2021 Legislative Update: Solar, Energy Storage, and Electric Vehicles on the Agenda

By: DSIRE Insight Team

With state legislative sessions in full swing, the DSIRE Insight team has been busy tracking proposed legislation related to distributed solar, grid modernization, and electric vehicles (specifically examining the topics tracked in the 50 States reports). As of mid-March 2021, at over 600 bills were under consideration across 46 states, with 10 of these bills being enacted so far.

Number of Distributed Solar, Grid Modernization, & Electric Vehicle Bills Under Consideration (As of Mid-March 2021)

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Distributed Solar

As of mid-March 2021, state lawmakers were considering at least 111 bills related to net metering, community solar, third-party ownership, and distributed generation rate design.

Several bills have passed one legislative chamber so far, including a Montana bill increasing the net metering size limit for non-residential projects and a Wyoming bill directing the Public Service Commission to develop a net metering successor tariff.

The New Mexico Senate has passed a bill establishing a community solar program, and multiple bills introduced in Florida would authorize third-party ownership of solar energy systems for educational and public entities.

Top Solar, Grid Modernization, & Electric Vehicle Topics Addressed by Proposed Legislation (As of Mid-March 2021)

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Grid Modernization

As of mid-March 2021, state legislators were considering at least 227 bills related to grid modernization, energy storage, and regulatory reform.

In Virginia, state lawmakers enacted bills adopting sales and property tax exemptions for certain energy storage systems. State legislatures in a number of other states, including Arizona, Indiana, South Carolina, and Texas, are also considering sales or property tax exemptions for storage projects.

The New Mexico State House passed a bill creating an energy storage income tax credit for residential systems. Legislation introduced in Maine would establish an energy storage target, and an Illinois bill calls for a move to performance-based ratemaking and a new multi-year integrated grid planning process.

Proposed Legislation Under Consideration by Topic (As of Mid-March 2021)

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Electric Vehicles

As of mid-March 2021, state lawmakers were considering at least 319 bills related to electric vehicles and charging infrastructure.

The New Hampshire Senate passed an expansive bill including state zero-emission vehicle procurement requirements, registration fees for electric vehicles, and rate design guidelines for electric vehicle charging. Legislation passed by the Missouri Senate increases electric vehicle registration fees, while the South Dakota legislature enacted a bill establishing a new registration fee for all-electric vehicles.

A North Dakota bill unanimously passed by the House and Senate would exempt electric vehicle charging station owners from public utility regulation as long as the electricity being resold was procured from the utility. Bills passed in Virginia create an electric vehicle rebate program and an electric vehicle grant program.

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To keep up with proposed legislation across the country, check out the 50 States of Solar, 50 States of Grid Modernization, and 50 States of Electric Vehicles reports for quarterly updates or DSIRE Insight’s other subscription offerings for biweekly legislative tracking.