The 2025 Nevada legislative session has officially come to a close! This session took place on the heels of the 2024 election, bringing new faces to the legislature and leaving the state to grapple with changes at the federal level. These factors, combined with budget shortfalls, made for an unusual session that was quieter on energy policy but not without some progress.

Key Advancements  

Despite competing priorities throughout the legislative session, bills advancing ratepayer protection, expanding access to rooftop solar, and appropriating funds to the Nevada Clean Energy Fund made it through successfully.  

• AB 452, sponsored by Assemblymember Tracy Brown-May, directs the Public Utilities Commission of Nevada (PUCN) to open an investigatory docket to examine how fuel and purchased power costs are passed through to customers and how mechanisms like fuel cost sharing (where the utility is required to absorb some of the fuel cost) can help mitigate fuel price volatility. Additionally, this bill required NV Energy to repay ratepayers back in full if overcharged, responding to a scandal that broke in the last month of session when it was found that the utility had been overcharging ratepayers over $17 million between 2017 and 2024. NV Energy had used a statutory loophole to only refund customers for up to 6 months of the period overcharged, rather than the full amount, making this bill’s focus particularly salient. 

• AB 458, sponsored by Assemblymember Howard Watts, will expand the benefits of solar to low-income and affordable multi-family housing units by allowing net energy metering credits to be applied to each tenant, enabling renters to receive some relief from increasing energy bills. 

• SB 132, sponsored by Senator Rochelle Nguyen, appropriates $500,000 to the Nevada Clean Energy Fund, the state’s green bank, to help implement key clean energy programs in lieu of federal funding. 

These strategic gains signal continued momentum for clean energy in Nevada and reflect a shared priority among lawmakers and their constituents: energy affordability and consumer protection. 

Building Momentum  

Given the biennial cadence of legislative sessions in Nevada, maintaining momentum from this past session and continuing the discussion around the state’s clean energy future are essential in the months ahead and during the interim session in 2026. Lawmakers need to think creatively about both near- and long-term policy solutions to meet increasing energy demand affordably and address needs like grid capacity, reliability, and cost-effectiveness: 

1. Enhancing Grid Reliability and Capacity: Virtual Power Plant (VPP) Programs 

Virtual Power Plants (VPPs) are a powerful tool for electric utilities and customers alike, allowing the utility to access and manage distributed energy resources (DERs) – customer-sited energy technologies such as smart thermostats, solar paired with battery storage, EV charging, smart water heaters, and more. The utility accesses the benefits of these resources by paying customers to shift or reduce energy usage at key times, providing relief to the grid during periods of high energy demand. 

NV Energy currently has a program, PowerShift, that is limited to smart thermostats. If expanded to include more technologies, this type of program could avoid future expensive investments in infrastructure only needed to meet peak demand. In an analysis conducted in partnership with Sunnova, United found that a solar-plus-battery VPP in Nevada could manage peak energy demand at a savings of $85.3 million annually compared to a new gas peaker plant.  

Decisionmakers, both at the PUCN and the legislature, should recognize the value that VPPs present to Nevada. By utilizing technologies that Nevadans are already choosing to adopt and allowing customers to opt-in to a VPP program, we can create a more robust grid and save Nevadans money on their energy bills. 

2. Meeting State Transmission Needs: Advanced Transmission Technologies (ATTs) 

It is no secret that Nevada’s energy demand is on the rise, with NV Energy projecting that energy use could double over the next 8 years. As Nevada continues to grow, with new demand from industrial, commercial and residential customers, the transmission system must also expand. While siting and building new transmission lines can be a lengthy process, there are technologies, such as Grid Enhancing Technologies (GETs) and advanced conductors, that can optimize grid capacity in the near term.  

This solution has been elevated by the Regional Transmission Coordination Task Force (RTCTF), created by SB 448, in its 2024 biennial report. These technologies can help optimize current grid infrastructure to meet growing demand while the state continues to evaluate solutions for long-term transmission needs.  

The RTCTF report also includes other topics that the Task Force plans to explore to help inform decision makers as they contemplate how to approach the existing transmission system’s shortfalls. Among other topics ripe for discussion over the interim, the RTCTF recommended looking into the economic benefits of a western energy market and examining other states’ siting authorities to understand how a Nevada siting authority could help support the development of transmission to strengthen the grid.  

Looking Ahead 

While the legislature may have adjourned, Nevada’s energy needs and future cannot wait. Policymakers must use venues like the RTCTF, the Joint Interim Growth and Infrastructure Committee, and the PUCN to actively develop and advance strategies that tackle Nevada’s future energy needs and position Nevada as a clean energy hub.  

The Joint Interim Growth and Infrastructure Committee explores a variety of topics, including those related to energy, during the interim period. This offers opportunities for committee members to take the lead on advancing and shaping Nevada’s energy landscape in the coming session. The role of this committee is key to making progress on Nevada’s energy policy leadership and building the state’s reputation as an energy hub in the Western region.  

At the Public Utilities Commission (PUCN), there are several important proceedings in progress and on the horizon. Throughout the past year and in the months to come, we have seen several proceedings begin the process of implementing legislation from previous sessions. For example, in 2023, the Legislature passed SB 281 requiring gas utilities to file Integrated Resource Plans (IRP) on a triennial basis, as is required of electric utilities. Southwest Gas plans to file their first gas IRP this August, opening an opportunity for advocates and state regulators to investigate how utility investments are aligning with Nevada’s clean energy and affordability goals.  

NV Energy’s subsidiary Sierra Pacific is also set to file a gas IRP in the Fall, to be followed by NV Energy’s electric IRP in 2026. In both the gas and electric IRP proceedings, there is an opportunity to ensure increased investment in demand reduction and demand side management programs, like VPP programs, that can meet energy needs affordably and reliably. 

The interim period in Nevada presents a key opportunity to build upon legislative momentum and pave the way for thoughtful, forward-looking energy policy. Nevada has a critical role to play in the Western energy landscape—and by leveraging smart solutions, the state can meet its growing energy needs effectively, affordably, and sustainably if decision makers act.