Kansas House Bill HB2155

Kansas 2023-2024 Regular Session

• Introduced: 1/24/23
• Refer: 1/24/23
• Failed: 4/30/24

Caption

Requiring the state corporation commission to review the regional rate competitiveness of an electric utility's rates in electric utility rate proceedings.

Impact

The implications of HB 2155 are significant for state laws related to the regulation of public utilities. It amends the existing statute K.S.A. 66-101b, reinforcing the commission's authority to oversee and mandate just rates that also consider regional competitiveness. This shift is intended to prevent electric utilities from setting unjust rates that might burden consumers, thereby placing a stronger emphasis on consumer protection while fostering a competitive utility market essential for economic growth.

Summary

House Bill 2155 mandates that the state corporation commission evaluate the regional rate competitiveness of electric utilities during rate proceedings. The bill focuses on ensuring that the rates charged by electric utilities are not only just and reasonable but also comparable to rates in other regions. This provision aims to maintain a fair balance between service costs and economic development within the state. By requiring written findings on rate competitiveness, the bill seeks to enhance transparency and accountability in utility rate-setting processes.

Contention

Notable debates surrounding this bill include concerns from various stakeholders about potential impacts on utility operations and how aggressive competitiveness evaluations might affect pricing structures. Critics may argue that focusing on regional rates could lead utilities to prioritize profitability over service quality, potentially risking the sustainability of utilities. Meanwhile, supporters advocate that enhancing competitiveness will ultimately benefit consumers by fostering better pricing and service standards.