HB3941 Summary

• Amends the Public Utilities Act by changing the repeal date for natural gas surcharge provisions from December 31, 2023 to January 1, 2022.

• The surcharge provision allows natural gas utilities serving more than 700,000 customers to recover costs associated with investments in qualifying infrastructure plants through a tariff mechanism independent of other rate matters.

• Qualifying infrastructure investments include replacement of aging gas pipes, meter relocations, system upgrades, advanced meter installations, and transmission pipeline replacements, prioritized based on public safety and reliability.

• Cumulative surcharge increases are limited to an average of 4% annually of the utility's delivery base rate revenues, with a maximum of 5.5% in any single year.

• Utilities obtaining a surcharge tariff are excused from standard rate case filing requirements and may withdraw pending rate cases, provided no rate reduction is proposed.