Energy Conservation and Coal Development Act (20 ILCS 1105/)

Chapter 20 — Executive Branch

Various Departments

This text is maintained by the Legislative Reference Bureau for legislative drafting purposes and is NOT the official text of the Illinois Compiled Statutes; the only official copy is the printed copy maintained by the Secretary of State.

Sec. 1. Definitions; transfer of duties

(a) For the purposes of this Act, unless the context otherwise requires:

"Department" means the Department of Commerce and Economic Opportunity.

"Director" means the Director of Commerce and Economic Opportunity.

(b) As provided in Section 80-20 of the Department of Natural Resources Act, the Department of Commerce and Community Affairs (now Department of Commerce and Economic Opportunity) shall assume the rights, powers, and duties of the former Department of Energy and Natural Resources under this Act, except as those rights, powers, and duties are otherwise allocated or transferred by this amendatory Act of the 102nd General Assembly or any other law.

(Source: P.A. 102-444, eff. 8-20-21.)

Sec. 2.

[Repealed]

(Source: P.A. 85-828. Repealed by P.A. 89-445, eff. 2-7-96.)

Sec. 3. Powers and duties

(a) In addition to its other powers, the Environmental Protection Agency has the following powers:

(1) To administer for the State any energy programs and activities under federal law, regulations or guidelines, and to coordinate such programs and activities with other State agencies, units of local government, and educational institutions.

(2) To represent the State in energy matters involving the federal government, other states, units of local government, and regional agencies.

(3) To prepare energy assurance plans for consideration by the Governor and the General Assembly. Such plans may include procedures for determining when a foreseeable danger exists of energy shortages, including shortages of petroleum, coal, nuclear power, natural gas, and other forms of energy, and may specify the actions to be taken to minimize hardship and maintain the general welfare during such energy shortages.

(4) To cooperate with State colleges and universities and their governing boards in energy programs and activities.

(5) (Blank).

(6) To accept, receive, expend, and administer, including by contracts and grants to other State agencies, any energy-related gifts, grants, cooperative agreement funds, and other funds made available to the Agency by the federal government and other public and private sources, as well as any of those funds made available to the Department before the effective date of this amendatory Act of the 102nd General Assembly.

(7) To assist the Department of Central Management Services in establishing and maintaining a system to analyze and report energy consumption of facilities leased by the Department of Central Management Services.

(a-5) In addition to its other powers, the Department has the following powers:

(1) To investigate practical problems, seek and utilize financial assistance, implement studies and conduct research relating to the production, distribution and use of alcohol fuels.

(2) To serve as a clearinghouse for information on alcohol production technology; provide assistance, information and data relating to the production and use of alcohol; develop informational packets and brochures, and hold public seminars to encourage the development and utilization of the best available technology.

(3) To coordinate with other State agencies in order to promote the maximum flow of information and to avoid unnecessary overlapping of alcohol fuel programs. In order to effectuate this goal, the Director of the Department or his representative shall consult with the Directors, or their representatives, of the Departments of Agriculture, Central Management Services, Transportation, and Revenue, the Office of the State Fire Marshal, and the Environmental Protection Agency.

(4) To operate, within the Department, an Office of Coal Development and Marketing for the promotion and marketing of Illinois coal both domestically and internationally. The Department may use monies appropriated for this purpose for necessary administrative expenses.

The Office of Coal Development and Marketing shall develop and implement an initiative to assist the coal industry in Illinois to increase its share of the international coal market.

(5) To assist the Department of Central Management Services in establishing and maintaining a system to analyze and report energy consumption of facilities leased by the Department of Central Management Services.

(6) To consult with the Department of Transportation and the Illinois Environmental Protection Agency for the purpose of developing methods and standards that encourage the utilization of coal combustion by-products as value added products in productive and benign applications.

(7) To provide technical assistance and information to sellers and distributors of storage hot water heaters doing business in Illinois.

(b) (Blank).

(c) (Blank).

(d) The Agency shall develop a package of educational materials containing information regarding the necessity of waste reduction and recycling to reduce dependence on landfills and to maintain environmental quality. The Agency shall make this information available to the public on its website and for schools to access for their development of materials. Those materials shall be suitable for instructional use in grades 3, 4 and 5.

