The bill is part of Gov. Shapiro’s Lightning Energy Plan.
Click Here for a Committee summary of the bill.
Here is a summary of comments by some of the witnesses before the Committee.
We Are Going To Run Out Of Power, If We Don’t Move Forward
Rep. Thomas Mehaffie (R-Dauphin), a member of the Committee, noted in 2018 a baseload power plant was shut down in his district [Three Mile Island Nuclear Power Plant]-- “Don’t make the same mistake.”
“We just had a hearing, I think it was last Monday, where PJM consistently says we are going to run out of power. [Read more here.]
“Now that affects your people, me and everybody else in the manufacturing community because if we don't have power, we can't generate the products that we have in place, whether that's retail, commercial, whatever that may be.
“No one wants to go through brownouts and blackouts.
“I sounded this alarm in 2018. Rob Bair [President, PA Building & Construction Trades Council and a witness before the Committee] was right beside me, and we talked about this and we made a huge mistake by not coming up with an energy standard across the state to say, okay, we need this, we need this, we need this, we need this, we need everything.”
“[Natural] gas is not baseload power.
“Baseload power means that you have ample fuel supply for over three months. So coal and nuke are the only two that are baseload power on demand.
“And I get there's plenty of gas out there, but that's all on demand. They can shut it off and turn it on as they want, but that fuel supply is not there for them.
“As you know, when residential fuel is needed in the winter, the commercial properties are shut off by the gas companies, and that is a major problem when we come into these winter functions. That is not on demand.
“Gas is great. I'm not saying it's bad. I'm just saying it is not baseload power.”
David Taylor, President & CEO of the PA Manufacturers’ Association and one of the other witnesses before the Committee, responded to Rep. Mehaffie’s comment by saying, “The miracle that resurrected Three Mile Island was the marketplace, the demand that Microsoft had for a data center.
“And because those data centers can't tolerate any kind of variability in the flow of the source, that's why they needed nuclear [power].
“That's why the [new] Homer City plant is going to be the third-largest power plant in Pennsylvania, $10 billion, the largest private sector investment in the history of the Commonwealth, along with not tinkering with a market through incentives.”
“We also need to eliminate the disincentives that have been put in place that are preventing Pennsylvania from properly mobilizing the indigenous energy sources that we have.”
[Note: The developers of the new Homer City A.I. data campus and power plant told Senate committees last week the current plan is to have 75% of the power generated go to the data centers and about 25% to the general grid for others to use. Read more here]
Rep. Mehaffie responded bluntly-- “But we don't have time to fight over this.
“Five years ago, we sounded this alarm and no one did anything.
“And Rob [Biar], you said it. You said to the governor, we need to do something and nothing was done.
“If we continue to stick our head in the sand and do nothing, guess what's going to happen? Nothing.
“And I'll tell you what's going to happen is we're not going to have power on the grid and we are going to come into a big, big problem for any user that's out there.”
We Need A Real Energy Policy
Robert Bair, President, PA Building & Construction Trades Council, told the Committee-- “So the whole idea of this bill is to incentivize building out more renewables while not picking winners and losers, maintaining grid reliability, and at the end of the day, helping protect the environment.
“And I'm going to tell you, I can see this roadmap in here. I know it's going to be a lot of work, and I know we're going to have a lot of arguments next.
“But I look forward to that because at the end of the day, we're all here for one reason, to represent the constituents of this Commonwealth.”
“I think we absolutely need to continue to use natural gas. I mean, that is a fact. That is a very reliable base load generating source.
“But I will also say we should be building out renewables along with them.
“Because at the end of the day, there comes a point where we're going to clean up our emissions, but we need to also say renewables have a place. They absolutely have a place.”
In response to a comment about the legislation potentially increasing the cost fossil-fuel based electricity generation, Bair said--
“And your rates are going to go up in the short term, but they will continue to go up in the long term if we don't develop a policy to prevent it. A real energy policy.
“And I truly believe that when we are using all our resources, and one of the things that we really haven't touched on is emerging technologies.”
Click Here for a copy of the Building Trades testimony that includes recommendations for improving the bill from their perspective.
Meeting Higher Demand Requires New, More Efficient Energy Mix
Evan Vaughan, Executive Director, Mid-Atlantic Renewable Energy Coalition, said, “Consideration of HB 501 is timely, as a decades-long era of flat electricity demand growth has come to an end.
“PJM anticipates peak demand across the entire system to rise by 70,000 megawatts (MW) over the next 15 years.
