Eric Schneiderman for Attorney General

“Bloomberg: N.Y. Among 18 States Urging Probe of Utility Rates After Tax Cut”

January 11, 2018

As published by Bloomberg News, on January 10, 2018.

Eighteen states from New York to California are pressing the nation’s top energy regulator to ensure utilities pass on hundreds of millions of dollars of tax savings to customers.

They called on the Federal Energy Regulatory Commission to adjust the revenue requirements of utilities and set immediate refund dates for any over-collections, according to a letter signed by New York Attorney General Eric Schneiderman and others. It follows a bill signed into law by President Donald Trump last month that slashed corporate rates to 21 percent from 35 percent.
Utilities that are regulated — to protect customers from being overcharged while also ensuring a fair rate of return — have to pass along savings to ratepayers when costs fall. State regulators are already taking action to ensure that savings from the tax cut are shared. The commission sets rates for high-voltage power lines and interstate gas conduits.
“We respectfully request that the Commission take action at the federal level to ensure that all charges on customers’ bills are just and reasonable,” the letter stated. Customers should “receive the full economic benefit of the tax reduction” without delay.