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High Impact

Maryland Bill Requires Withdrawal from Regional Greenhouse Gas Initiative and Alters Energy Surcharges

Original title: Regional Greenhouse Gas Initiative, EmPOWER Energy Efficiency Programs, and Net Energy Metering

Last action · February 16, 2026: Hearing 3/05 at 1:00 p.m.Sponsor: Mike McKay

Companion · HB 1525same policy, House version
Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Would Do

Governor of Maryland is required to withdraw the State from the Regional Greenhouse Gas Initiative by January 1, 2027, while eliminating the EmPOWER energy efficiency surcharge on utility customer bills and modifying how is calculated for customer-generators starting October 1, 2026.

Why it matters

Utility customers will see changes to line-item fees on monthly bills, and residential solar or other customer-generators will have altered compensation rates for excess electricity fed back into the grid.

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

electric companies

Electric companies must alter rate recovery mechanisms by removing the EmPOWER surcharge and adjusting net excess generation calculations.

Directly affected

gas companies

Gas companies are impacted by the elimination of the EmPOWER surcharge and associated cost-recovery and disclosure requirements.

Directly affected

eligible customer-generators

Customer-generators experience changed rates for net excess generation payments based on standard offer service averages.

Directly affected

utility customers

Key Facts

  • The Governor must withdraw Maryland from the Regional Greenhouse Gas Initiative on or before January 1, 2027.
  • The State is authorized to rejoin the initiative if all other PJM Interconnection states become full members or if Maryland becomes and remains a net exporter of electricity.
  • Proceeds from future Maryland allowance sales under RGGI must be deposited into the Maryland Strategic Energy Investment Fund if the state rejoins.
  • The surcharge line item allowing recovery of costs for EmPOWER energy efficiency programs from utility customers is eliminated.
Show all 8 facts
  • Provisions requiring electric and gas companies to disclose surcharge details related to past program costs dating back to 2008 are repealed.
  • Net excess generation payout formulas for eligible customer-generators are updated based on standard offer service rates.
  • The Governor must notify the Department of Legislative Services within 5 days of withdrawing from or rejoining the Regional Greenhouse Gas Initiative.
  • The Act takes effect on October 1, 2026.

Frequently Asked Questions

When does Maryland have to leave the Regional Greenhouse Gas Initiative?
The Governor must withdraw the State on or before January 1, 2027.
What happens to the EmPOWER energy efficiency surcharge on utility bills?
The bill eliminates the surcharge line item that allows recovery of costs for the from utility customers.
Can Maryland rejoin the Regional Greenhouse Gas Initiative in the future?
Yes, the State may rejoin if all other states served by become full members or if Maryland becomes and remains a net exporter of electricity.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Currently filed. The next step in the legislative lifecycle is Committee.

Procedural history

2 actions
  1. Feb 16, 2026Senate
    Hearing 3/05 at 1:00 p.m.
  2. Feb 6, 2026SenateIntroduced
    First Reading Education, Energy, and the Environment

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift95% confidence

Reversal of State Carbon Market Participation

The bill repeals longstanding statutory mandates requiring Maryland's participation in the Regional Greenhouse Gas Initiative established in 2007.

Connected Entities

Department of Legislative Services, Maryland Strategic Energy Investment Fund, Regional Greenhouse Gas Initiative and 1 more
OrganizationDepartment of Legislative Services“Recipient of governor's notification regarding RGGI status changes”Map →
OrganizationMaryland Strategic Energy Investment Fund“Fund where proceeds from RGGI allowance sales are deposited”Map →
OrganizationRegional Greenhouse Gas Initiative“Multi-state carbon trading initiative”Map →
OrganizationPJM Interconnection“Regional transmission organization”Map →

Sources

Open source document

mgaleg.maryland.gov

Analysis Score

0–100
  • Significance75
    How much this matters to a regular citizen
  • Controversy70
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz50
    Current news / social attention level

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