Connecticut House Bill HB05623

Connecticut 2023 Regular Session

• Introduced: 1/18/23
• Refer: 1/18/23

Caption

An Act Prohibiting Electric Distribution Companies From Recovering Lobbying Costs From Ratepayers.

Impact

The enactment of HB 05623 would significantly alter the financial landscape for electric distribution companies, as it directly impacts their ability to recoup lobbying expenses through utility rates. Consumers stand to benefit from more transparent pricing structures. By preventing these companies from charging their customers for lobbying activities, the bill aims to reduce the overall cost of utilities, thus promoting fairness in the electric market. The prohibition on passing these costs to ratepayers can lead to lower utility bills, enhancing consumer protection and trust in regulatory practices.

Summary

House Bill 05623 seeks to amend Title 16 of the general statutes to prohibit electric distribution companies from recovering lobbying costs from their ratepayers. This legislation aims to enhance consumer protection by ensuring that utility companies cannot pass on the costs associated with lobbying activities to those who use their services. The intent is to hold electric distribution companies accountable for their lobbying expenditures, thereby safeguarding customers from indirect financial burdens linked to corporate advocacy efforts.

Contention

Notably, there may be pushback from electric distribution companies that argue this bill could limit their ability to effectively advocate for policies that impact their operations. Opponents of the bill might contend that lobbying is a critical component of industry representation, necessary for ensuring that the voices of utility companies are heard in legislative discussions. The outcome of this bill could spark debates around corporate governance, consumer rights, and the overall role of lobbying in shaping legislation that affects public utilities.