§ 9–20E-02
Statutes in effect as of October 1, 2026.
Md. Code Ann., State Gov't § 9-20E-02 (2026)
Title 9. Miscellaneous Executive Agencies
Subtitle 20E
§ 9–20E-02LinkCopy Citation
(a)
For 2027 and 2028, the Administration shall conduct, in consultation with the Commission, an annual, competitive, alternative compliance fee auction to award grants to eligible bidders to offset a portion of project costs associated with the development of renewable energy in the State using revenue from alternative compliance fees.
(b)
(1)
The Administration, in consultation with the Commission, shall develop and conduct the auctions in a manner that is cost–effective and maintains and promotes the development of renewable energy in the State.
(2)
The competitive auction process may require the Administration to solicit a series of bids from renewable energy project developers for the development of renewable energy projects in a cost–effective manner.
(c)
(1)
To be eligible to submit a bid under this section, a person must:
(i)
be a renewable energy project developer; and
(ii)
meet the minimum credit and other eligibility requirements set under paragraph (2) of this subsection.
(2)
The Administration, in consultation with the Commission, shall set eligibility requirements for bidders, including requiring each bidder to:
(i)
provide proof of financial integrity;
(ii)
post a bond or other similar instrument;
(iii)
agree to be subject to all applicable taxes and fees;
(iv)
demonstrate the ability to finance, execute, and commission projects;
(v)
provide, in accordance with paragraph (3) of this subsection, evidence that is satisfactory to the Administration that awarded funds are necessary for the renewable energy project to be constructed; and
(vi)
comply with any other requirements the Administration determines are in the public interest.
(3)
The evidence provided under paragraph (2)(v) of this subsection shall be provided to the Administration and maintained by the Administration in a manner that keeps the evidence confidential.
(d)
(1)
Eligible bidders shall submit competitive bids by specifying:
(i)
the actual amount of megawatts to be generated by the renewable energy project;
(ii)
a price per megawatt that would be required from the auction; and
(iii)
any other information the Administration determines is necessary.
(2)
(i)
Subject to subparagraph (ii) of this paragraph, the Administration shall rank bids from lowest to highest cost per megawatt and award funds derived from alternative compliance fees to the lowest bid or bids.
(ii)
The Administration shall prioritize bids for renewable energy projects specified in § 9–20E–01(g)(1) of this subtitle.
(3)
(i)
Subject to subparagraph (ii) of this paragraph, the Administration shall award bids until the capacity target is reached.
(ii)
The Administration may refuse to accept some or all of the bids made in a competitive auction in accordance with standards adopted by the Administration.
(4)
(i)
If the capacity target can be met at a cost below the allocated funding, the Administration may:
(1)
carry forward any funding to the next auction, if applicable; or
(2)
apply the funds for any additional megawatts of renewable energy that have been offered under the auction.
(ii)
Any amount of allocated funding that is not carried forward or applied under subparagraph (i) of this paragraph shall accrue in the Maryland Strategic Energy Investment Fund and may be allocated for any purpose for which alternative compliance fee revenue is authorized to be used.
(e)
(1)
The Administration shall set delivery deadlines for each renewable energy project that is awarded funding from an auction.
(2)
The deadlines set in paragraph (1) of this subsection shall include milestones that require the developer to meet certain delivery goals during the development of a renewable energy project.
(3)
The Administration may grant extensions for delivery goals that are delayed due to interconnection or permitting challenges or delays if the developer provides documentation of the challenge or delay.
(4)
The Administration shall establish a method of collection against any developer awarded a grant under this section to recapture any funds received as a result of:
(i)
misappropriation, overpayment, or fraud; or
(ii)
failure to meet milestones or delivery dates.
(f)
Within 90 days after all grants for renewable energy projects are executed, the Administration shall publicly disclose the names of each successful bidder and the megawatts to be delivered by the development of the renewable energy project.
(g)
On or before July 1, 2027, and July 1, 2028, the Administration, in consultation with the Commission, shall report to the General Assembly, in accordance with § 2–1257 of this article, on the administration of the immediately preceding auction, including:
(1)
the amount of megawatts or megawatt–hours, as applicable, that received financial support through the auction;
(2)
the cost per megawatt of renewable energy allocated in the auction;
(3)
the number of renewable energy credits projected to be created as a result of the auction; and
(4)
any other information the Administration and the Commission consider relevant.