GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2013

S                                                                                                                                                     1

SENATE BILL 397*

 

 

Short Title:        Natural Gas/Rate Adjustment Mechanism.		(Public)
Sponsors:	Senator Newton (Primary Sponsor).
Referred to:	Commerce.

March 25, 2013

A BILL TO BE ENTITLED

AN ACT authorizing the utilities commission to adopt, implement, modify, or eliminate a rate adjustment mechanism for natural gas local distribution company rates.

The General Assembly of North Carolina enacts:

SECTION 1.  Article 7 of Chapter 62 of the General Statutes is amended by adding a new section to read as follows:

"§ 62‑133.7A.  Rate adjustment mechanism for natural gas local distribution company rates.

In setting rates for a natural gas local distribution company in a general rate case proceeding under G.S. 62‑133, the Commission may adopt, implement, modify, or eliminate a rate adjustment mechanism to enable the company to recover the prudently incurred capital investment and associated costs of complying with federal gas pipeline safety requirements,   including a return based on the company's then authorized return. The Commission shall adopt, implement, modify, or eliminate a rate adjustment mechanism authorized under this section only upon a finding by the Commission that the mechanism is in the public interest."

SECTION 2.  This act is effective when it becomes law.