The bill amends Section 39-1-27.7.1 of the General Laws in Chapter 39-1, which pertains to the Public Utilities Commission, specifically addressing revenue decoupling for electricity and gas distribution companies with over 100,000 customers. Revenue decoupling is a mechanism that separates a utility's revenue from its sales volume, aiming to encourage energy efficiency and system reliability without penalizing the utility for reduced sales due to conservation efforts. The bill outlines the purposes of decoupling proposals, which include increasing operational efficiency, achieving energy efficiency goals, reducing risks, and encouraging investment in infrastructure and end-use energy efficiency. It also mandates that these companies file proposals with the commission to implement the policy, which must contain certain features and components, such as an annual revenue decoupling reconciliation mechanism and an infrastructure, safety, and reliability spending plan.

The bill introduces an insertion that specifies the general assembly's findings on electricity and gas revenue decoupling and the purposes of decoupling proposals. It also includes a deletion, removing the requirement that the mechanism for gas distribution be determined on a revenue-per-customer basis. The bill further details the duties and powers of the commission post-decoupling, the role of the Rhode Island energy efficiency and resources management council in proposing energy-savings targets, and reporting requirements for electric distribution companies. The act would take effect upon passage, and it aims to amend the existing revenue decoupling mechanism to not necessitate distribution based on a revenue-per-customer basis for gas distribution companies.

Statutes affected:
704: 39-1-27.7.1