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Senators say limited electric capacity is slowing housing construction, chair urges coordination with utilities
Summary
Senator Brian Kavanaugh and colleagues discussed how constrained electric capacity and utility processes are creating a bottleneck for housing production and said the Public Service Commission and utilities must engage to avoid delaying builds.
During the April 28 meeting of the State Senate Committee on Housing, Construction and Community Development, State Senator (and committee chair) Brian Kavanaugh and Senator Kefna exchanged views about whether constrained electric capacity is halting residential construction in parts of the state.
Senator Kefna asked whether any budget action could address the issue and said: “I mean, one of the sticking points I continue to see is, a slowdown of building because we don't have the electric capacity that we need and because we shut off basically natural gas.”
Kavanaugh replied: “I certainly don't have a crystal ball. I also wouldn't agree with the characterization of what's going on. I mean, there are a lot of...headwinds against producing additional housing that we have tried to address.” He said the Senate one‑house budget proposal includes increased capital investment and that the committee is pursuing regulatory reforms and local tax breaks to facilitate construction.
Kefna reiterated the operational impact: “We have building that residential building that's come to an absolute stop because of a lack of electric capacity...It is something that we absolutely have to address.”
Kavanaugh said the matter largely falls to the Public Service Commission and utilities and noted he has participated in panels and forums to press the issue: “I have been at various meetings and forums around the state to discuss exactly that...making sure that utilities in their efforts to ensure their profits...are not impeding the construction of housing.” He added the committee does not necessarily need new laws but does need to be “proactive about making sure electrical capacity is available when that is an obstacle to building housing.”
Why it matters: Committee members flagged electric capacity as a practical, near‑term constraint on housing production in some areas. Lawmakers said the issue spans regulatory (Public Service Commission), utility planning and capital investments and may require coordination across agencies rather than immediate statutory change.
What was not decided: No formal action on energy policy or utility regulation was taken in the committee. Chair Kavanaugh and senators agreed to continue discussions and to coordinate with relevant agencies.
