South CarolinaH 3309126th General Assembly (2025-2026)HouseWALLET

AN ACT TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ENACTING THE "SOUTH CAROLINA ENERGY SECURITY ACT" BY AMENDING SECTION 58-3-140, RELATING TO THE PUBLIC SERVICE COMMISSION'S POWERS TO REGULATE PUBLIC UTILITIES, SO AS TO ESTABLISH A SCHEDULE FOR CERTAIN TESTIMONY AND DISCOVERY IN CONTESTED PROCEEDINGS, TO PERMIT ELECTRICAL UTILITY CUSTOMERS TO ADDRESS THE COMMISSION AS PUBLIC WITNESSES, AND TO ESTABLISH REQUIREMENTS FOR AN INDEPENDENT THIRD-PARTY CONSULTANT HIRED BY THE COMMISSION; BY AMENDING SECTION 58-3-250, RELATING TO SERVICE OF ORDERS AND DECISIONS ON PARTIES, SO AS TO MAKE A TECHNICAL CHANGE; BY AMENDING SECTION 58-4-10, RELATING TO THE OFFICE OF REGULATORY STAFF AND ITS REPRESENTATION OF PUBLIC INTEREST BEFORE THE COMMISSION, SO AS TO ESTABLISH ITS CONSIDERATIONS FOR PUBLIC INTEREST; BY ADDING SECTION 58-4-150 SO AS TO REQUIRE THE OFFICE OF REGULATORY STAFF TO PREPARE A COMPREHENSIVE STATE ENERGY ASSESSMENT AND ACTION PLAN AND TO ESTABLISH REQUIREMENTS FOR THIS PLAN; BY ADDING SECTION 58-33-195 SO AS TO ENCOURAGE DOMINION ENERGY, THE PUBLIC SERVICE AUTHORITY, DUKE ENERGY CAROLINAS, AND DUKE ENERGY PROGRESS TO EVALUATE CERTAIN ELECTRICAL GENERATION FACILITIES AND PROVIDE FOR CONSIDERATIONS RELATED TO THESE FACILITIES; BY ADDING SECTION 58-31-205 SO AS TO PERMIT THE PUBLIC SERVICE AUTHORITY TO JOINTLY OWN ONE OR MORE NATURAL GAS-FIRED GENERATION FACILITIES AND RELATED TRANSMISSION FACILITIES WITH DOMINION ENERGY SOUTH CAROLINA IN COLLETON COUNTY, AND TO PROVIDE REQUIREMENTS FOR JOINT OWNERSHIP; BY ADDING SECTION 6-29-1220 SO AS TO ESTABLISH REQUIREMENTS FOR SOLAR ENERGY SYSTEM PLANS IF A COUNTY DOES NOT HAVE RELATED RURAL ZONING OR ORDINANCES FOR THE DEVELOPMENT AND OPERATION OF SOLAR ENERGY SYSTEMS REQUIRING MORE THAN THIRTEEN ACRES OF LAND; BY AMENDING ARTICLE 9 OF CHAPTER 7, TITLE 13, RELATING TO THE GOVERNOR'S NUCLEAR ADVISORY COUNCIL, SO AS TO ESTABLISH THE COUNCIL IN THE SC NEXUS FOR ADVANCED RESILIENT ENERGY AT THE DEPARTMENT OF COMMERCE, TO PROVIDE FOR ITS DUTIES AND MEMBERSHIP, AND TO PROVIDE FOR THE COUNCIL'S DIRECTOR; BY ADDING ARTICLE 24 TO CHAPTER 27, TITLE 58 SO AS TO ALLOW ELECTRIC UTILITIES TO REQUEST THE PUBLIC SERVICE COMMISSION ADJUST THEIR RATES ANNUALLY, ADJUST UTILITY RATES, ESTABLISH THE BASELINE RATE ORDER AND REQUIREMENTS FOR ADJUSTMENTS