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SB 909

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2025 Regular Session Introduced by Bill Stanley

Creates an independent energy planning office to forecast, analyze risks, and recommend least-cost, reliable 25-year energy strategies for Maryland.

Passed by indefinitely in Rehabilitation and Social Services (9-Y 5-N 1-A)
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Bill Summary · SB 909

Summary — SB 909: Energy Resource Adequacy and Planning Act

Status: Passed both chambers; vetoed by the Governor (policy veto) on May 16, 2025. Took effect date in text: July 1, 2025 (statutory). Primary sponsor (Maryland versions): Senator Hester. Related/companion bills: HB 1275, HB 1037.

Purpose

Establish a new state office to provide independent, multi‑decade energy forecasting, scenario analysis, and recommendations to identify and reduce wholesale market, resource‑adequacy, reliability, and financial risks to Maryland’s bulk power system while considering the State’s clean‑energy goals and affordability for ratepayers.

Key provisions

  • Creates the Integrated Resource Strategic Energy Planning Office (variously called SEPO/Integrated Resource Planning Office) inside the Public Service Commission (PSC). The director is appointed by the Governor (advice & consent) and serves a five‑year term; the office may hire consultants.
  • Funding: Office costs are paid from assessments on public service companies administered by PSC (assessment capped at 0.074% of intrastate gross operating revenues — the same mechanism used for PSC/Office of People’s Counsel).
  • Reporting and analytic duties:
    • Develop a Comprehensive Wholesale Energy Markets and Bulk Power System Risk Report every 3 years (first due Sept. 1, 2028) and may issue updates. A development status update is due Sept. 1, 2027.
    • Produce a 25‑year Comprehensive Energy Forecast with 20‑year demand projections (statewide, service territories, PJM region) and run scenario analyses (including at least: achieving State clean energy goals; least‑cost approach; and no policy change).
    • Examine resource mixes, demand‑side measures, retirements, import/export balance, locational value, cost/ratepayer impacts, and reliability consequences; recommend short‑ and long‑term, least‑cost solutions or conclude no action needed with supporting analysis.
  • Coordination: Requires collaboration with MEA, PSC, Power Plant Research Program, Maryland Clean Energy Center, MDE, MDOT and may require PSC rulemaking and utility data submissions; MEA and MDOT also tasked with certain studies/analyses (e.g., power flow analyses, siting feasibility, right‑of‑way use).
  • Stakeholder processes and public disclosure requirements for inputs/assumptions.

Who is affected

  • Public service companies (assessment funding and data reporting obligations).
  • Electric companies/utilities (data sharing, potential integrated resource plan/regulatory requirements).
  • State agencies (PSC, MEA, MDOT, OPC) — new responsibilities and coordination.
  • Ratepayers (potential indirect impacts via planning outcomes or costs recovered through utility rates).

Fiscal impact (per fiscal note)

  • SEPO special‑fund expenditures: $4.4M–$5.3M annually beginning FY2026.
  • PSC: +$0.7M annually beginning FY2027; OPC expenditures may increase.
  • MEA: +$150,000 annually (FY2026–27). MDOT: Transportation Trust Fund +$100,000 (FY2026) and +$50,000 (FY2027).
  • Funded by assessments on public service companies; small net negative in FY2026–27 (≈$0.2–$0.3M) then neutral thereafter.

Timeline / procedural notes

  • Introduced: Jan 24, 2025. Passed both chambers (enrolled April 7, 2025). Vetoed by Governor on May 16, 2025 (policy veto).
  • Statutory deadlines: Office established effective July 1, 2025; status update due Sept. 1, 2027; first comprehensive risk report due Sept. 1, 2028 and every 3 years thereafter.

Note: Source materials include several draft/markup versions (naming and some provisions vary across drafts); summary reflects the enrolled/fiscal note language establishing a Strategic/Integrated Resource Strategic Energy Planning Office and its principal responsibilities.

Compiled from official sources — confirm details with the bill’s official record.

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