Connecticut 2025 Regular Session

Connecticut House Bill HB07088 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
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3	3	LCO No. 5496 1 of 6
4	4
5	5	General Assembly Raised Bill No. 7088
6	6	January Session, 2025
7	7	LCO No. 5496
8	8
9	9
10	10	Referred to Committee on ENERGY AND TECHNOLOGY
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12	12
13	13	Introduced by:
14	14	(ET)
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16	16
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19	19	AN ACT REQUIRING THE PUBLIC UTILITIES REGULATORY
20	20	AUTHORITY TO STUDY ALTERNATIVE ENERGY DELIVERY
21	21	METHODS, DEVELOP A CAPITAL INVESTMENT FUNDING
22	22	MECHANISM AND INCREASE THE FREQUENCY OF RATE
23	23	ADJUSTMENT PROCEEDINGS.
24	24	Be it enacted by the Senate and House of Representatives in General
25	25	Assembly convened:
26	26
27	27	Section 1. (NEW) (Effective October 1, 2025) Not later than January 1, 1
28	28	2026, the Public Utilities Regulatory  Authority shall initiate a 2
29	29	proceeding to study alternative energy delivery methods, including 3
30	30	direct-bill remote energy generation and municipal or regional energy 4
31	31	aggregation. On or before July 1, 2026, the authority shall submit a 5
32	32	report of the findings of such study, in accordance with the provisions 6
33	33	of section 11-4a of the general statutes, to the joint standing committee 7
34	34	of the General Assembly having cognizance of matters relating to 8
35	35	energy and technology. 9
36	36	Sec. 2. Section 16-244aa of the general statutes is repealed and the 10
37	37	following is substituted in lieu thereof (Effective October 1, 2025): 11
38	38	(a) (1) For the purposes of this section, "electric distribution company" 12
39	39	Raised Bill No. 7088
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43	43	LCO No. 5496 2 of 6
44	44
45	45	has the same meaning as provided in section 16-1 and "emergency" has 13
46	46	the same meaning as provided in section 16-32e. 14
47	47	(2) "Resilience" means the ability to prepare for and adapt to changing 15
48	48	conditions and withstand and recover rapidly from deliberate attacks, 16
49	49	accidents or naturally occurring threats or incidents, including, but not 17
50	50	limited to, threats or incidents associated with the impacts of climate 18
51	51	change. 19
52	52	(b) Not later than June 1, 2021, the Public Utilities Regulatory  20
53	53	Authority shall initiate a proceeding to investigate, develop and adopt 21
54	54	a framework for implementing performance-based regulation of each 22
55	55	electric distribution company. Such framework adopted by the 23
56	56	authority shall: (1) Establish standards and metrics for measuring such 24
57	57	electric distribution company's performance of objectives that are in the 25
58	58	interest of ratepayers or benefit the public, which may include, but not 26
59	59	be limited to, safety, reliability, emergency response, cost efficiency, 27
60	60	affordability,  equity, customer satisfaction, municipal engagement, 28
61	61	resilience and advancing  the state's environmental and policy goals, 29
62	62	including, but not limited to, those goals established in section 22a-200a, 30
63	63	in the Integrated Resources Plan approved pursuant to section 16a-3a 31
64	64	and in the Comprehensive Energy Strategy prepared pursuant to 32
65	65	section 16a-3d; (2) identify the manner, including the timeframe and 33
66	66	extent, in which such standards and metrics shall be used to apply the 34
67	67	principles and guidelines set forth in section 16-19e and to determine 35
68	68	the relative adequacy of the company's service and the reasonableness 36
69	69	and adequacy of rates proposed and considered pursuant to section 16-37
70	70	19a; [and] (3) identify specific mechanisms to be implemented to align 38
71	71	utility performance with the standards and metrics adopted pursuant to 39
72	72	this section and subsection (b) of section 16-19a, including, but not 40
73	73	limited to, reviewing the effectiveness of the electric distribution 41
74	74	company's revenue decoupling mechanism; and (4) identify a forward-42
75	75	looking capital investment funding mechanism to provide cost recovery 43
76	76	for capital investments necessary for the safe and reliable operation of 44
77	77	the electric grid, which mechanism shall include (A) criteria and 45
78	78	Raised Bill No. 7088
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82	82	LCO No. 5496 3 of 6
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84	84	processes for the timely recovery of capital investments not less 46
85	85	frequently than annually, and (B) a defined standard of review of the 47
86	86	prudency of a capital investment with objective standards that provide 48
87	87	for stable and predictable regulation for the purpose of aligning capital 49
88	88	investment strategies with the needs of electric customers. The authority 50
89	89	may also initiate a proceeding to investigate, develop and adopt a 51
90	90	framework for implementation of performance-based regulation for gas 52
91	91	and water companies, as defined by section 16-1, consistent with the 53
92	92	requirements and provisions of this section. 54
93	93	Sec. 3. Subsection (d) of section 4-181 of the general statutes is 55
94	94	repealed and the following is substituted in lieu thereof (Effective October 56
95	95	1, 2025): 57
96	96	(d) The provisions of this section apply from the date the matter 58
97	97	pending before the agency becomes a contested case to and including 59
98	98	the effective date of the final decision. Except as may be otherwise 60
99	99	provided by regulation, each contested case shall be deemed to have 61
100	100	commenced on the date designated by the agency for that case, but in 62
101	101	no event later than the date of hearing. The provisions of this section 63
102	102	shall not apply to uncontested cases and do not prohibit 64
103	103	communications between parties to a proceeding or the clerks, staff or 65
104	104	commissioners of the agency concerning matters relating to uncontested 66
105	105	proceedings. 67
