Authorizes the public service commission to implement performance-based regulation of electric or gas corporations

• Democratic8

◆ The sponsor's argument

Why Kristen Gonzalez says this is needed

As we see one request after the other for double digit rate increases from utilities, it is abundantly clear that our current regulatory framework for utilities is not working. It is time to explore alterna- tives to the "cost of service" utility system which was designed nearly a century ago and which encourages building more infrastructure. Perfor- mance-based regulations award or penalize utilities based on how they perform against stated goals. This bill authorizes the Public Service Commission to develop and adopt a framework for implementing performance-based regulations using incen- tives and penalties while establishing the metrics by which performance should be measured including: reducing greenhouse gas emissions; expand- ing the use of distributed energy resources, community solar, micro- grids, demand response, and energy efficiency programs; enhancing quali- ty, reliability, and resiliency of service; offering flexible payment plans to reduce disconnections and other programs that address the qual- ity and affordability of service; and improving all aspects of utility operations to reduce costs and pass savings onto ratepayers.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.