General Assembly introduces act to protect consumer access to affordable electricity

The Connecticut State Legislature has introduced Senate Bill 647, aimed at enhancing consumer access to affordable electricity. The bill, presented on February 27, 2025, seeks to reform the existing systems benefits charge, which is a fee collected from electric distribution companies to fund energy assistance programs.

The primary objective of Senate Bill 647 is to ensure that the Public Utilities Regulatory Authority (PURA) can establish and adjust the systems benefits charge more effectively. Under the proposed legislation, the charge will be funded directly from the General Fund, rather than being imposed on end-use customers. This shift is intended to alleviate the financial burden on consumers while maintaining necessary funding for energy assistance programs.

Key provisions of the bill include the requirement for PURA to hold hearings to determine the amount of the systems benefits charge and the ability to revise it as needed. Additionally, the bill mandates an annual transfer of $2.1 million from the charge to Operation Fuel, Incorporated, which provides energy assistance to low-income residents. This funding is crucial for ensuring that vulnerable populations can access essential energy services.

The introduction of Senate Bill 647 has sparked discussions among lawmakers and stakeholders. Proponents argue that the bill will enhance consumer protections and make electricity more affordable, particularly for low-income households. However, some critics express concerns about the potential impact on the General Fund and whether the proposed changes will adequately address the needs of all consumers.

The bill's implications extend beyond immediate financial relief. By restructuring how energy assistance is funded, it could lead to broader discussions about energy policy in Connecticut, particularly in the context of rising energy costs and the ongoing transition to renewable energy sources.

As the bill moves through the legislative process, its future will depend on further debates and potential amendments. If passed, Senate Bill 647 could significantly reshape the landscape of energy assistance in Connecticut, ensuring that affordable electricity remains accessible to all residents.