News Stories

On May 20, 2026 the Connecticut Governor, Ned Lamont, signed HB 5340 entitled “An Act Concerning Renewable Power Generation” and is now Public Act 26-127.  The latest bill version is found here.

The new law is effective July 1, 2026.

The legislation centers heavily on restructuring and modernizing the state’s solar and clean energy framework to balance rapid green expansion with financial sustainability and homeowner protections. 

Key Provisions of New Law:

(1) Requires the Public Utilities Regulatory Authority (PURA) to develop successor programs for the residential renewable energy(RRES),  nonresidential renewable energy (NRES)  and shared clean energy facilities (SCEF) programs;

(2) Requires a study of consumer protections for solar photovoltaic system leasing and sales;

(3) Allows the use of portable solar photovoltaic systems;

(4) Requires the Commissioner of Energy and Environmental Protection to implement an agrivoltaics program; and

(5) Requires the Commissioner of Energy and Environmental Protection to establish a pilot program concerning the installation of solar photovoltaic systems in environmental justice communities.

Key Implementation Date Requirements:

By July 1, 2027 PURA must  initiate proceedings and issue final orders by April 1, 2028 establishing tariffs, tariff rates, calculation periods for excess energy production, and program terms for distributed energy resources (DER) that emit no pollutants.

Beginning July 1, 2028, electric distribution companies (EDCs) must offer tariffs to purchase energy and renewable energy certificates generated by distributed energy resources (DER) located on customer premises, including systems of up to twenty-five kilowatts for residential customers and systems under five megawatts for nonresidential customers.

These tariffs may incorporate time-varying or dynamic pricing and must consider factors including installation costs, impacts on participating and nonparticipating ratepayers, the Comprehensive Energy Strategy, and the value of distributed energy resources to grid reliability.

EDCs may recover prudently incurred program costs through a non-bypassable rate component applied to all customers, with net revenues credited back to customers.

Other Important Aspects of New Law:

The new law authorizes the PURA to incorporate incentives for energy storage systems, locational incentives for distributed energy resources, and other policy benefits, and establishes annual procurement limits of twenty-five million dollars for nonresidential distributed energy resources and sixteen million dollars for shared clean energy facility procurements, with unused funds allowed to roll forward.

The new law also authorizes a successor shared clean energy facility program with tariffs of up to twenty years for facilities of five megawatts or less with at least two subscribers and allows the PURA  to limit participation to low-income customers or residents of environmental justice communities and to establish consumer protections and billing credit mechanisms for subscribers.

The law directs the Commissioner of Energy and Environmental Protection to develop a program to support agrivoltaics projects located on agricultural land and to propose a tariff for energy generated by such projects and requires annual reporting on agricultural activity associated with approved projects.

The law also establishes a two-year pilot program to install residential solar photovoltaic systems for up to one hundred households in environmental justice communities, authorizes agreements with licensed contractors and prioritization of minority-owned businesses, and requires a report on program outcomes.

The law extends the deadline for a task force studying consumer protections related to solar photovoltaic system sales, leases, and power purchase agreements and modifies state law to require that contracts between hardship customers and electric suppliers have rates at or below the electric distribution company’s standard service rate for the duration of the contract.

Other Key Provisions

• Authorizes Plug-In Solar Panels: In a landmark provision for renters and condo residents, the bill legalizes small, portable plug-in solar devices (up to 1,200 watts) for household use without requiring utility company approval or upfront grid equipment fees.
• Mandates Standardized Online Permitting: Sets a deadline for the Department of Administrative Services to roll out an automated, statewide online solar permitting platform (like SolarAPP+) by July 1, 2028, ensuring instant approval for qualifying projects.
• Ensures Ratepayer Affordability: Implements flexible, annual megawatt and budget caps for state clean energy incentives, allowing regulators to adapt to market volatility and manage the long-term impact on consumer electric bills.
• Expands Equity and Low-Income Access: Directs the creation of specific community solar utility rates and programs tailored for low-income residents, families in distressed municipalities, and affordable multifamily housing complexes.
• Imposes a Siting Moratorium: Implements a one-year freeze on building massive, large-scale commercial solar arrays in specific heavily impacted communities, specifically targeting East Windsor and Enfield.
• Promotes Safety and Agricultural Protections