Clean energy



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1attribute credit" means a credit that represents the
2environmental attributes of one megawatt hour of energy
3reduction or generation produced from a clean energy resource.
4    (220 ILCS 5/3-129 new)
5    Sec. 3-129. Clean energy resource. "Clean energy resource"
6means any resource consistent with the definitions of renewable
7energy resources, clean coal resources, clean coal facility,
8zero emissions resources, demand-response resources, and
9energy efficiency resources, as defined in this Act or the
10Illinois Power Agency Act, and any other resources as
11identified by the Illinois Power Agency as cost effectively
12reducing carbon emissions in this State.
13    (220 ILCS 5/3-130 new)
14    Sec. 3-130. New clean energy resource. "New clean energy
15resource" means a clean energy resource that has not begun
16operation at the time it contracts to sell clean energy
17attribute credits at a clean energy attribute credit
18procurement event.
19    (220 ILCS 5/3-131 new)
20    Sec. 3-131. Social cost of carbon. "Social cost of carbon"
21means the cost of $16.50 per megawatt hour, which is based on
22the federal Interagency Working Group on Social Cost of
23Carbon's price in the August 2016 technical update using a 3%



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1discount rate, adjusted for inflation for each year of the
2program. Beginning with the delivery year commencing June 1,
32020, the price per megawatt hour shall increase by $1 per
4megawatt hour and continue to increase by an additional $1 per
5megawatt hour each delivery year thereafter.
6    (220 ILCS 5/16-111.5)
7    Sec. 16-111.5. Provisions relating to procurement.
8    (a) An electric utility that on December 31, 2005 served at
9least 100,000 customers in Illinois shall procure power and
10energy for its eligible retail customers in accordance with the
11applicable provisions set forth in Section 1-75 of the Illinois
12Power Agency Act and this Section. Beginning with the delivery
13year commencing on June 1, 2017, such electric utility shall
14also procure zero emission credits from zero emission
15facilities in accordance with the applicable provisions set
16forth in Section 1-75 of the Illinois Power Agency Act, and,
17for years beginning on or after June 1, 2017, the utility shall
18procure renewable energy resources in accordance with the
19applicable provisions set forth in Section 1-75 of the Illinois
20Power Agency Act and this Section. A small multi-jurisdictional
21electric utility that on December 31, 2005 served less than
22100,000 customers in Illinois may elect to procure power and
23energy for all or a portion of its eligible Illinois retail
24customers in accordance with the applicable provisions set
25forth in this Section and Section 1-75 of the Illinois Power



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1Agency Act. This Section shall not apply to a small
2multi-jurisdictional utility until such time as a small
3multi-jurisdictional utility requests the Illinois Power
4Agency to prepare a procurement plan for its eligible retail
5customers. "Eligible retail customers" for the purposes of this
6Section means those retail customers that purchase power and
7energy from the electric utility under fixed-price bundled
8service tariffs, other than those retail customers whose
9service is declared or deemed competitive under Section 16-113
10and those other customer groups specified in this Section,
11including self-generating customers, customers electing hourly
12pricing, or those customers who are otherwise ineligible for
13fixed-price bundled tariff service. For those customers that
14are excluded from the procurement plan's electric supply
15service requirements, and the utility shall procure any supply
16requirements, including capacity, ancillary services, and
17hourly priced energy, in the applicable markets as needed to
18serve those customers, provided that the utility may include in
19its procurement plan load requirements for the load that is
20associated with those retail customers whose service has been
21declared or deemed competitive pursuant to Section 16-113 of
22this Act to the extent that those customers are purchasing
23power and energy during one of the transition periods
24identified in subsection (b) of Section 16-113 of this Act.
25    (b) A procurement plan shall be prepared for each electric
26utility consistent with the applicable requirements of the



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1Illinois Power Agency Act and this Section. For purposes of
2this Section, Illinois electric utilities that are affiliated
3by virtue of a common parent company are considered to be a
4single electric utility. Small multi-jurisdictional utilities
5may request a procurement plan for a portion of or all of its
6Illinois load. Each procurement plan shall analyze the
7projected balance of supply and demand for those retail
8customers to be included in the plan's electric supply service
9requirements over a 5-year period, with the first planning year
10beginning on June 1 of the year following the year in which the
11plan is filed. The plan shall specifically identify the
12wholesale products to be procured following plan approval, and
13shall follow all the requirements set forth in the Public
14Utilities Act and all applicable State and federal laws,
15statutes, rules, or regulations, as well as Commission orders.
16Nothing in this Section precludes consideration of contracts
17longer than 5 years and related forecast data. Unless specified
18otherwise in this Section, in the procurement plan or in the
19implementing tariff, any procurement occurring in accordance
20with this plan shall be competitively bid through a request for
21proposals process. Approval and implementation of the
22procurement plan shall be subject to review and approval by the
23Commission according to the provisions set forth in this
24Section. A procurement plan shall include each of the following
26        (1) Hourly load analysis. This analysis shall include:



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1            (i) multi-year historical analysis of hourly
2        loads;
3            (ii) switching trends and competitive retail
4        market analysis;
5            (iii) known or projected changes to future loads;
6        and
7            (iv) growth forecasts by customer class.
8        (2) Analysis of the impact of any demand side and
9    renewable energy initiatives. This analysis shall include:
10            (i) the impact of demand response programs and
11        energy efficiency programs, both current and
12        projected; for small multi-jurisdictional utilities,
13        the impact of demand response and energy efficiency
14        programs approved pursuant to Section 8-408 of this
15        Act, both current and projected; and
16            (ii) supply side needs that are projected to be
17        offset by purchases of renewable energy resources, if
18        any.
19        (3) A plan for meeting the expected load requirements
20    that will not be met through preexisting contracts. This
21    plan shall include:
22            (i) definitions of the different Illinois retail
23        customer classes for which supply is being purchased;
24            (ii) the proposed mix of demand-response products
25        for which contracts will be executed during the next
26        year. For small multi-jurisdictional electric