“That’s like building Pennsylvania’s entire existing electricity generating fleet—and then some 20,000 MW more—over the next 15 years.”
“Meeting demand will require deploying newer, more efficient energy resources at-scale to complement Pennsylvania’s existing generation fleet.
“There are nearly 9,600 MW of solar, wind and storage capacity already in the PJM queue in Pennsylvania.
“While not all of these projects will ultimately be built, this legislature has an opportunity with HB 501 and other elements of the Governor’s Lightning Plan to maximize deployment of those resources.”
“Enhancing Pennsylvania’s diverse electricity mix with additional zero fuel cost resources will help stabilize electricity prices for consumers.
“Given the scale of new electricity demand projected in PJM, it is reasonable to anticipate significant fuel price volatility for years to come unless more solar and wind projects are deployed.
“The benefits resulting from energy source diversification to include additional reliable clean energy sources does not diminish the role of other Pennsylvania energy sectors.”
“HB 501 will also draw good jobs and private investment to the Commonwealth.
“Last year, MAREC Action, Advance Energy United, and the American Clean Power Association commissioned a study from respected analysis firm Gable Associates looking at the economic benefits of Pennsylvania attaining 30 percent renewable energy by 2030.
“We found such a policy would result in more than $13.1 billion invested in Pennsylvania over the next seven years and could sustain 129,000 additional job-years between 2024 and 2031.”
“One particularly innovative aspect of HB 501 is the focus on energy storage, including long-duration storage. We are strongly supportive of the inclusion of energy storage in tier 2 under HB 501.”
Click Here for the Mid-Atlantic Renewable Energy Coalition.
Overreliance On Natural Gas Increasing Electric Bills
Patrick McDonnell, President & CEO of PennFuture, said, “We find ourselves at another pivotal juncture as the Commonwealth faces urgent challenges to improve grid reliability and mitigate skyrocketing electricity bills.
“In a matter of weeks, many Pennsylvanians will see their bills increase by as much as 15 percent.
“This is due, in large part, to our overreliance on fracked gas for more than half of our energy production.
“Today, gas provides approximately 55 percent of our electricity, and coal is responsible for less than ten percent and keeps falling.” [Read more here]
“In recent years, gas has seen its market prices rise higher and higher while it has also been deemed less and less reliable by PJM—the regional transmission organization responsible for Pennsylvania’s grid.
“The fallout of Winter Storm Elliott in December 2022 and other events, where we saw significant forced outages at gas plants, demonstrated the fossil fuel’s unreliability during times when residents and businesses are most in need.
“These events forced PJM to re-evaluate the reliability of all resources, downgrade the ability of fracked gas to capably perform during all weather conditions, and sent prices in PJM’s capacity market to levels never seen before— totaling costs of nearly $14.7 billion for 2025 – 26 compared to only $2.2 billion for the previous year.
“This astronomical increase in capacity prices is now being passed on to residents across the Commonwealth. [Read more here]
“House Bill 501 will help Pennsylvania face this challenge directly. Our current crisis demonstrates that the initial clean energy goals established under AEPS were far too modest—totaling only 8 percent.
“PRESS will increase this figure to 35 percent and will dramatically improve energy diversity through increased adoption of sources like wind, solar, and geothermal.
“Renewable energy sources are the cheapest and most readily deployable forms of electricity, and we must rapidly increase Pennsylvania’s share of these.”
“Despite Pennsylvania’s production of fracked gas, residents are not seeing a benefit in their electricity bills.
“The Commonwealth currently ranks 36th in residential electricity rates with an average cost of 17 cents per kilowatt/hour.
“Our continued overreliance on gas will only increase the harm experienced by Pennsylvanians as we struggle to keep the lights on.
“We must chart a new course of action to improve grid diversity, reliability, and affordability.”
“House Bill 501 represents a comprehensive approach to modernizing Pennsylvania's energy landscape.
“By setting ambitious renewable energy targets and establishing mechanisms to fund sustainable projects, the bill seeks to make energy more affordable for residents while promoting environmental stewardship.
“As the Committee deliberates on—and hopefully passes —this legislation, it's crucial to consider the long-term benefits of a diversified and sustainable energy portfolio—for our utility bills, for our jobs, and for our environment.”
Click Here for a copy of the PennFuture testimony.
Competitive Market Is Working
David Taylor, President & CEO of the PA Manufacturers’ Association, said-- “Our current competitive markets are working for both prices and the environment.
