§ 113B-1. Legislative findings and purpose.

Upon investigation the General Assembly hereby finds that:

1. Energy is essential to the health, safety and welfare of the people of this State and to the workings of the State economy. It is in the State’s best interest to support the development of a reliable and adequate supply of energy for North Carolina that is secure, stable, and predictable in order to facilitate economic growth, job creation, and expansion of business and industry opportunities.
2. , (3) Repealed by Session Laws 2013-365, s. 8(a), effective July 29, 2013.

   (3a) It is in the State’s best interest to support the exploration, development, and production of domestic energy supplies, preferably from the resources within the State or region and most certainly from within the country.

   (3b) It is the duty of State government to protect and preserve the State’s natural resources, cultural heritage, and quality of life and, above all, the public health and safety of its residents during the exploration, development, and production of domestic energy resources.

   (4) The State must provide the basis for development of a long-range unified energy policy to encompass comprehensive energy resource planning and efficient management of existing energy resources in relation to economic growth, to effectively meet an energy crisis, to encourage development of alternative sources of energy that are capable of achieving a positive benefit-to-cost ratio, and to ensure efficient utilization of energy resources in a manner consistent with assuring a reliable and adequate supply of energy for North Carolina, including active support and collaboration with the federal government to ensure access to the nation’s energy resources located on the outer continental shelf directly adjacent to the State’s coastal waters.

   (5) It is the expressed intent of this Chapter to provide for development of such a unified domestic energy policy for the State of North Carolina as part of a nationwide effort for increased domestic energy production in the interest of national security and economic growth and stability.

History. 1975, c. 877, s. 3; 2013-365, s. 8(a).

Editor’s Note.

Session Laws 2017-192, s. 12, provides: “The North Carolina Policy Collaboratory (Collaboratory) at the University of North Carolina at Chapel Hill shall conduct a study on energy storage technology. The study shall address how energy storage technologies may or may not provide value to North Carolina consumers based on factors that may include capital investment, value to the electric grid, net utility savings, net job creation, impact on consumer rates and service quality, or any other factors related to deploying one or more of these technologies. The study shall also address the feasibility of energy storage in North Carolina, including services energy storage can provide that are not being performed currently, the economic potential or impact of energy storage deployment in North Carolina, and the identification of existing policies and recommended policy changes that may be considered to address a statewide coordinated energy storage policy. The Collaboratory shall provide the results of this study no later than December 1, 2018, to the Energy Policy Council and the Joint Legislative Commission on Energy Policy.”

Effect of Amendments.

Session Laws 2013-365, s. 8(a), effective July 29, 2013, rewrote the section.

§ 113B-2. Creation of Energy Policy Council; purpose of Council.

1. The Energy Policy Council is created to advise and make recommendations on increasing domestic energy exploration, development, and production within the State and region to promote economic growth and job creation to the Governor and the General Assembly. The Energy Policy Council shall be located within the Department of Environmental Quality.
2. Except as otherwise provided in this Chapter, the powers, duties and functions of the Energy Policy Council shall be as prescribed by the Secretary of Environmental Quality.
3. The Energy Policy Council shall serve as the central energy policy planning body of the State and shall communicate and cooperate with federal, State, regional and local bodies and agencies to the end of effecting a coordinated energy policy.

History. 1975, c. 877, s. 4; 1977, c. 23, ss. 1, 2; 2000-140, s. 76(a); 2009-446, s. 3; 2013-360, s. 15.22(l); 2013-365, s. 8(b); 2015-241, s. 14.30(u), (v).

Editor’s Note.

Session Laws 2013-360, s. 15.22(a), provides: “The State Energy Office is hereby transferred from the Department of Commerce to the Department of Environment and Natural Resources. This transfer shall have all of the elements of a Type I transfer, as defined in G.S. 143A-6 .”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Effect of Amendments.

Session Laws 2009-446, s. 3, effective August 7, 2009, substituted “Commerce” for “Administration” in subsection (a) and (b).

Session Laws 2013-360, s. 15.22( l ), effective July 1, 2013, substituted “Environment and Natural Resources” for “Commerce” in subsection (a); and substituted “the Department of Environment and Natural Resources” for “Commerce” in subsection (b).

Session Laws 2013-365, s. 8(b), effective July 29, 2013, rewrote subsection (a), which formerly read “There is hereby created a council to advise and make recommendations on energy policy to the Governor and the General Assembly to be known as the Energy Policy Council which shall be located within the Department of Commerce”; substituted “Environment and Natural Resources” for “Commerce” in subsection (b).

Session Laws 2015-241, s. 14.30(u) and (v), effective July 1, 2015, substituted “Department of Environmental Quality” for “Department of Environment and Natural Resources” in subsection (a) and “Secretary of Environmental Quality” for “Secretary of Environment and Natural Resources” in subsection (b).

§ 113B-3. Composition of Council; appointments; terms of members; removal; qualifications.

1. The Energy Policy Council shall consist of 13 members to be appointed as follows:
   1. , (2) Repealed by Session Laws 2013-365, s. 8(c), effective July 29, 2013.

      (2a) The Secretary of Environmental Quality, or the Secretary’s designee.

      (2b) The Secretary of Commerce, or the Secretary’s designee.

      (2c) The Lieutenant Governor, or the Lieutenant Governor’s designee.

      (3) Ten public members who are citizens of the State of North Carolina and who are appointed in accordance with subsection (c) of this section.

      (4) Repealed by Session Laws 2009-446, s. 4, effective August 7, 2009.

