This bill mandates the New Hampshire Department of Energy to conduct a comprehensive study on the fixed and variable components of electric distribution costs. The study aims to identify the proportion of distribution costs that are fixed—unchanging regardless of electricity usage—and those that are variable, which fluctuate based on the amount of electricity consumed. The bill defines "fixed charge" as a fee applied uniformly to customers in a rate class, while "usage-based charge" varies with the kilowatt-hours consumed. The Department is instructed to evaluate specific cost categories, including storm recovery costs, infrastructure replacement costs, and capacity upgrades necessitated by increased demand.

The Department of Energy is required to submit its findings and recommendations to the relevant legislative committees and the governor by November 1, 2026. The bill does not allocate funding but anticipates that the costs associated with the study, estimated to exceed $1,000,000, will be covered through utility assessments, which will ultimately be passed on to ratepayers. The impact on individual customer bills is expected to be minimal. The bill takes effect upon passage, and the Department may consult with electric utilities and independent experts as necessary to complete the study.