ARTICLE 7

RELATING TO ENERGY AND THE ENVIRONMENT

     SECTION 1. Section 39-2-1.2 of the General Laws in Chapter 39-2 entitled “Duties

of Utilities and Carriers” is hereby amended to read as follows: 

     39-2-1.2.  Utility base rate — Advertising, demand-side management, and renewables.

     (a) In addition to costs prohibited in § 39-1-27.4(b), no public utility distributing or

providing heat, electricity, or water to or for the public shall include as part of its base rate any

expenses for advertising, either direct or indirect, that promotes the use of its product or service, or

is designed to promote the public image of the industry. No public utility may furnish support of

any kind, direct or indirect, to any subsidiary, group, association, or individual for advertising and

include the expense as part of its base rate. Nothing contained in this section shall be deemed as

prohibiting the inclusion in the base rate of expenses incurred for advertising, informational or

educational in nature, that is designed to promote public safety conservation of the public utility's

product or service. The public utilities commission shall promulgate such rules and regulations as

are necessary to require public disclosure of all advertising expenses of any kind, direct or indirect,

and to otherwise effectuate the provisions of this section.

     (b) Effective as of January 1, 2008, and for a period of twenty (20) years thereafter, each

electric distribution company shall include a charge per kilowatt-hour delivered to fund demand-

side management programs. The 0.3 mills per kilowatt-hour delivered to fund renewable energy

programs shall remain in effect until December 31, 2028. The electric distribution company shall

establish and, after July 1, 2007, maintain, two (2) separate accounts, one for demand-side

management programs (the "demand-side account"), which shall be funded by the electric demand-

side charge and administered and implemented by the distribution company, subject to the

regulatory reviewing authority of the commission, and one for renewable energy programs, which

shall be administered by the Rhode Island commerce corporation pursuant to § 42-64-13.2 and shall

be held and disbursed by the distribution company as directed by the Rhode Island commerce

corporation for the purposes of developing, promoting, and supporting renewable energy programs.

     During the time periods established in this subsection, the commission may, in its

discretion, after notice and public hearing, increase the sums for demand-side management and

renewable resources. In addition, the commission shall, after notice and public hearing, determine

the appropriate charge for these programs. The office of energy resources, and/or the administrator

of the renewable energy programs, may seek to secure for the state an equitable and reasonable

portion of renewable energy credits or certificates created by private projects funded through those

programs. As used in this section, "renewable energy resources" shall mean: (1) Power generation

technologies, as defined in § 39-26-5, "eligible renewable energy resources," including off-grid and

on-grid generating technologies located in Rhode Island, as a priority; (2) Research and

development activities in Rhode Island pertaining to eligible renewable energy resources and to

other renewable energy technologies for electrical generation; or (3) Projects and activities directly

related to implementing eligible renewable energy resources projects in Rhode Island.

Technologies for converting solar energy for space heating or generating domestic hot water may

also be funded through the renewable energy programs. Fuel cells may be considered an energy

efficiency technology to be included in demand-side management programs. Special rates for low-

income customers in effect as of August 7, 1996, shall be continued, and the costs of all of these

discounts shall be included in the distribution rates charged to all other customers. Nothing in this

section shall be construed as prohibiting an electric distribution company from offering any special

rates or programs for low-income customers which are not in effect as of August 7, 1996, subject

to the approval by the commission.

     (1) The renewable energy investment programs shall be administered pursuant to rules

established by the Rhode Island commerce corporation. Said rules shall provide transparent criteria

to rank qualified renewable energy projects, giving consideration to:

     (i) The feasibility of project completion;

     (ii) The anticipated amount of renewable energy the project will produce;

     (iii) The potential of the project to mitigate energy costs over the life of the project; and

     (iv) The estimated cost per kilowatt-hour (KWh) of the energy produced from the project.

     (c) [Deleted by P.L. 2012, ch. 241, art. 4, § 14.]

     (d) The chief executive officer of the commerce corporation is authorized and may enter

into a contract with a contractor for the cost-effective administration of the renewable energy

programs funded by this section. A competitive bid and contract award for administration of the

renewable energy programs may occur every three (3) years and shall include, as a condition, that

after July 1, 2008, the account for the renewable energy programs shall be maintained and

administered by the commerce corporation as provided for in subsection (b) of this section.

