Oklahoma Senate Bill SB1789

Oklahoma 2022 Regular Session

• Introduced: 2/7/22
• Refer: 2/8/22

Caption

Retail electric suppliers; modifying definitions. Effective date.

Impact

The most significant change enacted by SB1789 is the restriction placed on retail electric suppliers, prohibiting them from increasing rates or imposing surcharges on customers who install distributed generation systems. The bill's provisions are designed to ensure that these customers are not financially penalized for opting to generate their own electricity. This legislative move can have wide-ranging implications on energy pricing and consumer choice within the state, promoting the adoption of renewable energy sources by making it more economically viable.

Summary

SB1789 is a legislative amendment concerning the regulation of retail electric suppliers in Oklahoma. The bill modifies definitions within Section 156 of Title 17 of the Oklahoma Statutes, particularly clarifying the terms related to distributed generation, which refers to energy generation systems that are owned or operated by utility customers and connected to the local energy grid. This disambiguation aims to facilitate a better understanding of distributed energy sources and their connection to retail electric suppliers.

Contention

Notably, the bill establishes a framework ensuring that customers with distributed generation systems are not subsidized by those without such systems in similar service classes. While proponents argue that this promotes fairness and prevents older customers from carrying the cost burdens of modern renewable technologies, there are concerns from some stakeholders about modeling tariffs in a way that could discourage the growth of renewable energy installations. The overall dialogue surrounding SB1789 reflects broader issues regarding energy independence and sustainability versus cost regulation.