IN RATES, TO PROVIDE PROTECTIONS FOR CUSTOMERS, AND TO AUTHORIZE ADDITIONAL POSITIONS FOR THE OFFICE OF REGULATORY STAFF; BY ADDING SECTION 58-33-196 SO AS TO ENCOURAGE CONSIDERATION OF DEPLOYMENT OF FUSION ENERGY AND ADVANCED NUCLEAR FACILITIES AND TO PROVIDE RELATED REQUIREMENTS; BY ADDING SECTION 58-37-70 SO AS TO PERMIT THE EVALUATION OF SMALL MODULAR NUCLEAR FACILITIES IN THIS STATE AND TO ESTABLISH REQUIREMENTS; BY ADDING ARTICLE 3 TO CHAPTER 37, TITLE 58 SO AS TO PROVIDE FOR STATE AGENCY REVIEW OF ENERGY INFRASTRUCTURE PROJECT APPLICATIONS, TO ESTABLISH REQUIREMENTS, TO PROVIDE A SUNSET PROVISION, AND TO DESIGNATE ALL SECTIONS CURRENTLY IN CHAPTER 37 AS ARTICLE 1, ENTITLED "PLANNING FOR ENERGY SUPPLY"; BY AMENDING SECTION 58-40-10, RELATING TO THE DEFINITION OF "CUSTOMER-GENERATOR," SO AS TO ESTABLISH CHARACTERISTICS FOR A "CUSTOMER-GENERATOR"; BY AMENDING SECTION 58-41-30, RELATING TO VOLUNTARY RENEWABLE ENERGY PROGRAMS, SO AS TO PROVIDE ADDITIONAL REQUIREMENTS AND CONSIDERATIONS FOR THESE PROGRAMS; BY AMENDING SECTION 58-41-10, RELATING TO DEFINITIONS, SO AS TO ADD THE DEFINITION OF "ENERGY STORAGE FACILITIES"; BY AMENDING SECTION 58-41-20, RELATING TO THE REVIEW OF AND APPROVAL PROCEEDINGS FOR ELECTRICAL UTILITIES' AVOIDED COST METHODOLOGIES, STANDARD OFFERS, FORM CONTRACTS, AND COMMITMENT TO SELL FORMS, SO AS TO REITERATE THE SECTION; BY ADDING CHAPTER 42 TO TITLE 58 SO AS TO ESTABLISH COMPETITIVE PROCUREMENT PROGRAM STANDARDS FOR RENEWABLE ENERGY AND ENERGY STORAGE, AND TO REQUIRE THE PUBLIC SERVICE COMMISSION TO OPEN A DOCKET TO ESTABLISH A COMPETITIVE PROCUREMENT PROGRAM FOR ENERGY STORAGE FACILITIES; BY AMENDING SECTION 58-33-20, RELATING TO DEFINITIONS, SO AS TO ADD THE DEFINITION "LIKE FACILITY" AND AMEND THE DEFINITION OF "MAJOR UTILITY FACILITY," SO AS TO REITERATE THE DEFINITION; BY AMENDING ARTICLE 3 OF CHAPTER 33, TITLE 58, RELATING TO CERTIFICATION OF MAJOR UTILITY FACILITIES, SO AS TO PROVIDE FOR A LIKE FACILITY, TO ESTABLISH REQUIREMENTS AND CONSIDERATIONS FOR PROPOSED FACILITIES, TO PROVIDE WHAT ACTIONS MAY BE TAKEN WITHOUT PERMISSION FROM THE COMMISSION, AND TO MAKE TECHNICAL CHANGES; BY AMENDING SECTION 58-37-40, RELATING TO INTEGRATED RESOURCE PLANS, SO AS TO ADD CONSIDERATION OF A UTILITY'S TRANSMISSION REPORT, TO ESTABLISH PROCEDURAL REQUIREMENTS AND EVALUATION BY THE COMMISSION, AND REQUIRE PARTIES TO BEAR THEIR