2. Appointments to the Energy Policy Council shall be made by October 1, 2013. The terms of office of members of the Council are three years. The terms of members appointed under subdivisions (1), (4), and (6) of subsection (c) of this section shall expire on June 30 of years evenly divisible by three. The terms of members appointed under subdivisions (2), (5), (8), and (10) of subsection (c) of this section shall expire on June 30 of years that precede by one year those years that are evenly divisible by three. The terms of members appointed under subdivisions (3), (7), (11), and (12) of subsection (c) of this section shall expire on June 30 of years that follow by one year those years that are evenly divisible by three. Appointments made by the President Pro Tempore of the Senate and the Speaker of the House of Representatives shall be allowed when the General Assembly is not in session.
3. The public members of the Energy Policy Council shall have the qualifications and shall be appointed as follows:
   1. Repealed by Session Laws 2013-365, s. 8(c), effective July 29, 2013.
   2. One member shall have experience in natural gas and associated hydrocarbon exploration, development, and production, to be appointed by the Governor.

      (2a) Repealed by Session Laws 2013-365, s. 8(c), effective July 29, 2013.

   3. One member shall be a representative of an investor-owned natural gas public utility, to be appointed by the Speaker of the House of Representatives.
   4. One member shall be an energy economist or a person with experience in the financing or business development of an energy-related business, to be appointed by the President Pro Tempore of the Senate.
   5. One member shall have experience in energy policy, to be appointed by the President Pro Tempore of the Senate.
   6. One member shall be an industrial energy consumer, to be appointed by the Speaker of the House of Representatives.
   7. One member shall be knowledgeable of alternative and renewable sources of energy, to be appointed by the Governor.
   8. One member shall have experience in trucking, rail, or shipping transportation, to be appointed by the Speaker of the House of Representatives.
   9. Repealed by Session Laws 2009-446, s. 4, effective August 7, 2009.
   10. One member shall have experience in energy research and development, to be appointed by the President Pro Tempore of the Senate.
   11. One member shall have experience in environmental management, to be appointed by the Speaker of the House of Representatives.
   12. One member shall be a representative of an investor-owned electric public utility, to be appointed by the President Pro Tempore of the Senate.
4. A Council member shall be automatically removed from the Council if he or she fails to attend three successive Council meetings without just cause as determined by the remainder of the Council.
5. The Governor shall have the power to remove any member of the Council from office for misfeasance, malfeasance, or nonfeasance in accordance with the provisions of G.S. 143B-13 of the Executive Organization Act of 1973.

History. 1975, c. 877, s. 4; 1977, c. 23, ss. 1, 5; c. 771, s. 4; 1979, c. 422; 1981, c. 701, ss. 4, 5; 1989, c. 727, s. 218(80); c. 751, s. 8(15); 1989 (Reg. Sess., 1990), c. 1004, s. 19(b); 1991, c. 739, s. 10; 1991 (Reg. Sess., 1992), c. 959, s. 27; 1997-443, s. 11A.119(a); 2009-446, s. 4; 2013-365, s. 8(c); 2015-1, s. 5; 2015-241, s. 14.30(v).

Effect of Amendments.

Session Laws 2009-446, s. 4, effective August 7, 2009, in the introductory language of subsection (a), substituted “16” for “18”; in subdivision (a)(3), substituted “Twelve” for “Nine,” added the second sentence, and made a related change; deleted subdivision (a)(4), which read: “The chairman of the North Carolina Utilities Commission, the Secretary of Environment and Natural Resources, the Commissioner of Agriculture, the Secretary of Commerce and the Secretary of Administration or their designees from their respective departments”; in subsection (b), substituted “Appointments” for “Initial appointments,” “July 15, 2009” for “July 15, 1975,” and “January 31, 2011” for “January 31, 1977”; and rewrote subsection (c).

Session Laws 2013-365, s. 8(c), effective July 29, 2013, rewrote the section. For applicability, see editor’s note.

Session Laws 2015-1, s. 5, effective March 16, 2015, inserted “removal” in the section heading; added “or the Secretary’s designee” in subdivisions (a)(2a) and (a)(2b); added “or the Lieutenant Governor’s designee” in subdivision (a)(2c); and added subsections (d) and (e).

Session Laws 2015-241, s. 14.30(v), effective July 1, 2015, substituted “Secretary of Environmental Quality” for “Secretary of Environment and Natural Resources” in subdivision (a)(2a).

Legal Periodicals.

For article, “Ripening on the Vine: North Carolina’s Renewable Energy and Energy Efficiency Portfolio Standard Should Be Left Unchanged Ahead of 2012 Compliance Deadline,” see 34 N.C. Cent. L. Rev. 111 (2012).

§ 113B-4. Chairman of Council; replacement; reimbursement of members.

1. The Lieutenant Governor or the Lieutenant Governor’s designee shall serve as chair of the Council.
2. In case of a vacancy in the membership on the Energy Policy Council prior to the expiration of a member’s term, a successor shall be appointed within 30 days of such vacancy for the remainder of the unexpired term by the appropriate official pursuant to the provisions of G.S. 113B-3 .
3. Members of the Energy Policy Council shall be reimbursed for their services pursuant to the provisions of G.S. 138-5 .

History. 1975, c. 877, s. 4; 1979, c. 514, s. 1; 2009-446, s. 5; 2013-365, s. 8(d); 2017-209, s. 15.

Effect of Amendments.

Session Laws 2009-446, s. 5, effective August 7, 2009, substituted “August 15, 2009” for “July 15, 1975,” “January 31, 2011” for “January 31, 1977,” and “appoint a chair” for “designate one of the members of the Energy Policy Council to serve as chairman” in subsection (a).

