103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB1545

 

Introduced 2/8/2023, by Sen. Dale Fowler

 

SYNOPSIS AS INTRODUCED:
 
New Act
30 ILCS 105/5.990 new

    Creates the Photovoltaic Module Stewardship and Takeback Program Act. Requires the Environmental Protection Agency to develop guidance for photovoltaic module stewardship and takeback programs to guide manufacturers in preparing and implementing a self-directed program to ensure the convenient, safe, and environmentally sound takeback and recycling of photovoltaic modules and their components and materials. Provides that a stewardship organization may be designated to act as an agent on behalf of a manufacturer or manufacturers in operating and implementing the stewardship program. Requires each manufacturer to prepare and submit a stewardship plan with specified requirements to the Agency on or before the later of July 1, 2025 or within 30 days after its first sale of a photovoltaic module in or into the State. Provides that a manufacturer or its designated stewardship organization must provide to the Agency a report that documents implementation of the stewardship plan and assesses the achievement of performance goals. Provides that the Agency may collect a flat fee from participating manufacturers to recover costs associated with the stewardship plan guidance, review, and approval process. Creates the Photovoltaic Module Recycling Fund and makes a conforming change to the State Finance Act. Requires the Department of Commerce and Economic Opportunity to convene a Photovoltaic Module Recovery, Reuse, and Recycling Working Group to review and provide recommendations regarding potential methodologies for the management of end-of-life photovoltaic modules. Provides that the Act is repealed on January 1, 2028. Contains other provisions. Effective immediately.


LRB103 24975 HLH 51309 b

 

 

A BILL FOR

 

SB1545LRB103 24975 HLH 51309 b

1    AN ACT concerning safety.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Photovoltaic Module Stewardship and Takeback Program Act.
 
6    Section 5. Findings. The General Assembly finds that a
7convenient, safe, and environmentally sound system for the
8recycling of photovoltaic modules, minimization of hazardous
9waste, and recovery of commercially valuable materials must be
10established. The General Assembly further finds that the
11responsibility for this system must be shared among all
12stakeholders, with manufacturers financing the takeback and
13recycling system.
 
14    Section 10. Definitions. In this Act:
15    "Agency" means the Environmental Protection Agency.
16    "Consumer electronic device" means any device containing
17an electronic circuit board that is intended for everyday use
18by individuals, such as a watch or calculator.
19    "Distributor" means a person who markets and sells a
20photovoltaic module to a retailer in Illinois.
21    "Fund" means the Photovoltaic Module Recycling Fund
22created under Section 50.

 

 

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1    "Installer" means a person who assembles, installs, and
2maintains a photovoltaic module system.
3    "Manufacturer" means any person in business, or who is no
4longer in business but has a successor in interest, who,
5irrespective of the selling technique used, including by means
6of distance or remote sale:
7        (1) manufactures or has manufactured a photovoltaic
8    module under its own brand name for use or sale in or into
9    this State;
10        (2) assembles or has assembled a photovoltaic module
11    that uses parts manufactured by others for use or sale in
12    or into this State under the assembler's brand name;
13        (3) resells or has resold in or into this State, under
14    its own brand name, a photovoltaic module produced by
15    another supplier, including a retail establishment that
16    sells a photovoltaic module under the supplier's own brand
17    name;
18        (4) manufactures or has manufactured a co-branded
19    photovoltaic module product for use or sale in or into
20    this State that carries the name of both the manufacturer
21    and a retailer;
22        (5) imports or has imported a photovoltaic module into
23    the United States that is used or sold in or into this
24    State; however, if the imported photovoltaic module is
25    manufactured by any person with a presence in the United
26    States meeting the criteria of paragraph (1), (2), (3),

 

 

