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Illinois Governor Signs Clean Energy Bill to Boost Solar, Storage, and VPP Investment

Illinois Governor JB Pritzker has signed a clean energy bill that will promote investment in solar photovoltaic and energy storage, among other initiatives, in the state.

This new legislation, titled the Clean Reliable Grid Affordability Act (CRGA, SB 25), builds upon two prior pieces of legislation supporting renewable energy: the Climate and Equitable Jobs Act (CEJA) passed in 2021, which aims for 100% clean energy by 2050. Since CEJA’s passage, Illinois has supported the deployment of over 6 GW of renewable energy, with an additional 6 GW under development.

By signing CRGA, Illinois aims to address “rising electricity costs driven by private grid operators,” expand cost-saving energy resources, and advance the state’s clean energy economy. The legislation will take effect on June 1, 2026.

To reduce energy costs, the law sets targets, including establishing a state procurement of 3 GW of grid-scale battery storage by 2030; creating virtual power plant (VPP) programs by utilities, enabling households with solar panels, batteries, and electric vehicles to participate; and launching an integrated resource planning (IRP) process designed to identify cost-effective ways to keep energy bills low and make necessary adjustments to state-level programs.

These measures aim to lower energy costs. Programs within the legislation will also require utilities to promote energy equity for low-income households.

Furthermore, CRGA seeks to drive the clean energy economy, create new jobs, and accelerate the construction of new energy projects across the state.

This will be achieved by exploring new clean energy opportunities, such as directing the Illinois Power Agency (IPA) to propose long-term procurement agreements; enacting a Solar Bill of Rights to ensure residents served by municipal and cooperative utilities can install rooftop solar panels; and reforming clean energy siting to facilitate the expansion of energy storage projects.

The Illinois General Assembly passed the bill in October last year, after which it was sent to Pritzker to be signed into law. The energy storage target is to have resources deployed or contracted by December 31, 2030. The bill also directs the state to undertake energy storage procurements for electric companies. As reported by Energy-Storage.news, the bill includes energy storage targets and was warmly welcomed by consumer and environmental advocacy groups as well as clean energy industry organizations when it passed the state legislature.

The legislation will also benefit community solar development in Illinois by raising the maximum project size to 10 MW. According to the Institute for Local Self-Reliance, the state passed its first community solar legislation in 2016. Since then, as of the third quarter of 2025, Illinois has added 444 MW of community solar capacity. Illinois is a leader in community solar installations, ranking fifth among states for community solar development.

JB Pritzker stated, “The Clean Reliable Grid Affordability Act sets a national standard for efforts to lower energy costs and marks a historic advancement of our clean energy vision. Once again, Illinois is stepping up where the federal government has not.”

According to the Solar Energy Industries Association (SEIA), Illinois is one of the top U.S. states for projected growth in the coming years. SEIA forecasts 14.6 GW of new solar photovoltaic capacity over the next five years, ranking fourth nationally. This would more than double the state’s current installed solar PV, which stood at 6.5 GW by the end of the third quarter of 2025.

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