Rhode Island Senate Bill S0981

Rhode Island 2025 Regular Session

• Introduced: 4/16/25
• Refer: 4/16/25

Caption

Allows for measures to advance the undergrounding of certain utility cables and to have the same funded through utility rate increases to the cities of Providence and East Providence.

Impact

S0981 amends existing laws governing the Energy Facility Siting Act, specifically empowering local municipalities to forego refunds owed to ratepayers in favor of using those funds to support the underground project. This legislative change is significant as it proposes to finance the incremental costs of undergrounding the transmission line above what would normally be allocated for standard construction. With the passage of this bill, the burden of funding will be shifted towards ratepayers, which raises questions regarding the economic implications for residents and the potential precedents for future utility financing.

Summary

Bill S0981 seeks to advance the undergrounding of certain utility cables particularly concerning the E-183 electric transmission line in Rhode Island. This initiative aims to address concerns related to the visibility and reliability of electric infrastructure within the cities of Providence and East Providence. As stipulated by the bill, the funding for these undergrounding measures will be facilitated through utility rate increases imposed on the local electric ratepayers. The underlying justification for the bill resides within both improving the aesthetics of the regions and enhancing the stability of electric service delivery in these communities.

Contention

There are notable points of contention surrounding the bill, particularly around the governance of utility rates and community funding for infrastructure projects. Critics may argue that relying on utility rate increases places undue financial strain on residents, especially when previous funding mechanisms and customer credits have not yet been fully utilized. Additionally, the bill embodies a broader debate on the balance between enhancing utility infrastructure through state intervention and ensuring that local municipalities retain adequate control over how such projects are financed and implemented.