Connecticut Senate Bill SB00069

Connecticut 2021 Regular Session

• Introduced: 1/12/21
• Refer: 1/12/21

Caption

An Act Concerning A Prohibition On Publicly Traded Utility Companies.

Impact

This bill could significantly alter the regulatory landscape of public utilities in the state. If enacted, it would mean that all publicly traded utility companies operating within the state would have to restructure their business models. This prohibition may lead to these companies becoming privately held entities, which could impact their capital-raising capabilities. Proponents argue this would lead to better accountability and transparency of utility operations, as they would no longer be beholden to shareholders for profit generation.

Summary

SB00069 proposes to amend state statutes to prohibit the trading of stocks of publicly traded utility companies on stock exchanges. The bill seeks to address concerns regarding the operations and pricing practices of utility companies, which are often seen as monopolistic entities essential for public welfare. By preventing these companies from trading on stock exchanges, the legislation aims to protect consumers from potential abuses related to profit maximization that can compromise service quality and affordability.

Contention

Discussion around SB00069 is likely to involve debates over economic implications versus consumer safety. Supporters argue that the bill would enhance consumer protections and ensure that public services prioritize community welfare over shareholder profits. Conversely, opponents may highlight concerns about the potential negative impact on investment in infrastructure and innovation within the utility sector. The bill's success will depend on navigating these complex factors and garnering support from both legislative members and the public.