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1        utilities that on December 31, 2005 served fewer than
2        100,000 customers in Illinois, these shall be defined
3        as demand-response products offered in an energy
4        efficiency plan approved pursuant to Section 8-408 of
5        this Act. The cost-effective demand-response measures
6        shall be procured whenever the cost is lower than
7        procuring comparable capacity products, provided that
8        such products shall:
9                (A) be procured by a demand-response provider
10            from those retail customers included in the plan's
11            electric supply service requirements;
12                (B) at least satisfy the demand-response
13            requirements of the regional transmission
14            organization market in which the utility's service
15            territory is located, including, but not limited
16            to, any applicable capacity or dispatch
17            requirements;
18                (C) provide for customers' participation in
19            the stream of benefits produced by the
20            demand-response products;
21                (D) provide for reimbursement by the
22            demand-response provider of the utility for any
23            costs incurred as a result of the failure of the
24            supplier of such products to perform its
25            obligations thereunder; and
26                (E) meet the same credit requirements as apply



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1            to suppliers of capacity, in the applicable
2            regional transmission organization market;
3            (iii) monthly forecasted system supply
4        requirements, including expected minimum, maximum, and
5        average values for the planning period;
6            (iv) the proposed mix and selection of standard
7        wholesale products for which contracts will be
8        executed during the next year, separately or in
9        combination, to meet that portion of its load
10        requirements not met through pre-existing contracts,
11        including but not limited to monthly 5 x 16 peak period
12        block energy, monthly off-peak wrap energy, monthly 7 x
13        24 energy, annual 5 x 16 energy, annual off-peak wrap
14        energy, annual 7 x 24 energy, monthly capacity, annual
15        capacity, peak load capacity obligations, capacity
16        purchase plan, and ancillary services;
17            (v) proposed term structures for each wholesale
18        product type included in the proposed procurement plan
19        portfolio of products; and
20            (vi) an assessment of the price risk, load
21        uncertainty, and other factors that are associated
22        with the proposed procurement plan; this assessment,
23        to the extent possible, shall include an analysis of
24        the following factors: contract terms, time frames for
25        securing products or services, fuel costs, weather
26        patterns, transmission costs, market conditions, and



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1        the governmental regulatory environment; the proposed
2        procurement plan shall also identify alternatives for
3        those portfolio measures that are identified as having
4        significant price risk.
5        (4) Proposed procedures for balancing loads. The
6    procurement plan shall include, for load requirements
7    included in the procurement plan, the process for (i)
8    hourly balancing of supply and demand and (ii) the criteria
9    for portfolio re-balancing in the event of significant
10    shifts in load.
11        (5) Long-Term Renewable Resources Procurement Plan.
12    The Agency shall prepare a long-term renewable resources
13    procurement plan for the procurement of renewable energy
14    credits under Sections 1-56 and 1-75 of the Illinois Power
15    Agency Act for delivery beginning in the 2017 delivery
16    year.
17            (i) The initial long-term renewable resources
18        procurement plan and all subsequent revisions shall be
19        subject to review and approval by the Commission. For
20        the purposes of this Section, "delivery year" has the
21        same meaning as in Section 1-10 of the Illinois Power
22        Agency Act. For purposes of this Section, "Agency"
23        shall mean the Illinois Power Agency.
24            (ii) The long-term renewable resources planning
25        process shall be conducted as follows:
26                (A) Electric utilities shall provide a range



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1            of load forecasts to the Illinois Power Agency
2            within 45 days of the Agency's request for
3            forecasts, which request shall specify the length
4            and conditions for the forecasts including, but
5            not limited to, the quantity of distributed
6            generation expected to be interconnected for each
7            year.
8                (B) The Agency shall publish for comment the
9            initial long-term renewable resources procurement
10            plan no later than 120 days after the effective
11            date of this amendatory Act of the 99th General
12            Assembly and shall review, and may revise, the plan
13            at least every 2 years thereafter. To the extent
14            practicable, the Agency shall review and propose
15            any revisions to the long-term renewable energy
16            resources procurement plan in conjunction with the
17            Agency's other planning and approval processes
18            conducted under this Section. The initial
19            long-term renewable resources procurement plan
20            shall:
21                    (aa) Identify the procurement programs and
22                competitive procurement events consistent with
23                the applicable requirements of the Illinois
24                Power Agency Act and shall be designed to
25                achieve the goals set forth in subsection (c)
26                of Section 1-75 of that Act.



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1                    (bb) Include a schedule for procurements
2                for renewable energy credits from
3                utility-scale wind projects, utility-scale
4                solar projects, and brownfield site
5                photovoltaic projects consistent with
6                subparagraph (G) of paragraph (1) of
7                subsection (c) of Section 1-75 of the Illinois
8                Power Agency Act.
9                    (cc) Identify the process whereby the
10                Agency will submit to the Commission for review
11                and approval the proposed contracts to
12                implement the programs required by such plan.
13                Copies of the initial long-term renewable
14            resources procurement plan and all subsequent
15            revisions shall be posted and made publicly
16            available on the Agency's and Commission's
17            websites, and copies shall also be provided to each
18            affected electric utility. An affected utility and
19            other interested parties shall have 45 days
20            following the date of posting to provide comment to
21            the Agency on the initial long-term renewable
22            resources procurement plan and all subsequent
23            revisions. All comments submitted to the Agency
24            shall be specific, supported by data or other
25            detailed analyses, and, if objecting to all or a
26            portion of the procurement plan, accompanied by



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1            specific alternative wording or proposals. All
2            comments shall be posted on the Agency's and
3            Commission's websites. During this 45-day comment
4            period, the Agency shall hold at least one public
5            hearing within each utility's service area that is
6            subject to the requirements of this paragraph (5)
7            for the purpose of receiving public comment.
8            Within 21 days following the end of the 45-day
9            review period, the Agency may revise the long-term
10            renewable resources procurement plan based on the
11            comments received and shall file the plan with the
12            Commission for review and approval.
13                (C) Within 14 days after the filing of the
14            initial long-term renewable resources procurement
15            plan or any subsequent revisions, any person
16            objecting to the plan may file an objection with
17            the Commission. Within 21 days after the filing of
18            the plan, the Commission shall determine whether a
19            hearing is necessary. The Commission shall enter
20            its order confirming or modifying the initial
21            long-term renewable resources procurement plan or
22            any subsequent revisions within 120 days after the
23            filing of the plan by the Illinois Power Agency.
24                (D) The Commission shall approve the initial
25            long-term renewable resources procurement plan and
26            any subsequent revisions, including expressly the