Session Laws 2013-365, s. 8(d), effective July 29, 2013, rewrote subsection (a), which formerly read “On August 15, 2009, on January 31, 2011, and every four years thereafter, the Governor shall appoint a chair of the Council.”

Session Laws 2017-209, s. 15, effective October 4, 2017, inserted “or the Lieutenant Governor’s designee” in subsection (a).

§ 113B-5. Organization of the Council; adoption of rules of procedure therefor.

1. To facilitate the work of the Energy Policy Council and for administrative purposes, the chairman of the Energy Policy Council, with the consent and approval of the members, may organize the work of the Council so as to carry out the provisions of this Chapter and to insure the efficient operation of the Council.
2. The Energy Policy Council shall adopt its own rules of procedure and shall meet regularly at such times and in such places as it may deem necessary to carry out its functions.
3. The Energy Policy Council is authorized to create such advisory committees as will be needed to assist the Council in its efforts and to assure adequate citizen-consumer input into those efforts. Members of advisory committees shall be appointed by the Council for terms not to exceed the expiration date of terms of then present public members of the Council.

History. 1975, c. 877, s. 4.

§ 113B-6. General duties and responsibilities.

The goal of the Energy Policy Council is to identify and utilize all domestic energy resources in order to ensure a secure, stable, and predictable energy supply and to protect the economy of the State, promote job creation, and expand business and industry opportunities while ensuring the protection and preservation of the State’s natural resources, cultural heritage, and quality of life. The Energy Policy Council may delegate its duties where appropriate to the Division of Energy, Mineral, and Land Resources of the Department of Environmental Quality. The Council shall provide oversight and approval to the duties delegated to the Division. The Energy Policy Council shall have the following general duties and responsibilities:

1. To develop and recommend to the Governor and the General Assembly a comprehensive State energy policy that addresses requirements in the short term (10 years), in the midterm (25 years), and in the long term (50 years) to achieve maximum effective management and use of present and future sources of energy, such policy to include but not be limited to energy efficiency, renewable and alternative sources of energy, research and development into alternative energy technologies, and improvements to the State’s energy infrastructure and energy economy, including smart grid and domestic energy resources that shall include at least natural gas, coal, hydroelectric power, solar, wind, nuclear energy, and biomass. For utilities regulated under Chapter 62 of the General Statutes, the policy developed under this subdivision shall be consistent with the analysis and plan developed under G.S. 62-110.1(c).
2. To conduct an ongoing assessment of the opportunities and constraints presented by various uses of all forms of energy to facilitate the expansion of the domestic energy supply and to encourage the efficient use of all such energy forms in a manner consistent with State energy policy.
3. To continually review and coordinate all State government research, education and management programs relating to energy matters, to continually educate and inform the general public regarding such energy matters, and to actively engage in discussions with the federal government, its agencies, and its leaders to identify opportunities to increase domestic energy supply within North Carolina and its adjacent offshore waters.
4. To recommend to the Governor and to the General Assembly needed energy legislation and rule making, and to recommend for implementation such modifications of energy policy, plans, and programs as the Council considers necessary and desirable.
5. Repealed by Session Laws 2009-446, s. 6, effective August 7, 2009.

History. 1975, c. 877, s. 4; 2000-140, s. 76(b); 2003-284, s. 18.3; 2009-446, s. 6; 2013-365, s. 8(e); 2015-241, s. 14.30(u).

Editor’s Note.

Session Laws 2013-365, s. 8(n), provides: “Notwithstanding G.S. 113B-3 or any other law to the contrary, the terms of all members of the Energy Policy Council serving as of the effective date of this act shall expire on the effective date of this act. Initial appointments shall be made pursuant to G.S. 113B-3 (c), as amended by Section 8(e) of this act, no later than September 1, 2013.”

Session Laws 2013-365 was effective July 29, 2013.

Effect of Amendments.

Session Laws 2009-446, s. 6, effective August 7, 2009, in subdivision (1), substituted “energy efficiency, renewable and alternative sources of energy, research and development into alternative energy technologies, and improvements to the State’s energy infrastructure and energy economy” for “an energy efficiency program, an energy management plan, an emergency energy program, and an energy research and development program”; and deleted subdivision (5), which read: “To develop and administer the Low Income Residential Energy Program. Nothing in this subdivision shall be construed as obligating the General Assembly to appropriate funds for the Program or as entitling any person to services under the Program.”

Session Laws 2013-365, s. 8(e), effective July 29, 2013, rewrote the section.

Session Laws 2015-241, s. 14.30(u), effective July 1, 2015, substituted “Department of Environmental Quality” for “Department of Environment and Natural Resources” in the introductory paragraph.

§ 113B-7. Energy Efficiency Program; components.

