Recent Maryland Environmental and Energy Law Developments

Key Takeaways

Product manufacturers, developers, agricultural operators, utilities, and local governments should take note of Maryland’s 2026 environmental actions. The most immediate impacts include new pre-construction discharge-permit requirements for Concentrated Animal Feeding Operations (CAFOs), PFAS limits that will impact wastewater utilities and biosolids managers with respect to longstanding land application practices, tighter Critical Area variance rules affecting coastal and waterfront projects, and the development of extended producer responsibility (EPR) obligations for packaging and paper products.

The Maryland General Assembly adjourned on Monday, April 20, 2026, after a three-month session dominated by budget negotiations. Although many environmental and energy measures moved slowly, lawmakers passed several notable bills in the final week, and Governor Wes Moore has signed many of them into law. Key final enacted legislative changes include:

• Restrictions on land application of PFAS containing sewage sludge;
• New CAFO discharge permit requirements;
• Expanded MDE enforcement authority for water appropriation, reservoirs, and dams;
• New requirements for community participation in project planning and development;
• Updates to the Chesapeake and Atlantic Coastal Bays Critical Area Protection Program; and,
• Changes to Maryland’s endangered and threatened species framework.

The executive branch also advanced significant energy and environmental actions, including proposed EPR guidance and regulations, amendments to Maryland’s CO2 Budget Trading Program, and an executive order focused on energy affordability and reliability. The following summarizes key developments leading up to and during the 2026 session.

1. Final Enacted Legislation

• Sewage Sludge PFAS Regulation (Senate Bill 719 and House Bill 925): Signed on April 28, 2026, these bills prohibit or restrict land application of sewage sludge containing specified concentrations of regulated PFAS, defined as PFOA, PFOS, or a mixture of the two. The law prohibits application to agricultural or marginal land when regulated PFAS concentrations are 50 ppb or higher.
• Water Pollution Control and Discharge Permits for Animal Feeding Operations (Senate Bill 371 and House Bill 395): Signed on April 28, 2026, these bills require a CAFO discharge permit before construction begins on any part of a new CAFO. MDE reissued a revised General Discharge Permit for Animal Feeding Operations on May 1, 2026.
• Appropriation or Use of Water and Dam Safety Enforcement (House Bill 250): Signed on April 28, 2026, this law expands MDE’s enforcement authority under Environment Article, Title 5, Subtitle 5, covering water appropriation and use, reservoirs, and dams. MDE may impose administrative penalties of up to $5,000 per day, capped at $100,000, for violations.
• The Supporting Inclusive Community Adaptation Act (House Bill 254): Signed by the Governor on April 14, 2026, this law directs the Maryland Department of Natural Resources (DNR) to facilitate community participation in DNR project planning and development, assess climate vulnerabilities on DNR lands, and administer a grant fund for nature based restoration projects that reduce climate risks and strengthen community and public-land resilience.
• Chesapeake and Atlantic Coastal Bays Critical Area Protection Program (House Bill 247 and House Bill 258):
  • House Bill 247, signed on April 14, 2026, narrows when local jurisdictions may grant Critical Area variances. For new accessory structures or uses, other than additional or accessory dwelling units, an existing accessory structure or use creates a rebuttable presumption of reasonable and significant use. The law also bars variance applications that would authorize uses prohibited by the parcel’s Critical Area classification, alter required mitigation, or provide relief available through an approved administrative process.
  • House Bill 258, signed on April 28, 2026, defines “adjacent” and revises requirements for local-program comprehensive reviews, growth-allocation locational standards, mapping mistakes, and tree replanting.
• Endangered and Threatened Species and Migratory Birds (Senate Bill 431 and House Bill 578): Signed on April 28, 2026, these companion bills amend the Endangered Species of Fish Conservation Act and the Nongame and Endangered Species Conservation Act. Among other changes, they require DNR to review Irreplaceable Natural Areas Program regulations by July 1, 2033, and every 10 years thereafter; define “foreseeable future” and “harm”; require listing decisions without regard to economic or other impacts; establish standards for delisting petitions; and authorize DNR to designate essential habitats and adopt management protocols.

