Maryland Lowers Energy Bills and Builds its Clean Energy Future with New Laws

April 10, 2025

Annapolis, MD —

This week, Maryland legislators passed  several key laws that will bring down energy costs for Marylanders and secure the state’s clean energy energy future. These legislative wins signal that while the Trump administration attempts to keep the country at a polluting standstill, Maryland is moving forward.      

“We’re thrilled that the General Assembly passed key bills that will lower energy costs for Marylanders  and keep the state forging ahead to meet its clean energy mandates ,” said Susan Stevens Miller, senior attorney on Earthjustice’s Right To Zero Campaign. “Maryland is showing itself to be a leader in a moment when we need powerful state action to build a brighter future. Now, we need Governor Moore to sign this critical legislation into law.”

The General Assembly approved a sprawling leadership bill called the Next Generation Act, which includes extensive energy policies that environmental groups like Earthjustice heavily supported. The bill incorporated elements of the Ratepayer Freedom Act to rein in reckless utility abuses of customer funds. Now, Maryland’s for-profit utility companies will be barred from charging customers for the utility’s lobbying or pricey memberships in trade associations that lobby against clean air and climate measures. The bill does not include its original reporting requirements — however, the Maryland Public Service Commission can decide to require reporting. 

The Next Generation Act also includes a requirement to rein in data centers’ impacts on Maryland’s energy grid. Now, the Public Service Commission will be required to create a new rate specifically set for data centers to ensure that everyday people don’t foot the bill for massive data centers expanding into Maryland in their energy bills. This policy is the first-of-its kind in the U.S. and represents a model for other states looking to reduce spiraling energy costs associated with the growing data center industry.  

Furthermore, the leadership bill includes an important element of the Abundant Affordable Clean Energy Act, fast tracking 1600 megawatts of battery storage as Maryland builds its clean energy future. The leadership bill also includes urgent reforms to STRIDE, a program that authorizes Maryland gas utilities to spend ratepayer money on gas pipeline plans. Now, utilities will be required to apply a “fix it first” approach to gas pipeline leaks, rather than spending billions of customer dollars to replace pipelines wholesale while the state increasingly shifts to cleaner all-electric solutions over gas appliances. 

Amidst these exciting and forward-looking policies, there were several disappointing elements of the leadership bill, including a provision that will fast track the build out of gas plants and nuclear energy.  

“We should not be focusing on building new gas plants in Maryland — full stop,” concluded Miller. “It was disappointing to see state legislators focus on polluting energy that we know won’t help us meet our state’s clean air goals. The Commission has limited resources, so we shouldn’t force staff to use their valuable time determining whether or not Maryland can build out new gas plants. We need to keep our eye on Maryland’s north star goals for a clean and resilient grid, and focus on building out renewable energy and battery storage.”  

Happily, several bills that sought to stall Maryland’s clean air gains did not make it through the session. Legislation that sought to roll back the state’s adoption of the Advanced Clean Trucks and Advanced Clean Cars II rules, which will accelerate the adoption of electric trucks and vehicles in the state and improve air quality, died in the House.