1. The Energy Policy Council shall prepare a recommended Energy Efficiency Program for transmittal to the Governor, the initial plan to be completed by January 30, 1976.
2. The Energy Efficiency Program shall be designed to assure the public health and safety of the people of North Carolina and to consider the conservation of energy through reducing wasteful, inefficient or uneconomical uses of energy resources.
3. The Energy Efficiency Program may include but not be limited to the following recommendations:
   1. Recommendations to the Building Code Council for lighting, insulation, climate control systems and other building design and construction standards which increase the efficient use of energy and are economically feasible to implement;
   2. Recommendations to the Building Code Council for per unit energy requirement allotments based upon square footage for various classes of buildings which would reduce energy consumption, yet are both technically and economically feasible and not injurious to public health and safety;
   3. Recommendations for minimum levels of operating efficiency for all appliances whose use requires a significant amount of energy based upon both technical and economic feasibility considerations;
   4. Recommendations for State government purchases of supplies, vehicles and equipment and such operating practices as will make possible more efficient use of energy;
   5. Recommendations on energy conservation policies, programs and procedures for local units of government;
   6. Any other recommendations which the Energy Policy Council considers to be a significant part of a statewide conservation effort and which include provisions for sufficient incentives to further energy conservation;
   7. An economic and environmental impact analysis of the recommended program.
4. In addition to specific conservation recommendations, the Energy Efficiency Program shall contain proposals for implementation of such recommendations as can be carried out by executive order. Upon completion of a draft recommended program, the Council shall arrange for its distribution to interested parties and shall make the program available to the public and the Council further shall set a date for public hearing on said program.
5. Upon completion of the Energy Efficiency Program, the Council shall transmit said program, to be known as the State Energy Efficiency Program, to the Governor for approval or disapproval. Upon approval, the Governor shall assign administrative responsibility for such implementation as can be carried out by executive order to appropriate agencies of State government, and submit to the General Assembly such proposals which require legislative action for implementation. The Governor shall have the authority to accept, administer, and enforce federal programs, program measures and permissive delegations of authority delegated to the Governor by the President of the United States, Congress, or the United States Department of Energy, on behalf of the State of North Carolina, which pertain to the conservation of energy resources.
6. The Governor shall transmit the approved Energy Efficiency Program to the President Pro Tempore of the Senate, to the Speaker of the House of Representatives, to the heads of all State agencies and shall further seek to publicize such plan and make it available to all units of local government and to the public at large.
7. At least every five years and whenever such changes take place as would significantly affect energy supply or demand in North Carolina, the Energy Policy Council shall review and, if necessary, revise the Energy Efficiency Program, transmitting such revised plan to the Governor pursuant to the procedures contained in subsections (e) and (f) of this section.

History. 1975, c. 877, s. 4; 1981, c. 701, s. 1; 2000-140, s. 76(c); 2013-365, s. 8(f).

Editor’s Note.

Session Laws 2000-67, s. 1.1, provides: “This act shall be known as ‘The Current Operations and Capital Improvements Appropriations Act of 2000’.”

Session Laws 2000-67, s. 14.18(a)-(e), renames the State Energy Conservation Plan as the State Energy Efficiency Program. Effective September 30, 2000, the statutory authority, powers, duties and functions, records, property, funds, etc., of the Residential Energy Conservation Assistance Program in the Energy Division of the Department of Commerce are transferred from the Department of Commerce to the Department of Health and Human Services. Similarly, effective September 30, 2000, the statutory authority, powers, duties and functions, records, property, funds, etc., of the Energy Policy Council and State Energy Efficiency Program in the Energy Division of the Department of Commerce are transferred from the Department of Commerce to the Department of Administration. Effective July 1, 2000, all vacant positions in the Energy Division of the Department of Commerce are abolished.

Session Laws 2000-67, s. 28.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2000-2001 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2000-2001 fiscal year.”

Session Laws 2000-67, s. 28.4, contains a severability clause.

Session Laws 2009-446, s. 1(i), provides: “The Residential Energy Conservation Assistance Program is transferred from the Department of Health and Human Services to the Energy Office of the Department of Commerce, which was transferred to that Department by Section 1 of this act. This transfer shall have all of the elements of a Type I transfer, as defined in G.S. 143A-6 .”

Effect of Amendments.

Session Laws 2013-365, s. 8(f), effective July 29, 2013, substituted “consider the” for “encourage and promote” in subsection (b); substituted “may” for “shall” in subsection (c); added “Pro Tempore” in subsection (f); and substituted “five” for “two” in subsection (g).

§ 113B-8. Energy Management Plan; components.

1. The Energy Policy Council shall prepare a recommended Energy Management Plan for transmittal to the Governor, the initial plan to be completed by June 30, 1976.
2. The Energy Management Plan shall be designed to encourage the most efficient use of all sources of energy available to meet the needs of the State and to avoid undue dependence upon relatively limited, unreliable or uneconomical sources of energy.
3. The Energy Management Plan shall include but not be limited to the following:
   1. An analysis of the current pattern of consumption of energy throughout the State by category of energy user and by sources of energy supply;
   2. An assessment of the effect of demand and supply of different forms of energy upon the current pattern of consumption;
   3. An independent analysis, in five-, 10- and 20-year forecasts, of future energy production, supplies and consumption for North Carolina in relation to forecasts of statewide population growth and economic expansion;
   4. An analysis of the anticipated effects of recommended conservation measures upon the consumption of energy in the State;
   5. An assessment of the possible effects of national energy and economic policy and international economic and political conditions upon an adequate and reliable supply of different forms of energy for North Carolina;
   6. An assessment of the social, economic and environmental effects of alternative future consumption patterns on energy usage in North Carolina, including the potentially disruptive effects of supply limitations;
   7. Recommendations on the use of different future energy sources that seem most appropriate and feasible for North Carolina in meeting expected energy needs during the next five-, 10- and 20-year periods, with consideration given to growth trends in North Carolina industry and possible adverse economic impact on such trends.
4. In addition to the above, the Energy Management Plan shall contain proposals for the implementation of such recommendations as can be carried out by executive order. Upon completion of a draft recommended plan, the Council shall arrange for its distribution to interested parties and shall make such plan available to the public and the Council further shall set a date for public hearing on said plan.
5. Upon completion of the Energy Management Plan, the Council and the Governor shall follow the procedures as outlined in G.S. 113B-7(e) and (f).
6. The Council shall update such plan upon a finding by it that an update is justified and shall follow the procedures for adoption pursuant to G.S. 113B-7(e) and (f).
7. The Governor shall have the authority to accept, administer and enforce federal programs, program measures, and permissive delegations of authority delegated to the Governor by the President of the United States, Congress, or the United States Department of Energy, on behalf of the State of North Carolina, which pertain to management of energy resources.
8. The Governor shall have the authority to accept, administer and enforce the delegation of authority delegated to the State by the Emergency Petroleum Allocation Act and the Emergency Energy Conservation Act of 1979 and any orders, rules, and regulations issued pursuant to those acts as well as any succeeding federal programs, program measures, laws, orders, or regulations relating to the allocation, conservation, consumption, management or rationing of energy resources.

