MaineLD 1270132nd Maine Legislature (2025-2026)HouseWALLET

An Act to Establish the Department of Energy Resources

Sponsored By: Walter Runte (Democratic)

Signed by Governor

ELECTRIC UTILITIESELECTRIC UTILITIES - PLANNING

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Bill Overview

Analyzed Economic Effects

15 provisions identified: 10 benefits, 0 costs, 5 mixed.

Regular state energy plan and security

The department must file a statewide energy plan by January 15 of every odd-numbered year, with public input. It must collect and study energy supply, demand, and cost data with other agencies. It monitors transmission planning and recommends law or rule changes as needed. It prepares a state energy security plan that follows federal rules and shares it with lawmakers when safe. It also reviews and reports on how Maine’s renewable portfolio rules are working.

Limits on ratepayer funds for solar

Ratepayer money generally cannot be used to run the Distributed Solar and Energy Storage Program or to fund its projects. The law allows only the listed exceptions. This protects utility customers from being charged for most program costs.

Push to electrify and cut bills

The utilities commission must promote beneficial electrification to lower energy costs and help meet the state’s climate goals. The commission can transfer money to the Efficiency Maine Trust to carry out a three‑year electrification plan or to cover renewable procurement costs. When money is transferred, the trust reports each year on requests, receipts, and spending. These steps aim to support programs that can reduce household energy bills.

Grants for local solar and batteries

The state creates a program to fund distributed solar and energy storage, designed to bring in federal money. The department must apply for federal funds, including EPA greenhouse‑gas reduction funds, and run the program as funding allows. The department may buy energy or renewable credits from projects that get federal funding, and the Commission cannot force utilities into long‑term contracts unless they benefit ratepayers and follow the law. The Commission may use its reimbursement or regulatory funds to cover the program’s administrative costs.

Stronger tracking of home heating fuel

The department monitors petroleum inventories, deliveries, curtailments, and shortfalls statewide. Owners or lessees of primary storage must report inventories on the first and third Monday of each month and list expected deliveries for the next 15 days or longer if set. Primary suppliers must report last month’s actual deliveries, next month’s expected deliveries, and allocation fractions each third Monday, unless the same data is already filed under federal rules. A civil fine of $2,500 applies for failing to report or giving false data. If the department sees a major heating oil or kerosene shortfall, it must report to lawmakers with data and recommended actions.

Better pay and training on projects

On in‑state assisted energy projects, construction contracts must pay at least the state’s prevailing wage and meet safety and apprenticeship rules. The state updates how it sets prevailing wages using union, survey, and certified payroll data and limits any yearly decrease to no more than 15%. The department also creates a program to grow clean energy jobs and help clean‑tech businesses with training partners. Workers get stronger pay standards and training paths. Contractors and developers face tighter compliance and potentially higher labor costs.

Align energy policy with climate goals

The department must align energy goals and plans with Maine’s greenhouse gas laws. It works with the utilities commission and Efficiency Maine to set targets and rules for beneficial electrification. It must also make a plan to cut statewide oil use at least 30% from 2007 by 2030 and 50% by 2050. These steps aim to lower emissions and long‑term costs, but may change how utilities plan and price some services.

Clean energy bids with ratepayer guardrails

Beginning January 15, 2027, the department runs competitive bids for clean energy every two years as needed. It can only pick bids that give ratepayers more benefit than cost. All RFPs go to the Public Utilities Commission for approval, and the Commission has 120 days to act and must set review rules. Bidders may have to pay nonrefundable fees and post financial security; the security can be lost if milestones are missed. The department also works with utilities and others to negotiate consumer‑value agreements, and it may set bidder fees for offshore wind by rule.

New rules for clean energy buys

The department must start a major clean energy procurement by January 15, 2026. In any two‑year period, total purchases cannot exceed 15% of the average annual statewide retail electricity sales from the prior two years. Standard contract terms are capped at 20 years unless the utilities commission finds a longer term is in the public interest. The utilities commission can run capacity solicitations at least every three years if likely benefits to ratepayers exceed costs. Offshore wind bids face firm timelines: the first RFP is due by the later of January 15, 2026 or three months after the first Gulf of Maine lease auction, and the commission reviews solicitations within 120 days unless more time is requested. Bid proposals and negotiation materials are confidential.

New energy department jobs and pay

The law sets the Commissioner of Energy Resources in salary range 91 and the Deputy in range 88. It classifies the Deputy Commissioner as a major policy role. Three Public Service Coordinator II jobs and their operating costs move from the Governor’s Energy Office to the new department. These changes set pay bands and make the staffing shift clear for affected state employees.

Clean energy voice added to tech board

One at‑large seat on the state’s technology board must go to someone with clean energy finance or technology expertise. This adds a clean‑energy voice to board decisions.

Energy office moves into new department

The Department of Energy Resources replaces the Governor’s Energy Office. All existing GEO rules and contracts stay in effect until changed. On the effective date, GEO records, property, and equipment move to the new department, and unobligated coastal program balances transfer to the department. The department must work with legislative staff and file transition legislation by January 1, 2026.

New state energy department and leader rules

The law creates a cabinet-level Department of Energy Resources as Maine’s energy office. The Governor appoints the commissioner, and anyone serving on or after December 15, 2025 must wait one year after leaving before working on bids to the department. The department advises other agencies on state land for energy uses, revenue bonds, state building efficiency, and low‑income energy aid like LIHEAP and weatherization. It can accept federal and private funds (and related Efficiency Maine funds) with reporting, and it may adopt routine technical rules. The commissioner or a designee represents Maine in the Regional Greenhouse Gas Initiative and can sign needed contracts.