“When Governor Ridge and the legislature passed and enacted the Electricity Generation Customer Choice and Competition Act of 1996 he said, "Low-cost electricity is an enormously powerful economic development tool. I have heard it time and time again from some of our largest employers and I've heard it from some employers who have looked to Pennsylvania as a place to do business." And it worked.”
“"While competitive markets are working, there are looming challenges and HB 501 would make these issues worse.
“In recent testimony before Congress, PJM Interconnection, Pennsylvania's regional transmission organization warned, "PJM's fleet is shifting toward a composition of mostly intermittent renewable generation. These resources do not replace thermal, dispatchable resources one-to-one and also lack essential attributes that help preserve reliability, such as quick, controlled ramp up or down.
“New generation is also not getting built at the pace required to meet the growing supply/demand imbalance...The less than 4,800 MW of new, mostly solar generation that was added to the system in 2024 is not enough to keep up with the retirements and load growth."
“House Bill 501, commonly referred to as Governor Shapiro's Pennsylvania Reliable Energy Sustainability Standard or PRESS, represents the end of Pennsylvania's competitive market with more than half of all Pennsylvania electricity generation coming from government mandated sources, including 35% from "Tier I" sources such as wind, solar, and other technologies that do not yet exist.
“Moreover, this proposal would surely accelerate further retirements of Pennsylvania's thermal, dispatchable, baseload sources that PJM warns is not being replaced fast enough.”
“Pennsylvania is America's number one exporter of electricity, second largest producer of natural gas, and third largest producer of coal. These are domestic energy sources produced by Pennsylvania workers under DEP, OSHA, L&I, and USDOL rules.
“Upending competitive markets on Pennsylvania-generated electricity is an insult to consumers and a death wish for our economy.”
Click Here for a copy of the PA Manufacturers' Association testimony.
Closing Comments
At the close of the hearing, Rep. Tim Twardzik (R-Schuylkill), who was acting as the Republican Chair of the Committee during the meeting and comes from an anthracite coal mining area of the state, said--
“Nobody in the [energy] industry wants to hurt and harm because we still live here, and we all have to work together to try to solve this problem.
“The interesting part is, we're going to need all the energy we have, and I just want to make sure that we don't tax the existing providers and cause harm to prop up the industry.
“Solar, wind, etc., is wonderful, and as it gets better, that's great, but if it's not ready for prime time, we shouldn't be doing this to harm our consumers.
“And let's take our time, do what's right, but let's dig, baby, dig-- drill, baby drill, and thank you.”
Rep. Greg Vitali (R-Delaware), Majority Chair of the Committee, said House Bill 501 “is much needed.”
“Pennsylvania is doing such a poor job in expanding renewables. A huge greenhouse gas producing state.
“Climate change isn't an issue that can wait. We don't have time. Immediate action is required.
“Less than 1% of our electricity produced in Pennsylvania comes from solar. I mean, just think about that, how poorly that is. Other states, surrounding states are doing a much better job at this than us.
“This is something we need to move forward on.
“It's my intention to list this bill for Committee consideration soon. Get it out of committee and take the next step.”
Hearing Video + Testimony
Click Here to watch a video of the hearing.
Hearing Testimony--
-- Evan Vaughan, Mid-Atlantic Renewable Energy Coalition
-- Nick Cohen, Doral Renewable LLC
-- Patrick McDonnell, PennFuture
-- Robert S. Bair, PA Building & Construction Trades Council
-- David Taylor, PA Manufacturers' Association
-- John F. Kotek, Nuclear Energy Institute
Comments Submitted To Committee--
-- Pennsylvania Environmental Council
-- Sol Systems - solar energy company
-- CERES
-- Appalachian Region Independent Power Producers Assn. (coal waste)
-- PA Chamber of Commerce Business & Industry
-- Marcellus Shale Gas Coalition
-- Industrial Energy Consumers of Pennsylvania
Rep. Greg Vitali (D-Delaware) serves as Majority Chair of the House Environmental & Natural Resource Protection Committee and can be contacted by calling 717-787-7647 or sending email to: gvitali@pahouse.net. Rep. Jack Rader, Jr. (R-Monroe) serves as Minority Chair and can be contacted by calling 717-787-7732 or click here to send an email.