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1            forecast used in the plan and taking into account
2            that funding will be limited to the amount of
3            revenues actually collected by the utilities, if
4            the Commission determines that the plan will
5            reasonably and prudently accomplish the
6            requirements of Section 1-56 and subsection (c) of
7            Section 1-75 of the Illinois Power Agency Act. The
8            Commission shall also approve the process for the
9            submission, review, and approval of the proposed
10            contracts to procure renewable energy credits or
11            implement the programs authorized by the
12            Commission pursuant to a long-term renewable
13            resources procurement plan approved under this
14            Section.
15            (iii) The Agency or third parties contracted by the
16        Agency shall implement all programs authorized by the
17        Commission in an approved long-term renewable
18        resources procurement plan without further review and
19        approval by the Commission. Third parties shall not
20        begin implementing any programs or receive any payment
21        under this Section until the Commission has approved
22        the contract or contracts under the process authorized
23        by the Commission in item (D) of subparagraph (ii) of
24        paragraph (5) of this subsection (b) and the third
25        party and the Agency or utility, as applicable, have
26        executed the contract. For those renewable energy



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1        credits subject to procurement through a competitive
2        bid process under the plan or under the initial forward
3        procurements for wind and solar resources described in
4        subparagraph (G) of paragraph (1) of subsection (c) of
5        Section 1-75 of the Illinois Power Agency Act, the
6        Agency shall follow the procurement process specified
7        in the provisions relating to electricity procurement
8        in subsections (e) through (i) of this Section.
9            (iv) An electric utility shall recover its costs
10        associated with the procurement of renewable energy
11        credits under this Section through an automatic
12        adjustment clause tariff under subsection (k) of
13        Section 16-108 of this Act. A utility shall not be
14        required to advance any payment or pay any amounts
15        under this Section that exceed the actual amount of
16        revenues collected by the utility under paragraph (6)
17        of subsection (c) of Section 1-75 of the Illinois Power
18        Agency Act and subsection (k) of Section 16-108 of this
19        Act, and contracts executed under this Section shall
20        expressly incorporate this limitation.
21            (v) For the public interest, safety, and welfare,
22        the Agency and the Commission may adopt rules to carry
23        out the provisions of this Section on an emergency
24        basis immediately following the effective date of this
25        amendatory Act of the 99th General Assembly.
26            (vi) On or before July 1 of each year, the



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1        Commission shall hold an informal hearing for the
2        purpose of receiving comments on the prior year's
3        procurement process and any recommendations for
4        change.
5    (b-5) (1) Notwithstanding any other provision of this Act
6or the Illinois Power Agency Act to the contrary, the Illinois
7Power Agency shall, for each electric utility that serves at
8least 100,000 retail customers in this State, procure contracts
9for clean energy attribute credits for all of the utility's
10retail customers located in this State in accordance with this
11subsection (b-5). Clean energy attribute credits procured
12under this subsection (b-5) shall not include clean energy
13attribute credits for customers served by a utility with fewer
14than 100,000 retail customers, a municipal utility, or an
15electric cooperative, unless and until the utility with fewer
16than 100,000 retail customers, the municipal utility, or the
17electric cooperative voluntarily submits a written request to
18be included in the procurement process to the Agency, in which
19case, the Agency shall use its best efforts to accommodate the
20request, treating the voluntary participant as if it were an
21electric utility that serves at least 100,000 retail customers
22in this State for purposes of the procurement.
23        (i) Each utility shall timely submit a clean energy
24    attribute credit plan on an annual basis to the Agency. The
25    utility's clean energy attribute credit plan shall
26    identify the projected volumes of total energy consumption



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1    by utility customers for the following 10 delivery years
2    and shall report the number and type of clean energy
3    attribute credits it has secured through contracts for each
4    of the forward 10 delivery years. The utility's clean
5    energy attribute credit plan shall also identify the
6    minimum volume of additional clean energy attribute
7    credits that must be procured to comply with this Act in
8    each of the following 10 delivery years.
9        (ii) Any person may submit to the Agency a bid to
10    purchase clean energy attribute credits at least 90 days
11    prior to any procurement event. The purchase bids shall be
12    effectuated by the Agency.
13    For purposes of this subsection (b-5), "Agency", "zero
14emission credit", "zero emission facility", "renewable energy
15credit", and "renewable energy source" have the meanings set
16forth in the Illinois Power Agency Act.
17    (2) The Agency shall conduct clean energy attribute credit
18procurement events to procure clean energy attribute credits to
19satisfy the obligations of this subsection (b-5). This
20obligation shall commence with the procurement for the delivery
21year beginning June 1, 2020 and terminate with the delivery
22year commencing June 1, 2050.
23    The Agency shall conduct one clean energy attribute credit
24procurement event annually until its obligations under this Act
25expire. The clean energy attribute credit procurements will
26secure volumes of clean energy attribute credits from clean



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1energy resources through contracts of one year duration that
2commence in the delivery year that occurs 3 years after the
3procurement event. Any owner of a new clean energy resource
4that secures a contract to sell clean energy attribute credits
5through a clean energy attribute credit procurement event may
6elect to extend the term of the contract for up to a total of 7
7years at its sole discretion in order to secure project
8financing for the new clean energy resource.
9    Prior to the delivery year commencing on June 1, 2023, the
10Agency shall conduct initial clean energy attribute credit
11procurement events approximately every 6 months to secure clean
12energy attribute credits for delivery in the delivery years
13commencing on June 1, 2020, June 1, 2021, and June 1, 2022, and
14each subsequent delivery year beginning June 1 until the full
153-year forward period is achieved. Contracts resulting from the
16initial clean energy attribute credit procurement events will
17be consistent with the terms set forth in this paragraph (2).
18    Owners of clean energy resources are eligible to
19participate in the clean energy attribute credit procurement
20events conducted by the Agency pursuant to this subsection
21(b-5) provided that the clean energy resource meets all
22applicable requirements established by the Agency, which are to
23be confirmed by the Illinois Commerce Commission. After the
24effective date of this amendatory Act of the 101st General
25Assembly, the Agency shall no longer have separate procurement
26events for renewable energy credits, zero emissions credits,



