Senate advances measure altering approval and rate review process for major electric transmission projects

Senate Bill 301, which revises processes for certificates of public convenience and necessity and optional rate‑making procedures for electric transmission facilities, passed second reading after sponsor remarks emphasizing modernization of transmission technology and greater Public Service Commission (PSC) involvement.

Sponsor Senator Zolnikov said the measure aims to replace century‑old transmission technology with advanced systems that run cooler and reduce wildfire risk. The bill permits utilities to seek a certificate from the PSC for transmission construction, contemplates a pre‑approval or pre‑approval‑like process tied to MSSA (model or system‑specific approval) studies, and establishes PSC authority to review prudence and deny costs not prudently incurred.

Zolnikov told senators the bill provides checks by allowing post‑construction PSC review of costs and by linking preapproval to subsequent MSSA planning so projects are reviewed in light of full project scope. He argued this will protect ratepayers from built projects that do not prove necessary while enabling advanced technologies to be used where justified.

Floor discussion touched on the tradeoffs of preapproval versus later rate‑base decisions, the potential use of consultants, and the PSC’s role in granular cost reviews. The motion to recommend the bill do pass carried unanimously on the floor vote recorded as 50 senators voting Aye.

Supporters said the bill balances the need for modern infrastructure with ratepayer protections through PSC oversight; opponents in committee had raised concerns about preapproval mechanics, but sponsor said those concerns were addressed in drafting and that the PSC retains the authority to deny imprudent costs.