IL HB3115

Natural gas utilities must incorporate low-carbon fuels (biogas, hydrogen, renewable gas) into their supply portfolio with targets of at least 2% by January 1, 2030 and 3% by January 1, 2035 (measured by volume).

Utilities may seek Illinois Commerce Commission authorization to invest in low-carbon fuel facilities, contract for gas supply from such facilities, extend distribution systems to connect with them, purchase low-carbon fuels, participate in renewable energy programs, and offer customers the option to purchase low-carbon fuels directly.

The Commission must approve low-carbon fuel activities if they are consistent with the Act and demonstrate environmental benefits including reduction of greenhouse gas emissions, displacement of geologic natural gas, or reduction of water pollutants.

Cumulative rate impacts from low-carbon fuel activities cannot exceed an annual average of 2% per year of the utility's delivery base rate revenues.

All environmental commodities (credits, offsets, allowances) from low-carbon fuel purchases and facility ownership must benefit gas customers by reducing greenhouse gas emissions or replacing conventional natural gas consumption with low-carbon alternatives.