2. Legislation Awaiting Governor Approval

The following bills are awaiting the Governor’s signature and, if not vetoed, will become law under the Maryland Constitution after the applicable gubernatorial review period.

• Deer Hunting Management (House Bill 1063): This bill would authorize DNR to allow deer population management on certain properties with documented deer damage, including widespread ecological damage or agricultural crop loss. DNR would determine the population reduction method.
• Chesapeake Bay Enhanced Program and Maryland Seafood Industry Financial Assistance Fund (Senate Bill 558 and House Bill 1599): Passed by both chambers on April 13, 2026, these bills would create the Maryland Seafood Industry Financial Assistance Fund, administered by the Maryland Agricultural and Resource Based Industry Development Corporation, to provide short-term financial assistance, including loans, to commercial watermen and small seafood businesses. Related bills also would establish procedural and financial safeguards for the oyster industry and penalties for certain interference with oyster aquaculture. See Senate Bill 558; House Bill 1599; Senate Bill 166; House Bill 1400; and House Bill 784.
• Utility RELIEF (Reducing Energy Load Inflation for Everyday Families) Act (House Bill 1532): Passed by both chambers on April 13, 2026, this bill would require MDE to report annually on greenhouse gas (GHG) reductions achieved through electric vehicle adoption. It would also temporarily reduce EmPOWER Maryland’s annual GHG reduction targets for electric-company plans to 1.75% for 2027-2029, 2% for 2030-2032, and 2.25% for 2033-2035.
• Carbon Dioxide Capture, Removal, and Sequestration Projects (Senate Bill 625): Passed on April 13, 2026, this bill would require MDE to adopt regulations and standards for CO2 capture, removal, or sequestration projects using biochar or wood vault technologies by January 1, 2028. 

3. Key Executive Legal Developments

• MDE EPR Proposed Guidance and Regulations: On February 6, 2026, MDE proposed guidance and regulations under a new chapter, “Packaging and Paper Products Producer Responsibility.” The proposals implement and clarify key terms in Maryland’s EPR law, SB 901, signed on May 13, 2025 (see here for a related alert). For example, the draft regulations narrow the “exempt material” definition by clarifying that many listed exemptions apply only to primary packaging, not secondary or tertiary packaging. The draft guidance uses questions, answers, and examples to explain packaging exemptions and compliance processes, including registration. Because both documents remain proposals, they may change before adoption.
• Building an Affordable and Reliable Energy Future December 2025 Executive Order: On December 19, 2025, Governor Wes Moore issued Executive Order 01.01.2025.27, establishing an Energy Subcabinet to coordinate state resources around energy affordability, reliability, economic competitiveness, and environmental goals. The order also creates a Maryland Energy Advisory Council to provide stakeholder input. Both bodies are chaired by the Maryland Energy Administration director. The order directs state agencies to focus on affordability, grid optimization, transmission modernization, grid enhancing technologies, and proactive energy-project deployment, including through a Power Plant Research Program Site-Readiness Initiative.
• December 2025 Amendment to CO2 Budget Trading Program: On December 1, 2025, MDE amended its CO2 Budget Trading Program, which implements Maryland’s participation in the 12state Regional Greenhouse Gas Initiative (RGGI). The amendments incorporate RGGI’s revised 2025 Model Rule, adjust the regional emissions cap and allowance apportionments, revise stability mechanisms, remove offsets, eliminate certain accounting mechanisms for industrial sources and long-term contracts, and make clerical updates. The regional cap is set at approximately 69.8 million tons in 2027, declining by about 8.5 million tons annually through 2033 and by about 2 million tons annually from 2033 through 2037.

Next Steps

Maryland’s 2026 environmental agenda is likely to advance through agency implementation, including forthcoming MDE and DNR actions that translate these measures into permit conditions, guidance, regulations, grant criteria, and enforcement priorities. Manufacturers and retailers should prepare for final EPR requirements for packaging and paper products; wastewater utilities, biosolids managers, farmers, and CAFO operators should evaluate how new PFAS land-application restrictions and pre-construction discharge-permit requirements may affect operations; and developers, utilities, and local governments should watch for implementation steps affecting Critical Area review, water-resource enforcement, resilience planning, and emerging carbon-removal project permitting.