Rhode Island Senate Bill S0981

Rhode Island 2025 Regular Session

• Introduced: 4/16/25
• Refer: 4/16/25
• Report Pass: 6/2/25
• Engrossed: 6/4/25

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

If enacted, this bill will modify existing laws related to the funding mechanisms available for undergrounding utility lines. It permits the public utilities commission to oversee the use of rate increases from electric customers to cover the incremental costs of undergrounding, which previously were a barrier due to construction feasibility challenges and logistical concerns. The proposed legislation reflects an effort to realize unfulfilled commitments regarding community-based utility improvements, while ensuring that there is accountability in the expenditure of ratepayer funds through required audits and reviews by governmental oversight bodies.

Summary

Bill S0981, relating to the Energy Facility Siting Act, proposes significant changes to how utility infrastructure is managed in the cities of Providence and East Providence, specifically focusing on the undergrounding of certain utility cables. The bill seeks to advance the construction of an underground alignment for the E-183 electric transmission line, which has been a topic of interest since the original 2004 Settlement Agreement. The amendment allows for utility rate increases to provide necessary funding for this underground project, thereby addressing community concerns about overhead power lines while also offering a legitimate funding strategy for municipal improvements in electrical infrastructure.

Sentiment

The discussion surrounding Bill S0981 has been generally supportive among local government officials and citizens who are advocating for improved aesthetics and potentially safer utility infrastructure. Many stakeholders believe undergrounding is a positive step toward modernizing local infrastructure. However, there remains considerable apprehension regarding the financial implications for ratepayers, especially related to the mechanism of funding through rate increases. Opponents may view the bill as an imposition of additional costs on residents, raising concerns about the long-term fiscal impacts of such decisions.

Contention

Key points of contention include the method of funding the underground alignment, as the bill proposes using customer rates to recover costs, which some critics argue could disproportionately burden residents. Additionally, the intricacies of property rights acquisition for the utility in relation to the construction process have sparked debates over community autonomy. The effectiveness of regulatory oversight and the potential for increased utilities costs are other points that have drawn scrutiny, challenging lawmakers to balance expansion of essential services with fiscal responsibility.