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Public Utilities and Carriers - Transparency in Electric and Gas Bills Act

This bill requires electric and gas utilities to clearly itemize costs for renewable energy and delivery on customer bills.

Held for study
Population
Affected
85
Email Legislator
Introduced Jan 9, 2026Committee Senate Commerce

Plain-English Summary

This legislation mandates that all electric and gas utility companies in Rhode Island change the format of their customer bills to increase transparency. Starting July 1, 2027, utilities must provide a detailed itemization of charges, specifically separating supply and delivery costs from "public policy costs." Bills must explicitly list costs associated with renewable energy mandates, breaking them down by source such as wind, solar, hydro, and geothermal energy. The Public Utilities Commission is tasked with approving these billing plans and conducting a public education campaign to help customers understand the new format.

For younger readers

This new rule helps families understand exactly what they are paying for when they get their electricity or gas bill. Sometimes bills can be hard to read. This law says that power companies must list every part of the cost separately. They have to show exactly how much money goes to making power using wind, sun, or water. This helps people see where their money goes. The government will check to make sure the power companies follow these rules and will help teach people how to read the new bills.

Who & Where It Applies

Impacted groups
Residential Utility CustomersCommercial Utility CustomersElectric Utility CompaniesGas Utility CompaniesPublic Utilities Commission
Impacted communities
All

Constitutional & Fiscal Check

None Likely

Estimated cost
Amount unknown
Estimated revenue
None

Bill Analysis

Both viewpoints
For Progressives
  • Increases transparency for consumers, allowing ratepayers to see exactly how their money is allocated regarding utility infrastructure and services.
  • Mandates a public comment period and stakeholder engagement process, ensuring that consumer advocacy organizations have a voice in how the billing changes are implemented.
  • Provides an educational opportunity to normalize renewable energy sources by clearly listing wind, solar, and hydro as standard components of the energy grid.
  • Risks stigmatizing renewable energy by isolating "public policy costs" and "mandates" as separate line items, potentially framing green energy as an extra financial burden rather than a necessary infrastructure investment.
  • Fails to require a similar breakdown of the externalized costs of fossil fuels, such as environmental damage or health impacts, creating an unbalanced comparison on the consumer's bill.
  • Allocates Public Utilities Commission resources toward administrative billing changes and PR campaigns rather than substantive improvements in energy equity or rate reduction for low-income communities.
For Conservatives
  • Exposes the direct financial cost of government-imposed renewable energy mandates, allowing taxpayers to see exactly how much green energy policies are adding to their monthly bills.
  • Promotes consumer empowerment and free-market principles by ensuring individuals have full information regarding the products and services they are purchasing.
  • Increases accountability for utility monopolies by forcing them to justify their rate structures and the allocation of funds to specific government programs.
  • Imposes new regulatory burdens on private utility companies, forcing them to overhaul their billing systems and internal accounting processes to comply with government dictates.
  • Empowers the Public Utilities Commission with expanded authority to fine and penalize private companies for non-compliance with administrative labeling rules.
  • Mandates a government-run "public outreach and education campaign," which utilizes state resources and time to explain a government-mandated billing format.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 69 additions

SECTION 1. Findings. The general assembly finds and declares that ensuring transparency in the electric and gas billing process is a matter of critical public importance. Consumers have a right to clearly understand the components of their utility bills including, but not limited to, supply charges, delivery charges, and any public policy costs related to renewable energy and public benefits programs. To further these goals, it is imperative that utility companies provide detailed breakdowns of these charges in an easily understandable manner on each bill.

SECTION 2. Title 39 of the General Laws entitled "PUBLIC UTILITIES AND CARRIERS" is hereby amended by adding thereto the following chapter: 39-36-1. Short title. This chapter shall be known and may be cited as the "Transparency in Electric and Gas Bills Act". 39-36-2. Definitions. For the purposes of this chapter, the following words and terms have the following meanings:

(1) "Delivery charges" means the cost associated with the transmission and distribution of electricity or gas to the customer’s premises.

(2) "Public policy costs" means costs mandated by federal, state, or local policy to support renewable energy mandates, energy efficiency programs, and public benefits programs.

(3) "Renewable energy sources" means energy generation from wind, solar, hydro, geothermal, or any other sources deemed renewable by the public utilities commission (“PUC”).

(4) "Supply charges" means the cost of generating or procuring electricity or gas for the customer. 39-36-3. Utility bill breakdown requirements.

(a) Beginning on July 1, 2027, all electric and gas utilities operating in the state shall include, on each bill issued to a residential or commercial customer, a clear and itemized breakdown of all charges. This breakdown shall include the following:

(1) Supply charges. A clear itemization of the charges for electricity and gas supply, including a separate line item indicating the portion of the supply charge attributable to each renewable energy source, broken down by wind, solar, hydro, geothermal, and any other renewable sources, utilized by the utility to meet the customer’s needs.

(2) Delivery charges. A separate line item indicating the charges for the delivery of electricity or gas to the customer’s premises.

(3) Public policy costs. A separate line item indicating all public policy costs associated with the customer’s bill. This line item shall include, but not be limited to, costs for renewable energy credits (hereinafter referred to in this chapter as “RECs”), energy efficiency programs, and other programs related to state or federal renewable energy mandates.

(4) Breakdown of renewable energy mandates. A further itemization within the supply charges to indicate the costs associated with specific renewable energy mandates. Each renewable energy mandate should be individually identified with an associated cost breakdown including, but not limited to:

(i) Wind energy mandates;

(ii) Solar energy mandates;

(iii) Hydro energy mandates;

(iv) Geothermal energy mandates; or

(v) Any other renewable energy mandates.

(b) The bill shall provide an explanation of how the customer’s costs for each renewable energy source are determined, including the methodology used to allocate these costs and the percentage of the customer’s supply charge attributed to each renewable energy source.

(c) The utility shall make reasonable efforts to ensure that this breakdown is presented in a user-friendly format that is easily readable and comprehensible to a typical residential or commercial customer. 39-36-4. Public comment and review.

(a) Beginning on January 1, 2028, each utility shall submit to the public utilities commission (“PUC”) a proposed plan for the implementation of the bill breakdown requirements outlined in this chapter. The plan shall include sample bills and any technology or processes required to ensure compliance with this section.

(b) The PUC shall hold a public comment period on the proposed bill breakdown plans for a period of no less than sixty (60) days, during which time stakeholders, including residential and commercial customers, consumer advocacy organizations, and other interested parties, may provide feedback on the proposed plans.

(c) The PUC shall consider all comments and make any necessary revisions to the proposed plans before approving the final implementation standards for the bill breakdown requirements. 39-36-5. Enforcement and compliance.

(a) Utilities shall be required to implement the finalized billing breakdown plans no later than one year after the PUC approval of the final plan.

(b) The PUC shall have the authority to enforce compliance with the provisions of this chapter. Any utility found in violation of these requirements shall be subject to penalties as determined by the PUC including, but not limited to, fines or remedial actions to ensure compliance. 39-36-6. Public outreach and education.

(a) The PUC shall conduct a public outreach and education campaign to ensure that residential and commercial customers are aware of the changes to the billing system and can understand the new bill breakdown. The outreach program may include, but is not limited to, public service announcements, educational materials, and online resources.

(b) The PUC shall provide utilities with guidance and resources on best practices for explaining the new breakdown of charges to customers, particularly focusing on the renewable energy mandate breakdown.

SECTION 3. This act shall take effect upon passage.