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1demand response, or volumes of energy efficiency for energy
2generated or reduced after June 1, 2020. All renewable energy
3credits, zero emissions credits, demand response, and volumes
4of energy efficiency for energy generated or reduced after June
51, 2020 previously procured shall be converted into their
6equivalent clean energy attribute credits by the Agency and
7considered as applicable against the annual goals set forth in
8paragraph (3) of this subsection (b-5).
9    The owner of any clean energy resource that participates in
10a clean energy attribute credit procurement event conducted
11under this subsection (b-5) must commit to pay any fees
12assessed by the Agency to recover the Agency's costs of
13conducting the procurement events and any related activities.
14    Clean energy attribute credits may be procured from any
15party that owns a clean energy resource located in this State,
16including, but not limited to, municipal utilities, electric
17cooperatives, competitive retailers, consumers, aggregators,
18and independent power producers. The results of each clean
19energy attribute credit procurement event shall be subject to
20approval by the Commission. Upon Commission approval of the
21results of a procurement event, each utility shall enter into
22binding contractual agreements with the winning suppliers.
23    (3) The annual target procurement of clean energy attribute
24credits shall: (A) be subject to the cost cap set forth in item
25(ii) of paragraph (5) of this subsection (b-5); (B) be equal to
26a percentage of the total electricity consumption reported for



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1each electric utility that serves at least 100,000 retail
2customers in this State; and (C) increase linearly between June
31, 2020 and May 31, 2051 so that by the delivery year beginning
4June 1, 2050 the Agency will procure clean energy attribute
5credits in an amount equal to 100% of the total electricity
6consumption of each electric utility that serves at least
7100,000 retail customers in this State.
8    The target volume of clean energy attribute credits to be
9procured under this Act for a utility that serves at least
10100,000 retail customers in the State shall be 80% of total
11annual consumption for the delivery year beginning June 1, 2020
12and increase each year thereafter.
13    All clean energy attribute credits shall be cleared in a
14competitive auction format such that the lowest price clean
15energy attribute credits are procured first and at a uniform
16price, regardless of the technology or age of the clean energy
17resource that generates the clean energy attribute credit.
18    In addition to the target procurement, the Agency shall
19procure additional clean energy attribute credits at each
20procurement event based on a demand curve for clean energy
21attribute credits developed by the Agency and approved by the
22Commission that would result in a higher amount of clean energy
23attribute credits being procured as prices decrease.
24    The Agency shall also procure clean energy attribute
25credits for any person that submits a qualifying bid to
26purchase at least 90 days prior to any procurement event. A



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1qualifying purchase bid is a bid to purchase the specified
2number of clean energy attribute credits for a price greater
3than the clearing price in that auction for which there is a
4corresponding qualified seller.
5    (4) Notwithstanding any provision of this subsection
6(b-5), if determined to be in the public interest, the Agency
7may, at the Agency's direction or at the direction of the
8Commission, satisfy the requirements of this subsection (b-5)
9by procuring clean energy attribute credits volumes under any
10of the following acquisition alternatives:
11        (i) procure clean energy attribute credits in a
12    combined auction with other states;
13        (ii) procure clean energy attribute credits in a
14    combined auction with any inter-regional, independent
15    entity; or
16        (iii) procure clean energy attribute credits within
17    another centralized auction with a substantially similar
18    auction design determined by the Agency or the Commission
19    to be acceptable under this subsection (b-5).
20    (5) Customer protections.
21        (i) Prices awarded for clean energy attribute credits
22    to satisfy the requirements of paragraph (3) of this
23    subsection (b-5) shall be subject to a price cap, which
24    shall be equal to 1.5 times the social cost of carbon.
25        (ii) The cost to consumers of procuring clean energy
26    attribute credits shall not exceed the sum of the existing



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1    cost caps for energy efficiency and demand response, the
2    renewable portfolio standard, the clean coal portfolio
3    standard, and the zero emissions standard.
4        (iii) As part of its annual procurement process, the
5    Agency shall review the cost cap established under item
6    (ii) of this paragraph (5) to determine if it is
7    insufficient to fund the goals of this subsection (b-5). If
8    the Agency determines that the cost cap is likely to
9    prevent the complete funding of the goals in this Section,
10    the Agency shall propose an alternative cost cap, which the
11    Commission shall review and approve to take effect the
12    following delivery year if the Commission finds that the
13    alternative cost cap is a necessary and cost-effective way
14    to achieve the requirements of this subsection (b-5).
15        (iv) Clean energy attribute credits shall be cost
16    effective as a result of following the procedures set forth
17    in this subsection (b-5).
18    (6) Electric utilities subject to the requirements of this
19subsection (b-5) shall forecast the clean energy attribute
20credit volume requirements to be covered by the procurement. No
21later than 45 days after the effective date of this amendatory
22Act of the 101st General Assembly, each utility shall publish
23its clean energy attribute credit procurement plan for the
24delivery year commencing June 1, 2020. The plan shall be
25consistent with the provisions of this subsection (b-5).
26    Upon publishing of the clean energy attribute credit



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1procurement plans, copies of the plans shall be posted and made
2publicly available on the Agency's website. All interested
3parties shall have 10 days following the date of posting to
4provide comment on the plans. All comments shall be posted to
5the Agency's website. Following the end of the comment period,
6but no more than 60 days after the effective date of this
7amendatory Act of the 101st General Assembly, the Agency shall
8revise the plans as necessary based on the comments received,
9and file each clean energy attribute credit procurement plan
10with the Commission with a projected schedule for the clean
11energy attribute credit procurement event.
12    If the Commission determines that the plans will result in
13the procurement of clean energy attribute credits consistent
14with the requirements of this subsection (b-5), then the
15Commission shall, after notice and hearing, but no later than
1645 days after the Agency filed the plan, approve the plans or
17approve the plans with modification. Those clean energy
18attribute credit procurement plans applicable to delivery
19years commencing after June 1, 2020, shall be published, filed,
20and approved consistent with the timelines and dates set forth
21in subsection (d).
22    (7) Notwithstanding anything to the contrary, the Agency
23and the Commission shall have the authority to take all steps
24necessary to implement this subsection (b-5) consistent with
25applicable federal tariffs, and as those tariffs may be
26changed, replaced, or superseded from time to time.



