A BILL for an Act to create and enact a new section to chapter 49-02 of the North Dakota Century Code, relating to public interest exemptions for electric public utilities.
Summary
HB 1111 would have added a new section to North Dakota Century Code chapter 49-02 giving the Public Service Commission authority to exempt an electric public utility from certain regulatory requirements if the commission finds the exemption to be in the public interest. The exemption could apply to rules affecting rates, contracts, services rendered, and the adequacy or sufficiency of utility facilities, as well as other public utility restrictions. The commission would also have been allowed to attach reasonable terms and conditions to any exemption.
The bill did not eliminate existing commission authority under chapter 49-03, and any exemption could be revoked or suspended under the procedures in chapter 28-32. In practical terms, the measure would have created a flexible regulatory tool for electric utilities, allowing case-by-case relief from some rate and service regulations when the commission believed doing so would benefit the public.
Impact
If enacted, HB 1111 would have amended the state’s utility regulatory framework by creating a new discretionary exemption authority for the Public Service Commission in chapter 49-02. It would have affected electric public utilities directly, potentially changing how rates, service obligations, and facility standards are regulated in specific circumstances. The bill would have preserved the commission’s broader authority under chapter 49-03 while adding a separate mechanism for targeted exemptions.
Sentiment
The bill appears to have had little support in the House, failing on second reading by a vote of 0 yeas to 93 nays on February 24, 2025. With no committee transcript available, the recorded vote is the clearest indicator of sentiment, and it suggests strong opposition or lack of confidence in the proposal. The absence of recorded affirmative votes indicates the measure was not viewed favorably by the chamber.
Contention
The main point of contention was likely the breadth of discretion the bill would have given the Public Service Commission to exempt electric utilities from regulations affecting rates and service standards. Supporters may have viewed the bill as a way to provide regulatory flexibility and respond to public interest needs, while opponents likely worried about weakening consumer protections, reducing oversight, or allowing uneven treatment of utilities. Because the bill failed overwhelmingly, concerns about limiting regulation appear to have outweighed any perceived benefits of flexibility.
A BILL for an Act to create and enact a new section to chapter 49-02 of the North Dakota Century Code, relating to public interest exemptions for electric public utilities.
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