OWN COSTS; BY AMENDING SECTION 58-3-260, RELATING TO COMMUNICATIONS BETWEEN THE COMMISSION AND PARTIES, SO AS TO MODIFY REQUIREMENTS FOR ALLOWABLE EX PARTE COMMUNICATIONS AND BRIEFINGS, AND TO PERMIT COMMISSION TOURS OF UTILITY PLANTS OR OTHER FACILITIES UNDER CERTAIN CIRCUMSTANCES; BY AMENDING SECTION 58-3-270, RELATING TO EX PARTE COMMUNICATION COMPLAINT PROCEEDINGS AT THE ADMINISTRATIVE LAW COURT, SO AS TO PERMIT AN ORDER TOLLING ANY DEADLINES ON A PROCEEDING SUBJECT TO A COMPLAINT IF TRUE TO THE EXTENT THE PROCEEDING WAS PREJUDICED SO THAT THE COMMISSION COULD NOT CONSIDER THE MATTER IMPARTIALLY; BY AMENDING SECTION 58-33-310, RELATING TO AN APPEAL FROM A FINAL ORDER OR DECISION OF THE COMMISSION ISSUED PURSUANT TO CHAPTER 33, TITLE 58, SO AS TO ESTABLISH A TIMELINE FOR A PETITION FOR REHEARING OR RECONSIDERATION, AND TO REQUIRE A FINAL ORDER BE IMMEDIATELY APPEALABLE TO THE SOUTH CAROLINA SUPREME COURT; BY AMENDING SECTION 58-33-320, RELATING TO JUDICIAL JURISDICTION, SO AS TO REITERATE THE SECTION; BY ADDING SECTION 58-4-160 SO AS TO REQUIRE THE OFFICE OF REGULATORY STAFF TO CONDUCT A STUDY TO EVALUATE VARIOUS THIRD-PARTY ADMINISTRATOR MODELS FOR ENERGY EFFICIENCY AND DEMAND-SIDE MANAGEMENT PROGRAMS; BY AMENDING SECTION 58-37-10, RELATING TO DEFINITIONS, SO AS TO ADD A REFERENCE TO "DEMAND-SIDE MANAGEMENT PROGRAM" AND PROVIDE DEFINITIONS FOR "COST-EFFECTIVE" AND "DEMAND-SIDE MANAGEMENT PILOT PROGRAM"; BY AMENDING SECTION 58-37-20, RELATING TO COMMISSION PROCEDURES ENCOURAGING ENERGY EFFICIENCY PROGRAMS, SO AS TO EXPAND COMMISSION CONSIDERATIONS FOR COST-EFFECTIVE, DEMAND-SIDE MANAGEMENT AND ENERGY EFFICIENCY PROGRAMS, REQUIRE EACH INVESTOR-OWNED ELECTRICAL UTILITY TO SUBMIT AN ANNUAL REPORT TO THE COMMISSION REGARDING ITS DEMAND-SIDE MANAGEMENT PROGRAMS, AND TO REQUIRE THE COMMISSION TO REVIEW THESE PORTFOLIOS ON AT LEAST A TRIENNIAL BASIS; BY AMENDING SECTION 58-37-30, RELATING TO REPORTS ON DEMAND-SIDE ACTIVITIES, SO AS TO MAKE TECHNICAL AND CONFORMING CHANGES; BY ADDING SECTION 58-37-35 SO AS TO PERMIT PROGRAMS AND CUSTOMER INCENTIVES TO ENCOURAGE OR PROMOTE DEMAND-SIDE MANAGEMENT PROGRAMS FOR CUSTOMER-SITED DISTRIBUTED ENERGY RESOURCES, AND TO PROVIDE CONSIDERATIONS FOR THESE PROGRAMS; BY AMENDING SECTION 58-37-50, RELATING TO AGREEMENTS FOR ENERGY EFFICIENCY AND CONSERVATION MEASURES, SO AS TO ESTABLISH CERTAIN TERMS AND RATE RECOVERY