Connecticut HB 5340: AN ACT CONCERNING THE MODERNIZATION OF THE CONNECTICUT BOTTLE REDEMPTION PROGRAM.

Bill Text

House Bill No. 5340

Public Act No. 26-127

AN ACT CONCERNING RENEWABLE POWER GENERATION.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

Section 1. (NEW) (Effective July 1, 2026) (a) As used in this section and
sections 2 to 4, inclusive, of this act:
(1) "Authority" means the Public Utilities Regulatory Authority;
(2) "Class I renewable energy source" has the same meaning as
provided in section 16-1 of the general statutes;
(3) "Commissioner" means the Commissioner of Energy and
Environmental Protection;
(4) "Distributed energy resource" has the same meaning as provided
in section 16-1 of the general statutes;
(5) "Dwelling unit" has the same meaning as provided in section 47a-
1 of the general statutes;
(6) "Energy storage system" has the same meaning as provided in
section 16-1 of the general statutes;
(7) "Shared clean energy facility" means a Class I renewable energy
source that (A) emits no pollutants, (B) is served by an electric

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Public Act No. 26-127 2 of 40

distribution company, (C) has a nameplate capacity rating of five
megawatts or less, and (D) has at least two subscribers;
(8) "Residential customer" means a customer that resides in a single-
family home, a multifamily development consisting of two to four
dwelling units or a multifamily development consisting of five or more
dwelling units, provided in the case of a multifamily development
consisting of five or more such units, (A) not less than sixty per cent of
the units of the multifamily development are occupied by persons and
families with income that is not more than sixty per cent of the area
median income for the municipality in which it is located, as determined
by the United States Department of Housing and Urban Development,
or (B) such multifamily development is determined to be affordable
housing by the Public Utilities Regulatory Authority according to any
alternative metrics designated by the authority; and
(9) "Low-income customer" means a retail end user of an electric
distribution company who resides in the state, (A) whose income does
not exceed sixty per cent of the state median income, adjusted for family
size, or (B) who resides in an affordable housing development, provided
the authority may modify the definition of "low-income customer" for
the sole purpose of aligning such definition with the requirements of
any federal program that provides renewable energy incentives.
(b) On or before August 1, 2026, the authority shall initiate a
proceeding to establish a successor program to the Residential
Renewable Energy Solutions program established by the authority
pursuant to section 16-244z of the general statutes, as amended by this
act. In establishing such successor program, the authority shall establish
(1) tariffs for each electric distribution company, (2) a rate for such
tariffs, and (3) tariff terms and conditions consistent with the
requirements of this section. Any such tariff shall be for a term not to
exceed twenty years. In such proceeding, the authority shall consider
the findings of the study of the value of distributed energy resources

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Public Act No. 26-127 3 of 40

conducted pursuant to section 16a-3o of the general statutes, the
recommendations of the Integrated Resources Plan developed pursuant
to section 16a-3a of the general statutes and the Comprehensive Energy
Strategy developed pursuant to section 16a-3d of the general statutes,
the system efficiency and utilization goal established pursuant to section
16a-3v of the general statutes and the impact of distributed energy
resources on the state's goals to reduce greenhouse gas emissions
pursuant to section 22a-200a of the general statutes. The authority shall
issue a final order in such proceeding on or before December 1, 2027.
(c) In establishing rates for tariffs pursuant to this section, the
authority shall set such rates based on the electric system benefits
received by all ratepayers from the distributed energy resource based
on time of production, equitable distribution of participant benefits, the
Comprehensive Energy Strategy adopted pursuant to section 16a-3d of
the general statutes, the Integrated Resources Plan developed pursuant
to section 16a-3a of the general statutes, the system efficiency and
utilization goal established pursuant to section 16a-3v of the general
statutes and the value or benefits of distributed energy resources to the
reliability of the electric grid in the state. The authority shall assess
whether to incorporate time-varying rates or other dynamic pricing
methods. In addition to a tariff rate applicable to any residential
customer, the authority shall authorize a separate tariff rate for (1) low-
income customers and residential customers in a multifamily
development as described in subparagraph (A) or (B) of subdivision (8)
of subsection (a) of this section, and (2) residential customers that reside
in a distressed municipality, as def