House Bill No. 1737, known as the "Natural Gas Utility Infrastructure Cost Recovery Act of 2025," establishes a framework for natural gas utilities in Oklahoma to seek pre-approval from the Corporation Commission for investments in energy infrastructure facilities. This includes projects related to renewable natural gas, hydrogen, and other alternative fuels. The bill defines "public interest" in terms of enhancing energy reliability, promoting economic development, and providing environmental benefits. If the Commission determines that a proposed facility or gas supply contract serves the public interest, the associated costs will be subject to cost recovery rules. Additionally, any costs exceeding the approved amount by more than 10% will undergo a prudency review during the utility's next general rate filing.

The bill also outlines procedures for the Corporation Commission staff and the Office of the Attorney General to request assessments of specific costs related to the analysis of applications filed by natural gas utilities. The Commission is tasked with promulgating rules to implement these provisions, which must be submitted to the Legislature by April 1, 2026. These rules will address the recovery of costs associated with assessments, the timely review of approved facilities, and the information required from utilities when filing applications. The act is set to take effect on November 1, 2025.