FOR AGREEMENTS FOR FINANCING AND INSTALLING ENERGY EFFICIENCY AND CONSERVATION MEASURES, AND FOR APPLICATION TO A RESIDENCE OCCUPIED BEFORE THE MEASURES ARE TAKEN; BY AMENDING SECTION 58-3-70, RELATING TO COMPENSATION OF PUBLIC SERVICE COMMISSION MEMBERS, SO AS TO ESTABLISH SALARIES IN AMOUNTS EQUAL TO NINETY PERCENT OF SUPREME COURT ASSOCIATE JUSTICES; BY ADDING SECTION 58-41-50 SO AS TO PROVIDE REQUIREMENTS AND CONSIDERATION FOR CO-LOCATED RESOURCES BETWEEN AN ELECTRICAL UTILITY AND ITS CUSTOMER UNDER CERTAIN CIRCUMSTANCES; TO ENCOURAGE DEVELOPMENT OF A DIVERSE MIX OF LONG-LEAD, CLEAN GENERATION RESOURCES, AND TO PERMIT THE PUBLIC SERVICE COMMISSION TO FIND CERTAIN ACTIONS IN THE PUBLIC INTEREST TO PERMIT AN ELECTRICAL UTILITY TO CAPTURE AVAILABLE INCENTIVES FOR RATEPAYERS; TO PERMIT DEFERRAL OF CERTAIN REASONABLE AND PRUDENT COSTS FOR CONSIDERATION BY THE PUBLIC SERVICE COMMISSION; BY AMENDING SECTION 58-40-10, RELATING TO DEFINITIONS, SO AS TO AMEND THE DEFINITION OF "RENEWABLE ENERGY RESOURCE"; BY ADDING CHAPTER 43 TO TITLE 58, SO AS TO ESTABLISH CONSIDERATIONS FOR ELECTRICITY RATE AND CONDITIONS FOR CERTAIN ECONOMIC DEVELOPMENT PROJECTS; BY ADDING SECTION 58-37-135 SO AS TO TRANSFER A PENDING APPEAL REGARDING ENERGY INFRASTRUCTURE PERMITS TO THE SOUTH CAROLINA SUPREME COURT; BY AMENDING SECTION 58-3-530, RELATING TO THE PUBLIC UTILITIES REVIEW COMMITTEE'S DUTIES, SO AS TO REQUIRE AN ANNUAL REVIEW OF THE DIVISION OF CONSUMER ADVOCACY RELATED TO ITS REPRESENTATION OF CONSUMERS IN UTILITY MATTERS; BY ADDING SECTION 58-3-65 SO AS TO ESTABLISH THE PUBLIC SERVICE COMMISSION'S CHIEF CLERK'S SALARY BE BASED ON RECOMMENDATIONS BY THE AGENCY HEAD SALARY COMMISSION; BY ADDING SECTION 58-33-200 SO AS TO REQUIRE THE OFFICE OF REGULATORY STAFF TO RETAIN AN INDEPENDENT CONSTRUCTION ANALYST FOR ANY CONSTRUCTION PROJECT BUDGET OF AT LEAST FIVE HUNDRED MILLION DOLLARS; TO REQUIRE A REPORT BY THE OFFICE OF REGULATORY STAFF REGARDING THE IMPLEMENTATION OF ARTICLE 24, CHAPTER 27, TITLE 58; TO REQUIRE DOMINION ENERGY TO EVALUATE CONVERTING THE WATEREE GENERATION STATION TO BIOMASS-FIRED GENERATION, AND TO PROVIDE A REPORT TO THE GENERAL ASSEMBLY AND THE PUBLIC SERVICE COMMISSION; AND BY AMENDING SECTION 58-4-50, RELATING TO OFFICE OF REGULATORY STAFF DUTIES, SO AS TO INCLUDE CONSIDERATION OF PUBLIC SERVICE COMMISSION REQUIREMENTS FOR SETTLEMENT NEGOTIATIONS.