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1    (4), or (6), that person is the manufacturer;
2        (6) sells at retail a photovoltaic module acquired
3    from an importer that is the manufacturer and elects to
4    register as the manufacturer for that product; or
5        (7) elects to assume the responsibility of, and
6    registers in lieu of, a manufacturer meeting the criteria
7    of paragraph (1), (2), (3), (4), (5), or (6).
8    "Photovoltaic module" means the smallest, nondivisible,
9environmentally protected assembly of photovoltaic cells or
10other photovoltaic collector technology, and any ancillary
11part, intended to generate electrical power under sunlight.
12"Photovoltaic module" does not include a photovoltaic cell
13that is part of a consumer electronic device for which it
14provides electricity needed to make the consumer electronic
15device function. "Photovoltaic module" includes, but is not
16limited to, interconnections, terminals, and protective
17devices such as diodes that are:
18        (1) installed on, connected to, or integral to
19    buildings;
20        (2) used as components of freestanding, off-grid power
21    generation systems, such as for powering water pumping
22    stations, electric vehicle charging stations, fencing,
23    street and signage lights, and other commercial or
24    agricultural purposes; or
25        (3) part of a system connected to a grid or utility
26    service.

 

 

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1    "Predecessor" means an entity from which a manufacturer
2purchases a photovoltaic module brand, its warranty
3obligations, and its liabilities. "Predecessor" does not
4include an entity from which a manufacturer purchases only
5manufacturing equipment.
6    "Rare earth element" means lanthanum, cerium,
7praseodymium, neodymium, promethium, samarium, europium,
8gadolinium, terbium, dysprosium, holmium, erbium, thulium,
9ytterbium, lutetium, yttrium, or scandium.
10    "Retailer" means a person who offers a photovoltaic module
11for retail sale in the State through any means, including, but
12not limited to, a remote offering such as a sales outlet,
13catalog, or internet sale.
14    "Reuse" means any operation by which a photovoltaic module
15or a component of a photovoltaic module changes ownership and
16is used for the same purpose for which it was originally
17purchased.
18    "Stewardship plan" means the plan developed by a
19manufacturer or its designated stewardship organization for a
20self-directed stewardship program under subsection (a) of
21Section 25.
22    "Stewardship program" means the activities conducted by a
23manufacturer or a stewardship organization to fulfill the
24requirements of this Act and implement the activities
25described in its stewardship plan.
26    "Working Group" means the Photovoltaic Module Recovery,

 

 

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1Reuse, and Recycling Working Group created under Section 65.
 
2    Section 15. Program guidance, review, and approval. The
3Agency must develop guidance for photovoltaic module
4stewardship and takeback programs to guide manufacturers in
5preparing and implementing a self-directed program to ensure
6the convenient, safe, and environmentally sound takeback and
7recycling of photovoltaic modules and their components and
8materials. On or before January 1, 2024, the Agency must
9establish a process to develop guidance for photovoltaic
10module stewardship plans by working with manufacturers,
11stewardship organizations, and other stakeholders on the
12content, review, and approval of stewardship plans. The
13Agency's process must be fully implemented and stewardship
14plan guidance completed on or before July 1, 2024.
 
15    Section 20. Stewardship organization as an agent of a
16manufacturer. A stewardship organization may be designated to
17act as an agent on behalf of a manufacturer or manufacturers in
18operating and implementing the stewardship program required
19under subsection (a) of Section 25. Any stewardship
20organization that has obtained such a designation must provide
21to the Agency a list of the manufacturers and brand names that
22the stewardship organization represents within 60 days after
23its designation by a manufacturer as its agent and within 60
24days after the removal of such a designation.
 

 

 

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1    Section 25. Stewardship plan; requirements.
2    (a) A manufacturer must prepare and submit a stewardship
3plan to the Agency on or before the later of July 1, 2025 or
4within 30 days after its first sale of a photovoltaic module in
5or into the State.
6    (b) A stewardship plan must, at minimum:
7        (1) describe how the manufacturer will finance the
8    takeback and recycling system and include an adequate
9    funding mechanism to finance the costs of collection,
10    management, and recycling of photovoltaic modules and
11    residuals sold in or into the State by the manufacturer,
12    with a mechanism ensuring that photovoltaic modules can be
13    delivered to takeback locations without cost to the last
14    owner or holder;
15        (2) require the manufacturer's stewardship program to
16    accept all of the manufacturer's photovoltaic modules sold
17    in or into the State on and after July 1, 2025;
18        (3) describe how the stewardship program will minimize
19    the release of hazardous substances into the environment
20    and maximize the recovery of other components, including
21    rare earth elements and commercially valuable materials;
22        (4) provide for the takeback of photovoltaic modules
23    at locations that are within the region of the State in
24    which the manufacturer's photovoltaic modules are used and
25    are as convenient as reasonably practicable, and if no

