Illinois’ New State-Level Wind, Solar, and Energy Storage Siting Dispute Resolution Process

At the end of October, the Illinois legislature passed the Clean and Reliable Grid Affordability Act (CRGA), an omnibus energy bill creating various incentives for renewable energy and storage projects, modifying the project siting process, and creating a new siting process for energy storage systems.

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Previously, the General Assembly adopted “no more restrictive than” siting standards for county approval of commercial wind and solar facilities. One key feature of CRGA is an expedited, statewide process for resolving siting approval and road use agreement disputes and issuing siting certificates for renewable energy projects that are at least 50 megawatts (MW) in nameplate capacity. This process is designed to materially reduce permitting uncertainty and delay for large-scale compliant wind, solar, and energy storage developments in Illinois.

Read the first alert from our CRGA series here.

Overview

Illinois’ new bill, awaiting Governor JB Pritzker’s signature, establishes an expedited dispute resolution procedure that empowers the Illinois Commerce Commission (ICC) to resolve siting approval or road use agreement disputes and issue siting certificates when compliant wind, solar, or storage projects are denied at the local level. Even though the governor has indicated he will promptly sign the bill, the law will not take effect until June 1, 2026.

Expedited Dispute Resolution Process at the ICC

The dispute resolution process allows the parties to enter into a mediation process if both parties agree. If the parties are not aligned on mediation, the new law creates a structured six-month process for developers to challenge local government actions (or inaction) associated with siting approvals and road use agreements.

ICC Authority to Issue Siting Certificates

If the ICC determines a local government inappropriately denied a facility’s application, the ICC may issue a siting certificate. That certificate would authorize the construction, maintenance, and decommissioning of the renewable energy or storage facility, which effectually substitutes a local siting permit and building permit.

Practical Implications for Wind, Solar, and Storage Projects

  • Local Permitting Comes First: While the new ICC process provides a forum to resolve disputes between wind, solar, and energy storage developers and counties, projects must still go through the local siting process first. In that process, counties cannot apply siting standards more restrictive than the standards provided in the Illinois Counties Code.

  • The ICC Provides an Alternative to Permit Lawsuits for Certain Projects: Developers of ≥50 MW wind, solar, or storage projects subject to county zoning jurisdiction can now petition the ICC as a predictable, expedited forum to challenge local denials, inaction, or delays that contravene statewide siting law. When a compliant project is denied, the ICC can issue the siting approval certificate, providing consistency and certainty and mitigating time-consuming local litigation.

  • Limited Opportunity to Delay Project Development: The new process contains several mechanisms to prevent unwarranted delays. There is an expedited timeline to dismiss frivolous defenses by a local government, and the ICC may impose sanctions. Further, developers who are successful before the ICC receive some procedural protection if the local government appeals: an appeal of an ICC order does not stay the order unless a court finds likely success on the merits, irreparable harm, and that a stay is in the public interest.

  • Cost Considerations: The ICC will assess parties for its investigation and proceeding costs “according to the resolution of the petition.”

Rulemaking

Look out for a follow-up rulemaking process. According to the new law, the ICC may adopt implementing rules to establish procedures, evidentiary standards, and administrative practices consistent with the statute.

We continue to monitor developments in Illinois, impacting utilities and energy project developers. Please contact a member of our Energy & Cleantech and Environmental teams if you would like to learn more about commercial wind, solar, and storage projects in Illinois.

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