NewsClips:
-- PA Capital-Star: Lawmakers Hear Testimony On Meeting PA Power Demand: ‘Huge Amount Of Growth’
-- Post-Gazette - Ford Turner: As Pittsburgh Faces Electricity Rate Hike Of 15%, PA Lawmakers Ratchet Up Debate On Energy Sources
Resource Links - Lightning Plan:
-- Gov. Shapiro: Lightning Plan Tax Credit Bill, Community Energy Pass PA House [PaEN]
-- House, Senate Members Introduce Gov. Shapiro's 'Lightning' Energy Plan To Lower Energy Costs, Create Jobs, Protect Pennsylvania From Global Energy Instability [PaEN]
Resource Links - Electric Grid:
-- Rise Of The Machines: Senate, House Members Express Concern That Demand For Power To Run Computers Is Impacting The Price And Availability Of Electricity For ‘Ordinary People’ [PaEN]
-- PUC Sets June Hearings On Proposed 11.4% Natural Gas Rate Increase By Columbia Gas [PaEN]
-- PennLive: PPL Customers Will See Another Rate Increase June 1 - 16% [Due To Regional Electric Market Issues]
-- US EIA: US Natural Gas Prices Double Last Year Due To LNG Exports, Demand Driving Electricity Prices Higher This Summer [PaEN]
-- Pennsylvania’s Electric Grid Is Dependent On One Fuel To Generate 59% Of Our Electricity; Market Moving To Renewables + Storage [PaEN]
-- PA Ranks 49th In US For Renewable Energy Growth; Delays In Adding Clean Energy To The Grid Will Cost Electric Ratepayers Billions [PaEN]
-- 30 Stakeholder Comments Received By PUC On Adequacy Of Electricity Supplies In Pennsylvania; Increasing Natural Gas Power Plant Reliability To 90-95% Would Mean No Imminent Capacity Problem [PaEN]
-- New Report: Fixing PJM’s Broken Electric Generation Approval Process Can Lower Energy Costs, Create Jobs Across The Mid-Atlantic [PaEN]
-- PUC Invites Stakeholder Comments On The Issue Of The Adequacy Of Electricity Supplies In Pennsylvania [Background On Issue] [PaEN]
-- PJM Interconnection: 51 Generation Projects, 9.3 GW To Move Forward To Address Near-Term Electricity Demand Growth-- 39 Upgrades, 12 New Construction [PaEN]
-- PJM Releases List Of 51 Fast Tracked Power Projects To Provide 9.3 GW Of Power-- 7 In PA With Power Potential Of 1.2 GW [PaEN]
-- North American Electric Reliability Corp. Files Proposed Cold Weather Standard To Improve Reliability For Natural Gas-fired, Other Electric Generators [PaEN]
-- North American Electric Reliability Corp.: Record Load Growth From Data Centers, High Temperatures Expected To Strain Electric Grid This Summer [PaEN]
-- Federal Energy Regulatory Commission Summer Electricity Assessment Sees Adequate Generating Resources To Meet Normal Operating Conditions; Higher Natural Gas Prices Driving Electricity Prices Higher [PaEN]
PA Oil & Gas Industry Public Notice Dashboards:
-- PA Oil & Gas Weekly Compliance Dashboard - May 17 to 23 -- Failure To Comply With Shale Well Plugging Order; 28 Months Without 3 Conventional Well Cleanups; 206 Abandoned Conventional Wells; Road Dumping Continues [PaEN]
-- Environmental Hearing Board Agrees There Is ‘Acute’ Danger In CNX Misusing A Deposition In An Appeal Before The Board To ‘Punish’ An Environmental Advocate For Her Advocacy Against CNX [PaEN]
-- Late Night Dumping II: Conventional Oil & Gas Wastewater Dumping Continues On Roads, This Time With Bigger Trucks; New Research On Harmful Wastewater Impacts [PaEN]
-- PA American Water Begins Construction Of Pipeline To Provide Replacement Water For Dimock Township Residents Who Had Wells Contaminated By Shale Gas Drilling 20 Years Ago In Susquehanna County [PaEN]
-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - May 24 [PaEN]
-- DEP Posted 95 Pages Of Permit-Related Notices In May 24 PA Bulletin [PaEN]
Related Articles This Week:
-- Evangelical Environmental Network: US House-Passed Budget Bill Raises Costs, Increases Health Risks; Eliminates PA’s MERP Conventional Oil & Gas Well Plugging Funding [PaEN]
-- Energy Future PA Co-Chairs: Federal Budget Proposal That Eliminates Clean Energy Tax Credits Puts Billions In Private Investment, Thousands Of Jobs At Risk In PA [PaEN]
