Energy (Oil & Gas)

This bill imposes a 5% surcharge on insurance policies covering fossil fuel infrastructure such as oil wells, pipelines, refineries, and coal facilities, effective January 1, 2027. The collected funds will be deposited into a new climate resilience account managed by state officials. These funds will be used to provide flood risk data to communities, run public awareness campaigns about flooding risks, and offer grants for building climate-resilient infrastructure to reduce flood damage. The policy directly affects insurance companies issuing policies for fossil fuel operations and communities that may receive funding for flood mitigation projects.

This bill (SB 185) would remove sales and use taxes on electricity and natural gas purchases for small businesses. It amends tax law to specifically exempt these utility costs from existing state taxes. The policy directly affects small businesses by reducing their operating costs for essential energy. The change applies to all qualifying small businesses purchasing electricity or natural gas for their operations.

HB 5337 requires gas companies to create incentive programs for customers connecting to district heating systems that capture and distribute waste heat (minimum 30 million BTUs annually). These incentives, based on projected natural gas demand reductions using historical usage data, pay end-use customers for switching to district heating systems. The program must operate by March 2016 through June 2027, with the state Commissioner of Energy establishing a replacement program by July 2027. Funding is capped at $9 million total, collected through utility rates from gas customers in the system's service area, with payments limited to equivalent savings from existing conservation programs. This directly affects gas companies, district heating operators, and residential/commercial end-users who connect to qualifying systems.

SB 306 requires Connecticut's Commissioner of Energy and Environmental Protection to develop a Comprehensive Energy Strategy every four years (starting October 1, 2020), which must address all state energy needs (electricity, heating, cooling, transportation), meet greenhouse gas reduction goals, and incorporate existing energy plans. The strategy must include cost assessments, public input through meetings and a 60-day comment period, and analyze natural gas expansion, efficiency goals, and rate impacts. It directly affects state agencies, utilities (via the Public Utilities Regulatory Authority's comments), and residents through potential energy cost and service changes. The bill mandates specific content and public engagement procedures but does not create new funding or impose direct costs on individuals.