Iowa House Bill HSB698

Iowa 2023-2024 Regular Session

• Introduced: 2/12/24
• Refer: 2/12/24

Caption

A bill for an act relating to electric transmission lines and electric transmission owners, and including effective date and applicability provisions.(See HF 2551.)

Impact

A significant aspect of HSB698 is its retroactive applicability to July 1, 2020, impacting previously approved electric transmission lines not subject to any right of first refusal. This means that even past projects can be subject to the new stipulations regarding construction and ownership. The bill gives existing electric transmission facility owners the right to construct new lines directly connected to their facilities, which could promote efficiency in the management of electric transmission infrastructure.

Summary

House Study Bill 698 addresses the regulation of electric transmission lines and the rights of electric transmission owners in Iowa. The bill highlights an urgent need for investment in high-voltage transmission infrastructure to ensure the reliable and stable delivery of electricity to consumers in the state. It allows incumbent electric transmission owners to be formed, located, or headquartered in any state, provided that their electric transmission lines are situated in Iowa. This provision is aimed at promoting investment from entities committed to developing the state's electric infrastructure.

Contention

The bill includes measures regarding cost accountability where incumbent electric transmission owners must inform the Iowa Utilities Board of their estimated construction costs and provide quarterly updates throughout the construction phase. There may be contention regarding the extent of the rights given to incumbent owners, especially in terms of potentially excluding other developers from participating in projects that connect to existing transmission facilities. Some stakeholders may view this as limiting competition and raising concerns about the manner in which the board can assign construction rights.