Sponsored By: G. Murrell Smith, Jr. (Republican)

Signed by Governor

Summary

Electrical Utilities

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Bill Overview

Analyzed Economic Effects

26 provisions identified: 13 benefits, 2 costs, 11 mixed.

Competitive buys for renewables and storage

Large utilities must run at least biennial, competitive procurements for renewables and co‑located storage, with resources intended in service by January 1, 2035. Procurements need an independent evaluator, public notice 90 days before bids, contracts and methods posted 45 days before, and a public report within 60 days of awards. The PSC must open a docket within six months to set a storage procurement program. Utilities file details within 12 months, and small, local storage (≤20 MW) for reliability is exempt. Procurements should balance utility and third‑party ownership. Costs for third‑party‑owned storage may go into the utility’s rate base, and the law lets utilities defer reasonable implementation costs for PSC review and possible recovery later.

Big plants need full rate review

New power plants larger than 250 megawatts cannot be added to customer rates automatically. The utility must use a full rate case or a special prudence hearing to recover those costs. This does not stop recovery of a return on construction work in progress when allowed by law.

Bigger limits for customer generators

A residential customer‑generator can install up to 20 kW AC. A nonresidential customer is capped at the lesser of 1,000 kW AC or 100% of contract demand. Starting June 1, 2025, that nonresidential cap can increase to the lesser of 5,000 kW AC or 100% of contract demand if the customer is on a time‑of‑use rate and excess energy is credited and reset monthly. Larger than 5,000 kW AC is allowed if the customer and utility agree and the PSC approves. An energy storage device that charges only from onsite renewables also counts as a customer‑generator.

Stronger PURPA rules for small generators

The PSC must open and complete avoided‑cost dockets, contracts, and forms within six months and review them at least every 24 months. Small power producers can lock in pricing by filing a notice of commitment and do not have to sign a PPA before a final interconnection if that risks their price. Utilities must offer 10‑year fixed‑price PPAs to qualifying facilities that had active interconnection requests before this law. Once executed interconnections and PPAs reach 20% of the utility’s five‑year average SC retail peak load, the PSC can require more fixed‑price offers. The PSC hires independent consultants, requires transparent filings, and updates methods to reflect energy, capacity, ancillary services, storage impacts, and location.

Easier public input and fair PSC rules

You can speak at PSC public hearings as a public witness without being a formal party. Cases now use written, prefiled testimony and finish discovery at least 10 days before the hearing. Intervenors pay their own costs, but the PSC can require utilities to share software if the intervenor reimburses the cost. Private briefings and site tours are allowed only with strict notices, ORS attendance, public posting of materials, and certifications. Willful illegal private contacts can lead to fines, removal, or firing. You have 30 days to petition for PSC review of an initial order and get an evidentiary hearing. PSC members’ pay equals 90% of a state Supreme Court associate justice and they must work full time. PSC-hired consultants must rely only on evidence in the record and cannot be a party.

Stronger review of big power projects

Replacing a plant with a similar “like facility” is not a new major project; the commission must decide that request in 60 days, and any early site work is at the applicant’s risk. Applicants must compare their project to other options on cost, reliability, fuel, schedule, and more. ORS can file an independent evaluator’s report on the bidding and costs. Utilities can seek certificates for out‑of‑state plants in the same balancing area, but South Carolina customers cannot be charged if the commission denies the project and it proceeds anyway. Applicants must serve ORS and local officials and publish public notice. Hearings are set 60–90 days after a complete filing; the order is due within 180 days. Party and limited‑appearance rules are clarified. The Public Service Authority must prove builds and major deals are the most cost‑effective and lower risk, and needs approval for acquisitions and most contracts longer than 10 years (renewable buys from approved procurements are exempt). This review article ends 10 years after it takes effect unless renewed.

Utility renewable programs with clear terms

Each utility must file a voluntary renewable program within 120 days, unless it already has one that meets the law by July 1, 2025. Customers can pick the renewable facility and negotiate price under the approved form. All participants use equal‑length contracts and pay monthly for supplier costs plus an administrative fee. Programs can use utility‑owned or third‑party projects within the utility’s balancing authority and must support behind‑the‑meter options.

Faster approval of special power rates

The commission must fully weigh economic development benefits and approve or deny negotiated rate deals within 60 days. For “transformational” customers, it must also find the deal has clear economic value and avoids cross‑subsidies. Starting May 12, 2025, utilities are protected in rate cases from having extra revenue “imputed” because they signed these deals. From May 12, 2025, directly competing existing customers can get similar special rates at the same time, if they prove they sell the same end product to the same customers.

Faster energy permits and appeals

State agencies must fast‑track energy project applications. You must hold a pre‑application meeting. Agencies have 30 days to check completeness, 15 days for you to fix gaps, and six months to decide. If they do not act in six months, the application is approved. Extensions must be in writing with a firm end date. You can appeal to the Administrative Law Court, which must issue a final order within one year unless extended for good cause. Any energy permit appeal still open on May 12, 2025 moves to the South Carolina Supreme Court.

