To Adopt The Fair And Efficient Transmission Compact.
The enactment of HB 1813 will create a framework for establishing a competitive bidding process for the construction of new transmission projects, benefiting electric ratepayers and enhancing the reliability of the power supply. By promoting an energy-agnostic approach, the compact allows for the selection of diverse energy resources based on cost and reliability rather than regulatory discrimination. This is expected to foster innovation, attract investments in new technologies, and contribute to long-term economic growth in the region by meeting the energy demands of businesses and industries.
House Bill 1813, introduced by Representative Gramlich, aims to adopt the Fair and Efficient Transmission Compact, which is a multi-state agreement involving Arkansas, Louisiana, Mississippi, and Texas. The main purpose of this compact is to reduce the construction costs associated with new high-voltage transmission infrastructure and enhance the capacity of the electricity grid to meet growing demand. The compact promotes cooperative action among participating states, facilitating the sharing of resources and policies to modernize and expand transmission assets effectively.
While proponents of HB 1813 argue it will eliminate regulatory barriers and facilitate faster and more efficient construction of transmission infrastructure, opponents may raise concerns about the implications for state regulatory powers and local control over electricity transmission. The compact signifies a shift towards greater collaboration among states, which could be met with resistance from legislative bodies that prefer maintaining existing regulatory structures. The bill’s outcome will depend on its reception among the state legislatures of the participating states and whether it can balance state autonomy with the need for cooperative infrastructure investment.