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1    (8) In order to ensure that Illinois meets its long-term
2carbon-free energy goals, the quantity of clean energy
3attribute credits procured shall be total utility electricity
4multiplied by a linearly increasing goal to 100% by 2050. The
5total procured shall be no less than the sum of nuclear
6generation in service on January 1, 2019 and the renewable
7portfolio standard in effect on the effective date of this
8amendatory Act of the 101st General Assembly.
9    (9) The Agency and Commission shall design, develop, and
10implement the clean energy attribute credit program in a way
11that promotes the development of the competitive retail
12electric market in this State.
13    (10) Notwithstanding anything to the contrary, nothing in
14this subsection (b-5) shall alter any person's rights or
15obligations under contracts executed prior to the effective
16date of this amendatory Act of the 101st General Assembly for
17the purchase or sale of credits under Illinois' renewable
18portfolio standard, clean coal portfolio standard, zero
19emissions standard, or energy efficiency portfolio standard
20programs, and the quantities procured under such contracts
21shall be subtracted from the minimum quantity of clean energy
22attribute credits to be procured on behalf of that utility's
24    (c) The procurement process set forth in Section 1-75 of
25the Illinois Power Agency Act and subsection (e) of this
26Section shall be administered by a procurement administrator



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1and monitored by a procurement monitor.
2        (1) The procurement administrator shall:
3            (i) design the final procurement process in
4        accordance with Section 1-75 of the Illinois Power
5        Agency Act and subsection (e) of this Section following
6        Commission approval of the procurement plan;
7            (ii) develop benchmarks in accordance with
8        subsection (e)(3) to be used to evaluate bids; these
9        benchmarks shall be submitted to the Commission for
10        review and approval on a confidential basis prior to
11        the procurement event;
12            (iii) serve as the interface between the electric
13        utility and suppliers;
14            (iv) manage the bidder pre-qualification and
15        registration process;
16            (v) obtain the electric utilities' agreement to
17        the final form of all supply contracts and credit
18        collateral agreements;
19            (vi) administer the request for proposals process;
20            (vii) have the discretion to negotiate to
21        determine whether bidders are willing to lower the
22        price of bids that meet the benchmarks approved by the
23        Commission; any post-bid negotiations with bidders
24        shall be limited to price only and shall be completed
25        within 24 hours after opening the sealed bids and shall
26        be conducted in a fair and unbiased manner; in



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1        conducting the negotiations, there shall be no
2        disclosure of any information derived from proposals
3        submitted by competing bidders; if information is
4        disclosed to any bidder, it shall be provided to all
5        competing bidders;
6            (viii) maintain confidentiality of supplier and
7        bidding information in a manner consistent with all
8        applicable laws, rules, regulations, and tariffs;
9            (ix) submit a confidential report to the
10        Commission recommending acceptance or rejection of
11        bids;
12            (x) notify the utility of contract counterparties
13        and contract specifics; and
14            (xi) administer related contingency procurement
15        events.
16        (2) The procurement monitor, who shall be retained by
17    the Commission, shall:
18            (i) monitor interactions among the procurement
19        administrator, suppliers, and utility;
20            (ii) monitor and report to the Commission on the
21        progress of the procurement process;
22            (iii) provide an independent confidential report
23        to the Commission regarding the results of the
24        procurement event;
25            (iv) assess compliance with the procurement plans
26        approved by the Commission for each utility that on



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1        December 31, 2005 provided electric service to at least
2        100,000 customers in Illinois and for each small
3        multi-jurisdictional utility that on December 31, 2005
4        served less than 100,000 customers in Illinois;
5            (v) preserve the confidentiality of supplier and
6        bidding information in a manner consistent with all
7        applicable laws, rules, regulations, and tariffs;
8            (vi) provide expert advice to the Commission and
9        consult with the procurement administrator regarding
10        issues related to procurement process design, rules,
11        protocols, and policy-related matters; and
12            (vii) consult with the procurement administrator
13        regarding the development and use of benchmark
14        criteria, standard form contracts, credit policies,
15        and bid documents.
16    (d) Except as provided in subsection (j), the planning
17process shall be conducted as follows:
18        (1) Beginning in 2008, each Illinois utility procuring
19    power pursuant to this Section shall annually provide a
20    range of load forecasts to the Illinois Power Agency by
21    July 15 of each year, or such other date as may be required
22    by the Commission or Agency. The load forecasts shall cover
23    the 5-year procurement planning period for the next
24    procurement plan and shall include hourly data
25    representing a high-load, low-load, and expected-load
26    scenario for the load of those retail customers included in



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1    the plan's electric supply service requirements. The
2    utility shall provide supporting data and assumptions for
3    each of the scenarios.
4        (2) Beginning in 2008, the Illinois Power Agency shall
5    prepare a procurement plan by August 15th of each year, or
6    such other date as may be required by the Commission. The
7    procurement plan shall identify the portfolio of
8    demand-response and power and energy products to be
9    procured. Cost-effective demand-response measures shall be
10    procured as set forth in item (iii) of subsection (b) of
11    this Section. Copies of the procurement plan shall be
12    posted and made publicly available on the Agency's and
13    Commission's websites, and copies shall also be provided to
14    each affected electric utility. An affected utility shall
15    have 30 days following the date of posting to provide
16    comment to the Agency on the procurement plan. Other
17    interested entities also may comment on the procurement
18    plan. All comments submitted to the Agency shall be
19    specific, supported by data or other detailed analyses,
20    and, if objecting to all or a portion of the procurement
21    plan, accompanied by specific alternative wording or
22    proposals. All comments shall be posted on the Agency's and
23    Commission's websites. During this 30-day comment period,
24    the Agency shall hold at least one public hearing within
25    each utility's service area for the purpose of receiving
26    public comment on the procurement plan. Within 14 days



