Governor Ned Lamont signed legislation Wednesday which implements a performance-based incentive system that increases accountability among the state's utility companies.
The Public Utilities Regulatory Authority (PURA) will be establishing the system which, according to state officials, will ensure that utilities are either rewarded for good performance or penalized for not achieving metrics set through a proceeding.
The system will focus on several factor including safety, storm response, affordability, the state's environmental goals, customer satisfaction and communication with municipalities, PURA officials said.
At the bill signing ceremony, PURA Chair Marissa Gillett said the process to implement that system will include a diverse set of stakeholders.
"We're welcoming into our proceedings municipalities and diverse stakeholders such as our low income advocates and environmental justice advocates. Having more of those people around the table when we're going through these complicated matters is going to produce a much more balanced end result," Gillett said.
Among other provisions, the legislation extends PURA rate-making proceedings to 350 days rather than 150 days with a 30-day extension, according to Energy & Technology Committee Co-Chair State Representative David Arconti.
The legislation has a framework that aims to improve how utilities perform, Arconti said.
According to Arconti and other lawmakers, there are protections in the bill to make sure utilities don't change their operations to avoid penalties.
Also under the legislation, a program will be expanded that protects critical infrastructure from the threat of severe weather and other climate impacts, officials said.
Governor Ned Lamont said, "Utility companies provide a critical service that can quite literally mean life or death in certain situations, and ratepayers deserve a level of respect that puts them above profits."
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