Special power rates for big employers

The law defines who can get economic‑development power deals. Qualifying customers include very large users or locating/expanding firms that meet size, jobs, and investment tests. Transformational customers must add at least 50 MW, create 500 jobs, and invest $100 million with a Commerce designation. Contracts can last up to 10 years. Rates for qualifying customers cannot be below the utility’s marginal cost; transformational customers can get rates down to 75% of marginal cost. Utilities may also file co‑location agreements for resources on a customer site if the customer’s load exceeds 25 MW. The PSC reviews these filings quickly and can approve deals that protect other ratepayers.

Stricter rules for big rural solar

In counties without rural solar zoning, large solar projects over 13 acres approved on or after January 1, 2026 must meet strict rules. Key rules include 50‑foot property setbacks; 200‑foot setbacks from the nearest home, church, or school; a 15‑foot panel height cap; two‑row vegetative screening planted 8–10 feet on center that hits 6 feet within three years; shielded lighting; at least 6‑foot fencing; anti‑reflective collectors; and an updated decommissioning plan. Counties must hold a hearing and give mail and newspaper notice at least 30 days before approval. The Department of Environmental Services can fine $100 to $5,000 per day for violations and may waive for good cause.

Annual electric rates tied to earnings

Electric companies can opt into annual rate reviews tied to what they actually earn. The commission sets an equity band that is plus or minus 0.50 percentage points around the last approved return. Utilities must file detailed quarterly reports and a year-end check. Each spring, the case moves on a set timeline: report by March 15, notice by March 31, interventions by May 15, audit and comments by June 1, company reply by June 15, and an Initial Order by July 15. Approved changes start with the first August bills. A final order by December 31 sets any refunds or surcharges, with corrected rates and credits or charges effective as of the first May billing cycle.

More programs to save energy at home

The commission requires cost‑effective energy‑savings plans and can appoint a third party to run low‑income programs if a large utility falls short. Utilities can propose incentives for rooftop solar, batteries, heat pumps, and other customer‑sited tools. The commission reviews these plans every three years and can change budgets. Large utilities must file yearly results. Small programs with under $5 million per year in incentives get faster review. The State Energy Office will publish plain‑English guides and a list of approved vendors.

On-bill financing for home upgrades

Your utility can finance energy‑saving work and add a meter conservation charge to your bill. Not paying that charge can lead to disconnection under normal rules. Interest is fixed and capped: no more than 4 percentage points above the one‑year Treasury rate, and for regulated electric utilities, not above the utility’s last approved weighted average of equity and long‑term debt. You can prepay at any time with no penalty. A certified audit is required before work, and a certified inspection after. If a notice is recorded, future buyers can see the charge and the utility may keep billing them; the notice is not a lien. Utilities can recover reasonable setup costs in base rates.

New rules for home energy upgrades

The commission can approve energy‑saving programs for low‑income customers even if a single program is not cost‑effective, as long as the full portfolio is. Utilities can recover net lost revenues tied to customer‑sited solar or storage installed because of program incentives. Utilities and their contractors are not liable or warranting third‑party installation work. Contracts made for these upgrades are not covered by the state Consumer Protection Code. These on‑bill financing upgrades apply only in homes already occupied before the work. You generally cannot swap electric for gas (or gas for electric) using this section unless the same provider serves both fuels, or the new electric unit also runs on a backup fuel. For rentals, an energy audit is given when the lease starts, and a meter conservation charge can be used if both sides agree; if a landlord fails to notify the next tenant in writing, that tenant can deduct the charge from rent for up to half the lease term. Programs must show results for four cost tests, and a program or portfolio counts as cost‑effective if it passes at least two.

Path to long-lead clean power

The commission can find that plans to pursue long‑lead clean power, like nuclear, advanced nuclear, biomass, hydrogen‑ready plants, or fusion, are in the public interest. It must balance jobs and industry retention, capacity and reliability, resource diversity, and the risks, costs, and benefits to ratepayers, and follow all laws. ORS and the Public Service Authority board apply the same standards.