(e) (Blank).

(f) (Blank).

(g) (Blank).

(h) (Blank).

(i) (Blank).

(Source: P.A. 102-444, eff. 8-20-21.)

Sec. 6.

[Repealed]

(Source: P.A. 87-895. Repealed by P.A. 89-445, eff. 2-7-96.)

Sec. 7.

[Repealed]

(Source: P.A. 84-25. Repealed by P.A. 89-445, eff. 2-7-96.)

Sec. 8.

[Repealed]

(Source: P.A. 96-739, eff. 1-1-10. Repealed by P.A. 104-435, eff. 11-21-25.)

Sec. 8a.

[Repealed]

(Source: P.A. 90-304, eff. 8-1-97. Repealed by P.A. 92-736, eff. 7-25-02.)

Sec. 8.1. The Illinois Coal Resurgence Program

The Department shall administer the Illinois Coal Resurgence Program. The Department shall have the following powers in accordance with Section 7 of the General Obligation Bond Act:

(1) To assist in the reopening of closed Illinois mines.

(2) To assist in allowing existing Illinois coal mines to remain operating.

(3) To assist in developing new markets (both domestic and foreign) for Illinois coal.

(4) To assist in funding the cost of transportation of Illinois coal to new markets and the development of related infrastructure.

(5) To assist in funding the cost of construction and development of coal conversion parks in Illinois.

(6) To assist in providing incentives to attract new businesses that use coal or by-products developed from coal or its conversion to relocate in Illinois.

(7) To assist in hiring consultants, engineers, and other experts to assist in providing feasibility work in connection with projects whose funding would otherwise be authorized under this Act.

(Source: P.A. 90-312, eff. 8-1-97.)

Sec. 9. The Illinois Industrial Coal Utilization Program

The Department shall administer the Illinois Industrial Coal Utilization Program, referred to as the "program". The purpose of the program is to increase the environmentally sound use of Illinois coal by qualified applicants. To that end, the Department shall operate a revolving loan program to partially finance new coal burning facilities sited in Illinois or conversion of existing boilers located in Illinois to coal use, referred to as "industrial coal projects".

The Department shall make below market rate loans available to fund a portion of each qualifying industrial coal project. The applicant must demonstrate that it is able to obtain additional financing from other sources to fund the remainder of the project and that the project would not occur without the Department's participation. The Department may, in part, rely on the financial evaluation completed by the provider of the additional funding, as well as its own evaluation.

The Department shall have the following powers:

(1) To accept grants, loans, or appropriations from the federal government or the State, or any agency or instrumentality of either, to be used for any purposes of the program, including operating and administrative expenses associated with the program and the making of direct loans of those funds with respect to projects. The Department may enter into any agreement with the federal government or the State, or any agency or instrumentality of either, in connection with those grants, loans, or appropriations.

(2) To make loans from appropriations from the Build Illinois Bond Fund and to accept guarantees from individuals, partnerships, joint ventures, corporations, and governmental agencies. Any loan or series of loans shall be limited to an amount not to exceed the lesser of $4,000,000 or 60% of the total project cost.

(3) To establish interest rates, terms of repayment, and other terms and conditions regarding loans made under this Act as the Department shall determine necessary or appropriate to protect the public interest and carry out the purposes of this Act.

(4) To receive, evaluate, and establish time schedules for the determination of, and determine applications for financial aid for the development, construction, acquisition, or improvement of, an industrial coal project from any qualifying applicant and negotiate terms and conditions on which the coal project may be developed, constructed, improved, owned, or used by or leased to the applicant or its successor in interest. The Department shall prescribe the form of application. The form shall contain, without being limited to, the following:

(i) a general description of the industrial coal project and of the developer, user, or tenant for which the industrial project is to be established;

(ii) plans, equipment lists, and other documents that may be required to show the type, structure, and general character of the project;

(iii) a general description of the expected use of Illinois coal resulting from the project;

(iv) cost estimates of developing, constructing, acquiring, or improving the industrial project;

(v) a general description of the financing plan for the industrial coal project; and

(vi) a general description and statement of value of any property and its improvements provided or to be provided for the project by other sources.