 

 

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1    such location within the region of the State exists,
2    include an explanation for the lack of the location;
3        (5) identify how relevant stakeholders, including
4    consumers, installers, building demolition firms, and
5    recycling and treatment facilities, will receive
6    information required in order for them to properly
7    dismantle, transport, and treat end-of-life photovoltaic
8    modules in a manner consistent with the objectives
9    described in paragraph (3); and
10        (6) establish performance goals, including a goal for
11    the rate of combined reuse and recycling of collected
12    photovoltaic modules as a percentage of the total weight
13    of photovoltaic modules collected, which rate must be no
14    less than 85%.
15    (c) A manufacturer must implement the stewardship plan
16submitted under subsection (a).
17    (d) A manufacturer may periodically amend its stewardship
18plan. The Agency must approve the amendment if it meets the
19requirements for plan approval outlined in the Agency's
20guidance created under Section 15. When submitting a proposed
21amendment under this subsection, a manufacturer must include
22an explanation of why the amendment is necessary.
 
23    Section 30. Plan approval. The Agency must approve a
24stewardship plan if it determines that the stewardship plan
25addresses each element outlined in the Agency's guidance

 

 

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1created under Section 15.
 
2    Section 35. Annual report.
3    (a) On or before April 1, 2026, and on or before April 1 of
4each subsequent year, a manufacturer or its designated
5stewardship organization must provide to the Agency a report
6for the previous calendar year that documents the
7implementation of the stewardship plan submitted under
8subsection (a) of Section 25 and assesses the achievement of
9the performance goals established under paragraph (6) of
10subsection (b) of Section 25.
11    (b) The report submitted under subsection (a) may include
12any recommendation to the Agency or the General Assembly
13regarding modifications to the stewardship program that would
14enhance the effectiveness of the stewardship program,
15including management of stewardship program costs and
16mitigation of environmental impacts of photovoltaic modules.
17    (c) A manufacturer or stewardship organization must post
18the report submitted under subsection (a) on a publicly
19accessible website.
 
20    Section 40. Enforcement.
21    (a) On and after July 1, 2026, no manufacturer,
22distributor, retailer, or installer may sell or offer for sale
23a photovoltaic module in or into the State unless the
24manufacturer of the photovoltaic module has submitted to the

 

 

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1Agency a stewardship plan and received plan approval from the
2Agency.
3    (b) The Agency must send a written warning to a
4manufacturer that is not participating in a stewardship plan.
5The written warning must inform the manufacturer that it must
6submit a stewardship plan or participate in a stewardship plan
7within 30 days after receiving the notice. The Agency may
8assess a civil penalty of up to $10,000 upon a manufacturer for
9each sale after the initial written warning that occurs in or
10into the State of a photovoltaic module for which a
11stewardship plan has not been submitted by the manufacturer
12and approved by the Agency. A manufacturer may appeal a
13penalty issued under this Section to the circuit court of the
14county in which the alleged violation occurred within 180 days
15after receipt of the written warning.
16    (c) The Agency must send a written warning to a
17distributor, retailer, or installer that sells or installs a
18photovoltaic module made by a manufacturer that is not
19participating in a stewardship plan. The written warning must
20inform the distributor, retailer, or installer that the
21distributor, retailer, or installer may no longer sell or
22install a photovoltaic module if a stewardship plan for that
23brand has not been submitted by the manufacturer and approved
24by the Agency within 30 days after receipt of the written
25warning.
 