History. 1975, c. 877, s. 4; 1981, c. 701, s. 2.

§ 113B-9. Emergency Energy Program; components.

1. The Energy Policy Council shall, in accordance with the provisions of this Article, develop contingency and emergency plans to deal with possible shortages of energy to protect public health, safety and welfare, such plans to be compiled into an Emergency Energy Program.
2. If required for an update of the program provided under subsection (j) of this section:
   1. Each electric utility and natural gas utility in the State shall prepare and submit to the Energy Policy Council a proposed emergency curtailment plan setting forth proposals for identifying priority loads or users in the event of the declaration of an energy crisis pursuant to G.S. 113B-20 , and proposals for supply allocation to such priority loads or users. Utilities regulated under Chapter 62 of the General Statutes may satisfy this requirement by submitting the General Load Reduction and System Restoration Plan that is prepared annually for the Utilities Commission.
   2. Each major oil producer doing business in this State as determined by the Energy Policy Council shall prepare and submit to the Energy Policy Council an analysis of how any national supply curtailment pursuant to federal regulations shall affect the supply for North Carolina and how priority users will be determined and available supplies allocated to such users.
3. The Energy Policy Council shall encourage the preparation of joint emergency curtailment plans and analyses. If such cooperative plans and analyses are developed between two or more utilities, major producers or by an association of such companies, the joint plans or analyses may be submitted to the Energy Policy Council in lieu of information required pursuant to subsection (b) of this section.
4. The Energy Policy Council shall collect from all relevant governmental agencies any existing contingency plans for dealing with sudden energy shortages or information related thereto.
5. The Energy Policy Council shall hold one or more public hearings, investigate and review the plans submitted pursuant to this section, and, within nine months after July 1, 1975, the Energy Policy Council shall approve and recommend to the Governor guidelines for emergency curtailment to be known as the Emergency Energy Program and to be implemented upon adoption by the Governor after the declaration of an energy crisis and pursuant to G.S. 113B-20 and 113B-23. Said program shall be based upon the plans presented to the Energy Policy Council, upon independent analysis and study by the Council, and upon information provided at the hearing or hearings, provided, however, that they are consistent with such federal programs and regulations as are already in effect at that time.
6. The Emergency Energy Program shall provide for the maintenance of essential services, the protection of public health, safety, and welfare, and the maintenance of a sound basic State economy. For utilities regulated under Chapter 62 of the General Statutes, the program shall be consistent with the General Load Reduction and System Restoration Plan that is prepared annually for the Utilities Commission. Provisions also shall be made in said program to differentiate curtailment of energy consumption by users on the basis of ability to accommodate such curtailments, and shall also include, but not be limited to, the following:
   1. A variety of strategies and staged conservation measures of increasing intensity and authority to reduce energy use during an energy crisis, as defined in G.S. 113B-20 and guidelines and criteria for allocation of energy sources to priority users. The program shall contain alternative conservation actions and allocation plans to reasonably meet various foreseeable shortage circumstances and to allow a choice of appropriate responses;
   2. Evidence that the program is consistent with requirements of federal emergency energy conservation and allocation laws and regulations;
   3. Proposals to assist such individuals, institutions, agriculture and businesses which have engaged in energy saving measures;
7. The Energy Policy Council shall carry out such investigations and studies as are necessary to determine if and when potentially serious shortages of energy are likely to affect North Carolina and the Council shall make recommendations to the Governor concerning administrative and legislative actions required to avert such shortages, such recommendations to be included as a section of the Emergency Energy Program.
8. In addition to the above information and recommendations, the program shall contain proposals for implementation of such recommendations which include procedures, rules and regulations and agency administrative responsibilities for implementation, and shall further contain procedures for fair and equitable review of complaints and requests for special exemptions from emergency conservation measures or emergency allocations. Upon completion of a draft recommended plan, the Council shall arrange for its distribution to interested parties and shall make such plan available to the public and the Council further shall set a date for public hearing on said plan.
9. Upon completion of the Emergency Energy Allocation Program, the Council and the Governor shall follow the procedures as outlined in G.S. 113B-7(e) and (f).
10. The Council shall update the Emergency Energy Allocation Program upon finding that an update is justified. The Council shall follow the procedures for adoption pursuant to G.S. 113B-7(e) and (f).
11. The Governor shall have the authority to accept, administer and enforce federal programs, program measures and permissive delegations of authority delegated to the Governor by the President of the United States, Congress, or the United States Department of Energy, on behalf of the State of North Carolina, which pertain to actions necessary to deal with an actual or impending energy shortage.