NewsClips:
-- Inquirer Guest Essay: 9 In 10 Pennsylvanians Support Stronger Health Protection From Oil & Gas Fracking - By Joanne Kilgour, Ohio River Valley Institute, and Alison Steele, Environmental Health Project [PDF of Article]
-- Post-Gazette Guest Essay: Pennsylvania’s Natural Gas Industry Needs More And Better Regulation - By Rep. Greg Vitali (D-Delaware) Majority Chair House Environmental & Natural Resource Protection Committee
-- City & State PA Guest Essay: Pennsylvania Must Energize Efforts To Regulate Its Oil And Gas Industry - By By Rep. Greg Vitali (D-Delaware) Majority Chair House Environmental & Natural Resource Protection Committee
-- Kleinman Center For Energy Policy Blog: Fact-Free US Energy Policy Portends Long-Term Damage To The US - By John Quigley
-- WITF The Spark: Legal Battle Over Carbon Pollution Cap Could Shape Pennsylvania’s Energy Future
-- The Citizens Voice Letter: Plan To Extract Lithium From OIl & Gas Wastewater Without A Full Accounting Of Its Hazards Is Not A Solution - By Tonyehn Verkitus, Physicians For Social Responsibility-PA [PDF of Article]
-- The Conversation Guest Essay: Why Your Electricity Bill Is So High And What Pennsylvania Is Doing About It - By Hannah Wiseman and Seth Blumsack From Penn State University [Data Center Demand, Rising Fuel Costs]
-- Utility Dive Guest Essay: Is Your Electric Bill Too High? Thank LNG Gas Exports - By Lt.. General Russel L. Honore (Retired) [Stop Selling LNG To Our Competitors]
-- PA Capital-Star: Lawmakers Hear Testimony On Meeting PA Power Demand: ‘Huge Amount Of Growth’
-- WHYY - Susan Phillips: With Soaring Summer Temps Ahead, A.I. Data Centers Could Strain Electricity Supplies In The Delaware Valley
-- Pittsburgh Business Times: TECfusions Unveils Plans For Massive Data Center, A.I. Campus, Up To 3 Gigawatt Natural Gas Power Plants At Former Alcoa Site In Westmoreland County [PDF of Article]
-- The Center Square: Electric Transmission Upgrades At Crucial Turning Point
-- LancasterOnline: How PPL, Met-Ed Customers May Be Able To Duck June 1 Electricity Price Hikes
-- Observer-Reporter: Southwest PA Schools Among Those To Receive Funding To Install Solar Panels
-- The Citizens Voice: Hanover Area School District Gets $400,000 Grant For Solar Energy Facility
-- Tribune-Democrat: Cambria County Commissioners Take Steps Toward Solar Energy Project At Prison
-- Post-Gazette Editorial: The Future Is Nuclear, The US, Pittsburgh Must Be Ready
-- WESA: PA Lawmakers Question Pittsburgh-Area Utilities On April 20 Storm Response, Power Outages
-- Wilkes-Barre Times Leader Guest Essay: New England Needs PA’s Natural Gas - Dems Won’t Let Them Have It - By Jessica Towhey, Communications Strategist
-- Bloomberg: New York’s Natural Gas Pipeline For Offshore Wind Farm Bargain Will Move The Fight To Massachusetts
-- Utility Dive: ICF Consulting Sees 25% Electricity Load Growth By 2030 Driving Up To 40% Increase In Residential Electricity Rates
-- Utility Dive: US House Republican Budget ‘Worse Than Feared’ For Clean Energy - Analysts
-- Bloomberg: New Fortress LNG Exporter Disqualified From Puerto Rico Auction; Company Value Has Fallen 80% This Year [Company Pursuing LNG Projects In PA]
-- Physicians For Social Responsibility-Colorado, FracTracker: Oil & Gas Fracking Chemicals Still Secret In Colorado, Little Compliance With 2022 Law Designed To Prevent Toxic Exposures
-- The Guardian: Colorado Oil & Gas Drilling Companies Not Complying With Fracking Chemicals Disclosure Law, Ban On Use Of PFAS ‘Forever Chemicals’
-- US DOE Releases Response To Comments On 2024 LNG Gas Export Study Saying No Discernible Impact On Climate Emissions, Minimizing Impacts On Prices [DOE Said The Opposite In December ]
-- The Hill: US DOE Now Says LNG Gas Export Environmental Impacts ‘Outside’ Its Authority
-- Reuters: US Natural Gas Prices Fall Into Negative Territory In Texas Due To Pipeline Maintenance
[Posted: May 19, 2025] PA Environment Digest
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