State boards add clean‑energy voices

The Maine Technology Institute board now has 13 voting and 3 nonvoting members, and the Energy Resources Commissioner joins as a nonvoting member. One at‑large board seat must have natural resource expertise, not two. A commissioner seat now requires expertise in residential energy efficiency and state construction sustainability rules. At‑large members of the Finance Authority of Maine serving on the law’s effective date continue until their terms end.

Energy research grants with spending checks

The department creates the Maine Energy Resources Development Program to support energy research and demonstrations. The program runs as funding allows, and the commissioner may accept private funds. For program spending of $10,000 or more, the commissioner must get the Governor’s approval, then legislative approval under fund‑transfer rules. The department must report program spending and funding sources in the state energy plan.

Sponsors & Cosponsors

Sponsor

  • Walter Runte

    Democratic • House

Cosponsors

  • Christopher Kessler

    Democratic • House

  • Kilton Webb

    Democratic • House

  • Mark W. Lawrence

    Democratic • Senate

  • Melanie Sachs

    Democratic • House

  • Richard A. Bennett

    Independent • Senate

  • Sophia Warren

    Democratic • House

  • Valli Geiger

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 189 • No: 172

Senate vote • 6/18/2025

ACCEPT MAJORITY OUGHT TO PASS AS AMENDED REPORT

Yes: 19 • No: 15

Senate vote • 6/17/2025

ACCEPT MAJORITY OUGHT TO PASS AS AMENDED REPORT

Yes: 16 • No: 19

House vote • 6/17/2025

ADOPT HAH-771 TO CAH-746

Yes: 77 • No: 69

House vote • 6/17/2025

ACC MAJ OTP AS AMENDED REP

Yes: 77 • No: 69

Actions Timeline

  1. Signed by Governor, ACTPUB Chapter 476

    7/1/2025
  2. On motion by Senator ROTUNDO of Androscoggin taken from the Special Appropriations Table PASSED TO BE ENACTED in concurrence.

    6/25/2025Senate
  3. On motion by Senator ROTUNDO of Androscoggin PLACED ON THE SPECIAL APPROPRIATIONS TABLE pending ENACTMENT in concurrence

    6/18/2025Senate
  4. PASSED TO BE ENACTED. Sent for concurrence. ORDERED SENT FORTHWITH.

    6/18/2025House
  5. Taken from the table by the President Subsequently The Majority Ought to Pass As Amended by Committee Amendment "A" (H-746) Report ACCEPTED PREVAILED Roll Call Ordered Roll Call Number 626 Yeas 19 - Nays 15 - Excused 1 - Absent 0 READ ONCE Committee Amendment "A" (H-746) READ House Amendment "A" (H-771) to Committee Amendment "A" (H-746) READ and ADOPTED Committee Amendment "A" (H-746) as Amended by House Amendment "A" (H-771) thereto ADOPTED Under suspension of the Rules, READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED by Committee Amendment "A" (H-746) as Amended by House Amendment "A" (H-771) thereto in concurrence

    6/18/2025Senate
  6. Reports ReadMotion by Senator LAWRENCE of York to ACCEPT the Majority Ought to Pass as Amended Report FAILED Roll Call Ordered Roll Call Number 616 Yeas 16 - Nays 19 - Excused 0 - Absent 0 On motion by Same Senator the Senate RECONSIDERED their actions whereby The Majority Ought to Pass As Amended by Committee Amendment "A" (H-746) Report FAILED. On further motion by Same Senator Tabled until Later in Today's Session, pending ACCEPTANCE of The Majority Ought to Pass As Amended by Committee Amendment "A" (H-746) Report in concurrence. Unfinished Business

    6/17/2025Senate
  7. Speaker laid before the HouseSubsequently, on motion of Representative RUNTE of York, House Amendment "A" (H-771) to Committee Amendment "A" (H-746) was READ and ADOPTED.ROLL CALL NO. 561(Yeas 77 - Nays 69 - Absent 3 - Excused 2)Committee Amendment "A" (H-746) as Amended by House Amendment "A" (H-771) thereto was ADOPTED. Under suspension of the rules, the Bill was given its SECOND READING without REFERENCE to the Committee on Bills in the Second Reading.The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment "A" (H-746) as Amended by House Amendment "A" (H-771) thereto.Sent for concurrence. ORDERED SENT FORTHWITH.

    6/17/2025House
  8. Reports READ.On motion of Representative RUNTE of York, the Majority Ought to Pass as Amended Report was ACCEPTED.ROLL CALL NO. 536(Yeas 77 - Nays 69 - Absent 3 - Excused 2)The Bill was READ ONCE.Committee Amendment "A" (H-746) was READ.On motion of Representative SACHS of Freeport, TABLED pending ADOPTION of Committee Amendment "A" (H-746) Later today assigned.

    6/17/2025House
  9. The Bill was REFERRED to the Committee on ENERGY, UTILITIES AND TECHNOLOGY in concurrence

    3/25/2025Senate
  10. Committee on Energy, Utilities and Technology suggested and ordered printed. The Bill was REFERRED to the Committee on ENERGY, UTILITIES AND TECHNOLOGY.Sent for concurrence. ORDERED SENT FORTHWITH.

    3/25/2025House

Bill Text

  • Amendment C-A (H-746), adopted by House & Senate

  • Amendment H-A to C-A (H-771), adopted by House & Senate

  • Enacted

  • Introduced

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