HB 567-FN - AS INTRODUCED
2025 SESSION
25-0261
06/09
HOUSE BILL 567-FN
AN ACT relative to the elimination of useful thermal energy from renewable energy classes.
SPONSORS: Rep. Harrington, Straf. 18; Rep. Notter, Hills. 12; Rep. Summers, Rock. 20; Rep. D. Thomas, Rock. 16
COMMITTEE: Science, Technology and Energy
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ANALYSIS
This bill removes the inclusion of technologies producing useful thermal energy from the minimum electric renewable portfolio standards.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
25-0261
06/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty Five
AN ACT relative to the elimination of useful thermal energy from renewable energy classes.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Minimum Electric Renewable Portfolio Standards; Definition; Renewable Energy Source. Amend RSA 362-F:2, XV to read as follows:
XV. "Renewable energy source," "renewable source," or "source" means a class I, II, III, or IV source of electricity [or a class I source of useful thermal energy]. An electrical generating facility, while selling its electrical output at long-term rates established before January 1, 2007 by orders of the commission under RSA 362-A:4, shall not be considered a renewable source.
2 Minimum Electric Renewable Portfolio Standards; Technologies Producing Useful Thermal Removed. Amend RSA 362-F:3 to read as follows:
362-F:3 Minimum Electric Renewable Portfolio Standards. For each year specified in the table below, each provider of electricity shall obtain and retire certificates sufficient in number and class type to meet or exceed the following percentages of total megawatt-hours of electricity supplied by the provider to its end-use customers that year, except to the extent that the provider makes payments to the renewable energy fund under RSA 362-F:10, II:
2008 2009 2010 2011 2012 2013 2014 2015 2025 and thereafter
Class I 0.0% 0.5% 1% 2% 3% 3.8% 5% 6% [15% (*)] 6%
Class II 0.0% 0.0% 0.04% 0.08% 0.15% 0.2% 0.3% 0.3% [0.7%] 0.3%
Class III [3.5% 4.5% 5.5% 6.5% 1.4% 1.5% 3.0% 8.0% 8.0%] 1%
Class IV 0.5% 1% 1% 1% 1% 1.3% 1.4% 1.5% 1.5%.
[*Class I increases an additional 0.9 percent per year from 2015 through 2025. A set percentage of the class I totals shall be satisfied annually by the acquisition of renewable energy certificates from qualifying renewable energy technologies producing useful thermal energy as defined in RSA 362-F:2, XV-a. The set percentage shall be 0.4 percent in 2014, 0.6 percent in 2015, 0.8 percent in 2016, and increased annually by 0.2 percent per year from 2017 through 2023, after which it shall remain unchanged. Class II shall increase to 0.5 percent beginning in 2018, 0.6 percent beginning in 2019, and 0.7 percent beginning in 2020, otherwise classes II-IV shall remain at the same percentages from 2015 through 2025 except as provided in RSA 362-F:4, V-VI.]
3 Renewable Energy Classes; Useful Thermal Removed. Amend the introductory paragraph of RSA 362-F:4, I to read as follows:
I. Class I (New) shall include the production of electricity [or useful thermal energy] from any of the following, provided the source began operation after January 1, 2006, except as noted below:
4 Renewable Energy Classes; Biomass Technologies Producing Useful Thermal Energy Removed. Amend RSA 362-F:4, III to read as follows:
III. Class III ([Existing Biomass/]Methane) shall include the production of electricity [from any of the following] from methane gas, provided the source began operation prior to January 1, 2006 [and except as provided in subparagraph (b):
(a) Eligible biomass technologies having a gross nameplate capacity of 25 MWs or less.
(b) Methane gas.]. Effective for electricity production commencing January 1, 2017, methane gas shall not qualify for class III if the production is from a source or sources which began operation prior to January 1, 2006 and which source exceeds, or sources exceed, a total gross nameplate capacity of 10 MWs in the aggregate located at any single landfill site. All phases, stages, cells, lifts, expansions, and other landfill areas shall be combined in determining the single landfill site gross nameplate capacity. Only class III and potential class III eligible sources at any single landfill site shall be included in determining whether the 10 MW aggregate limitation has been exceeded.
