Investor-owned electric utilities missing state standards would owe households bill credits

The Energy Secretary would order state regulators to require credits. Credits would cover all residential customers of investor-owned electric utilities whose state regulators set rates and audit performance yearly. The regulator must certify missed state standards, including reliability and safety. Utility investors would pay for the credits. Credits would start at $100 per customer the year after the failure and rise $100 yearly until the utility meets state standards.

Covered state regulators would tell the Energy Secretary whether each utility met state standards. The duty would apply to regulators that set rates for investor-owned electric utilities and audit their performance each year. The state regulator would decide whether each utility met the standards. Regulators would report every year on whether each covered utility met the standards for that year.

The Energy Secretary could withhold aid from a state regulator. This would affect assistance to the regulator, including grants, loans, and technical help. The regulator must have failed to follow the Secretary’s order to require utility bill credits. Aid could remain withheld until the regulator follows the order.