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1    following the end of the 30-day review period, the Agency
2    shall revise the procurement plan as necessary based on the
3    comments received and file the procurement plan with the
4    Commission and post the procurement plan on the websites.
5        (3) Within 5 days after the filing of the procurement
6    plan, any person objecting to the procurement plan shall
7    file an objection with the Commission. Within 10 days after
8    the filing, the Commission shall determine whether a
9    hearing is necessary. The Commission shall enter its order
10    confirming or modifying the procurement plan within 90 days
11    after the filing of the procurement plan by the Illinois
12    Power Agency.
13        (4) The Commission shall approve the procurement plan,
14    including expressly the forecast used in the procurement
15    plan, if the Commission determines that it will ensure
16    adequate, reliable, affordable, efficient, and
17    environmentally sustainable electric service at the lowest
18    total cost over time, taking into account any benefits of
19    price stability.
20    (e) The procurement process shall include each of the
21following components:
22        (1) Solicitation, pre-qualification, and registration
23    of bidders. The procurement administrator shall
24    disseminate information to potential bidders to promote a
25    procurement event, notify potential bidders that the
26    procurement administrator may enter into a post-bid price



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1    negotiation with bidders that meet the applicable
2    benchmarks, provide supply requirements, and otherwise
3    explain the competitive procurement process. In addition
4    to such other publication as the procurement administrator
5    determines is appropriate, this information shall be
6    posted on the Illinois Power Agency's and the Commission's
7    websites. The procurement administrator shall also
8    administer the prequalification process, including
9    evaluation of credit worthiness, compliance with
10    procurement rules, and agreement to the standard form
11    contract developed pursuant to paragraph (2) of this
12    subsection (e). The procurement administrator shall then
13    identify and register bidders to participate in the
14    procurement event.
15        (2) Standard contract forms and credit terms and
16    instruments. The procurement administrator, in
17    consultation with the utilities, the Commission, and other
18    interested parties and subject to Commission oversight,
19    shall develop and provide standard contract forms for the
20    supplier contracts that meet generally accepted industry
21    practices. Standard credit terms and instruments that meet
22    generally accepted industry practices shall be similarly
23    developed. The procurement administrator shall make
24    available to the Commission all written comments it
25    receives on the contract forms, credit terms, or
26    instruments. If the procurement administrator cannot reach



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1    agreement with the applicable electric utility as to the
2    contract terms and conditions, the procurement
3    administrator must notify the Commission of any disputed
4    terms and the Commission shall resolve the dispute. The
5    terms of the contracts shall not be subject to negotiation
6    by winning bidders, and the bidders must agree to the terms
7    of the contract in advance so that winning bids are
8    selected solely on the basis of price.
9        (3) Establishment of a market-based price benchmark.
10    As part of the development of the procurement process, the
11    procurement administrator, in consultation with the
12    Commission staff, Agency staff, and the procurement
13    monitor, shall establish benchmarks for evaluating the
14    final prices in the contracts for each of the products that
15    will be procured through the procurement process. The
16    benchmarks shall be based on price data for similar
17    products for the same delivery period and same delivery
18    hub, or other delivery hubs after adjusting for that
19    difference. The price benchmarks may also be adjusted to
20    take into account differences between the information
21    reflected in the underlying data sources and the specific
22    products and procurement process being used to procure
23    power for the Illinois utilities. The benchmarks shall be
24    confidential but shall be provided to, and will be subject
25    to Commission review and approval, prior to a procurement
26    event.



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1        (4) Request for proposals competitive procurement
2    process. The procurement administrator shall design and
3    issue a request for proposals to supply electricity in
4    accordance with each utility's procurement plan, as
5    approved by the Commission. The request for proposals shall
6    set forth a procedure for sealed, binding commitment
7    bidding with pay-as-bid settlement, and provision for
8    selection of bids on the basis of price.
9        (5) A plan for implementing contingencies in the event
10    of supplier default or failure of the procurement process
11    to fully meet the expected load requirement due to
12    insufficient supplier participation, Commission rejection
13    of results, or any other cause.
14            (i) Event of supplier default: In the event of
15        supplier default, the utility shall review the
16        contract of the defaulting supplier to determine if the
17        amount of supply is 200 megawatts or greater, and if
18        there are more than 60 days remaining of the contract
19        term. If both of these conditions are met, and the
20        default results in termination of the contract, the
21        utility shall immediately notify the Illinois Power
22        Agency that a request for proposals must be issued to
23        procure replacement power, and the procurement
24        administrator shall run an additional procurement
25        event. If the contracted supply of the defaulting
26        supplier is less than 200 megawatts or there are less



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1        than 60 days remaining of the contract term, the
2        utility shall procure power and energy from the
3        applicable regional transmission organization market,
4        including ancillary services, capacity, and day-ahead
5        or real time energy, or both, for the duration of the
6        contract term to replace the contracted supply;
7        provided, however, that if a needed product is not
8        available through the regional transmission
9        organization market it shall be purchased from the
10        wholesale market.
11            (ii) Failure of the procurement process to fully
12        meet the expected load requirement: If the procurement
13        process fails to fully meet the expected load
14        requirement due to insufficient supplier participation
15        or due to a Commission rejection of the procurement
16        results, the procurement administrator, the
17        procurement monitor, and the Commission staff shall
18        meet within 10 days to analyze potential causes of low
19        supplier interest or causes for the Commission
20        decision. If changes are identified that would likely
21        result in increased supplier participation, or that
22        would address concerns causing the Commission to
23        reject the results of the prior procurement event, the
24        procurement administrator may implement those changes
25        and rerun the request for proposals process according
26        to a schedule determined by those parties and