     (e) Effective January 1, 2007, and for a period of twenty-one (21) years thereafter, each

gas distribution company shall include, with the approval of the commission, a charge per deca

therm delivered to fund demand-side management programs (the "gas demand-side charge"),

including, but not limited to, programs for cost-effective energy efficiency, energy conservation,

combined heat and power systems, and weatherization services for low-income households.

     (f) Each gas company shall establish a separate account for demand-side management

programs (the "gas demand-side account") that shall be funded by the gas demand-side charge and

administered and implemented by the distribution company, subject to the regulatory reviewing

authority of the commission. The commission may establish administrative mechanisms and

procedures that are similar to those for electric demand-side management programs administered

under the jurisdiction of the commission and that are designed to achieve cost-effectiveness and

high, life-time savings of efficiency measures supported by the program.

     (g) The commission may, if reasonable and feasible, except from this demand-side

management charge:

     (1) Gas used for distribution generation; and

     (2) Gas used for the manufacturing processes, where the customer has established a self-

directed program to invest in and achieve best-effective energy efficiency in accordance with a plan

approved by the commission and subject to periodic review and approval by the commission, which

plan shall require annual reporting of the amount invested and the return on investments in terms

of gas savings.

      (h) The commission may provide for the coordinated and/or integrated

administration of electric and gas demand-side management programs in order to enhance the

effectiveness of the programs. Such coordinated and/or integrated administration may after March

1, 2009, upon the recommendation of the office of energy resources, be through one or more third-

party entities designated by the commission pursuant to a competitive selection process.

      (i) Effective January 1, 2007, the commission shall allocate, from demand-side

management gas and electric funds authorized pursuant to this section, an amount not to exceed

three percent (3%) of such funds on an annual basis for the retention of expert consultants, and

reasonable administration costs of the energy efficiency and resources management council

associated with planning, management, and evaluation of energy-efficiency programs, renewable

energy programs, system reliability least-cost procurement, and with regulatory proceedings,

contested cases, and other actions pertaining to the purposes, powers, and duties of the council,

which allocation may by mutual agreement, be used in coordination with the office of energy

resources to support such activities.

     (j) Effective January 1, 2016, the commission shall annually allocate from the

administrative funding amount allocated in subsection (i) from the demand-side management

program as described in subsection (i) as follows: forty percent (40%) for the purposes identified

in subsection (i) and sixty percent (60%) annually to the office of energy resources for activities

associated with planning, management, and evaluation of energy-efficiency programs, renewable

energy programs, system reliability, least-cost procurement, and with regulatory proceedings,

contested cases, and other actions pertaining to the purposes, powers, and duties of the office of

energy resources. The office of energy resources and the energy efficiency resource management

council shall have exclusive authority to direct the use of these funds.

     (k) On April 15, of each year, the office and the council shall submit to the governor, the

president of the senate, and the speaker of the house of representatives, separate financial and

performance reports regarding the demand-side management programs, including the specific level

of funds that were contributed by the residential, municipal, and commercial and industrial sectors

to the overall programs; the businesses, vendors, and institutions that received funding from

demand-side management gas and electric funds used for the purposes in this section; and the

businesses, vendors, and institutions that received the administrative funds for the purposes in

subsections (i) and (j). These reports shall be posted electronically on the websites of the office of

energy resources and the energy efficiency and resources management council.

     (l) On or after August 1, 2015, at the request of the Rhode Island infrastructure bank, each

electric distribution company, except for the Pascoag Utility District and Block Island Power

Company, shall remit two percent (2%) of the amount of the 2014 electric demand-side charge

collections to the Rhode Island infrastructure bank.

     (m) On or after August 1, 2015, at the request of the Rhode Island infrastructure bank, each

gas distribution company shall remit two percent (2%) of the amount of the 2014 gas demand-side

charge collections to the Rhode Island infrastructure bank.

     (n) Effective January 1, 2022, the commission shall allocate, from demand-side

management gas and electric funds authorized pursuant to this section, five million dollars

($5,000,000) of such funds on an annual basis to the Rhode Island infrastructure bank. Gas and

electric demand-side funds transferred to the Rhode Island infrastructure bank pursuant to this

section shall be eligible to be used in any energy efficiency, renewable energy, clean transportation,

clean heating, energy storage, or demand-side management project financing program administered

by the Rhode Island infrastructure bank notwithstanding any other restrictions on the use of such

collections set forth in this chapter. The infrastructure bank shall report annually to the commission

within ninety (90) days of the end of each calendar year how collections transferred under this

section were utilized.

