Tennessee Senate Bill SB0949

Tennessee 2023-2024 Regular Session

• Introduced: 1/31/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 7; Title 65 and Title 68, relative to utilities.

Impact

The legislation requires utilities to promptly address issues related to service interruptions and hold them accountable for their maintenance practices. If a utility fails to provide adequate service due to negligence or willful misconduct, they must refund customers for reasonable costs incurred because of the interruption. This stipulation could significantly impact utility operations and foster better maintenance practices, ultimately improving service reliability for residents.

Summary

Senate Bill 949, introduced by Senator Oliver, amends Tennessee Code Annotated concerning utilities. The main provisions include establishing requirements for public utilities to provide refunds or reimbursements to customers who experience extended or permanent interruptions of vital utility services such as electricity, water, and natural gas. The bill defines an 'extended interruption' as a disruption lasting 12 consecutive hours or a cumulative 12 hours within a 24-hour period. It emphasizes the need for utilities to maintain and secure their systems to prevent service failures that could affect customers' livelihoods.

Contention

Several points of contention may arise from SB 949. Utilities may express concerns regarding the potential financial burden of refunds and the operational implications of rigorous maintenance standards. While the bill aims to protect consumers and ensure compensation for service failures, utility companies may argue that the responsibility for such interruptions can sometimes be out of their control (e.g., natural disasters). Additionally, the requirement for a claim filing system may create operational headaches, especially for smaller utilities that may lack existing infrastructure to handle such claims effectively.