106	106	Sec. 4. Subsection (h) of section 16-19b of the general statutes is 68
107	107	repealed and the following is substituted in lieu thereof (Effective October 69
108	108	1, 2025): 70
109	109	(h) The Public Utilities Regulatory Authority shall continually 71
110	110	monitor and oversee the application of the purchased gas adjustment 72
111	111	clause, the energy adjustment clause, and the transmission rate 73
112	112	adjustment clause. The authority shall hold a public hearing thereon 74
113	113	whenever the authority deems it necessary or upon application of the 75
114	114	Office of Consumer Counsel, [but no less frequently than annually,] 76
115	115	Raised Bill No. 7088
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118	118
119	119	LCO No. 5496 4 of 6
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121	121	reconcile such rate components based on forecasted revenues and 77
122	122	expenses not less frequently than once every six months and undertake 78
123	123	such other proceeding thereon to determine whether charges or credits 79
124	124	made under such clauses reflect the actual prices paid for purchased gas 80
125	125	or energy and the actual transmission costs and are computed in 81
126	126	accordance with the applicable clause. If the authority finds that such 82
127	127	charges or credits do not reflect the actual prices paid for purchased gas 83
128	128	or energy, and the actual transmission costs or are not computed in 84
129	129	accordance with the applicable clause, it shall recompute such charges 85
130	130	or credits and shall direct the company to take such action as may be 86
131	131	required to insure that such charges or credits properly reflect the actual 87
132	132	prices paid for purchased gas or energy and the actual transmission 88
133	133	costs and are computed in accordance with the applicable clause for the 89
134	134	applicable period. 90
135	135	Sec. 5. (NEW) (Effective October 1, 2025) Not later than January 1, 2026, 91
136	136	the Public Utilities Regulatory  Authority shall initiate a proceeding to 92
137	137	investigate, study and develop innovative rate plans to stabilize 93
138	138	customer electric bills. Such proceeding shall include the electric 94
139	139	distribution companies, the Office of Consumer Counsel, the 95
140	140	Commissioner of Energy and Environmental Protection and any other 96
141	141	person, group or entity selected by the authority to participate in such 97
142	142	proceeding. On or before July 1, 2026, the authority shall submit a report 98
143	143	of the findings of such study, in accordance with the provisions of 99
144	144	section 11-4a of the general statutes, to the joint standing committee of 100
145	145	the General Assembly having cognizance of matters relating to energy 101
146	146	and technology. 102
147	147	Sec. 6. (NEW) (Effective from passage) (a) Not later than July 1, 2025, 103
148	148	the Public Utilities Regulatory Authority shall open an uncontested 104
149	149	proceeding, or amend the notice of proceeding in an active proceeding, 105
150	150	to evaluate the criteria and standards related to appropriate protections 106
151	151	from service termination for customers of a regulated gas company or 107
152	152	electric distribution company, as those terms are defined in section 16-1 108
153	153	of the general statutes, with a serious illness or life-threatening medical 109
154	154	Raised Bill No. 7088
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158	158	LCO No. 5496 5 of 6
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160	160	condition. Such evaluation shall include, but need not be limited to: 110
161	161	(1) Reviewing protections for customers with a serious illness and 111
162	162	life-threatening medical condition, and making recommendations on 112
163	163	appropriate standards for conditioning protections to such customers 113
164	164	on their ability to pay; 114
165	165	(2) Evaluating whether additional notice requirements prior to 115
166	166	shutoff would be appropriate for customers with a serious illness and 116
167	167	life-threatening medical condition; 117
168	168	(3) Evaluating the current procedures and practices and the relevant 118
169	169	information collected for verification of hardship status; 119
170	170	(4) Evaluating the impact on the ratepayers; and 120
171	171	(5) Evaluating the requirement for a medical hardship customer to 121
172	172	enroll in a payment plan. 122
173	173	(b) Not later than February 4, 2026, the chairperson of the Public 123
174	174	Utilities Regulatory Authority shall submit a report, in accordance with 124
175	175	the provisions of section 11-4a of the general statutes, to the joint 125
176	176	standing committee of the General Assembly having cognizance of 126
177	177	matters relating to energy, summarizing the results of said proceeding 127
178	178	and providing recommendations regarding service termination policies, 128
179	179	and procedures evaluated in said proceeding. 129
180	180	This act shall take effect as follows and shall amend the following
181	181	sections:
182	182
183	183	Section 1 October 1, 2025 New section
184	184	Sec. 2 October 1, 2025 16-244aa
185	185	Sec. 3 October 1, 2025 4-181(d)
186	186	Sec. 4 October 1, 2025 16-19b(h)
187	187	Sec. 5 October 1, 2025 New section
188	188	Sec. 6 from passage New section
189	189
190	190	Raised Bill No. 7088
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192	192
193	193
194	194	LCO No. 5496 6 of 6
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196	196	Statement of Purpose:
197	197	To require the Public Utilities Regulatory Authority to (1) study
198	198	alternative energy delivery methods, (2) develop a capital investment
199	199	funding mechanism, (3) increase the frequency of rate adjustment
200	200	proceedings, (4) study innovative rate plans to stabilize customer
201	201	electric bills, and (5) study service termination protections for persons
202	202	with serious illnesses or life-threatening medical conditions.
203	203
204	204	[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
205	205	that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
206	206	underlined.]
207	207