History. 1975, c. 877, s. 4; 1979, c. 514, s. 2; 1981; c. 701, s. 3; 2013-365, s. 8(g).

Effect of Amendments.

Session Laws 2013-365, s. 8(g), effective July 29, 2013, rewrote subsection (b), which formerly read “Within four months of July 1, 1975”; added the last sentence in subdivision (b)(1); added the second sentence in subsection (f); and substituted “the Emergency Energy Allocation Program upon finding that an update is justified. The Council” for “said program upon a finding by it that an update is justified and” in subsection (j).

§ 113B-10. [Repealed]

Repealed by Session Laws 2009-446, s. 7, effective August 7, 2009.

Editor’s Note.

Former G.S. 113B-10 , Energy Research and Development Program; information gathering; coordination of energy research and planning; was enacted by Session Laws 1975, c. 877, s. 4.

§ 113B-11. Powers and authority.

1. The Energy Policy Council is authorized to secure directly from any officer, office, department, commission, board, bureau, institution and other agency of the State and its political subdivisions any information it deems necessary to carry out its functions; and all such officers and agencies shall cooperate with the Council and, to the extent permitted by law, furnish such information to the Council as it may request.
2. To assure the adequate development of relevant energy information, the Council may require all energy producers and major energy consumers, as determined by the Council, to file such reports and forecasts and at such dates as the Council may request; provided, however, that the Council may request only specific energy-related information which it deems necessary to carry out its duties as defined in Articles 1 and 2 of this Chapter.
3. The Council shall have authority to apply for and utilize grants, contributions and appropriations in order to carry out its duties as defined in Articles 1 and 2 of this Chapter, provided, however, that all such applications and requests are made through and administered by the Department of Environmental Quality.
4. The Council shall have authority to request said Department to allocate and dispense any funds made available to the Council for energy research and related work efforts in such a manner as the Council desires subject only to the stipulation that said funds be reasonably used in furtherance of the purposes of this Article.
5. Staff support required by the Council shall be supplied by the Division of Energy, Mineral, and Land Resources of the Department of Environmental Quality. The Department of Environmental Quality shall provide legal support to the Council as needed from the Department’s staff. The Department of Commerce and the Utilities Commission are hereby authorized to make their staff available to the Council to assist in the development of a State energy policy.

History. 1975, c. 877, s. 4; 1977, c. 23, s. 1; 1989, c. 751, s. 7(10); 1991 (Reg. Sess., 1992), c. 959, s. 28; 2000-140, s. 76(d); 2009-446, s. 8; 2013-360, s. 15.22(m); 2013-365, s. 8(h); 2014-4, s. 29(b); 2015-241, s. 14.30(u).

Editor’s Note.

Session Laws 2013-360, s. 15.22(a), provides: “The State Energy Office is hereby transferred from the Department of Commerce to the Department of Environment and Natural Resources. This transfer shall have all of the elements of a Type I transfer, as defined in G.S. 143A-6 .”

Session Laws 2013-360, s. 1.1, provides: “This act shall be known as the ‘Current Operations and Capital Improvements Appropriations Act of 2013.’ ”

Session Laws 2013-360, s. 38.2, provides: “Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2013-2015 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2013-2015 fiscal biennium.”

Session Laws 2013-360, s. 38.5, is a severability clause.

Effect of Amendments.

Session Laws 2009-446, s. 8, effective August 7, 2009, in subsection (b), deleted “as provided in G.S. 113B-10 ” following “relevant energy information”; and in subsections (c) and (e), substituted “Commerce” for “Administration.”

Session Laws 2013-360, s. 15.22(m), effective July 1, 2013, substituted “Environment and Natural Resources” for “Commerce” in subsections (c) and (e).

Session Laws 2013-365, s. 8(h), effective July 29, 2013, in subsection (e), rewrote the first sentence, which formerly read “The Department of Commerce shall provide the staffing capability to the Energy Policy Council so as to fully and effectively develop recommendations for a comprehensive State energy policy as contained in the provisions of the Article,” and, in the second sentence, added “Department of Commerce and the,” and substituted “are” for “is” and “their” for “its.”

Session Laws 2014-4, s. 29(b), effective June 4, 2014, inserted the second sentence in subsection (e).

Session Laws 2015-241, s. 14.30(u), effective July 1, 2015, substituted “Department of Environmental Quality” for “Department of Environment and Natural Resources” in subsections (c) and (e).

§ 113B-12. Annual reports; contents.

1. Every two years the Energy Policy Council shall transmit to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Environmental Review Commission, the Joint Legislative Commission on Energy Policy, and the chairman of the Utilities Commission a comprehensive report providing a general overview of energy conditions in the State.
2. The report shall include, but not be limited to, the following:
   1. An overview of statewide growth and development as they relate to future requirements for energy, including patterns of urban and metropolitan expansion, shifts in transportation modes, modifications in building types and design, and other trends and factors which, as determined by the Council, will significantly affect energy needs;
   2. The level of statewide and multi-county regional energy demand for a five, 10- and 20-year forecast period which, in the judgment of the Council, can reasonably be met, with proposals as to possible energy supply sources;
   3. An assessment of growth trends in energy consumption and production and an identification of potential adverse social, economic, or environmental impacts which might be imposed by continuation of the present trends, including energy costs to consumers, significant increases in air, water, and other forms of pollution, threats to public health and safety, and loss of scenic and natural areas;
   4. An analysis of the role of energy efficiency, renewable energy, improvements to the State’s energy infrastructure, and other means in meeting the State’s current and projected energy demand;
   5. Repealed by Session Laws 2009-446, s. 9, effective August 7, 2009.
   6. Recommendations to the Governor and the General Assembly for additional administrative and legislative actions on energy matters;
   7. A summary of the Council’s activities since the last report, a description of major plans developed by the Council, an assessment of plan implementation, and a review of Council plans and programs for the coming biennium.

