Illinois Doubles Down on Renewables: Clean and Reliable Grid Affordability Act

The landscape for renewable energy in the Midwest just underwent a seismic shift. On January 8, 2026, Governor JB Pritzker signed the Clean and Reliable Grid Affordability (CRGA) Act into law- a landmark piece of legislation that solidifies Illinois as the national vanguard for clean energy and grid modernization.

Building on the foundation of the 2021 Climate and Equitable Jobs Act (CEJA), the CRGA Act isn’t just about lowering consumer bills; it’s a massive signal to renewable energy developers that Illinois is open for business, specifically in the realms of energy storage, community solar, and grid-edge technology. For developers, this legislation translates into streamlined permitting, massive new procurement targets, and a diversification of the "clean energy" definition in the state. Here is a breakdown of what this means for your pipeline.

Key Provisions: Clean and Reliable Grid Affordability Act

Building on the momentum of previous landmark laws like CEJA, the CRGA Act introduces a massive 3 GW energy storage mandate by 2030, tripling the state's investment in energy efficiency and establishing a first-of-its-kind Virtual Power Plant (VPP) program. For renewable energy developers, this legislation represents a critical market shift, offering expanded community solar caps of 10 MW, streamlined transmission planning through Grid-Enhancing Technologies (GETs), and a new state-led Integrated Resource Plan (IRP) designed to stabilize wholesale power costs.

1) Statewide Battery Storage Procurement Targets

By setting a firm procurement target of 3 GW of energy storage by 2030, the legislation creates a massive new market for developers. This rollout will modernize the grid and lower consumer costs, providing a 24-hour energy reserve capable of powering half a million residences during critical outages.

2) Expands Utility Energy Efficiency Mandates

Utility energy efficiency goals are receiving a massive boost: Ameren’s program capacity will roughly double, while ComEd’s increases by a quarter. Critically, the law triples the equity-focused spend to 25% of total budgets, unlocking $137 million per year for ComEd service areas and $55.5 million for Ameren’s.

3) Accelerates Grid Integration

This legislation accelerates grid integration by modernizing the state's transmission planning and fast-tracking energy storage connections. For developers, this means lower congestion costs and a faster transition from the interconnection queue to active power delivery.

4) Establishes a State Integrated Resource Plan

Under the CRGA Act, Illinois will now chart its own energy future through a comprehensive Integrated Resource Plan. This state-led modeling and ICC-approved planning process aim to curb rising wholesale costs while providing a structured, long-term blueprint for the state’s energy mix.

5) Strengthens Gas Efficiency Portfolios

The Act mandates an aggressive expansion of gas efficiency portfolios for major utilities like Nicor and Peoples Gas, effectively doubling their energy reduction targets. For developers in the HVAC and building-tech sectors, the most critical update is the new 'Whole-Home' requirement: 80% of income-qualified budgets must now be allocated toward comprehensive weatherization and high-efficiency hardware, creating a stabilized, high-volume market for professional energy retrofits.

Benefits of the CRGA for Energy Developers

By prioritizing both large-scale infrastructure and equitable distributed generation, the Act provides a clear, long-term roadmap for developers ready to capitalize on the Midwest’s most robust clean energy economy.

1) A Massive Mandate for Energy Storage

Perhaps the most significant "win" for developers in the CRGA Act is the creation of Illinois’ first energy storage procurement program. The law sets a firm target of 3,000 MW of energy storage capacity by 2030.

• Uniform Siting: The Act aligns storage siting and permitting requirements with existing wind and solar standards, removing the "regulatory guessing game" that often stalls storage projects.

• Storage Credits: To ensure projects are bankable, the Illinois Power Agency (IPA) will implement an indexed storage credit mechanism, with initial procurements for utility-scale projects expected as early as late 2026.

2) Community Solar Expansion

The CRGA Act recognizes the soaring demand for distributed generation by increasing the maximum size for community solar projects to 10 MW. This allows developers to take advantage of better economies of scale while still utilizing the state’s robust community solar incentives.

3) The Rise of Virtual Power Plants (VPPs)

Illinois is positioning itself as a leader in "grid-edge" reliability. The Act establishes a statewide Virtual Power Plant initiative, pooling resources like residential solar and behind-the-meter batteries to support the grid during peak demand. For developers in the residential and commercial sectors, this creates a secondary revenue stream for customers, making solar-plus-storage installations significantly more attractive.

4) Diversified Energy Portfolio: Geothermal and Nuclear

The CRGA Act isn't limited to the "big two" (wind and solar). It introduces a Geothermal Homes and Businesses Program, allocating $10 million from the Renewable Energy Credit (REC) budget specifically for geothermal projects.

Furthermore, in a move to ensure long-term "baseload" reliability, the Act lifts the long-standing moratorium on new, large-scale nuclear reactors. While solar and wind remain the primary engines of the transition, this multi-technology approach ensures a more stable and predictable interconnection environment for all participants.

5) Prioritizing Equity and "Solar for All"

Equity remains at the heart of Illinois' energy policy. The CRGA Act expands the Illinois Solar for All program, including new carve-outs for energy storage. This ensures that developers focusing on low-income and environmental justice communities have access to dedicated funding and streamlined self-attestation processes for participants.

Capitalizing on the Illinois Boom

With an estimated $13.4 billion in consumer savings projected over the next 20 years, the CRGA Act is designed to make the transition to 100% clean energy both affordable and inevitable. However, as the state moves toward its first Integrated Resource Plan (IRP) in late 2026, competition for prime land and interconnection points will intensify.

At LandGate, we provide the data-driven tools you need to stay ahead of these legislative shifts. From identifying high-value parcels near existing infrastructure to analyzing local zoning and fire safety standards for storage, our platform is built for the modern developer.

Ready to scale your portfolio in the nation’s fastest-growing energy market? Learn more about LandGate’s Developer Tools and Book a Demo Today.