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Bill would clarify privilege protections for utilities in PUC proceedings
Summary
AB 46 would clarify that utilities do not waive attorney-client, trade secret or other privileges when they confidentially share privileged material with the Public Utilities Commission of Nevada or interveners in PUC proceedings; the Public Utilities Commission presented the bill and utilities testified neutral after on-record clarifications.
Assembly Bill 46 would clarify that when a utility supplies privileged information (for example, attorney-client communications, trade-secret materials, or accountant-client privileged information) confidentially to the Public Utilities Commission of Nevada (PUCN) or authorized interveners during regulatory proceedings, the utility does not waive those privileges by providing the material, PUCN staff told the Senate Committee on Growth and Infrastructure.
"If a privilege'd material such as a trade secret privilege, attorney client privilege or accountant client privilege applies to information relevant to a utilities application pending before the commission... this bill clarifies that the utility can share that information confidentially with the commission and interveners in that case without waiving that privilege," Don Lomoljo, staff counsel for the Public Utilities Commission of Nevada, said in the hearing.
PUCN staff said the clarification is intended to encourage production of relevant materials during rate cases or other applications without utilities fearing inadvertent waiver of privilege. The presentation cited examples where privileged invoices or audit materials might be needed by the commission to determine prudence or reasonableness of costs and where privilege concerns can impede evidence-sharing.
Western Resource Advocates and Advanced Energy United testified in support of AB 46, saying the clarification helps enable transparent and thorough review while preserving confidentiality. Nadine Kienhoefer of Western Resource Advocates called the bill "practical and necessary" and urged committee support. Advanced Energy United said the measure would facilitate productive proceedings while maintaining confidentiality.
Key utilities testified neutral after on-the-record clarifications from the PUC. Southwest Gas said the commission's clarification that AB 46 does not permit the commission to compel production of privileged material resolved its concerns and left the utility neutral on the bill. NV Energy offered a similar neutral position, citing the PUC's statement that the bill does not create new compulsory authority.
No committee vote on AB 46 was recorded in the hearing. The committee heard support from stakeholder groups and neutral testimony from major utilities; sponsors and PUC staff said the bill would reduce procedural friction in regulatory proceedings while preserving existing confidentiality protections.
Ending note: The bill was presented as a narrow procedural clarification intended to ease evidentiary exchange in PUC proceedings without expanding commission authority to compel privileged materials.