History. 1975, c. 877, s. 4; 2009-446, s. 9; 2013-365, s. 8(i).

Effect of Amendments.

Session Laws 2009-446, s. 9, effective August 7, 2009, rewrote subdivision (b)(4); and deleted subdivision (b)(5), which read: “The status of the Council’s ongoing energy research and development program and an assessment of the energy research and planning efforts carried out in North Carolina.”

Session Laws 2013-365, s. 8(i), effective July 29, 2013, in subsection (a), substituted “Every two years” for “Beginning January 1, 1977, and every year thereafter,” added “Pro Tempore” and “the Environmental Review Commission, the Joint Legislative Commission on Energy Policy, and,” and deleted “and the appropriate chairmen of the House and Senate committees concerned with energy matters” following “Utilities Commission” and the last sentence, which formerly read “On January 1, 1976, the Energy Policy Council shall transmit a progress report to the public officials named above”; and substituted “the last report” for “its inception” in subdivision (b)(7).

§§ 113B-13 through 113B-19.

Reserved for future codification purposes.

§ 113B-20. Definition; declaration of energy crisis.

1. “Energy crisis”. —  An energy crisis exists when the health, welfare or safety of the citizens of North Carolina are threatened by reason of an actual or impending acute shortage in usable, necessary energy resources.
2. Declaration by Governor. —  Upon a finding by the Governor that the conditions stated in subsection (a) do exist, the Governor may declare the existence of an energy crisis.

History. 1975, c. 877, s. 4.

§ 113B-21. Creation of Legislative Committee on Energy Crisis Management.

1. Upon the declaration of an energy crisis by the Governor, a Legislative Committee on Energy Crisis Management shall be created to consist of the Speaker, the Speaker Pro Tempore of the House of Representatives, the President Pro Tempore of the Senate, and the majority leader of the Senate. The Lieutenant Governor shall serve as chair and shall be a nonvoting ex officio member, provided, however, that the chair shall vote to break a tie.
2. The Legislative Committee shall convene within 24 hours following the declaration of an energy crisis, as provided in G.S. 113B-20 .
3. Members of the Legislative Committee shall be reimbursed for their services pursuant to the provisions of G.S. 138-5 .

History. 1975, c. 877, s. 4; 1977, c. 23, s. 1; 1983 (Reg. Sess., 1984), c. 1034, s. 135; 2013-365, s. 8(j).

Effect of Amendments.

Session Laws 2013-365, s. 8(j), effective July 29, 2013, in subsection (a), substituted “Upon the declaration of an energy crisis by the Governor” for “There is hereby created,” “Pro Tempore” and “Pro Tempore of the Senate” for “pro tempore,” and “the chair” for “he,” added “shall be created” and “chair and shall be,” and deleted “as chairman” following “of the Speaker” and “and” following “Representatives.”

§ 113B-22. Procedures for adopting emergency proposals; emergency powers.

1. Upon the declaration of an energy crisis, the Governor shall submit to the Legislative Committee for its prompt consideration such emergency orders, rules and regulations as deemed necessary to alleviate the effects of the energy crisis.
2. The Governor shall immediately consult with the Legislative Committee about the emergency proposals. The emergency orders, rules, or regulations shall become effective at a time specified by the Governor, but no earlier than 48 hours after submission to the Legislative Committee, provided that they may take effect at an earlier time if approved by a majority vote of the Council of State after the Council makes a finding that the crisis is of such immediacy as to make delay for legislative review cause for probable harm to the public.
3. No order, rule, or regulation promulgated under the provisions of this section shall remain in effect for more than 30 days unless the Governor consults with the Legislative Committee. Such consultation is separate and apart from the consultation required by subsection (a) of this section, and may not take place until the order, rule, or regulation has been in effect for at least seven days.
4. The Governor’s orders, rules and regulations, promulgated, subject to consultation with the Legislative Committee, pursuant to this section, may also include, by way of further enumerated example rather than limitation, provisions for the establishment and implementation of programs, controls, standards, priorities, and quotas for the allocation, conservation and consumption of energy resources; the suspension and modification of existing standards and requirements affecting or affected by the use of energy resources, including those relating to air quality control and the hours and days during which public buildings may or may not be required to remain open; and the establishment and implementation of regional programs and agreements for the purposes of coordinating the energy resource programs and actions of the State with those of the federal government and of other states and localities.

History. 1975, c. 877, s. 4; 1983 (Reg. Sess., 1984), c. 1034, ss. 136, 137.

§ 113B-23. Administration of plans and procedures.

1. Upon the declaration of an energy crisis, pursuant to G.S. 113B-20 , the Energy Policy Council shall become the emergency energy coordinating body for the State and shall carry out the following duties:
   1. Identify and determine the nature and severity of expected energy shortages;
   2. Provide for daily communications with and gather information from significant energy producers, distributors, transporters and major consumers, as determined by the Energy Policy Council, to carry out its responsibilities pursuant to this section;
   3. Provide data, carry out continuing assessments of the crisis situation, and make recommendations to the Governor and to the Legislative Committee on Energy Crisis Management for further action.
2. Upon the declaration of an energy crisis, the Governor shall order the Energy Policy Council, the Utilities Commission, the Attorney General and other appropriate State and local agencies to implement and enforce the Emergency Energy Program pursuant to G.S. 113B-9 and any emergency rules, orders or regulations approved pursuant to G.S. 113B-22 .
3. Upon the declaration of an energy crisis, the Governor may employ such measures and give such direction to State and local offices and agencies as may be reasonable and necessary for the purpose of securing compliance with the provisions of this Article and with emergency rules, orders and regulations issued pursuant to G.S. 113B-22 .