5 Repeals. The following are repealed:
I. RSA 362-F:4, I(l) relative to biomass technologies producing useful thermal energy.
II. RSA 362-F:2, XV-a, relative to the definition of useful thermal.
6 Effective Date. This act shall take effect 60 days after its passage.
25-0261
1/7/25
HB 567-FN- FISCAL NOTE
AS INTRODUCED
AN ACT relative to the elimination of useful thermal energy from renewable energy classes.
FISCAL IMPACT:
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Estimated State Impact | ||||||||
| FY 2025 | FY 2026 | FY 2027 | FY 2028 | ||||
Revenue | $0 | Indeterminable Decrease ($2.5m to $4.5m) | Indeterminable Decrease ($2.5m to $4.5m) | Indeterminable Decrease ($2.5m to $4.5m) | ||||
Revenue Fund(s) | Renewale Energy Fund | |||||||
Expenditures* | $0 | Indeterminable Decrease ($2.5m to $4.5m) | Indeterminable Decrease ($2.5m to $4.5m) | Indeterminable Decrease ($2.5m to $4.5m) | ||||
Funding Source(s) | General Fund, Highway Fund, and Various Agency Funds | |||||||
Appropriations* | $0 | $0 | $0 | $0 | ||||
Funding Source(s) | None | |||||||
*Expenditure = Cost of bill *Appropriation = Authorized funding to cover cost of bill | ||||||||
| ||||||||
Estimated Political Subdivision Impact | ||||||||
| FY 2025 | FY 2026 | FY 2027 | FY 2028 | ||||
County Revenue | $0 | $0 | $0 | $0 | ||||
County Expenditures | $0 | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease | ||||
Local Revenue | $0 | $0 | $0 | $0 | ||||
Local Expenditures | $0 | Indeterminable Decrease | Indeterminable Decrease | Indeterminable Decrease |
METHODOLOGY:
This bill amends the Renewable Portfolio Standards (RPS) by redefining "renewable energy source" to exclude technologies producing useful thermal energy. It adjusts the percentage requirements for Class I, II, III, and IV renewable energy sources, effectively lowering the obligations for electricity providers to obtain Renewable Energy Certificates (RECs) or make Alternative Compliance Payments (ACPs), reverting back to roughly the 2015 standard, with the except of Class III. Additionally, it removes biomass technologies producing useful thermal energy from eligible Class III sources and repeals related definitions and provisions.
The Department of Energy states this bill reduces the percentage requirements for RPS compliance, leading to decreased costs for electricity providers, which are typically passed on to ratepayers. Based on CY 2023 data, ACP payments would decrease by approximately $4.5 million, and REC costs would drop by about $16 million. However, these figures are subject to fluctuations based on market conditions.
AGENCIES CONTACTED:
Department of Energy
Date | Body | Type |
---|---|---|
Feb. 3, 2025 | House | Hearing |
Feb. 10, 2025 | House | Hearing |
March 3, 2025 | House | Exec Session |
March 3, 2025 | House | Floor Vote |
March 13, 2025: Inexpedient to Legislate: MA VV 03/13/2025 HJ 8 P. 16
March 5, 2025: Committee Report: Inexpedient to Legislate 03/03/2025 (Vote 18-0; CC)
Feb. 25, 2025: Executive Session: 03/03/2025 01:00 pm LOB 302-304
Feb. 5, 2025: ==CONTINUED== Public Hearing: 02/10/2025 09:00 am LOB 302-304
Jan. 29, 2025: ==RECESSED== Public Hearing: 02/03/2025 02:00 pm LOB 302-304
Jan. 16, 2025: Introduced (in recess of) 01/09/2025 and referred to Science, Technology and Energy HJ 3 P. 16