Push for advanced nuclear and fusion

Utilities and the Public Service Authority are encouraged to evaluate fusion and advanced nuclear. They must provide annual progress reports. If the PSC finds study and development costs reasonable and in the public interest, those costs may be recovered in rates. By December 31, 2027, they must report on small modular reactor options, including costs, timelines, co‑ownership, and federal benefits. The Governor’s Nuclear Advisory Council is created to guide strategy. If any such project is approved, ORS must monitor it and give monthly updates to the PSC and lawmakers.

Faster, clearer PSC utility case rules

The commission now emails or mails final orders, and they take effect when served. When a utility files a tariff, it must send a copy the same day to the Office of Regulatory Staff (ORS). In ex parte complaint cases, a judge can pause deadlines only if verified facts show the case was unfair, and must decide within 60 days. You have 15 days to seek rehearing, 15 days to respond, and the commission must issue a final order within 30 days after the response. Final merit orders can be appealed right away to the South Carolina Supreme Court. Starting May 12, 2025, ORS must consider commission requirements when it negotiates settlements. Reviews of Initial Orders are limited to compliance issues, but full rate cases can still be started.

Yearly utility resource plan reviews

Each utility and the Public Service Authority must file a yearly update to its resource plan. ORS reviews each update within 90 days, and the PSC can accept it or order changes within 60 days after the ORS report. ORS must also study who should run utility efficiency and demand‑side programs for large utilities. ORS starts within one year of funding and finishes the study in six months, then reports to lawmakers and the PSC.

State energy plan and big-project checks

The Office of Regulatory Staff will develop a 10‑year state energy assessment and action plan using utility resource plans and stakeholder input. For any project budgeted at $500 million or more, ORS must hire an independent construction analyst and get quarterly reports. Dominion Energy must study converting the Wateree plant from coal to biomass and report by January 13, 2026.

Stronger long-term power planning

All utilities must file an integrated resource plan at least every three years and post it online. Plans must include 20‑year cost comparisons, demand forecasts, storage and renewables, and a detailed transmission report. The Public Service Commission reviews each plan within 300 days and approves, modifies, or denies it. The Public Service Authority must run a public stakeholder process, analyze self‑build versus alternatives, and include a portfolio that closes Winyah by 2028 and targets net‑zero by 2050.

More ORS oversight, utilities fund staff

The Office of Regulatory Staff (ORS) can add up to two positions per Article 24 utility to monitor these new rate rules. Utilities must pay for these positions. Each year, the Department of Revenue assesses an equal share to utilities by July 1, due July 15. Five years after May 12, 2025, ORS must file a full report on how Article 24 worked and may hire an outside expert. Report costs may be covered by assessments based on 25% of utilities’ in‑state gross revenues, as set out in law. Utilities may seek to recover these costs in rates.

Keep LIHEAP funds out of utility loans

Utilities cannot use LIHEAP or Weatherization dollars to fund their loan programs. Low‑income households can still receive LIHEAP or Weatherization help from local agencies. This protects federal aid but removes those funds as a source for utility‑run loans.

Special power deals for big employers

Starting May 12, 2025, a utility can share draft rate offers with the state Commerce Department or a prospective qualifying or transformational customer to attract investment and jobs. If a customer signs a deal and then leaves South Carolina or shuts down during the 10‑year term, it must repay the gap between standard rates and the discounted rates it paid. If the customer builds on‑site renewable generation, the project must follow all laws and codes. The utility may speed up interconnection when it does not harm reliable service.

Faster approvals for replacement projects

Replacing older plants or lines can move faster when a project is a “like facility.” For generation, non‑nuclear projects up to 300 megawatts that replace capacity at the same site qualify. For transmission, rebuilds or upgrades within a right‑of‑way or on customer or state property can qualify. Applicants may, but do not have to, run an RFP to compare options.

Study new plants and joint ownership

The law encourages major utilities to study joint resources, more storage (including pumped hydro), hydrogen‑ready gas plants, and using South Carolina wood where appropriate. The Public Service Authority may jointly own new gas‑fired plants and related transmission near the former Canadys site with Dominion. PSA’s share matches what it contributes and it is liable only for its share. These steps can lead to future projects that the PSC reviews and that could affect bills later.

Sponsors & Cosponsors

Sponsor

  • G. Murrell Smith, Jr.