 

 

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1    Section 45. Fee. The Agency may collect a flat fee from
2participating manufacturers to recover costs associated with
3the stewardship plan guidance, review, and approval process
4described in Section 15. Other administrative costs incurred
5by the Agency for stewardship program implementation
6activities, including stewardship plan review and approval,
7enforcement, and any rulemaking, may be recovered by charging
8every manufacturer an annual fee calculated by dividing the
9Agency's administrative costs by the manufacturer's pro rata
10share of the Illinois State photovoltaic module sales in the
11most recent preceding calendar year, based on the best
12available information. The sole purpose of assessing the fee
13authorized under this Section is to predictably and adequately
14fund the Agency's costs of administering the photovoltaic
15module recycling program.
 
16    Section 50. Photovoltaic Module Recycling Fund. The
17Photovoltaic Module Recycling Fund is created as a special
18fund in the State treasury. All fees collected from
19manufacturers under Section 45 must be deposited into the
20Fund. Expenditures from the Fund may be used only for
21administering this Act. Only the Director of the Agency or the
22Director's designee may authorize expenditures from the Fund.
23The Fund is subject to the applicable allotment procedures
24provided by law, but an appropriation is not required for
25expenditures. Moneys in the Fund may not be diverted for any

 

 

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1purpose or activity other than those specified in this Act.
 
2    Section 55. Rulemaking. The Agency may adopt rules as
3necessary for the purpose of implementing, administering, and
4enforcing this Act.
 
5    Section 60. National program. In lieu of preparing a
6stewardship plan as provided under Section 25, a manufacturer
7may participate in a national program for the convenient,
8safe, and environmentally sound takeback and recycling of
9photovoltaic modules and their components and materials if the
10national program is substantially equivalent to the intent of
11the State stewardship program. The Agency may determine
12substantial equivalence if it determines that the national
13program (1) adequately addresses and fulfills each element of
14a stewardship plan outlined in subsection (b) of Section 25
15and (2) includes an enforcement mechanism reasonably
16calculated to ensure a manufacturer's compliance with the
17national program. Upon issuing a determination of substantial
18equivalence, the Agency must notify affected stakeholders,
19including the manufacturer. If the national program is
20discontinued or the Agency determines that the national
21program is no longer substantially equivalent to the State
22stewardship program, the Agency must notify the manufacturer
23and the manufacturer must provide a stewardship plan as
24described in subsection (b) of Section 25 to the Agency for

 

 

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1approval within 30 days after notification.
 
2    Section 65. Photovoltaic Module Recovery, Reuse, and
3Recycling Working Group.
4    (a) Subject to appropriation for this specific purpose,
5the Department of Commerce and Economic Opportunity shall
6convene a Photovoltaic Module Recovery, Reuse, and Recycling
7Working Group to review and provide recommendations regarding
8potential methodologies for the management of end-of-life
9photovoltaic modules, including modules from utility-scale
10solar projects.
11    (b) The members of the Working Group shall be appointed by
12the Director of Commerce and Economic Opportunity and shall
13include, but are not limited to, members representing the
14following:
15        (1) A manufacturer of photovoltaic modules located in
16    the State.
17        (2) A manufacturer of photovoltaic modules located
18    outside the State.
19        (3) A national solar industry group.
20        (4) Solar installers in the State.
21        (5) A utility-scale solar project.
22        (6) A nonprofit environmental organization with
23    expertise in waste minimization.
24        (7) A city solid waste program.
25        (8) A county solid waste program.

 

 

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1        (9) An organization with expertise in photovoltaic
2    module recycling.
3        (10) A community-based environmental justice group.
4        (11) The Agency.
5    (c) Participation in the Working Group is strictly
6voluntary. Members of the Working Group shall serve without
7compensation or reimbursement. The members shall elect from
8their number a chair and such other officers as they may deem
9necessary. The meetings of the Working Group shall be held at
10the call of the chair.
11    (d) The Department of Commerce and Economic Opportunity
12shall submit a final report of the Working Group's findings
13and recommendations to the General Assembly and the Governor
14on or before January 1, 2027.
 
15    Section 70. Repeal. This Act is repealed on January 1,
162028.
 
17    Section 90. The State Finance Act is amended by adding
18Section 5.990 as follows:
 
19    (30 ILCS 105/5.990 new)
20    Sec. 5.990. The Photovoltaic Module Recycling Fund. This
21Section is repealed on January 1, 2028.
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.