Nothing in this Section shall be deemed to preclude the Department, before the filing of any formal application, from conducting preliminary discussions and investigations with respect to the subject matter of any prospective applications.

(Source: P.A. 104-435, eff. 11-21-25.)

Sec. 10. Evaluation of loan applications

The Department shall evaluate applications for loans. Evaluation of the loan applications shall be based on, but not limited to, the following criteria:

(a) The length of time applicants will commit to using Illinois coal in the facility which is modified, acquired or constructed as a result of the project. The applicant must agree to use Illinois coal for at least the life of the loan as a condition of such loan. Weight shall be given for longer commitments.

(b) The total amount of Illinois coal used. Weight shall be given to projects using larger amounts of Illinois coal over the life of the loan.

(c) The percentage of the total project costs the State is asked to finance. Weight shall be given to projects which maximize the use of private funds or funds from other public sources.

(d) The technical merits of the project, including, but not limited to, the effectiveness of the prepared coal-use system in controlling emissions of sulfur dioxide and other pollutants.

(Source: P.A. 104-435, eff. 11-21-25.)

Sec. 11. Deposit of Illinois Industrial Coal Utilization moneys

(Text of Section before amendment by P.A. 104-695)

Sec. 11. Deposit of Illinois Industrial Coal Utilization moneys. The Department is authorized to accept any and all grants, repayments of interest and principal on Industrial Coal Utilization loans, matching funds, reimbursements, appropriations, income derived from investments, or other things of value from the federal or state governments or from any institution, person, partnership, joint venture, or corporation, public or private, received under the Illinois Industrial Coal Utilization Program for deposit into the General Revenue Fund in the State treasury. Any moneys collected as a result of foreclosures of loans or other financing agreements, or the violation of any of their terms, under this program shall also be deposited into the General Revenue Fund. On or as soon as practicable after July 1, 1991, the State Comptroller and the State Treasurer shall transfer the balance of moneys in the Illinois Industrial Coal Utilization Fund to the General Revenue Fund.

(Source: P.A. 87-14.)

(Text of Section after amendment by P.A. 104-695)

Sec. 11. Deposit of Illinois Industrial Coal Utilization moneys. The Department is authorized to accept any and all grants, repayments of interest and principal on Industrial Coal Utilization loans, matching funds, reimbursements, appropriations, income derived from investments, or other things of value from the federal or state governments or from any institution, person, partnership, joint venture, or corporation, public or private, received under the Illinois Industrial Coal Utilization Program for deposit into the General Revenue Fund in the State treasury. Any moneys collected as a result of foreclosures of loans or other financing agreements, or the violation of any of their terms, under this program shall also be deposited into the General Revenue Fund.

(Source: P.A. 104-695, eff. 1-1-27.)

Sec. 12.

The Department may take whatever actions are necessary or appropriate to protect the State's interest in the event of default, foreclosure or noncompliance with the terms and conditions of the loans or grants provided under the Illinois Industrial Coal Utilization Program, including the power to sell, dispose, lease or rent, upon terms and conditions deemed to be appropriate by the Department, real or personal property which the Department may receive as a result thereof.

(Source: P.A. 84-111.)

Sec. 13.

The Department shall have the authority to promulgate such rules and regulations as are necessary to carry out the purposes of the Illinois Industrial Coal Utilization Program.

(Source: P.A. 84-111.)

Sec. 13.1. Short title

This Act may be cited as the Energy Conservation and Coal Development Act.

(Source: P.A. 89-445, eff. 2-7-96.)

Sec. 14.

[Repealed]

(Source: P.A. 90-372, eff. 7-1-98. Repealed internally, eff. 7-1-98.)

Sec. 15.

(a) The Department, in cooperation with the Illinois Finance Authority, shall establish a program to assist units of local government, as defined in the Illinois Finance Authority Act, to identify and arrange financing for energy conservation projects for buildings and facilities owned or leased by those units of local government.

(b) The Department, in cooperation with the Illinois Finance Authority, shall establish a program to assist health facilities to identify and arrange financing for energy conservation projects for buildings and facilities owned or leased by those health facilities.

(Source: P.A. 95-331, eff. 8-21-07.)

Sec. 16.

[Repealed]

(Source: P.A. 90-655, eff. 7-30-98. Repealed internally 7-1-98.)