State Budget Passes — Includes RGGI Repeal and Permit Reform Provisions

After a delay of more than four months, Governor Josh Shapiro has signed Pennsylvania's $50.09 billion state budget into law, officially concluding the long budget impasse. The main appropriations bill, Senate Bill 160, passed with broad bipartisan support - 40-9 in the Senate and 156-47 in the House - and does not rely on any new revenue sources or transfers from the state's Rainy-Day Fund.

Key Budget Highlights for PIOGA Members

Department of Environmental Protection (DEP) Funding

• $31.9 million (+6%) for General Government Operations

• $45.4 million (+7%) for Environmental Program Management

• $5.8 million (+59.7%) for Chesapeake Bay Agricultural Source Abatement

• $134.6 million (+7%) for Environmental Protection Operations

Legislative and Policy Provisions of Interest

House Bill 416 (Fiscal Code)- Implements provisions of the state budget and includes several policy measures important to the energy sector:

• Regional Greenhouse Gas Initiative (RGGI) Regulation Abrogation - Officially repeals Pennsylvania's participation in RGGI, a major policy priority for legislative Republicans and the energy industry.

• Permitting Reform - Expands the Streamlining Permits for Economic Expansion and Development (SPEED) program to include additional permit types, sets firm timelines for "deemed approved" permits, and establishes a statewide permit tracking system.

• Electricity Load Forecast Accountability - Grants the Public Utility Commission (PUC) authority to review and investigate data and methodologies used by utilities in PJM load forecasting.

• Solar for All - Directs that any federal "Solar for All" funds be administered by the Commonwealth Financing Authority consistent with federal guidelines.

"After 135 days, Pennsylvania's leaders came together in a bipartisan way to pass a state budget that includes meaningful reforms to keep Pennsylvania the keystone of America's energy independence. While challenges remain, this is a vital step toward ensuring our state stays open for business and continues to lead in meeting the world's energy needs." - Dan Weaver, PIOGA President and Executive Director

Want to continue to get all the insider oil and gas news? Become a PIOGA member and you'll get access to The PIOGA Press monthly newsletter, the PIOGA eWeekly e-newsletter and many other member benefits. Click here to learn more and join today!