ICC approves plan that fast-tracks solar projects in the state

Illinois (KHQA) — With the looming federal tax credits ending for clean energy projects, the Illinois Commerce Commission is giving the green light build more solar farms with those credits before it’s too late.

“The kind of impetus for it was we held a big summit with all the renewable companies, the utilities, consumer groups, environmental groups, back in August to say, ‘Hey, in light of federal action house resolution one, that passed in July at the federal level, that has a timeline right? That phases out a lot of the tax credits that renewables have had for a while. Is there anything the commission can do to expedite, help out, get projects built and still take advantage of the tax credits while they’re still available?’” said ICC Executive Director Jonathon Feipel.

Now, around three months later, the ICC has announced the approval of updates to the 2024 – 2026 Illinois Power Agency’s Long-Term Renewable Resources Procurement Plan (LTRRPP) and the expansion of the Adjustable Block Program.

The Adjustable Block Program, also known as Illinois Shines, is application-based program where people can sign up to have rooftop solar panels put on their house.

“This is a first come, first served, if once you sign up as a residential customer to put rooftop panels on their house, you just go get your renewable credits from the power agency and you’re on your way,” said Feipel.

Feipel said the ICC expanded this program for 2026.

They also made it so renewable credits for rooftop solar, commercial solar, community solar, and equity projects can be switched around.

So, if there’s not a lot of people applying for commercial solar program, then they can shift those credits over to be used in residential solar or another group that has more interest.

This allows those credits to be used, instead of getting wasted in a section that doesn’t have a lot of takers.

“This is decisive, forward-looking leadership from the Illinois Commerce Commission,” said Stephanie Burgos-Veras, Senior Manager of Equity Programs at Coalition for Community Solar Access, in a press release. “By acting now, Illinois is ensuring that residents and businesses benefit from the lowest-cost solar projects while federal incentives remain available — cementing the state’s position as a national model for smart, affordable clean energy growth.”

The ICC also gave the Illinois Power Agency more control over where those credits go.

Previously, the plan was to split them 50/50 between wind and solar. Now, the IPA can look at which energy source is more popular, and adjust the credits accordingly.

“Those are the real overall impactful and all with an eye toward how do we get as many renewable projects set up as quickly as possible on the federal timeline to take advantage of the tax credits while they’re still available,” said Feipel.

The ICC also changed how the credits were spread out.

Prior to the federal tax credit cuts, Illinois’ long-term plan was to extend them over multiple years.

Now, under the ICC, the state can rapidly go through credits to get as many projects up and going in 2026.

“This decision positions Illinois at the forefront of smart energy planning,” said John Albers, Director at Advanced Energy United, in a press release. “By accelerating renewable procurement now, the Commission is helping avoid future price shocks, create a more reliable grid, and attract private investment that keeps energy dollars working here in Illinois. It’s a clear example of how policy leadership can translate into lower costs and stronger energy security for everyone.”

But, Feipel clarified that this doesn’t mean the projects can cut any corners. There are still the same regulations and solar farm distance setbacks from residential areas.

“All this really does is help speed up those projects, to be able to again, take advantage of the least cost possible,” said Feipel.

And Feipel said this will save Illinois residents money.

“This idea of what can we do to maximize the amount of power we’re putting out because we know we’re going to need it. We know we’re going to need more electricity to keep the lights on. This allows us to do it faster, which we need for resource adequacy, but also to save the taxpayers of Illinois the most amount of money because we can build more projects that actually get to use those tax credit,” said Feipel.

Federal tax credits for clean energy expire on Dec. 31, 2025.