Oklahoma House Bill HB3250

Oklahoma 2022 Regular Session

• Introduced: 2/7/22
• Refer: 2/8/22

Caption

Corporation Commission; requiring promulgation of certain rules and procedures; requiring electric utility companies to bury certain lines underground; effective date.

Impact

The bill's passage would enforce a significant shift in policy, affecting both existing utility companies and new developments. The Corporation Commission is tasked with creating rules regarding the implementation of this policy, which will include provisions for electric utilities to recover the costs associated with converting overhead lines to underground installations through rate adjustments. This change could ultimately lead to more stable electricity delivery, although it may also increase costs for utilities and consumers in the short term as infrastructure modifications take place.

Summary

House Bill 3250 mandates that electric utility companies in Oklahoma must replace all existing overhead power lines with subterranean lines. This legislation is designed to enhance the resilience and reliability of the electrical infrastructure, potentially mitigating issues caused by weather-related events that can disrupt overhead lines. Additionally, the bill requires all future construction of power lines to adhere to this subterranean standard, thereby establishing a long-term framework for better utility management across the state.

Contention

Supporters of HB 3250 argue that the move to underground power lines is a necessary modernization step that promises increased safety and reliability for Oklahoma's electrical grid. However, there may be concerns regarding the financial implications, particularly about rate increases for consumers as utilities seek recovery of incurred expenses. Opponents might argue that such legislation could lead to significant expenditure burdens on utility companies which may be passed on to customers, thereby sparking a debate on the balance between infrastructure improvement and consumer costs.