History. 1975, c. 877, s. 4; 1983 (Reg. Sess., 1984), c. 1034, s. 138; 2013-365, s. 8(k).

Effect of Amendments.

Session Laws 2013-365, s. 8(k), effective July 29, 2013, added “on Energy Crisis Management” in subdivision (a)(3).

§ 113B-24. Enforcement; penalties for violations.

1. The Attorney General and the law-enforcement authorities of the State and its political subdivisions shall enforce the provisions of this Article and all orders, rules and regulations promulgated pursuant to G.S. 113B-22 .
2. Any person who violates this Article or any rules, orders or regulations promulgated pursuant to G.S. 113B-22 or knowingly or willfully submits false information in any report required herein shall be guilty of a  Class 1 misdemeanor.
3. The provisions of this Article or any rules, orders or regulations promulgated pursuant to G.S. 113B-22 may be enforced by bringing an action to enjoin such acts or practices as may be in violation and, upon a proper showing, a temporary restraining order or a preliminary or permanent injunction shall be issued. The relief sought may include a mandatory injunction commanding any person to comply with any such order, rule or regulation and restitution of money received in violation of any such order, rule or regulation. The Attorney General shall bring any action under this subsection upon the request of the Governor, the Legislative Committee on Energy Crisis Management, the Energy Policy Council, or upon his direction if he deems such action advisable and in the public interest. The Attorney General may institute such action in the Superior Court of Wake County, or, in his discretion, in the superior court of the county in which the acts or practices constituting a violation occurred, are occurring or may occur.

History. 1975, c. 877, s. 4; 1993, c. 539, s. 878; 1994, Ex. Sess., c. 24, s. 14(c).

§ 113B-30. (Contingent effective date — see notes) Allocation of revenues from offshore energy production; creation of Offshore Energy Management Fund.

1. Any revenues and royalties paid to the State as a result of offshore leasing, exploration, development, and production of all energy resources shall be deposited in the Offshore Emergency Fund until the Fund reaches two hundred fifty million dollars ($250,000,000). The Offshore Energy Management Fund is an interest-bearing special revenue fund to be established within the State treasury. This Fund shall be used only for emergency preparation, emergency response, emergency environmental protection, or mitigation associated with a release of liquid hydrocarbons or associated fluids directly related to offshore energy exploration, development, production, or transmission. Once the Fund balance reaches the amount of two hundred fifty million dollars ($250,000,000), the funds shall be used as provided in subsection (b) of this section. If monies are withdrawn from this Fund to carry out the provisions in this section, all revenues and royalties paid to the State as a result of offshore leasing, exploration, development, and production of all energy resources shall be deposited in the Fund until a total of two hundred fifty million dollars ($250,000,000) is reestablished. Once the Fund balance reaches the amount of two hundred fifty million dollars ($250,000,000), the funds shall be used as provided in subsection (b) of this section.
2. Any revenues and royalties paid to the State as a result of offshore leasing, exploration, development, and production of all energy resources in excess of the amount needed to establish the Fund created in subsection (a) of this section are annually appropriated and shall be used for the following purposes:
   1. Seventy-five percent (75%) of such revenues and royalties shall be credited to the General Fund.
   2. Five percent (5%) of such revenues and royalties shall be credited to the North Carolina Highway Trust Fund established under G.S. 136-176.
   3. Five percent (5%) of such revenues and royalties shall be transferred to the Community Colleges System Office to establish and manage a fund for curriculum development and implementation as well as financial assistance for students attending community college to receive vocational training through this curriculum in fields directly related to energy exploration and development and related energy infrastructure.
   4. Five percent (5%) of such revenues and royalties shall be transferred to the Board of Governors of The University of North Carolina System to establish and manage research and development funds for programs directly related to energy research and development.
   5. Five percent (5%) of such revenues and royalties shall be transferred to the Department of Environmental Quality for conservation, protection, and mitigation, including, but not limited to, beach and inlet management projects, dredging operations, channel navigation and maintenance, public beach and water access, water quality management, and habitat restoration.
   6. Three percent (3%) of such revenues and royalties shall be transferred to the State Ports Authority for expansion and maintenance of State Port infrastructure associated with energy-related commerce.
   7. Two percent (2%) of such revenues and royalties shall be transferred to the Department of Commerce for recruitment of energy-related industries to the State.

History. 2013-365, s. 6; 2015-241, s. 14.30(u).

Editor’s Note.

Session Laws 2013-365, s. 10, provides: “G.S. 113B-30, enacted by Section 6 of this act, becomes effective only if authorized by the General Assembly in the Current Operations and Capital Improvements Appropriations Act of 2013. The first report due pursuant to G.S. 113B-12 , as amended by Section 8(m) of this act, shall be transmitted on or before January 1, 2014. Except as otherwise provided, the remainder of this act is effective when it becomes law.” The Revisor of Statutes is informed that no appropriation was made in the 2013 Regular Session; consequently, this section is not effective.

Effect of Amendments.

Session Laws 2015-241, s. 14.30(u), effective July 1, 2015, substituted “Department of Environmental Quality” for “Department of Environment and Natural Resources” in subdivision (b)(5).