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1        consistent with Section 1-75 of the Illinois Power
2        Agency Act and this subsection. In any event, a new
3        request for proposals process shall be implemented by
4        the procurement administrator within 90 days after the
5        determination that the procurement process has failed
6        to fully meet the expected load requirement.
7            (iii) In all cases where there is insufficient
8        supply provided under contracts awarded through the
9        procurement process to fully meet the electric
10        utility's load requirement, the utility shall meet the
11        load requirement by procuring power and energy from the
12        applicable regional transmission organization market,
13        including ancillary services, capacity, and day-ahead
14        or real time energy, or both; provided, however, that
15        if a needed product is not available through the
16        regional transmission organization market it shall be
17        purchased from the wholesale market.
18        (6) The procurement process described in this
19    subsection is exempt from the requirements of the Illinois
20    Procurement Code, pursuant to Section 20-10 of that Code.
21    (f) Within 2 business days after opening the sealed bids,
22the procurement administrator shall submit a confidential
23report to the Commission. The report shall contain the results
24of the bidding for each of the products along with the
25procurement administrator's recommendation for the acceptance
26and rejection of bids based on the price benchmark criteria and



10100SB0135sam003- 38 -LRB101 06818 RJF 59250 a

1other factors observed in the process. The procurement monitor
2also shall submit a confidential report to the Commission
3within 2 business days after opening the sealed bids. The
4report shall contain the procurement monitor's assessment of
5bidder behavior in the process as well as an assessment of the
6procurement administrator's compliance with the procurement
7process and rules. The Commission shall review the confidential
8reports submitted by the procurement administrator and
9procurement monitor, and shall accept or reject the
10recommendations of the procurement administrator within 2
11business days after receipt of the reports.
12    (g) Within 3 business days after the Commission decision
13approving the results of a procurement event, the utility shall
14enter into binding contractual arrangements with the winning
15suppliers using the standard form contracts; except that the
16utility shall not be required either directly or indirectly to
17execute the contracts if a tariff that is consistent with
18subsection (l) of this Section has not been approved and placed
19into effect for that utility.
20    (h) The names of the successful bidders and the load
21weighted average of the winning bid prices for each contract
22type and for each contract term shall be made available to the
23public at the time of Commission approval of a procurement
24event. The Commission, the procurement monitor, the
25procurement administrator, the Illinois Power Agency, and all
26participants in the procurement process shall maintain the



10100SB0135sam003- 39 -LRB101 06818 RJF 59250 a

1confidentiality of all other supplier and bidding information
2in a manner consistent with all applicable laws, rules,
3regulations, and tariffs. Confidential information, including
4the confidential reports submitted by the procurement
5administrator and procurement monitor pursuant to subsection
6(f) of this Section, shall not be made publicly available and
7shall not be discoverable by any party in any proceeding,
8absent a compelling demonstration of need, nor shall those
9reports be admissible in any proceeding other than one for law
10enforcement purposes.
11    (i) Within 2 business days after a Commission decision
12approving the results of a procurement event or such other date
13as may be required by the Commission from time to time, the
14utility shall file for informational purposes with the
15Commission its actual or estimated retail supply charges, as
16applicable, by customer supply group reflecting the costs
17associated with the procurement and computed in accordance with
18the tariffs filed pursuant to subsection (l) of this Section
19and approved by the Commission.
20    (j) Within 60 days following August 28, 2007 (the effective
21date of Public Act 95-481), each electric utility that on
22December 31, 2005 provided electric service to at least 100,000
23customers in Illinois shall prepare and file with the
24Commission an initial procurement plan, which shall conform in
25all material respects to the requirements of the procurement
26plan set forth in subsection (b); provided, however, that the



10100SB0135sam003- 40 -LRB101 06818 RJF 59250 a

1Illinois Power Agency Act shall not apply to the initial
2procurement plan prepared pursuant to this subsection. The
3initial procurement plan shall identify the portfolio of power
4and energy products to be procured and delivered for the period
5June 2008 through May 2009, and shall identify the proposed
6procurement administrator, who shall have the same experience
7and expertise as is required of a procurement administrator
8hired pursuant to Section 1-75 of the Illinois Power Agency
9Act. Copies of the procurement plan shall be posted and made
10publicly available on the Commission's website. The initial
11procurement plan may include contracts for renewable resources
12that extend beyond May 2009.
13        (i) Within 14 days following filing of the initial
14    procurement plan, any person may file a detailed objection
15    with the Commission contesting the procurement plan
16    submitted by the electric utility. All objections to the
17    electric utility's plan shall be specific, supported by
18    data or other detailed analyses. The electric utility may
19    file a response to any objections to its procurement plan
20    within 7 days after the date objections are due to be
21    filed. Within 7 days after the date the utility's response
22    is due, the Commission shall determine whether a hearing is
23    necessary. If it determines that a hearing is necessary, it
24    shall require the hearing to be completed and issue an
25    order on the procurement plan within 60 days after the
26    filing of the procurement plan by the electric utility.