     (o) Effective January 1, 2023, the commission shall allocate from demand-side

management gas and electric funds authorized pursuant to this section, six million dollars

($6,000,000) of such funds on an annual basis to the Rhode Island office of energy resources, on

behalf of the executive climate change coordinating council, for climate change-related initiatives.

The executive climate change coordinating council shall have exclusive authority to direct the use

of these funds. The office of energy resources may act on behalf of the executive climate change

coordinating council to disburse these funds.

     (i) The gas and electric demand-side funds allocated pursuant to 39-2-1.2(o) shall be used

for any energy efficiency, renewable energy, clean transportation, clean heating, energy storage,

demand-side management, or other programs and investments that support the reduction of

greenhouse gases consistent with the 2021 Act on Climate. Funds may also be used for the purpose

of providing the financial means for the council to purchase materials and to employ on a contract

or other basis expert consultant services, expert witnesses, and/or other support services necessary

to advance the requirements of the act on climate.

     (ii) The Rhode Island executive climate change council shall report annually to the

governor and general assembly within one hundred and twenty (120) days of the end of each

calendar year how the funds were used to achieve the statutory objectives of the 2021 act on climate.

     (iii) The office of energy resources is authorized and may enter into contracts with third-

party entities for the administration and/or implementation of climate change initiatives funded by

this section.

     (iv) There is hereby established a restricted receipt account in the general fund of the state

and housed in the budget of the department of administration entitled “executive climate change

coordinating council projects.” The express purpose of this account is to record receipts and

expenditures of the program herein described and established within this subsection.

     (p) Effective January 1, 2023, the electric and gas distribution company shall not be eligible

for performance based or other incentives related to the administration and implementation of

energy efficiency programs approved pursuant to this chapter.

     (q) The Rhode Island office of energy resources, in coordination with the energy efficiency

resource management council, shall issue a request for proposals for the cost effective

administration and implementation of statewide energy efficiency programs funded by this section

no later than March 31, 2023. The Rhode Island office of energy resources, in coordination with

the energy efficiency resource management council, shall evaluate proposals and determine

whether energy efficiency administration and implementation by the electric and gas distribution

company or a third-party is in the best interest of Rhode Island energy consumers. After January

1, 2025, the office of energy resources may, periodically, and at its discretion, issue additional

requests for proposals for the administration and implementation of statewide energy efficiency

programs funded through this chapter.

     (i) Nothing in this chapter shall prohibit the electric and/or gas distribution company from

submitting a proposal to administer and implement the state energy efficiency programs.

     (ii) If the office of energy resources, in coordination with the energy efficiency resource

management council, determines that the use of a third-party administrator is in the best interest of

Rhode Island energy consumers, it shall file its recommendation with the public utilities

commission, which shall docket and rule on the matter pursuant to its general statutory

authorization. If the commission determines that the recommended third-party administrator is in

the interest of Rhode Island utility customers, it shall provide for the full cost recovery of any

subsequent contracts entered into by the office and the third-party administrator from electric and

gas distribution customers.

     (iii) If the office does not recommend advancement of a third-party administrator, the

electric and gas distribution utility shall continue to administer statewide energy efficiency

programs.

     SECTION 2. Title 42 of the General Laws entitled “State Affairs and Government” is

hereby amended by adding thereto the following chapter:

CHAPTER 162

ELECTRIC VEHICLE CHARGING INFRASTRUCTURE PROGRAM

     42-162-1. Legislative findings.

     The general assembly finds and declares that:

     (1) The 2021 act on climate establishes mandatory, economy-wide greenhouse gas

emissions reduction targets; and

     (2) To meet these goals, Rhode Island must accelerate its adoption of more sustainable

transportation solutions, including electric vehicles; and

     (3) The widespread adoption of electric vehicles will necessitate investment in and

deployment of electric vehicle charging infrastructure; and

     (4) Electric vehicle charging infrastructure must be made accessible to all Rhode Island

citizens and businesses, and deployed in an equitable manner; and

     (5) The installation of electric vehicle charging infrastructure – and other clean energy

investments – will support statewide economic development and job growth in the clean energy

sector.

