Illinois Digs Nuclear? Federal Court Upholds Illinois State Subsidies to Nuclear Power Plants

The State of Illinois recently passed the Future Energy Jobs Act and created a “zero emission credit” program to subsidize nuclear power generation and corresponding sales of nuclear power in the energy market. The statute grants zero emission credits to certain qualifying energy-generating facilities, specifically, several nuclear power plants owned by Exelon in Illinois. Utilities that sell electricity to consumers must purchase zero emission credits from the qualifying power plants, and those utilities then pass the costs of the zero emission credits onto their customers. …

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Nuclear Option: New York Federal Judge Strikes Down Challenge to Power Plant Subsidies

On Tuesday, July 25, 2017, U.S. District Court Judge Valerie Caproni dismissed a challenge to New York’s plan to subsidize the state’s nuclear power plants. According to the Judge’s decision, the plan does not intrude upon federal jurisdiction over wholesale electricity markets and passes constitutional muster because it is rationally related to a legitimate state interest: the production of clean energy and the reduction of carbon emissions from the production of other energy.

A coalition of power generators and energy groups, including the Electric Power …

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