On October 29, 2025, the Senate Energy and Public Utilities Committee held a subject matter hearing (no vote taken) to review the latest amendments (House Amendment 4 and Amendment 5) to Senate Bill 25 (Representative Hoffman, D-Swansea), a comprehensive energy omnibus proposal that could significantly reshape Illinois’ energy policy and regulatory landscape.
The almost three-hour hearing drew testimony from legislators, state agencies, energy industry representatives, local government officials, and consumer advocates. Discussion centered on the bill’s far-reaching provisions addressing battery storage, siting and local control, ratepayer protections, and legislative oversight—with deep divisions emerging on nearly every major topic.
Battery Storage Procurement and Financial Impact
A central feature of the proposed legislation is a mandate to procure three gigawatts of battery storage, reduced from an earlier proposal of six gigawatts. The financial implications of this large-scale investment were sharply contested.
The Illinois Power Agency (IPA) and Advanced Energy United projected that the initiative would generate more than $13 billion in net benefits to ratepayers over 20 years through reduced capacity prices. Opponents, including the Illinois Industrial Energy Consumers (IIEC) and the Power Bureau, argued that the program’s structure would guarantee developer profits for two decades and result in higher energy costs for consumers until at least 2036.
Alternative financing options, including the use of Illinois Finance Authority bonds, were discussed but not adopted. Committee members were left to reconcile two conflicting financial analyses as deliberations continue.
Siting, Local Control, and Agricultural Protections
Local control and siting authority were central themes throughout the hearing.
Amendments to replace the previous cap on local siting fees with a “presumptively reasonable” standard drew strong opposition from county and municipal officials. Randolph County Board Member Andy Gerlach testified that the change could reduce local revenue for some projects from millions of dollars to a few thousand.
Representatives from the Illinois Municipal League and Illinois Farm Bureau voiced additional concerns about language that preempts municipal zoning authority within a municipality’s 1.5-mile extraterritorial jurisdiction and lacks mandatory Agricultural Impact Mitigation Agreements (AIMAs) for battery storage projects.
Background on Amendments and Appeals Process
Early testimony noted that subsequent amendments to Senate Bill 25—specifically House Amendments 3, 4, and possibly 5—were intended to streamline the siting dispute process and reduce the time and cost of litigation for local governments.
The original concept of a “siting appeals board” has since been replaced with a simplified process using an Administrative Law Judge (ALJ). Under the new framework, counties and developers present evidence to an ALJ, who issues a findings report based on compliance with existing siting statutes for wind, solar, or battery storage projects. The ALJ’s report is non-binding but informs the Illinois Commerce Commission’s (ICC) final decision.
While the amendment removes the original multi-member appeals board, it still allows parties to seek judicial review after the ICC’s determination. In effect, the process aims to expedite disputes through an administrative proceeding before an ALJ while preserving the option for court review if necessary.
Expansion of ICC Authority and Legislative Oversight
Lawmakers from both parties expressed deep concern over provisions granting the Illinois Commerce Commission new powers to approve long-term energy resource plans and associated costs.
The bill attempts to preserve legislative oversight through a non-binding resolution process allowing the General Assembly to block ICC-approved rate increases. However, witnesses—including IIEC’s Philip Golden—argued that this mechanism lacks legal force and amounts to an “illusory safeguard” for ratepayers.
ICC representatives countered that the Commission operates strictly within statutory parameters, but legislators remained skeptical about relinquishing rate-setting authority to an unelected body.
Grid Reliability and the Integrated Resource Plan (IRP)
Supporters described the bill’s new Integrated Resource Plan as a vital tool to manage Illinois’ transition toward cleaner energy while maintaining reliability. The plan would permit temporary delays of decarbonization targets if grid stability is at risk.
Critics, including NRG’s Melville Nickerson, warned that the IRP effectively acts as a procurement mandate that excludes new natural gas generation and could undermine the state’s competitive electricity market. Several lawmakers noted that uncertainty around Illinois energy policy is already prompting natural gas facilities to relocate out of state.
Additional Provisions and Issues Raised
- Nuclear Moratorium Lifted: The bill retains the provision lifting Illinois’ moratorium on new nuclear construction.
- Nuclear Safety Fees: Utilities, including MidAmerican Energy, objected to a proposal to double nuclear safety fees and add a nine-year annual escalator.
- Labor Standards: The bill expands Project Labor Agreement (PLA) requirements to all community solar projects above three megawatts.
- Potential Ethics Violation: Legislators raised concerns about a potential carve-out for a specific solar project in Madison County, requesting an investigation prior to any final vote.
- New Programs: The proposal establishes a geothermal incentive program and expands energy efficiency opportunities for gas utilities.
Next Steps and Monitoring
While no votes were taken, the hearing underscored major policy, fiscal, and local governance implications for Illinois counties.
ISACo will continue monitoring developments related to:
- Conflicting cost analyses for the battery storage program;
- Amendments addressing local siting authority and agricultural protections;
- Clarifications on legislative oversight of ICC decisions; and
- The investigation into potential ethics violations linked to project-specific provisions.
As amendments evolve, ISACo will update counties on implications for county zoning, local revenues, and infrastructure planning.
Related ISACo Content:
HB 4116/SB 25 is the earlier version of the omnibus energy bill that would establish new statewide standards for wind, solar, and energy storage systems. ISACo staff has reviewed the legislation to assess its impact on counties, including provisions related to a solar bill of rights, siting authority, fees, taxation, road use agreements, and environmental protections. Many of these provisions are included in the more recent amendments. The analysis is available via this link.