     42-162-2. Definitions.

     As used in this chapter, the following terms, unless the context requires a different

interpretation, shall have the following meanings:

     (1) "Department" means the department of transportation.

     (2) “Electric Vehicle Charging Infrastructure” means equipment that supplies electricity to

charge electric vehicles, including charging stations and balance of plant.

     (3) “Electric Vehicle Charging Infrastructure Funds” means but is not limited to, federal

funds allocated for electric vehicle charging infrastructure from the federal infrastructure

investment and jobs act and any funds allocated as state match to federal funds.

     (4) “Federal Funds” means monies allocated for electric vehicle charging infrastructure

from the infrastructure investment and jobs act.

     (5) "Office" means the office of energy resources.

     42-162-3. Implementation of the electric vehicle charging infrastructure investment

program.

     (a) There is hereby established an electric vehicle charging infrastructure investment

program. The department and office shall, in consultation with the department of environmental

management, establish the electric vehicle charging infrastructure investment program to be

administered by the office in consultation with the department.

     (b) The department and office, in consultation with the department of environmental

management, shall propose draft program and investment criteria on the electric vehicle charging

infrastructure investment program and accept public comment for thirty (30) days. The draft shall

specify the incentive levels, eligibility criteria, and program rules for electric vehicle charging

infrastructure incentives. The program and investment criteria shall be finalized by the office and

department after the public comment period closes and include responses to submitted public

comments.

     (c) The department and office shall provide a website for the electric vehicle charging

infrastructure investment program to support public accessibility.

     42-162-4. Reporting.

     The department and office shall provide a report to the governor and general assembly by

December 31, 2023, on the results of the electric vehicle charging infrastructure investment

program. The department and office shall provide an annual report to the governor and general

assembly until the federal funds have been completely utilized.

     SECTION 3. Section 46-23-20.1 of the General Laws in Chapter 46-23 entitled

“Coastal Resources Management Council” is hereby amended to read as follows: 

     46-23-20.1. Hearing officers — Appointment — Compensation — Subcommittee.

     (a) The governor, with the advice and consent of the senate, shall appoint two (2) hearing

officers who shall be attorneys-at-law, who, prior to their appointment, shall have practiced law for

a period of not less than five (5) years for a term of five (5) years; provided, however, that the initial

appointments shall be as follows: one hearing officer shall be appointed for a term of three (3) years

and one hearing officer shall be appointed for a term of five (5) years. The appointees shall be

addressed as hearing officers.

     (b) The governor shall designate one of the hearing officers as chief hearing officer. The

hearing officers shall hear proceedings as provided by this section, and the council, with the

assistance of the chief hearing officer, may promulgate such rules and regulations as shall be

necessary or desirable to effect the purposes of this section.

     (c) A hearing officer shall be devoted full time to these administrative duties, and shall not

otherwise practice law while holding office nor be a partner nor an associate of any person in the

practice of law. may be appointed to serve on a part-time basis. No hearing officer shall participate

in any case in which he or she is an interested party.

     (d) Compensation for hearing officers shall be determined by the unclassified pay board.

     (e) Whenever the chairperson of the coastal resources management council or, in the

absence of the chairperson, the commissioner of coastal resources makes a finding that the hearing

officers are otherwise engaged and unable to hear a matter in a timely fashion, he or she may

appoint a subcommittee which will act as hearing officers in any contested case coming before the

council. The subcommittee shall consist of at least one member; provided, however, that in all

contested cases an additional member shall be a resident of the coastal community affected. The

city or town council of each coastal community shall, at the beginning of its term of office, appoint

a resident of that city or town to serve as an alternate member of the aforesaid subcommittee should

there be no existing member of the coastal resources management council from that city or town

available to serve on the subcommittee. Any member of the subcommittee actively engaged in

hearing a case shall continue to hear the case, even though his or her term may have expired, until

the case is concluded and a vote taken thereon. Hearings before subcommittees shall be subject to

all rules of practice and procedure as govern hearings before hearing officers.

     SECTION 4. This article shall take effect upon passage.