Iowa Senate Bill SF2244

Iowa 2023-2024 Regular Session

• Introduced: 2/7/24
• Refer: 2/7/24

Caption

A bill for an act relating to rate-regulated electric utilities and integrated resource plans.

Impact

The bill encourages utilities to adhere to a least-cost standard in their planning, as it includes provisions that require all costs associated with utility service to be justified. With a rebuttable presumption in favor of the least-cost option for resource alternatives, the legislation is intended to protect consumers from unnecessary costs. Additionally, the bill repeals existing provisions in the Code of Iowa that support renewable energy generation development, indicating a potential shift away from previous renewable energy initiatives.

Summary

Senate File 2244 (SF2244) introduces regulations around rate-regulated electric utilities in Iowa, specifically regarding their requirement to file integrated resource plans. The bill mandates that utilities demonstrate the achievement of safety, reliability, and affordability in service delivery, with the Iowa Utilities Board overseeing the approval of these plans. Each utility is required to submit their integrated resource plans within a year of the bill's enactment, outlining their strategies and operations for the next decade.

Contention

Notable contention surrounding SF2244 centers on the implications of repealing the intent for renewable energy development contained in prior legislation. Critics argue that this may hinder Iowa's progress towards sustainable energy solutions, while supporters emphasize the need for immediate cost-effectiveness in utility operations. Furthermore, the bill's stringent approval process for resource plans could lead to debates over what constitutes ‘measurable differences’ in service costs and raise questions about the potential impact on customer rates.