    Republican • House

Cosponsors

  • Carl L. Anderson

    Democrat • House

  • Lucas Atkinson

    Republican • House

  • Brandon Newton

    Republican • House

  • Cody T. Mitchell

    Republican • House

  • Donald G. "Don" Chapman

    Republican • House

  • Cally R. "Cal" Forrest, Jr.

    Republican • House

  • Gil Gatch

    Republican • House

  • Jerry N. Govan, Jr.

    Democrat • House

  • Kevin Hardee

    Republican • House

  • William G. "Bill" Herbkersman

    Republican • House

  • Lee Hewitt

    Republican • House

  • William M. "Bill" Hixon

    Republican • House

  • Roger K. Kirby

    Democrat • House

  • Thomas R. "Randy" Ligon

    Republican • House

  • Steven Wayne Long

    Republican • House

  • Marvin "Mark" Smith

    Republican • House

  • W. Scott Montgomery IV

    Republican • House

  • Thomas E. "Tommy" Pope

    Republican • House

  • Robby Robbins

    Republican • House

  • Carla M. Schuessler

    Republican • House

  • Bill Taylor

    Republican • House

  • Wm. Weston J. Newton

    Republican • House

  • J. David Weeks

    Democrat • House

  • Robert Q. Williams

    Democrat • House

  • Mark N. Willis

    Republican • House

  • Chris Wooten

    Republican • House

  • Richard L. "Richie" Yow

    Republican • House

Roll Call Votes

All Roll Calls

Yes: 385 • No: 82

Senate vote • 5/7/2025

(Electrical Utilities)to concur

Yes: 35 • No: 11

Senate vote • 5/6/2025

(Electrical Utilities)Rule 32A waive printing

Yes: 44 • No: 1

House vote • 5/1/2025

(Electrical Utilities)Adopt Amendment 1a  Amendment number 1a

Yes: 88 • No: 13 • Other: 1

Senate vote • 4/3/2025

(Electrical Utilities)3rd Reading

Yes: 38 • No: 3

Senate vote • 4/2/2025

(Electrical Utilities)to lay on the table  Amendment number 20B

Yes: 32 • No: 11

Senate vote • 4/2/2025

(Electrical Utilities)2nd Reading

Yes: 41 • No: 3

Senate vote • 4/1/2025

(Electrical Utilities)to lay on the table  Amendment number 2

Yes: 13 • No: 29

House vote • 2/12/2025

(Electrical Utilities)Passage of Bill

Yes: 94 • No: 11 • Other: 4

Actions Timeline

  1. Act No. 41

    5/19/2025legislature
  2. Effective date 05/12/25

    5/19/2025legislature
  3. Signed By Governor

    5/12/2025Governor
  4. Ratified R 60

    5/8/2025legislature
  5. Roll call Ayes-35 Nays-11

    5/7/2025Senate
  6. Concurred in House amendment and enrolled

    5/7/2025Senate
  7. Returned to Senate with amendments

    5/1/2025House
  8. Roll call Yeas-88 Nays-13

    5/1/2025House
  9. Senate amendment amended

    5/1/2025House
  10. Debate adjourned until Thur., 5-1-25

    4/30/2025House
  11. Debate adjourned

    4/24/2025House
  12. Debate adjourned until Thur., 4-24-25

    4/23/2025House
  13. Scrivener's error corrected

    4/4/2025legislature
  14. Roll call Ayes-38 Nays-3

    4/3/2025Senate
  15. Read third time and returned to House with amendments

    4/3/2025Senate
  16. Amended

    4/3/2025Senate
  17. Roll call Ayes-41 Nays-3

    4/2/2025Senate
  18. Read second time

    4/2/2025Senate
  19. Amended

    4/2/2025Senate
  20. Amended

    4/1/2025Senate
  21. Committee Amendment Adopted

    4/1/2025Senate
  22. Special order, set for March 27, 2025

    3/27/2025Senate
  23. Committee report: Favorable with amendment Judiciary

    3/26/2025Senate
  24. Referred to Subcommittee: Rankin (ch), Campsen, Massey, Adams, Devine, Elliott, Ott

    2/18/2025Senate
  25. Referred to Committee on Judiciary

    2/18/2025Senate

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