AN ACT RELATING TO PUBLIC UTILITIES AND CARRIERS -- PUBLIC UTILITIES COMMISSION

2025 Regular Session Introduced by Jose Batista and 7 co-sponsors

The bill would cap T&D fee increases by public utilities for two years starting July 1, 2025, requiring General Assembly approval for any increase.

03/20/2025 Committee recommended measure be held for further study

Overview

HB 5813 proposes a two-year cap on increases to transmission and distribution (T&D) fees charged to consumers by public utilities. The cap would take effect upon passage and would begin with a specific two-year period starting July 1, 2025. Utilities with fewer than 7,500 accounts are exempt. Any increase in T&D fees during the cap period would require affirmative approval by the General Assembly.

Key Provisions

Section 39-1-64: Cap on energy distribution fees

A public utility may not increase the T&D fees shown on a consumer’s bill for two years, starting July 1, 2025, unless the increase is approved by affirmative action of the Rhode Island General Assembly.
Exemption: Utilities with fewer than 7,500 utility accounts are not subject to the cap.

Effective date: The act takes effect upon passage.

Scope: Applies to public utilities defined in § 39-1-2.

Affected Parties

Public utilities in Rhode Island (electric, gas, and other covered public utilities subject to the Public Utilities Commission)

Residential and commercial customers receiving utility bills with T&D charges

Utilities serving large customer bases (7,500+ accounts) are subject to the cap; smaller entities are exempt

Timeline and Procedural Details

Introduced: Late February 2025 (with proceedings referencing January 22, 2025 as an introduction date in some materials)

Referred to: House Corporations (and previously to Appropriations in early actions)

Committee status: As of March 20, 2025, the House committee recommended the measure be held for further study (i.e., not yet enacted, pending further review)

Hearings: Scheduled discussions/planning noted (e.g., hearing scheduled around March 14–20, 2025)

Potential Impacts

Consumer protections: The measure provides a two-year relief from T&D fee increases, potentially dampening bill increases for customers during the cap period.

Utility finances: Utilities would face limits on rate adjustments during the cap, potentially affecting revenue recovery for operations and investment, unless the General Assembly approves any increases.

Legislative oversight: Any future change to T&D fees during the cap must go through the General Assembly, increasing legislative involvement in utility pricing decisions.

Administrative scope: The exemption for utilities with 7,500 or fewer accounts narrows impact to larger providers, affecting how many customers and which utilities would be subject to the cap.

Note: The bill is currently in committee and has not been enacted. If advanced, it would require affirmative action by the General Assembly to permit any T&D fee increase during the two-year period.

Bill