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1        (ii) The order shall approve or modify the procurement
2    plan, approve an independent procurement administrator,
3    and approve or modify the electric utility's tariffs that
4    are proposed with the initial procurement plan. The
5    Commission shall approve the procurement plan if the
6    Commission determines that it will ensure adequate,
7    reliable, affordable, efficient, and environmentally
8    sustainable electric service at the lowest total cost over
9    time, taking into account any benefits of price stability.
10    (k) (Blank).
11    (k-5) (Blank).
12    (l) An electric utility shall recover its costs incurred
13under this Section, including, but not limited to, the costs of
14procuring power and energy demand-response resources under
15this Section. The utility shall file with the initial
16procurement plan its proposed tariffs through which its costs
17of procuring power that are incurred pursuant to a
18Commission-approved procurement plan and those other costs
19identified in this subsection (l), will be recovered. The
20tariffs shall include a formula rate or charge designed to pass
21through both the costs incurred by the utility in procuring a
22supply of electric power and energy for the applicable customer
23classes with no mark-up or return on the price paid by the
24utility for that supply, plus any just and reasonable costs
25that the utility incurs in arranging and providing for the
26supply of electric power and energy. The formula rate or charge



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1shall also contain provisions that ensure that its application
2does not result in over or under recovery due to changes in
3customer usage and demand patterns, and that provide for the
4correction, on at least an annual basis, of any accounting
5errors that may occur. A utility shall recover through the
6tariff all reasonable costs incurred to implement or comply
7with any procurement plan that is developed and put into effect
8pursuant to Section 1-75 of the Illinois Power Agency Act and
9this Section, including any fees assessed by the Illinois Power
10Agency, costs associated with load balancing, and contingency
11plan costs. The electric utility shall also recover its full
12costs of procuring electric supply for which it contracted
13before the effective date of this Section in conjunction with
14the provision of full requirements service under fixed-price
15bundled service tariffs subsequent to December 31, 2006. All
16such costs shall be deemed to have been prudently incurred. The
17pass-through tariffs that are filed and approved pursuant to
18this Section shall not be subject to review under, or in any
19way limited by, Section 16-111(i) of this Act. All of the costs
20incurred by the electric utility associated with the purchase
21of zero emission credits in accordance with subsection (d-5) of
22Section 1-75 of the Illinois Power Agency Act and, beginning
23June 1, 2017, all of the costs incurred by the electric utility
24associated with the purchase of renewable energy resources in
25accordance with Sections 1-56 and 1-75 of the Illinois Power
26Agency Act, shall be recovered through the electric utility's



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1tariffed charges applicable to all of its retail customers, as
2specified in subsection (k) of Section 16-108 of this Act, and
3shall not be recovered through the electric utility's tariffed
4charges for electric power and energy supply to its eligible
5retail customers.
6    (m) The Commission has the authority to adopt rules to
7carry out the provisions of this Section. For the public
8interest, safety, and welfare, the Commission also has
9authority to adopt rules to carry out the provisions of this
10Section on an emergency basis immediately following August 28,
112007 (the effective date of Public Act 95-481).
12    (n) Notwithstanding any other provision of this Act, any
13affiliated electric utilities that submit a single procurement
14plan covering their combined needs may procure for those
15combined needs in conjunction with that plan, and may enter
16jointly into power supply contracts, purchases, and other
17procurement arrangements, and allocate capacity and energy and
18cost responsibility therefor among themselves in proportion to
19their requirements.
20    (o) On or before June 1 of each year, the Commission shall
21hold an informal hearing for the purpose of receiving comments
22on the prior year's procurement process and any recommendations
23for change.
24    (p) An electric utility subject to this Section may propose
25to invest, lease, own, or operate an electric generation
26facility as part of its procurement plan, provided the utility



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1demonstrates that such facility is the least-cost option to
2provide electric service to those retail customers included in
3the plan's electric supply service requirements. If the
4facility is shown to be the least-cost option and is included
5in a procurement plan prepared in accordance with Section 1-75
6of the Illinois Power Agency Act and this Section, then the
7electric utility shall make a filing pursuant to Section 8-406
8of this Act, and may request of the Commission any statutory
9relief required thereunder. If the Commission grants all of the
10necessary approvals for the proposed facility, such supply
11shall thereafter be considered as a pre-existing contract under
12subsection (b) of this Section. The Commission shall in any
13order approving a proposal under this subsection specify how
14the utility will recover the prudently incurred costs of
15investing in, leasing, owning, or operating such generation
16facility through just and reasonable rates charged to those
17retail customers included in the plan's electric supply service
18requirements. Cost recovery for facilities included in the
19utility's procurement plan pursuant to this subsection shall
20not be subject to review under or in any way limited by the
21provisions of Section 16-111(i) of this Act. Nothing in this
22Section is intended to prohibit a utility from filing for a
23fuel adjustment clause as is otherwise permitted under Section
249-220 of this Act.
25    (q) If the Illinois Power Agency filed with the Commission,
26under Section 16-111.5 of this Act, its proposed procurement



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1plan for the period commencing June 1, 2017, and the Commission
2has not yet entered its final order approving the plan on or
3before the effective date of this amendatory Act of the 99th
4General Assembly, then the Illinois Power Agency shall file a
5notice of withdrawal with the Commission, after the effective
6date of this amendatory Act of the 99th General Assembly, to
7withdraw the proposed procurement of renewable energy
8resources to be approved under the plan, other than the
9procurement of renewable energy credits from distributed
10renewable energy generation devices using funds previously
11collected from electric utilities' retail customers that take
12service pursuant to electric utilities' hourly pricing tariff
13or tariffs and, for an electric utility that serves less than
14100,000 retail customers in the State, other than the
15procurement of renewable energy credits from distributed
16renewable energy generation devices. Upon receipt of the
17notice, the Commission shall enter an order that approves the
18withdrawal of the proposed procurement of renewable energy
19resources from the plan. The initially proposed procurement of
20renewable energy resources shall not be approved or be the
21subject of any further hearing, investigation, proceeding, or
22order of any kind.
23    This amendatory Act of the 99th General Assembly preempts
24and supersedes any order entered by the Commission that
25approved the Illinois Power Agency's procurement plan for the
26period commencing June 1, 2017, to the extent it is



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1inconsistent with the provisions of this amendatory Act of the
299th General Assembly. To the extent any previously entered
3order approved the procurement of renewable energy resources,
4the portion of that order approving the procurement shall be
5void, other than the procurement of renewable energy credits
6from distributed renewable energy generation devices using
7funds previously collected from electric utilities' retail
8customers that take service under electric utilities' hourly
9pricing tariff or tariffs and, for an electric utility that
10serves less than 100,000 retail customers in the State, other
11than the procurement of renewable energy credits for
12distributed renewable energy generation devices.
13(Source: P.A. 99-906, eff. 6-1-17.)".