OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 ↓ (860) 240-0200
May 7, 2018
To Fiscal Note on LCO No. 5432
sSB-9, File No. 460
AN ACT CONCERNING CONNECTICUT'S ENERGY FUTURE.
The following information was omitted from the strike-all amendment:
Section 7 requires the Public Utilities Regulatory Authority (PURA), by September 1, 2018 to open a proceeding to establish a procurement plan and tariffs for each electric distribution company (EDC). By July 1, 2019, and annually thereafter, each EDC must solicit and file for PURA's approval one or more 20-year tariffs consistent with the procurement plan. As PURA must give preference to projects that provide electric distribution system benefits, this provision may result in costs to PURA and the Office of Consumer Counsel (OCC) of up to $50,000 each to the PUC fund in FY 19 or FY 20 for consultants to the extent the agencies do not currently have the expertise to fulfill these requirements.
Additionally, Section 7 requires that the aggregate procurement and tariff purchases of energy and RECs by EDCs under certain proposals under a pricing cap. The bill requires an EDC's net costs from the tariffs be charged to their customers, including the state and municipalities as ratepayers, under the non-bypassable fully reconciling component of the electric rates. Any revenues from the sale of products purchased under the tariffs must be credited to customers through the EDC's same rate component, which also includes the state and municipalities as ratepayers.