Rhode Island Senate Bill S0476

Rhode Island 2023 Regular Session

• Introduced: 3/7/23
• Refer: 3/7/23

Caption

Public Utilities Commission

Impact

One key feature of S0476 is its approach towards standard-offer service, which is the default electricity service for customers who do not opt for a different provider. The bill stipulates that electric distribution companies should facilitate last-resort service for customers who have left the standard offer but are not receiving electricity from other suppliers. This aims to provide a safety net for consumers, ensuring that they always have access to necessary power service regardless of their supplier status.

Summary

Senate Bill S0476, introduced by Senator Anthony P. DeLuca, aims to amend the existing laws surrounding the Public Utilities Commission, specifically relating to electric distribution companies. The bill mandates that electric distribution companies must offer retail access to customers from nonregulated power producers. This provision is intended to promote economic development and job preservation within the state by ensuring that all customers can choose their power suppliers without being restricted to a default provider.

Contention

A significant point of contention arises from the bill's provisions regarding cost recovery and pricing structures. The electric distribution companies are not allowed to gain profit margins on standard-offer service but can recover costs incurred in providing the service. Critics of the bill may argue that this could lead to a lack of incentive for companies to efficiently manage supply costs, potentially affecting pricing for consumers. Additionally, amendments to existing laws and review powers granted to the commission could lead to debates about regulatory oversight and the balance of power between state authorities and local utilities, which could shape the operational landscape of electric services significantly.