Mississippi House Bill HB970

Mississippi 2022 Regular Session

• Introduced: 1/17/22
• Refer: 1/17/22
• Failed: 2/1/22

Caption

Municipally-owned electric utility, certain; possesses same powers as rural EPA and may enter certain interlocal agreements.

Impact

If enacted, HB970 would amend the Mississippi Code to enable municipally-owned electric utilities to engage in broader operations beyond their traditional boundaries. This could lead to better service delivery and infrastructure development in underserved areas by promoting partnerships with neighboring utilities. It creates a legal framework that can encourage municipal utilities to expand their reach and potentially lower costs for consumers in both municipal and adjacent communities.

Summary

House Bill 970 proposes to empower municipally-owned electric utilities that serve at least one-third of their capacity outside municipal boundaries. The bill grants these utilities the same powers as those corporations formed under the Electric Power Association Law. This change aims to facilitate more operational flexibility and collaboration with adjacent public utilities, enhancing the ability to enter into interlocal agreements. Such agreements can potentially improve the coordination and sharing of resources among utilities.

Contention

One point of contention that may arise from this bill is the balance of power between municipal utilities and private electric companies. Supporters argue that the bill would promote competition and innovation in the energy market, as municipally-owned utilities could collaborate more effectively. However, opponents may express concerns that this could disadvantage private companies or lead to conflicts over service territories, particularly in regions where competition is limited. The long-term implications of such policies on energy pricing and service reliability could also be debated.